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Cancellation of Mainland Company Inactive for more than 2 years

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  • Cancellation of Mainland Company Inactive for more than 2 years
  • October 23, 2024

MSZ provides expert assistance to individuals and businesses worldwide, helping them establish and expand their operations in the United Arab Emirates and Saudi Arabia. Whether you're launching a new venture or seeking to grow an existing business, MSZ.ae is committed to helping you make informed and strategic decisions for your company's success.

It is one of the sad parts of an endeavor when there are no options left but canceling the business because of several reasons. There are many things that entrepreneurs must care about when they have finally decided to cancel their business. Here is a complete procedure on cancellation of the company license which has been expired for more than two years.

What is the procedure for the Cancellation

Stage 1:
  • Submit the business registration application form
  • The company license should be expired for more than two years
  • An undertaking by the local partner that the local partner is liable for the company liabilities
  • Submit the documents supporting the purpose for the cancellation of the license (e.g. that the partner’s whereabouts are unknown or evidence stating that the partner has stayed outside the country over six months)
  • The required payment is paid to receive the company’s certificate of dissolution
  • Announcement of the liquidation in broadly circulated Arabic newspapers for just 1 day, given that such announcement must give the debtors a grace period of 15 days from the date thereof to submit their requests.
  • A duly completed undertaking stating that the company has no liabilities recorded as well as assuming complete responsibilities for the validity of such a statement

Mainland Companies Inactive for more than two years?

Stage 2:
  • Submission of the original newspaper where the announcement of the company’s cancellation was published
  • Cancellation of the labour cards by the Ministry of Labour now called as Ministry of Human Resources and Emiratisation

IMPORTANT NOTE: Physical presences of the authorized partners are required for board resolution notarization Court Agreement

What is the timeframe for the cancellation of Mainland Company?

It takes between 45-60 working days, after receiving the documents to secure final approval.

Documents required for cancellation of a sole proprietorship

  • Completed licensing and registration form
  • Copy of the license
  • Cancellation of the labour cards by the MOHRE (Ministry of Human Resources and Emiratisation)
  • If the license is a non-GCC (Gulf Cooperation Council) national, the residence visa will be canceled or proof should be presented to affirm that the visa is not based on the cancellation license

Documents required for cancellation of Professional Company (Civil Company)

  • Completed licensing and registration form
  • Copy of the license
  • Cancellation of the labour cards by the MOHRE (Ministry of Human Resources and Emiratisation)
  • A duly notarized partnership termination contract or the signature of all the parties of the license on the business registration form by appearing in person at Dubai Economy Department

Documents required for cancellation of a branch of foreign companies

  • Completed licensing and registration form
  • The decision to remove/delete the company from the Ministry of Economy’s register
  • An attested decision is given by the Board of directors to cancel the company
  • Cancellation of the labour cards by the MOHRE (Ministry of Human Resources and Emiratisation)

Documents required for cancellation of branches of a local company

  • Completed licensing and registration form
  • The decision is given by the board of directors for the cancellation of the company
  • Cancellation of the labour cards by the MOHRE (Ministry of Human Resources and Emiratisation)

Documents required for cancellation of branches of free zone companies

  • Completed licensing and registration form
  • The decision to remove/delete the branches of the free zone companies that are registered at the Ministry of Economy
  • An attested decision is given by the parent company to cancel the free zone company branches (for those companies which are not registered with the Ministry of Economy)
  • Cancellation of the labour cards by the MOHRE (Ministry of Human Resources and Emiratisation)

For more information about the cancellation of mainland company, speak to our business setup consultantClick Here to Contact MSZ or Email to info@msz.ae.

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