Questions & Answers
The procedures required for the cancellation of a company and visas
I am a partner in an LLC registered in Dubai, whose license was expired in Nov 2017.
I was a passive investor stationed in India and the company was managed my senior partner and MD (Managing director) of the company who was stationed in Dubai.
The company was not managed well, the licenses were not renewed and the business activities did not take place. My last visit was in May 2017.
The MD of the company is still in Dubai on an earlier visa but didn't get in touch with me and he's not reachable.
Now, I want to start a new venture in any free zone on an individual basis. How can I cancel the earlier visa and get a new investor visa in the free zone?
Is it necessary to liquidate the old company in order to cancel the visa? Is it possible for me to cancel the visa on an individual basis and apply for new company formation?
Please guide me.
As a partner, you can start a new company without any hurdle in the free zone.
For your current company, you may approach the court and liquidate it or you may take your share out of this company.
for visa cancellation, you should approach the Immigration Department.
Dear Sir
Issues:
License expired: If the license is not renewed, fine will be applicable, the company will be blacklisted and issuing of visas will be blocked especially for the local.
MD on visit visa: The manager has to be on the company's visa. You need to let us know how many visas were issued. Also, let us know the number of shareholders.
Cancel visa: You can cancel the visa if you are the owner/ investor.
Apply for a free zone visa: Yes, you can after the cancellation of the current one.
Liquidation: Yes, is it mandatory to renew or liquidate the company.
Visa vs Shareholding: As a partner, you can cancel the visa and form a new company. Your current company will not die automatically and the fines will keep on piling up.
Cancellation of a visa is different from a transfer of shares. Your visa may be cancelled but you will continue to be seen as the shareholder in the records of the Economic Department Registrar, thus liable for the fines.
