When liabilities exceed AED 250,000 and repayment under current terms becomes unrealistic, insolvency proceedings offer a structured, legally protected path forward — for the business and for the individuals behind it.
Insolvency in the UAE is not simply a description of financial hardship — it is a regulated legal status under Federal Decree-Law that offers protection from total financial collapse while safeguarding the legitimate rights of creditors. Filing for insolvency triggers a formal court process, not an admission of failure.
Once accepted, the court can grant a protection period during which enforcement actions, asset seizures, and travel bans are suspended, giving the debtor room to negotiate a structured repayment plan or, in appropriate cases, a formal discharge of remaining debt.
We handle every stage of this process — from the initial eligibility assessment through to filing, creditor negotiation, and final resolution — with the discretion the situation demands.
Company liabilities have outgrown cash flow, and creditors are pressing for immediate repayment.
Personal loans, credit facilities, or guarantees have accumulated beyond a manageable repayment capacity.
A personal guarantee on a company debt has created exposure the guarantor did not anticipate.
A confidential review of your liabilities against UAE insolvency thresholds.
Preparation and submission of the insolvency application to the competent court.
Securing the protection period and negotiating terms directly with creditors.
Formal repayment plan or discharge, closing the matter with court approval.
Once the court accepts the case, a protection period is typically granted during which enforcement actions and asset seizures are suspended, giving room to negotiate a structured resolution.
No. Insolvency proceedings are designed to restructure and resolve debt under court protection; bankruptcy is a distinct, more severe legal status. Most cases we handle resolve without reaching that point.
Most cases resolve within 3 to 9 months, depending on the complexity of the debt structure and the number of creditors involved.
Travel bans are one of the protections the process can address — this is discussed in detail during your initial confidential consultation, based on your specific situation.
