Liquidation Audit Services in UAE
Company liquidation in UAE is the process of shutting down a company and closing all the operations related to the company. Company liquidation is an event that occurs when a company is at loss and has no money to pay its remaining debt.
When the business is liquidating, all the organizational assets are distributed among the shareholders and creditors, based on their priority of claims. The process of closing a company is called liquidation and the person or a company that conducts the liquidation process is known as liquidators. A liquidator is appointed by the management of the company.
Company Liquidation Services in UAE
Our team of liquidators can assist in all stages of the company liquidation process. MAS regularly acts as liquidators for many companies looking to close their business. Our liquidators are initiating and finalizing liquidations in a timely and appropriate manner.
Closing a company in UAE can be a time consuming and a complicated procedure but our experienced and influential liquidators in UAE can simplify all the legal procedures and assist you in company liquidation process.
MAS is providing company liquidation services in UAE to all the UAE mainland and free zone companies in UAE. We are providing company liquidation services to LLC companies as well as sole establishments.
Types of Company Liquidation
There are two types of company liquidation in Dubai:
Voluntary company liquidation
If the business does not have enough money to conduct a business or meet the expenses such as bills and salaries and the company is constantly at loss. In that case, companies will go for voluntary company liquidation as they do not have enough funds to sustain in the competitive market of UAE.
Mandatory company liquidation
If a company violates the rules and regulations of the authorities or commits a crime such as fraud or any other serious offense. The government will immediately close the company and in this case, mandatory company liquidation is required as per the court order.
Company Liquidation Process
As liquidators we typically fulfill the following obligations:
Company Liquidation Audit
A company liquidation audit report is required by the authorities before the cancellation of the trade license. A liquidation audit report will list the liabilities and assets of the company. All the financial information must be shared with the liquidator.
As the liquidation progresses, all the company’s assets are converted to cash and distributed to the creditors or assigned to other Company obligations. There are specific rules concerning the way the assets are distributed. The liquidation audit helps assure the information is accurate and complete.
Dubai Economic Department (DED), Jebel Ali Free Zone Authority (JAFZA), Dubai Airport Free Zone Authority (DAFZA), Dubai Multi Commodities Center (DMCC), and Dubai Silicon Oasis (DSO) all require final liquidation audit report in their respective regions whenever a business is closing its operations and canceling its license.
MAS will prepare the company liquidation audit report and submit it to the relevant authority where the company is registered.