Company Liquidation

Company Liquidation Services in Dubai

Since Dubai (and the whole of the United Arab Emirates too) offers business owners or those looking to set up their businesses, minimum political hassles, and maximum returns and profits owing to the booming economy, it has become home to thousands of businesses over the years. However, while it is quite evident that there are so many businesses and companies functioning smoothly in Dubai, it is also true that there are some which have not been able to comply to government regulations and have not been able to pay their obligations, which has led to them being insolvent. In simpler words, insolvent means that the company is coming to an end or that it can no longer function and must terminate its operations. This is where liquidation comes into the picture.

What is Company Liquidation?

As mentioned above, there are many companies or businesses that are able to handle their operations well and are able to comply with all the government’s rules and regulations, which includes paying their dues. However, there are others who fail to do so and are compelled to (or may do so by choice) to end all their company’s operations, which is what liquidation means. In proper economic or financial terms, company liquidation refers to the process by which a company must bring about an end to its business operations and must distribute its assets to the rightful claimants, which includes investors, shareholders, etc. based on the priority of their claims.

Even when it comes to a location such as Dubai which is known for its profitable business prospects, there is nothing certain with respect to running a business, and you might be needed to liquidate your company for reasons such as inaccurate or irrelevant market predictions, failure to oblige by government regulations and payment of dues, financial shocks, relocation, etc. A company might decide to dissolve its operations after having suffered a significant amount of financial and other losses, the shareholders and investors may unanimously decide to liquidate the company, or the court may order the company to dissolve its operations and liquidate its assets.

Steps Involved in Company Liquidation

Since a business or a company operates on a series of complicated processes, dissolving them and liquidating the assets is not an easy function, and the procedure involved in the above is as follows: –

How is Aviaan Accounting A Great Choice for Company Liquidation Services in Dubai?

Company liquidation includes a lot of steps and is a complicated process, especially depending upon the nature of your company’s operations, its financial situation, where all it is located, etc. and in order to ensure that the process goes without any hassles or hurdles, it is advisable to hire a certified service. At Aviaan Accounting, we have a team of expert that have a lot of experience dealing with the liquidation process of different kinds of companies, and we use our network and expertise to ensure that you have an easy exit from the industry. Our services will ensure that you are able to terminate your operations the right way and would be able to comply with the government’s regulations as well. Moreover, we believe that the liquidation of your company does not mean you cannot dabble into another business in the future, and thus, we also offer consultancy services to help you improve your operations.

Company Liquidation Services Offered by Aviaan Accounting

At Aviaan Accounting, we understand that your company liquidation needs might change and thus, in order to ensure that the whole process is made smooth and hassle-free for you, we offer a wide range of company liquidation services, which include the following:

In case of any queries with regard to company liquidation or our services, you can contact us by either calling us or by writing to us via email.

FAQs

Are there any parallel agreements with UAE nationals to protect the interest of shareholders?

Yes, generally a side agreement with local sponsor is followed; however, these are not valid in the court of law and can be used for the internal purpose.

What happens when a company goes into insolvency?

When a company decides to go into liquidation, all of its assets are auctioned to repay the debts. This procedure leads to the removal of the company’s name from the Registrar of Companies.

Is there any activity not permitted to conduct in Dubai?

Activity is approved by the relevant license issuing authorities. Normally almost all activities are permitted, unless prohibited by the ministry.

Who does the liquidation process?

An official liquidator is appointed in order to complete the liquidation process.

What is the Cost of Business Formation in the UAE?

The cost of company incorporation in Dubai varies across Free zones and the mainland in the UAE.  For a free quote, contact us.

How to Open a Corporate Bank Account in the UAE?

The Banking Sector in the UAE is very robust and advanced. Corporate Bank Accounts can be opened as soon as you incorporate a company in Dubai. There is a minimum monthly balance the company has to maintain (50,000-200,000 AED) depending on the nature and risk of the business activity.

What are the basic documents required to file corporate insolvency?

Basic documents required in filing for corporate insolvency are as follows:

  • Completed cancellation form;
  • Notarized partnership cancellation contract;
  • Notarized general assembly minutes confirming company liquidation and appointment of liquidator;
  • Official letter from registered company liquidator accepting liquidation duty.

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Address

Binary Tower, Marasi Drive,
Business Bay,
Dubai, UAE
Phone KSA: +966 58 264 5319
UAE: +971 567952590
Mail:info@aviaanaccounting.com

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