One of the most prosperous and cosmopolitan cities in the Middle East, Dubai combines elements of East and West. It represents one of the most affordable business destinations in the world.
One of the ways to LLC company formation in Dubai through a Limited Liability Company or LLC for short. A limited liability company in Dubai is the most common form of company. It can consist of at least 2 and a maximum of 50 partners, whose liability is limited to their shares in the share capital. Most companies with foreign partners opt for an LLC as it is the only option that gives an expatriate maximum legal ownership of a local company, i.e. H. 49%, confers. Since it is mandatory to have a UAE national as a partner in the LLC (51% stake), the prospective investor has an opportunity to choose the UAE national (sponsor) as a partner in the company.
LLC is a share of flexible and differential payments fixes are also possible. This offers a great advantage to the foreign investor as 51% of the legal capital is in the hands of a local partner.
The Department of Economic Development is the regulator for the formation of limited liability companies in Dubai. The steps are as follows:
- Decide on a company name
Choose an appropriate name that is unique and related to your company.
- Choose a location
Choose a location that suits you based on the nature of your business. Business operations must be conducted through a physical/virtual office or warehouse.
- Find a local sponsor
Make an agreement with a local sponsor who will own 51% interest in your LLC business and the remaining 45% will be owned by you .
- Obtain the required documents
Gather all the required documents and submit them along with the completed application to the Department for Economic Development (DED).
- Obtain the license and pay the fees
Obtain it Business License, Memorandum of Association (MoA), Share Certificates, Lease Agreement, Certificate of Incorporation, Visas, Employment Cards and other legal documents from relevant authorities.
Documents to be submitted to DED and other authorities depending on the type of LLC to be incorporated in Dubai:
- Duly completed Registration Application Form
- Passport copy of sponsorship location and all shareholders and managers
- NOC from the sponsor (if the manager or partner has a residency visa in the UAE)
- Articles of Association (duly notarized by a Notary Public)
- Company Name Registration and initial DED approval
- Bank Reference Letters from each Shareholder
Site Plan and Deed of Ownership notarized by the Department of Planning and the Department of Civil Defense of Dubai Municipality
All documents must be from the applicant’s country of origin and the United Arab Emirates Consulate and notarized. The notarization process is time consuming and should be done shortly after deciding to incorporate a business in Dubai.
- Dubai LLC offers unrivaled access to the UAE economy at large.
- No specific minimum capital is required
- Investors can run the business without daily interventions from the local partner
- Convenience in opening corporate bank accounts along with easy availability of credit facilities
This company is ideal for a company looking to provide consulting services with an Emirati national as a trustworthy joint venture partner. Dubai LLC formation costs depend on the type of activity you choose for your company.
Creative zone is a business incorporation advisory organization with qualified consultants with over a decade of experience in incorporation in the United Arab Emirates. Our team has proven its credibility in serving small, large and medium-sized businesses. Creative zone have set up companies for international organizations and business owners in Dubai and we understand the fundamentals of this field. We are registered agents and provide total solutions for incorporation, registration, company incorporation etc. For more information about our services or to incorporate your company in Dubai.