If you have registered a company in the UAE and obtained an investor visa based on it, and you’re planning to leave the country, it’s important to understand the implications of your company’s license.
In the UAE, business entity licenses are typically granted for one year, and renewal is required at the end of this period by paying the renewal fees and submitting the necessary documentation to the relevant authorities.
Failure to renew on time results in the expiration of the license.
It’s crucial to note that the expiration of the license does not automatically lead to the cessation of the entity.
Instead, the entity continues to exist in the records and registers of the governing authority but is not permitted to carry out its activities as per the expired license.
Whether you need to cancel your company’s license depends on your future plans for returning to the UAE. If you are leaving permanently, it is advisable to liquidate or wind up your company in accordance with the applicable laws of the jurisdiction in which the company is incorporated.
This ensures the complete termination of your company, preventing any further actions or claims against it.
If you plan to return in the future, you can either sustain your company’s licenses annually or revive them upon your return.
This allows you to obtain visas in the UAE under the company’s sponsorship.
Alternatively, you may choose to sell or transfer all your shares in the company to another legal entity and resign from all management positions, effectively severing your relationship with the company.
Contact us to seek advice from a legal practitioner specializing in corporate laws in the UAE to guide you through the process and provide necessary assistance based on your specific situation.