Set up business in Dubai is now easier than ever, notably if you want to establish a Limited Liability Company (LLC). Department of Economic Development (DED) of Dubai helps company owners to set up and expand business without complicated regulations and complicated procedures. In this way, opening an LLC company in Dubai can turn out to be a viable proposition.
If you want to open a Limited Liability Company, there are two jurisdictions in Dubai: Dubai “mainland” on one hand and economic free zones in Dubai on the other. The mainland and free zones suggest various advantages to business of all kinds, and if you have a Limited Liability Company you get the best of different benefits.
If you want to register Limited Liability partnership in Dubai or any other Emirate, BARAKAT Business Consulting will help you to choose the most effective corporate structure for your Limited Liability Company. We can assist your LLC Company in getting started, doing business in the UAE and providing support for visa applications and tax certification.
If you decide to do business in Dubai mainland, you will need to register your company with the DED, that will then provide you a Dubai business license to start doing business as a Limited Liability Company.
Limited Liability Company Formation is pretty common in the UAE, especially amongst foreign investors. Foreign investors can set up Limited Liability Company in partnership where ownership of the company belongs to United Arab Emirates (UAE) nationals. This means a local sponsor (a citizen of the UAE) has 51% of a company. But a local sponsor can sign a contract to refuse managing of the company and in return he will receive an annual payment. In such a way, you get to avail limitless business opportunities in Dubai. But it should be noted, that some business activities are reserved for UAE nationals only.
While some business activities are reserved for UAE nationals only, in professional activities 100% foreign ownership is permitted.
A limited liability partnership can be formed by minimum of 2 and maximum of 50 shareholders whose liability is limited to their shares in the capital. The minimum requirement for share capital is AED 300,000 in Dubai and AED 150,000 in other Emirates.
Shareholders must fulfill the Limited Liability Company formation documents and processes, that is included the appointment of a manager by the Memorandum of Association (MOA), for a limited or an unlimited period of time. A LLC must appoint minimum one manager and up to five managers for the business. Unless the MOA states otherwise, the manager has complete authority over the administration and management of the LLC. A LLC is allowed to practice its activities in the UAE based on Trade License and Commercial Registration Certificate.