Liquidation of a Company

METROPOLITAN CONSULTING provides services for both voluntary liquidation of companies in the UAE with the accordance to the decision of the owners’ council, as well as forced liquidation made by a court decision. The liquidation of a legal entity is as complex as its registration.

The UAE law doesn’t regulate the reasons why a company can terminate its existence willingly. This means that considering the issue of liquidation, a meeting of participants who have voted in the organization is enough. Among those who can be the initiator are the board of directors or the executive body, as well as any participant, including a shareholder whose share in the company is from 10%.

A company is forcibly closed if it systematically violates the law, doesn’t have permission to engage in this type of activity and has no license, or conducts activities which are prohibited by law.

The bankruptcy of a company, when it’s unable to pay its obligations, is also a sufficient reason for a liquidation request.

All these conditions can be found in the UAE legislation. The final decision on liquidation in these cases is made by the court within the emirate where the company is registered.

Regardless of why the company is liquidating, the procedure takes time and requires competent preparation of the documents. Usually, this process is trusted to experienced lawyers or at least individuals who have received a detailed consultation from experts to avoid misunderstandings in the future.

Our company will carry out all the necessary actions on your behalf to help you receive a certificate of the company’s closure.