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AI-assisted content notice: This article was written with AI assistance and reviewed by the Tovi team. UAE rules and fees change — always verify with official sources before acting. Last reviewed: April 2026.
🪪 Expat lifeBusiness✓ Verified Apr 2026

Closing a Company in UAE: Process Fees Timeline

Closing a UAE company takes 2-4 months and AED 3,000-12,000 in fees. Follow the official steps or risk ongoing fines from MOHRE and ICP.

·5 min read·By the Tovi UAE Team
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Photo by David Rodrigo on Unsplash

Decide the Right Closure Route

Free zone and mainland companies follow different paths. Mainland LLCs need DED approval and a liquidation report. Free zone entities apply through their authority first, then complete federal steps with ICP and MOHRE.

Prepare Required Documents

Gather the trade licence, memorandum of association, tenancy contract, and all employee visas. Shareholders must sign a liquidation resolution witnessed by a notary. Banks require this resolution before releasing the corporate account.

Cancel Licences and Clear Debts

Submit cancellation requests to DED or the free zone authority. Settle all DEWA, Etisalat or du, and municipality bills. Pay any outstanding MOHRE fines before visas can be cancelled. Keep receipts for the final audit.

Handle Employee and Visa Cancellation

Issue end-of-service gratuity and cancel work permits through MOHRE. Cancel residence visas via ICP within 30 days of contract end. Employees receive a 30-day grace period to leave or change status. Missing this window triggers daily fines of AED 50 per person.

Final Audit and Bank Account Closure

Appoint a licensed auditor for a liquidation report. Once approved, close the corporate bank account and obtain a no-liability letter. Submit the full file to the licensing authority for the final cancellation certificate.

Timeline and Total Costs in 2026

Most closures finish in 60 to 120 days. Budget AED 3,000-5,000 for government fees plus AED 4,000-7,000 for auditor and legal support. Free zone closures can cost less if the authority bundles services.

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Frequently asked questions

How long does company closure take in UAE?▾

Expect 2 to 4 months from application to final certificate, depending on audits and authority response times.

What are the main costs for closing a company?▾

Government fees range AED 3,000-5,000; auditor and legal fees add AED 4,000-7,000 in most cases.

Do I need an auditor to close a UAE company?▾

Yes, a licensed auditor must issue a liquidation report before the licensing authority issues the final cancellation certificate.

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