Closing a company in Sharjah is not as simple as shutting operations or notifying customers. The UAE remains one of the most compliance focused regions in the world, which means business owners must follow a formal deregistration process to avoid fines, legal issues, or future restrictions. Whether you operate a mainland company under the Sharjah Economic Development Department (SEDD) or a free zone entity, deregistration ensures your license is fully cancelled, visas are cleared, VAT obligations are closed, and government files are properly settled.
Many entrepreneurs choose deregistration due to business restructuring, partnership changes, new investments, or market shifts. In every scenario, correct procedures protect you from ongoing liabilities. Without officially closing your company, fines continue, visas remain active, bank accounts accumulate charges, and future business applications can be impacted.
This guide explains the complete Company Deregistration Process in Sharjah, what documents you need, how long it takes, what it costs, and how Nines Consultancy can support you. The article also links to related services including Company Liquidation in UAE , VAT Deregistration and Compliance , and PRO Services in UAE , giving you a complete picture of what to expect during the closure journey.
What is Company Deregistration in Sharjah?
Company deregistration is the official and legal termination of a business entity in Sharjah. This applies to:
• Mainland companies
• Free zone entities
• Branches
• Professional licenses
• Establishments
Deregistration involves:
• Cancelling the trade license with SEDD or free zone authority
• Cancelling all employee and partner visas
• Closing MOHRE and GDRFA files
• Cancelling the establishment card
• Deregistering VAT with the Federal Tax Authority (FTA)
• Settling fines or outstanding government dues
• Completing liquidation (if required)
It ensures that your company no longer carries legal or financial obligations in the UAE.
Why Deregistration Matters in the UAE Context
The UAE operates under strict oversight from authorities like SEDD, MOHRE, GDRFA, FTA, telecom providers, and utility companies. Deregistration ensures:
• You avoid future license renewal fines
• No unexpected legal action occurs
• All employee claims are formally settled
• Your compliance history remains clean
• VAT and tax files are properly closed
• You are free to open a new business or apply for a Golden Visa without restrictions
For companies that intend to relaunch or restructure, proper deregistration helps protect shareholders from complications when applying for a Mainland Company Setup or Sharjah Free Zone License .
Step by Step Process for Company Deregistration in Sharjah
Step 1: Shareholder Resolution for Deregistration
If your company has multiple shareholders, you must prepare, sign, and notarise a board resolution confirming the closure.
This step is mandatory for:
• LLCs
• Free zone entities
• Branch companies
• Partnerships
Sole establishments may not require this step.
This resolution is also needed to begin any UAE Company Liquidation procedure.
Step 2: Appointing a Liquidator (If Required)
All LLCs in Sharjah must appoint an approved liquidator. The liquidator issues an official letter and publishes closure notices in UAE newspapers.
The liquidator handles:
• Reviewing company accounts
• Identifying liabilities
• Preparing the liquidation report
• Ensuring financial compliance
Professional licenses and some free zone companies may not require liquidation.
Step 3: Cancelling All Employee and Partner Visas
Before closure, you must cancel every visa under the company:
• Employee visas
• Dependent visas under employees
• Partner or investor visas
• Establishment card
• Labour and immigration files
This is done through MOHRE and GDRFA systems.
Nines Consultancy manages this through its dedicated UAE PRO Services team.
Step 4: Obtaining All Government Clearances
Clearances must be obtained from:
• Sharjah Economic Development Department (SEDD)
• Municipality
• SEWA (Utilities)
• Beeah (Waste management)
• Ministry of Human Resources (MOHRE)
• General Directorate of Residency & Foreign Affairs (GDRFA)
• Etisalat or du (if telecom services exist)
If the company is VAT registered, a mandatory FTA VAT Deregistration request must be filed.
Step 5: Submitting Deregistration Application to SEDD or Free Zone
Submit all documents including:
• Liquidation report (if required)
• Newspaper ads
• Clearance letters
• MOA and license copy
• Passport and Emirates ID copies
• Board resolution
The authority reviews your file and issues approval for closure.
For free zone companies in Shams, Hamriyah Free Zone, or SAIF Zone, procedures may be simpler and quicker.
Step 6: Bank Account Closure
Banks require the following before closing an account:
• Liquidator letter
• License cancellation approval
• Board resolution
• Proof that operations have ceased
Delaying this step may lead to unnecessary fees.
Step 7: Final License Cancellation Certificate Issued
This certificate confirms the company no longer exists legally in the UAE.
It is required for:
• Opening a new company
• Tax clearance
• Investor visa changes
• Avoiding future government penalties
Benefits of Proper Company Deregistration
• No outstanding government liabilities
• No license renewal fines
• Protection from lawsuits, labour claims, or tax penalties
• Clean compliance record for future licenses
• Smooth VAT deregistration
• Ability to start a new company immediately
• No banking or financial complications
Costs of Company Deregistration in Sharjah
Costs depend on your jurisdiction and company structure.
Mainland Sharjah:
AED 3,000 to 8,000
Free Zone Companies:
AED 2,000 to 6,000
Liquidator Fee:
AED 3,000 to 8,000
Newspaper Advertisement:
AED 500 to 1,200
PRO & Filing Fees:**
Based on complexity, fines, and visa cancellations.
Nines Consultancy offers transparent pricing and no hidden charges.
Timeline for Deregistration
• Mainland Sharjah: 45 to 90 days
• Free Zones: 15 to 45 days
• With VAT Deregistration: Up to 120 days
If visa cancellation or fines are pending, the timeline may extend.
Required Documents for Deregistration
• Trade license
• MOA and amendments
• Shareholders’ passport & Emirates ID copies
• Board resolution
• Liquidator appointment letter (if applicable)
• Liquidation report
• Newspaper publication
• SEWA, Municipality, and Beeah clearances
• MOHRE & GDRFA clearances
• VAT deregistration certificate (if applicable)
Why Choose Nines Consultancy for Deregistration in Sharjah
Nines Consultancy provides seamless, end to end support for all company closure requirements across Sharjah mainland and free zones.
Our Strengths:
• Full compliance with SEDD, MOHRE, GDRFA, and FTA
• Dedicated PRO and legal team
• Guidance for liquidation and VAT deregistration
• Fast turnaround with minimal client involvement
• Transparent pricing and no hidden government charges
• Support for both mainland and free zone entities
• Assistance with new license setup after closure
FAQs
1. How long does it take to deregister a company in Sharjah?
Between 15 and 90 days depending on license type, clearances, visa cancellations, and liquidation requirements.
2. Do all companies require a liquidator?
Only LLCs require a liquidator. Many free zone and professional licenses do not.
3. Can I deregister my company if visas are still active?
No. All employee and partner visas must be cancelled before deregistration.
4. What happens if I do not deregister my company?
Fines accumulate, immigration files remain active, and future license applications can be blocked.
5. Do I need VAT deregistration?
Yes, if the company was VAT registered. It is mandatory before the final closure.
6. Can Nines Consultancy manage the entire process for me?
Yes. From liquidation to visa cancellation and SEDD submission, we handle everything end to end.
Company deregistration in Sharjah requires structured steps, government coordination, and accurate documentation. Whether you are closing a mainland LLC or a free zone entity, doing it correctly protects your finances, reputation, and future business opportunities in the UAE.
Nines Consultancy ensures a smooth, compliant, and transparent deregistration journey from start to finish.
Contact Us Today
WhatsApp:+971 52 975 7543
Call: +971 52 975 7543
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