Company liquidation procedure in the UAE is quite long and complicated process, which requires full participation of company's subscribers. It is recommended to use services of special companies for liquidation of the company. This will allow you to save your time and minimize you expenses.
Below is an overview of key company liquidation procedures approved in the UAE:
- Liquidation of the company is possible only upon payment of all outstanding amounts owed to the state and individuals. You need to make full settlement of outstanding amounts and utility bills;
- Director of the company shall ensure solvency of the company when carrying out liquidation. Furthermore, director shall provide official conclusion at the moment of liquidation confirming good standing of the company;
- Managing Director shall certify application for liquidation of the company and shall state the following provisions: time and reasons for liquidation, liquidator’s details;
In the course of liquidation the company shall close bank accounts, terminate lease agreement, if any, cancel visas issued through the company, and prepare balance sheet on closing date.
Offshore companies are not required to prepare balance sheet on closing date.
Upon fulfillment of all requirements, information regarding company's liquidation shall be submitted to the registrar of companies, in order to strike it out/ remove it from the registry.
