How to Deal with Trade License Cancellation in Dubai

How to Deal with Trade License Cancellation in Dubai

Dubai is the land of business opportunities and every business requires a trade license. A trade license is a document which permits the company to conduct business in the UAE.

However, companies may close down for several reasons such as possession of insufficient funds, poor management etc. When a business faces closure, the trade license needs to be cancelled. One must submit the necessary paperwork to cancel the trade license to the respective authority. 

Moreover, cancelling the trade license is a lengthy and tricky process. However, you can seek assistance from Business Setup Worldwide to overcome that.

In this write-up, let's focus on how to deal with the trade license cancellation in Dubai.

Necessity of Cancellation of Trade License in Dubai 

As a business owner, you must understand the importance of cancelling your trade license upon business closure.

When you are no longer in business, you must let the respective government entities know about it.

In addition, if you fail to cancel your trade license in Dubai, it may result in fines and penalties.

Conditions for DED Trade License Cancellation

When you are about to dissolve your existing business, make sure you know how to cancel the trade license.  

Also, question yourself: where and how do you file the cancellation application for a trade license?

What formalities need to be followed when cancelling a trade license? 

To get a relevant answer, scroll down the blog. 

  1. Drafting of Resolution

The first step for the Dubai Economic Department trade license cancellation is to prepare the board of resolutions and the cancellation contract with the notary public. 

  1. Application for Cancellation of Trade License

After completing the first stage, the respective person has to draft an application for the Dubai trade license cancellation. 

  1. Cancellation of Employment Visa

The third step is to undergo the process of cancellation of all the employment visas under the trade license and obtain the necessary approvals from the respective authority. 

Note: If the cancellation is made on the mainland, permission from the Department of Economic Development is required. 

Meanwhile, you should get approval from the free zone authority if it is in the free zone. 

  1. Publication

After the visas are cancelled, the next step is to publish a liquidation advertisement in two local newspapers.

Meanwhile, a joint statement from the liquidator and partners mentioned that no objection from a third party had been filed during the publishing period needs to be published. 

  1. Pay the Dubai Trade License Cancellation Fees

After that, you have to pay the Dubai trade license cancellation fees. After remitting the fees, you can proceed with the further steps. In addition, our business expert provides a complete structure for the trade license cancellation cost in Dubai. Once you know it, you can pay the respective amount.

  1. Clearance

The final process for cancelling a trade license in Dubai is visa clearance. After doing so, the company-established card will be cancelled, and the owner will receive clearance from the relevant authorities.

Essential Documents Required for Cancelling Trade License Dubai

As a business owner, you must ensure that your DED trade license cancellation has been made by submitting the following essential documents. 

  • Passport copy
  • Trade license copy
  • Cancellation of visa copy
  • Newspaper copies 

Henceforth, the content mentioned above clearly describes the cancellation of the trade license in Dubai. In addition, if you want to make the entire process smooth and trouble-free, you can seek assistance from our professional experts.

Additionally, if you want to explore the renewal process, learn how to renew a trade license in Dubai

Why Choose Our Services?

Business Setup Worldwide helps its clients by providing a smooth incorporation process. We deal with the cancellation of trade licenses in Dubai and offer various additional services. We are a team of skilled experts who can help brighten your business future by opting for company formation in DubaiContact us if you want to explore any additional services.

FAQs

How much does trade license cancellation cost in Dubai?

The Dubai trade license cancellation fees start from AED 14,000.

How many days does it take for trade license cancellation in Dubai?

It takes around four months to cancel a trade license in Dubai.

Who issues trade licenses in Dubai?

The Department of Economic Development issues trade licenses in Dubai.

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