COUNTRY

Dubai

LLC COMPANY FORMATION IN DUBAI

Dubai is one of the best places in the world to conduct business.

LLC company formation in Dubai is a popular method of establishing a company in Dubai. It can be established by a minimum of 2 and a maximum of 50 shareholders, who are only liable for their ownership stakes in the company’s capital.

The UAE offers over 2,000 business activities that fall under the categories of industrial, commercial, professional, tourism, agricultural, and occupational; the LLC will specify the business activity that it has chosen. Subject to approvals, you can also establish an LLC company with several business ventures. Shareholders can trade in the United Arab Emirates, the Opec region, and the rest of the world’s civilized nations by using an LLC Corporation.

Additionally, LLC Company Formation in Dubai makes it simple for companies to expand their operations across the continent as needed. They can also make bids, invest in real estate in Dubai, and take on tasks and projects related to public works using the company’s name.

DOCUMENTS REQUIRED FOR LLC COMPANY FORMATION IN DUBAI

  • Properly filled out an application for registration
  • Copy of each shareholder’s and manager’s passport
  • A copy of the local sponsor’s passport
  • Sponsor’s NOC (if management or partner is in the UAE on a resident visa)
  • Memorandum of Association (from a public notary suitably certified)
  • Trade name registration and DED’s initial approval
  • Each shareholder’s bank reference letter
  • Location plan and tenancy contract attested by Dubai Municipality’s Planning Department and Civil Defence Department

PROCESS OF LLC COMPANY FORMATION IN DUBAI

Choosing a Trade Name

The applicant must select a name that fits their business and is both unique and appropriate.

Selecting a location

They must determine the best location for the firm based on its specific needs. Business activities must be conducted from a physical or virtual office or warehouse.

IFZA Free Zone is one of the most popular free zones in Dubai. Refer to the IFZA company setup for more information.

Choose a Local Partner

The applicant must make an agreement with a local sponsor to hold 51% of the shares in your LLC company. The applicant will own the remaining 49%.

Obtaining the necessary documents

The applicant must gather and submit all the documents listed above along with the filled-out application to the Department of Economic Development (DED).

Getting licenses and paying fees

The applicant must obtain trade licenses, labor cards, share certificates, tenancy agreements, incorporation certificates, and other legal papers from the appropriate authorities and pay the necessary fees.

Cost of forming an LLC in Dubai

In Dubai, the normal registration cost for a limited liability company is between AED 20,000 to AED 30,000. These expenses might change based on several factors, including the industry and the services the business needs. 


BENEFITS OF LLC COMPANY FORMATION IN DUBAI

Applying For Multiple Visas

After establishing an LLC in Dubai, the applicant can apply for an investment visa. They are granted investor status in the United Arab Emirates, which allows them to remain a resident for a period of three years. They can apply for several visas for their coworkers, relatives, etc. Every visa application is often required to have 100 square feet of company space.

Easy And Quick Incorporation

Forming an LLC is a simple and quick process. In about ninety minutes, the applicant may register the firm with the Department of Economic Development (DED). Setting up usually takes four or five days. However, several things, such as government certificates, might cause the process to take longer than expected.

Freedom To Select The Ideal Business Location

The applicant may choose any legal location suitable for their LLC company in Dubai. They may consider forming a mainland firm if their line of work requires access to Dubai’s local market. They can compare several office spaces and select the most suitable ones for their company.

Liability Protection

Debt from the company often affects the assets of business owners, but with an LLC, their assets are kept separate from the firm.

It Is Cost-effective

The business owner needs funding to launch the company and begin operations.

However, when forming an LLC in Dubai, there is no minimum capital requirement. As a result, the applicant may start the company with any available funds.

Relin Consultants has a team of experts who know the procedure and requirements of forming an LLC in Dubai. Our team will help you gather all the required documents and licenses. This will save you time and allow you to focus on other important business tasks.

Contact us at Relin Consultants for further assistance with your company formation in Dubai.

FAQs

How many people can be members of an LLC?

A single shareholder may incorporate an LLC under the new UAE Commercial Companies Law. However, to comply with UAE foreign ownership regulations, it is common for foreign investors to have a minimum of two shareholders.

Is having a Registered Agent necessary?

Having a Registered Agent is not necessary. However, a foreign investor must seek guidance and work with a company that has vast experience and skill in setting up UAE mainland LLCs due to restrictions on foreign ownership.

Are there any tax benefits to creating an LLC?

Yes. An LLC is allowed to trade anywhere in the GCC and the UAE. The UAE Ministry of Economy also grants an LLC a Tax Residence Certificate.

What kinds of licenses can an LLC hold?

An LLC can hold the following types of licenses:

  • Commercial: Covers all forms of trade
  • Professional: including services, crafts, and professions
  • Industrial: covering manufacturing or industrial operations

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