Dubai is one of the Middle East's most affluent and cosmopolitan cities, mixing the characteristics of both the East and the West. It is one of the most attractive business destinations in the world.
One way of setting up a business in Dubai is through a Limited Liability Company or LLC. An LLC is the most prevalent company type in UAE. It can be created by a minimum of 2 shareholders and a maximum of 50 shareholders, whose liability is limited to their business capital shares.
Many companies opt for an LLC with foreign partners, because this is the only choice that gives maximum legal ownership to an expatriate for a local business, i.e. 49 percent. Since it is compulsory to have a UAE national as a partner in the LLC (51 percent shareholding), the prospective investor has the option of choosing the one UAE national (sponsor) as a partner in the company.
LLC is versatile and provisions for mutual profit sharing are feasible, too. It gives the international investor a huge edge as a local partner has 51 per cent legal equity.
In case one in interested in LLC setup in Dubai, Shaura business set up Delhi Branch provides all the necessary assistance from document registration to finding investor friendly zone.
The following steps mentioned below are required to set up LLC in Dubai.:-
- Registering the company with the Department of Economic Development.
- Drafting and notarizing the company’s Memorandum and Articles of Association.
- Submitting all the required documents and business license application form with the Department of Economic Development.
- Registering with the Dubai Commercial Register.
- Upon incorporation, registering one’s employees with the Ministry of Labour and General Authority for Pension and Social Security.
- Commercial license fees -> AED700
- General trading activity Fees ->AED15000
- Non-Arabic trade name fess ->AED3000
- Market Fees ->AED2500
- Name board fees ->AED350
- Service fees ->AED400
- Partner accommodation fess ->AED1000
- Chamber of commerce fees ->AED1200
- Economy ministry fees ->AED3000
- Local fees->AED200
- Commercial license fees ->AED150
Above are some the most commonly fees to be paid, if anyone wishes to set up a LLC in Dubai. The total approx cost for LLC Company set up in Dubai would come around to be AED 28000.
Compliance is made with the DED by filing the application form for the trade name and the application form for the warrant. If one or both members are corporations, then the LLC Subscription is approved by a copy of the Certificate of Incorporation along with an Association Memorandum and a Board of Directors resolution. It will also be appropriate to have a Power of Attorney authorizing a person to act on behalf of the shareholders having formed the LLC.
Furthermore, copies of shareholders ' passports and suggested general manager and directors. The DED will then issue an initial approval to this effect. Supplementary approvals may be required depending on the activities proposed by the LLC. The 2011 Licensing Law officially referred to as the "Law of the Organization of Economic Activities Practice in the Dubai Emirate" simplified the licensing process where the DED obtains approvals from the ministries and/or departments needed.
Once the initial approval and approvals are received from the appropriate ministries and/or agencies, the Power of Attorney holder must sign a LLC formation contract before a notary. Once the contract is fully completed the above mentioned documents need to be obtained for LLC registration in Dubai.
A Dubai offshore company is one of the popular company types in UAE as well as internationally. It enjoys a white list status, which means that it does not fall under any official FAFT ‘tax haven black lists’. As such an off shore company in Dubai will enjoy an recognized and accepted status at the international level.
Dubai offshore company is a tax free UAE registered company although a non UAE resident company which is set in UAE economic zone. Dubai offshore company can be beneficial to an investor, as it has many advantages like tax free status, security, confidentiality and unique life style advantages.
Sharjah allows seven types of company formation one of them being LLC. Setting up LLC in sharjah is a wise decision as it comes with a number of advantages. Being a transportation hub due to its geographical location, it a cargo hub both for the middle east and north Africa. As such it holds a strategic trading location in gulf. LLC company in sharjah is the most common company formation. The rules for registration follow the same process to that of Dubai. Likewise LLC in sharjah must have at least two partners but no more than fifty.
Based on its area Ajman is the smallest Emirate. In addition to the oil reserves, economy of the city thrives on its fishing, agriculture, and trade. Ajman provides an environment that is investor friendly. LLC company formation in Ajman is the preferred by investors compared to other business setups. The process for the set up is same requiring 2 partners with local partner who will have 51% share. Ajman also provides investor friendly laws.
LLC Company Formation Abu Dhabi is the most widely adopted company for businesses seeking to enter into business outside the UAE Free Zone. A minimum of 51 percent of a limited liability company's total shareholding must be purchased by a UAE national or a company wholly owned by UAE nationals. Some other exceptions and rules apply to some industries which differ from Emirates to Emirates. LLC Company establishment in Abu Dhabi has numerous advantages, Investor is shareholder in the company 100% tax-free, No definite minimum capital requirements, and many other benefits.
In order to complete all these steps and processes if one needs a helping hand from an expert in LLC company formation, Shuraa business setup Delhi branch will provide you all the assistance from their Delhi office. Shuraa business setup will provide you step by step guide to make important business related decisions and also make you aware of complete procedure for setting up the company.