Trade licence cancellation in Dubai

Everything tied to the licence must be cancelled before the licence itself: staff work permits, visas, the establishment card, tax and Ejari. An LLC also waits 45 days after its liquidation notice.

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Trade licence cancellation in Dubai is the last step of closing a company, not the first. The Dubai.ae closing guide says every other local and federal cancellation must be done before DET cancels the licence, and MOHRE labour cards must be cancelled for every business type. A mainland LLC also has to publish a liquidation notice and give creditors 45 days. Market totals run about AED 3,000 to AED 7,000.

The order that works

If you do these out of order, a later office sends you back to an earlier one. Market guides and the official pages line up on this sequence:

  1. Settle debts with suppliers, the bank and utilities.
  2. Cancel MOHRE work permits for every employee.
  3. Cancel the residence visas with GDRFA.
  4. Cancel the Emirates IDs (they are cancelled with the visa).
  5. FTA: VAT deregistration and the final corporate tax return.
  6. Cancel the commercial Ejari.
  7. Get any NOCs your activity needs.
  8. Apply to DET.
  9. Publish the liquidation notice (LLC only).
  10. Collect the cancellation certificate, then close the bank account.

Steps 2 to 4 are fixed by the official rules. MOHRE needs dues paid before it cancels a permit, GDRFA needs the MOHRE cancellation before it cancels a visa, and GDRFA will not cancel the establishment card while anyone is still sponsored on it.

What each type of company needs

Company type What the Dubai.ae guide asks for
LLC or other commercial company Notarised general assembly minutes approving liquidation and naming the liquidator, the liquidator's acceptance letter, a dissolution certificate approved by the legal advisor, the original newspaper notice, a final report, a no-objection declaration, MOHRE labour card cancellation
Sole establishment MOHRE labour card cancellation, then deregistration at a service center
Civil company A notarised partnership termination contract, MOHRE labour card cancellation
Any licence expired over two years One-day notice in widely read Arabic newspapers, 15-day grace period, local partner undertaking covering debts, no-liabilities undertaking

Source: Dubai.ae, Closing your business, last modified , checked . The page lists no fees.

Staff first: permits, visas and the establishment card

Each employee's file closes in two stages.

MOHRE. The work permit and contract are cancelled with a cancellation form signed by both sides for a used permit, a statement from the company that the worker's dues are fully paid, the employee's signature and payment of any late renewal fines. Online it is free apart from federal charges, a business center can charge at most AED 72 commission, and it takes 2 working days (MOHRE service page).

GDRFA. The residence cancellation then costs AED 100 plus AED 10 Knowledge and AED 10 Innovation fees, using the sponsor's passport, the employee's passport and the MOHRE cancellation extract (GDRFA service page, checked ). From cancellation, the employee has a grace period to leave or move to a new sponsor. The visa cancellation page covers the employee side.

Your own visa, if the company sponsors you, has to go too, unless you will be sponsored elsewhere. Family members on your visa must be cancelled or moved first.

Establishment card. Once the card has no one on it, GDRFA cancels it with the trade licence and a letter from the sponsor. The service page lists only collection charges, such as AED 100 through an Amer center, and no base fee. See the establishment card page.

The liquidation notice for an LLC

This is the part that sets the timeline. The company publishes a notice of liquidation in two Arabic local newspapers for one day. From then, creditors have 45 days to file claims with the liquidator. Only after that does the liquidator issue the final report that DET needs.

Use the 45 days. It is when you cancel the remaining visas, close VAT and empty the office, so nothing is left once the window ends.

Tax and the lease

Market guides place VAT deregistration and the final corporate tax return before the DET application. No official page found says DET checks for an FTA clearance, but a tax registration left open after closing can still produce returns that fall due. Treat this as general information and confirm your own tax position with the FTA or a registered tax agent. The VAT registration page explains the FTA side.

For the office, DLD allows early cancellation of a commercial Ejari when the trade licence is cancelled. It is free if the landlord or property company cancels it, and AED 40 through a trustee office (DLD FAQ). See commercial Ejari in Dubai.

What cancellation costs: market prices

DET's own cancellation fee is not on any page we could load, so the figures below are market prices, not official fees. They come from published price lists and cost guides of Dubai consultancies and PRO firms, checked .

Item Market price
DET cancellation application about AED 1,020
LLC dissolution or liquidation about AED 2,000 to AED 2,800
Liquidation newspaper notice AED 500 to AED 2,500 per newspaper, depending on the source
Service provider fee for the cancellation AED 1,000 to AED 5,000 or more
Total, mainland cancellation AED 3,000 to AED 7,000
Example: sole establishment, no staff AED 4,500 to AED 7,500
Example: LLC with 2 staff AED 12,000 to AED 18,000

The spread comes from staff numbers and legal form. Each employee adds a work permit and visa cancellation, and an LLC adds the liquidator, two newspaper notices and the notary.

How long it takes

Market guides give a mainland LLC 2 to 3 months, a sole establishment 3 to 6 weeks, and DET itself 5 to 10 business days once the file reaches it. The longest wait is nearly always the 45-day creditor window, so start the liquidation as early as the other steps allow.

Mistakes that keep a company open

  • Applying to DET with staff still on visas. The establishment card cannot be cancelled, and the file stops.
  • Missing a late permit fine. MOHRE wants unpaid fines settled before it cancels a permit.
  • Closing the bank account too early. You still need it to pay final dues, fines and the liquidator.
  • Letting the licence lapse instead of cancelling. Once it is more than two years expired you need extra newspaper notices and undertakings.
  • Forgetting the customs code. We found no official rule tying it to cancellation, but if you imported goods, ask Dubai Customs whether anything is outstanding on your customs code.

Closing the company in the right order

Send the licence type, the number of people on the company's visas and whether the office lease is still running. The partner team maps the order for your company and works through it: each work permit and visa, the establishment card, the Ejari, and for an LLC the liquidator and the newspaper notice, then the DET cancellation. Closures go wrong when DET is approached first or one staff visa is forgotten, which blocks everything behind it. They tell you when it is safe to close the bank account. You get one total price first, with the government fees and the service charge listed apart. Restructuring instead? The trade licence amendment page may fit better.

How to cancel a Dubai mainland trade licence

  1. Settle debts and staff dues

    Pay suppliers, utilities and every employee's final dues, because MOHRE needs a statement that dues are paid before it cancels work permits.

  2. Cancel work permits and visas

    Cancel each MOHRE work permit, then each GDRFA residence visa, then the establishment card once no one is sponsored on it.

  3. Close tax and the lease

    Deregister VAT, file the final corporate tax return and cancel the commercial Ejari.

  4. Liquidate if the company is an LLC

    Pass the general assembly resolution, appoint a liquidator, publish the newspaper notice and wait the 45 days for creditor claims.

  5. Apply to DET and close the bank account

    Submit the cancellation with the required papers, collect the cancellation certificate, then close the corporate account.

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Good to know

Questions people ask

How much does it cost to cancel a trade licence in Dubai?

Published price lists of Dubai consultancies put a mainland cancellation at about AED 3,000 to AED 7,000 in total. An LLC with staff costs more: one firm's example of an LLC with two employees runs AED 12,000 to AED 18,000.

How long does trade licence cancellation take?

A sole establishment with no staff takes about 3 to 6 weeks, according to market guides. A mainland LLC usually takes 2 to 3 months, mostly because creditors get 45 days to claim after the liquidation notice.

Do I have to cancel employee visas before the trade licence?

Yes. The Dubai.ae closing guide says other local and federal cancellations come first, and labour cards must be cancelled with MOHRE for every business type. GDRFA also refuses to cancel the establishment card while anyone is still sponsored on it.

What is the 45-day notice when closing an LLC?

A commercial company in liquidation publishes a notice in two Arabic local newspapers for one day. Creditors then have 45 days to submit claims before the liquidation can be closed.

My licence expired years ago. Can I still cancel it?

Yes. If it expired more than two years ago, the Dubai.ae guide asks for a one-day notice in widely read Arabic newspapers, then a 15-day grace period, plus undertakings that there are no outstanding debts or liabilities.

Can I freeze my Dubai trade licence instead of cancelling it?

Many owners ask about this. We found no current official DET page setting out freeze rules or fees, so ask DET directly. DLD does list licence freezing as one of the cases where a commercial Ejari can be cancelled early.

What happens to the office Ejari when I close the company?

Trade licence cancellation is one of the cases DLD accepts for cancelling a commercial Ejari before its end date. Cancellation is free if the owner or property company does it, and AED 40 through a trustee office.

Do I need to deregister VAT before cancelling the licence?

Market guides put VAT deregistration and the final corporate tax return before the DET application. No official page found makes an FTA clearance a DET condition, but a tax registration left open after closing keeps producing returns. This is general information, not tax advice.

Is a sole establishment cancelled the same way as an LLC?

No. A sole proprietorship cancels its MOHRE labour cards, then deregisters at a service center. It has no liquidator, no general assembly and no 45-day creditor notice.

Talk to the visa and PRO team

Closing your company?

Send the licence type, number of staff on visas and whether the lease is still running, and you get one total price for the whole closure, the official fees and the service charge set out line by line.

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