Dubai is a thriving business hub that attracts entrepreneurs from around the world. However, circumstances may arise where you need to cancel your Dubai business license. Whether you're closing your business or transitioning to a new venture, canceling your license properly is essential to avoid any legal or financial complications. In this article, we will guide you through the process of canceling your Dubai business license, providing you with the necessary information and steps to ensure a smooth termination.

Canceling a business license in Dubai involves several administrative and legal procedures. Understanding the necessary steps and requirements can help ensure a seamless process. This guide provides detailed instructions to help you navigate the license cancellation process effectively.

Reasons for Cancelling a Dubai Business License

There can be various reasons for canceling a Dubai business license. Some common situations include:

  • Business closure
  • Change in ownership or partnership structure
  • Relocation to another jurisdiction
  • Dissolution or merger of the company
  • Change in business activity or trade license category

Understanding the specific reason for canceling your license will enable you to follow the correct procedure accordingly.

Preparing for License Cancellation

Before initiating the license cancellation process, there are several important steps to consider:

  • Evaluate the financial position of your business and ensure all outstanding obligations are settled.
  • Notify your employees, clients, suppliers, and other stakeholders about the impending closure or license cancellation.
  • Consult with legal and financial professionals to understand the legal implications and obligations associated with canceling your business license.

Step-by-Step Guide to Cancelling Your Dubai Business License

Review License Cancellation Requirements

Every license cancellation scenario may have specific requirements. Research and familiarize yourself with the cancellation criteria provided by the Department of Economic Development (DED) or relevant authority in Dubai.

Settle Any Outstanding Financial Obligations

Before proceeding with the cancellation, it is crucial to settle all financial obligations related to your business, such as outstanding loans, debts, employee salaries, utility bills, and lease agreements. Clearing these obligations will prevent any hindrance during the cancellation process.

Gather Required Documents

Compile the necessary documents required for canceling your Dubai business license. The specific documentation may vary based on your business type, but generally, you will need:

  • Original trade license
  • Valid passport copies of all partners or shareholders
  • Emirates ID copies of all partners or shareholders
  • Copy of the lease agreement (if applicable)
  • Clearance letter from relevant government entities (e.g., Immigration, Customs)

Ensure that all documents are up-to-date and in the correct format as per the requirements.

Visit the Department of Economic Development (DED)

Visit the DED or the respective authority's office to initiate the license cancellation process. It is recommended to schedule an appointment to avoid unnecessary delays.

Submit License Cancellation Application

Submit the license cancellation application form along with the required documents. Ensure all information provided is accurate and complete. Any discrepancies or missing information can prolong the cancellation process.

Pay Relevant Fees

Pay the applicable fees for canceling your Dubai business license. The fee structure may vary depending on factors such as business type, duration of the license, and other specifics.

Receive Confirmation and Collect Cancellation Certificate

Once the application and fees are processed, you will receive a confirmation of cancellation from the DED or relevant authority. Collect the cancellation certificate, which serves as proof of your license termination.

After Cancellation Procedures

After canceling your Dubai business license, there are a few additional steps to consider:

  • Close your company's bank accounts and settle any outstanding financial matters.
  • Notify relevant government entities, such as the General Directorate of Residency and Foreigners Affairs, the Federal Tax Authority, and the Dubai Chamber of Commerce and Industry.
  • Cancel any visas associated with the business and facilitate the departure of employees, if required.
  • Dispose of any remaining company assets or transfer them to the appropriate parties.

Key Takeaway

Canceling your Dubai business license requires careful planning, adherence to procedures, and compliance with legal obligations. By following the step-by-step process outlined in this guide, you can ensure a smooth license cancellation, minimizing any potential complications.


Canceling a Dubai business license is a significant step that should be approached with proper understanding and preparation. By familiarizing yourself with the necessary requirements, collecting the required documentation, and following the correct procedures, you can successfully terminate your business license in Dubai. Seek professional advice when needed and ensure compliance with all legal obligations to avoid any potential issues in the future.


Q: What are the common reasons for canceling a Dubai business license?
A: Common reasons include business closure, change in ownership or partnership structure, relocation, dissolution, or change in business activity.

Q: Can I cancel my Dubai business license online?
A: No, you need to visit the Department of Economic Development (DED) or relevant authority in person to cancel your license.

Q: What documents do I need to cancel my Dubai business license?
A: You will typically need your original trade license, valid passport and Emirates ID copies of partners/shareholders, lease agreement copy (if applicable), and clearance letters from relevant government entities.

Q: How can I settle outstanding financial obligations before canceling my license?
A: Clear all outstanding debts, loans, employee salaries, utility bills, and lease agreements associated with your business.

Q: Can I cancel my license if I have pending legal disputes?
A: It is recommended to resolve any pending legal disputes before canceling your business license to avoid complications.