Dubai branch de-registration in 2022
Occasionally our Clients require Healy Consultants Group PLC to deregister their Dubai branch and assist them to close the local corporate bank account. Within three months, our Dubai office will project manage the timely de-registration of your Dubai branch.
Dubai branch de-registrationDe-registration is a cost-effective way to wind up a Dubai branch. Points to note with Dubai branch registration include:
- The Dubai branch is not liquidated but rather de-registered. Therefore, it is not necessary to appoint a company liquidator.
- The Dubai branch de-registration steps described below apply to all type of branch registered on the Dubai mainland, including branches of a foreign company or a Dubai mainland LLC. De-registration of a free zone company may be simpler.
- Before Dubai branch deregistration can commence, our Clients must ensure the company has fulfilled all accounting and tax obligations and is in good standing with the government.
Steps to de-register a Dubai branchOn behalf of our multi-national Clients, Healy Consultants Group PLC will project manage the de-registration of the Dubai branch. The steps are as follows:
- Our Client settles Healy Consultants Group PLC’s Dubai branch de-registration invoice and signs the engagement letter.
- Documentation preparation
- Healy Consultants Group PLC drafts a Board Resolution, a Power of Attorney and a request letter to de-register the branch.
- Our Client reviews, notarises and attests the above documents in the UAE embassy in their country of residence and courier returns the same to Healy Consultants Group PLC’s Dubai office.
- Healy Consultants Group PLC then i) attests the same at the UAE Ministry of Foreign Affairs ii) sends to a legal translator for Arabic translation and iii) further attests the same at the UAE Ministry of Justice.
- Termination of the service agreement with local service agent
- Healy Consultants Group PLC drafts the local service agent’s termination letter and uploads the same to the UAE notary system.
- Once approved, the local service agent signs the agreement in front of a Dubai Notary Public.
- Secure Dubai branch de-registration certificate from Department of Economic Development (DED).
- Healy Consultants Group PLC to draft a Dubai branch de-registration application to cancel the branch’s trade licence.
- Publish the de-registration application in English and Arabic for 35 days in the Government’s Gazette, enabling creditors to submit any claims against the branch before it is de-registered.
- Assuming no claims are made, the DED issues a de-registration approval letter.
- Clearance from Ministry of Labour (MOL) & Immigration Department
- Cancel all employee visas and pay remaining salaries.
- Ensure the company does not have any pending processes, complaints or fines with past employees.
- Upon completion of the above, Healy Consultants Group PLC prepares a ‘no employee report’ and submits it to the Immigration Department.
- After review and approval, MOL issues an Immigration Card Cancellation.
- Obtain third-party clearance
- Healy Consultants Group PLC assists our Client cancel all services maintained with other third-party providers such as telephone providers, electricity and water, lease agreement and Dubai Municipality.
- Ministry of Economy (MOE) deregistration certificate and release of Dhs50,000 bank guarantee
- Healy Consultants Group PLC submits an application to close the branch account with MOE, which approves release of the bank guarantee.
- Corporate bank account closure
- Healy Consultants Group PLC communicates with the bank to i) release the bank guarantee deposit and ii) close all multi-currency accounts our Client may have with the bank.
- Our Client travels to Dubai to submit the above requests in person.
- All going well, within seven working days, the bank guarantee is refunded to our Client’s account. Our Client transfers out the same and immediately thereafter issues the bank account closure application to the bank.
Engagement feesHealy Consultants Group PLC’s one-time fee to complete branch de-registration in Dubai is US$4,950. Refer to the embedded PDF file to see a breakdown of fees.
ConclusionHealy Consultants Group PLC will be pleased to assist our Clients wanting to de-register their UAE branch.