Liquidation is a regular legal procedure whereby a company winds up all operations, settles all liabilities, and distributes the rest of its assets before finally being deregistered. It is during the liquidation process itself that a liquidation audit is required to ensure the activity is transparent, compliant, and properly documented.
At Risians Accounting & Tax Consultancy, we provide quality liquidation audit services in Dubai, UAE, which enables businesses, shareholders, and liquidators to finalize the closure of a company in the most convenient way while satisfying the authorities’ requirements in Dubai and all free zones in the United Arab Emirates.
A liquidation audit involves a comprehensive review of the financial records of a company from the time of its liquidation. It includes:
The audit ensures that the liquidation process is conducted lawfully and ethically in compliance with the UAE Commercial Companies Law and relevant free zone regulations.
Main objectives of the audit include the following:
A liquidation audit would also shield directors and shareholders from future claims of either a legal or financial nature that arise from events after the dissolution of the company.
Auditors will play a pivotal role during liquidation, as they provide an independent assurance opinion on the financial statements and are charged with the exercise of their professional judgment. At Risians, our auditors:
Shareholders, being the last in the hierarchy of any distribution, need auditors to ensure that an equitable and lawful asset distribution is done so as to protect the interests of the stakeholders.
Risians Accounting & Tax Consultancy is a reputable audit firm in Dubai known to offer reliable liquidation audit services to businesses of all sizes in Dubai. While a company may be closing voluntarily due to restructuring or deteriorating financial conditions, the experienced auditors in the firm ensure that the entire liquidation process is conducted professionally and efficiently in accordance with the law.
These are the audit services that provide businesses with transparency, regulations, and accuracy on their own, making them confident in being able to reach an agreement with their stakeholders, creditors, and regulatory authorities. These services are everything, starting from auditing the financial records up to fair asset distribution after proper compliance with legal and financial obligations.
With Risians, companies benefit from:
Trust Risians Accounting & Tax Consultancy to make your liquidation process smooth, compliant, and transparent, ensuring peace of mind during a critical phase of your business lifecycle.
A liquidation audit is a proper and full investigation of the financial records of a company that is in a process of closure. It guarantees transparency, compliance, and fair distribution of assets to creditors and stakeholders.
It serves to protect the interests of creditors and shareholders by confirming that obligations have been met, granting a formal legal audit trail of asset distribution.
Any company in voluntary or obligatory liquidation, including free zone companies and mainland businesses, is required to be in a liquidation audit for compliance with UAE regulations.
Significant documents to provide during a liquidation audit include financial statements, bank statements, accounts receivable and accounts payable documents, tax documentation, fixed asset registers, and contracts related to company assets.
Based on the size and complexity of the company, the completeness of records to be used and assessed, and the number of assets and liabilities to be checked, it will typically take a period ranging from a few weeks to a couple of months.
Yes, while auditing the financial transactions and internal controls, the auditors will look for any possible irregularities, thus safeguarding the company assets.
Yes, a liquidation audit is required for most companies, including Free Zone entities, under the UAE Commercial Companies Law or the applicable Free Zone Authority before it may legally dissolve.
Certainly, Risians Accountancy & Tax Consultancy provides an all-inclusive service—from preparing financial records and issuing liquidation audit reports to guiding compliance with regulating authorities.
You can directly approach Risians Accounting & Tax Consultancy. Our auditors will assist you in traversing the necessary documents, timetable, and procedure for a seamless, legally compliant liquidation process.
