Company dissolution in Dubai, United Arab Emirates
Bestaxca Business Setup Services provides business liquidation services for a wide range of business entities in UAE for Dubai Free Zone such as limited liability companies, offshore agents, and corporations. Company Liquidation Services In Dubai and the UAE is the process of liquidation when a company finds itself in a severe financial crisis and is unable to manage its existing debts.
The process involves complex documentation and negotiations with interested parties and other authorities. Delisting is a very important aspect of the liquidation process. Liquidating a company is also known by other names, such as winding up a company or liquidating a company. Liquidation of a company in Dubai or UAE can be a time-consuming and challenging task if not handled in the most professional and dedicated manner.
Bestaxca offers the best liquidation services for companies in UAE and takes care of your company’s liquidation process. During the process of company liquidation such as the cancellation of business licenses and before company liquidation, you need to perform some important tasks such as closing bank accounts, paying bills, obtaining certificates from the relevant authorities, preparing the final audit report, canceling visas, etc.
For company liquidation in Dubai, you can hire Bestaxca Business Setup Services LLC to simplify the liquidation process and avoid additional costs. We assist entrepreneurs in the liquidation of onshore companies and free zone companies in the UAE.
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Company liquidation in Dubai, United Arab Emirates
The United Arab Emirates is a magical country for investors. Many people have achieved remarkable success by starting businesses in this country. However, companies may have to close down for various reasons. This is either for business purposes due to unsatisfactory performance and debts or to meet business requirements. The liquidation of a Dubai company can be successfully completed by following the necessary procedures.
It is important to use Dubai company liquidation services to ensure compliance with the relevant regulations. Liquidation is also known as dissolution, winding up, and closure. The liquidation process involves the sale of assets, products, and goods. Outstanding debts in Dubai must be paid before the balance can be transferred to shareholders.
If the company is liquidated, the authorities will revoke the company’s business license. Also, the company’s registration with the Dubai Chamber of Commerce will be canceled. This is often a painful process, which is why you need a reliable company liquidation service in Dubai. Our qualified professionals will handle the entire process with care.
Company liquidation in Dubai, UAE
We understand how difficult it is for a business owner when dreams disappear. Our full support makes company owners feel safe during the Dubai company liquidation process.
The team will also assist with the sale of the company’s remaining assets after liquidation. The proceeds from the sale can be distributed to the shareholders. Due to our close relationship with the authorities, we are always ready to provide the best possible assistance in the liquidation of a company.
Types of liquidation
In many cases, company liquidation may be the only option for company owners. In some cases, the authorities may order the closure of a heavily indebted company. There are two types of liquidation.
The owners, board of directors or shareholders of a company can decide together to close the company. This form of liquidation is called voluntary liquidation in Dubai.
Common reasons for voluntary liquidation are
. Death of the company owner or main shareholder with no heirs.
. The company suffers heavy losses and finds it difficult to continue its business.
. No chance of success.
. In achieving its goals.
. Merger with another organization.
In Dubai, compulsory liquidation is carried out by the authorities. This means that the authorities will force the company to close if necessary. Owners or shareholders cannot object to compulsory liquidation as it is carried out by the authorities after a thorough investigation.
The conditions for compulsory liquidation are
. It turns out that the company violated the laws of the land
. The company has gone bankrupt, and creditors have turned to the authorities for action
The receivership is carried out with the help of an authorized company liquidation service in Dubai. The proceeds from the sale of assets will be paid to creditors.
The liquidation process
The liquidation process begins with the selection of an approved company for liquidation services in Dubai. The liquidator, the agency handling the liquidation process, will administer the process on behalf of the owner and shareholders. In the case of voluntary liquidation, the selection and appointment of the liquidator is left to the discretion of the company/board of directors/shareholders. In the case of judicial liquidation, the competent authority or court appoints the liquidator.
Meeting of the company’s board of directors
If the company is owned by one person, a meeting of the board of directors may not be necessary. Otherwise, a majority of the members of the board of directors must decide to wind up the legal person. All actions of the board and the final decision must be documented. A certified notary public must certify the document to make it authentic.
Applying for liquidation of a company in Dubai
The Department of Economic Development (DED) is the competent authority for all business-related approvals in Dubai. A liquidation form signed by an authorized person should be submitted to the DED for approval.
Publication of dissolution decision
It is the responsibility of the organization to make the liquidation decision public. After receiving approval for dissolution, the company must publish the dissolution decision in a local Arabic newspaper at least 45 days before the date of dissolution. This will give creditors sufficient time to submit their claims.
Acceptance of the liquidator
The Dubai Liquidation Services of the chosen company must accept the company’s offer to carry out the liquidation process. All approvals and applications must be documented. The board of directors should inform the liquidator in advance of the appointment decision. To avoid last-minute dilemmas.
Cancellation of the visa associated with the company to be liquidated
All visas associated with the company must be canceled within the 45-day period prescribed by AFAD. This includes employee, shareholder, and family member visas. The Ministry of Labor and Immigration will issue a CNP following visa cancellation.
Payment of fees paid to departments
Company fees must be paid to all departments, including the telecommunications department. The department will issue a CNP after payment of fees. This CNP is another mandatory requirement for the liquidation of the company in Dubai.
Report submitted by the liquidator
The company liquidation department or liquidator in Dubai submits an audit report which will confirm that there are no outstanding debts. All debts, payments, and loans must be paid within the time frame to avoid delays.
Company liquidation documentation in Dubai
Once the above formalities have been completed, such as cancellation of taxes, cancellation of visas, etc., an application can be submitted to AFAD for the issuance of a liquidation certificate. DED will examine the conditions and confirm that all conditions have been met before issuing the certificate.
After that, the company ceases to exist on any document in Dubai. The owner of the company is free to return to his country. Or start another business.
Documents required for the liquidation of a company in Dubai
Liquidating a company in Dubai requires a number of documents. Dubai company liquidation services can help you obtain most of the documents related to liquidation.
– Copy of the company’s business license
– Copy of MOA
– Photocopy of owner/shareholder’s passport
– Emirates ID card
– Power of Attorney (POA), if required
– Shareholders resolution
– Application form(s)
Why does Bestaxca Business Incorporation offer company liquidation services in Dubai?
Bestaxca has been the leading provider of business services in the UAE since 1999. With expertise in all aspects of business incorporation, liquidation, office rentals, etc., we have been the right support for businesses in the country.