Company Formation in Dubai

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Company Registration in Dubai, UAE

You can start a business in Dubai in two places: Dubai “mainland” or in any Dubai free zones . Both jurisdictions provide different privileges depending on the nature of the business and its related activities. If you choose Dubai mainland for company formation in Dubai, then you will need to register with Department of Economic Development, who will provide you with a Dubai business license. We are offering all kinds of assistance in the company registration field for long years.

Company Formation Procedure In Dubai

1. Select A Business Activity

Initially we have to select a relevant class of business activity. Approximately two thousand business activities are available, which comes under different classes.

2. Select A Legal Form For Your Business

There are various legal forms in Dubai and it’s based on the business activity under take in Dubai. When you choose a legal form for your business in UAE, you should consider the activity, type of business and ownership options.

3. Select A Company/Trade Name

While choosing a company name you must follow company name guidelines

  • Company Name Certificate is valid for 60 days
  • It can be renewed only once
  • Renewal should be within one week before it is due to expire
  • Company Name Certificate expired cannot be renewed

4. Initial Approval Certificate

An Initial Approval Certificate is a No Objection from Government to start your business in Dubai. Individual Establishment (Sole Proprietorship), Civil Company, Limited Liability Company and Partnership Company can file the application by online. This Certificate records legal type and activities of the license and the validity is six months and it is not renewable.

5. Draft MOA And Local Service Agent Agreement, If Required

Depending on the legal entity partners have to prepare a Memorandum of Association. In some cases Local Service Agent agreement has to be executed with UAE Local National.

Following Legal forms have to be drafted as Memorandum of Association (MOA)

  • Limited Liability Company
  • Private Shareholding Company
  • Public Shareholding Company
  • Simple Limited Partnership
  • Partnership Company
  • Civil Company

Branch of an existing company requires MOA. But it is not required for Sole Establishment. Branch of a Free zone Company, where UAE nationals own less than 51% of the company, or branch of a Foreign Company or a civil company that has no UAE national partners requires Local Service Agent Agreement.

6. Establish Your Business Location

All companies in Dubai must have an address. The location should be approved by Dubai Municipality considering public health and safety requirements. If the partner is a UAE National and have license for the location, then you can add new business in the same address.

7. Get License For Specific Business Activity

Some business activities require special approvals from different government departments. For example, Hospital requires special approval from the Dubai Health Authority.

8. Get Business License

Once all the above procedures have completed, you will get a business license within 1 – 7 days depending on the business activity.

Dubaifreezone is always there to help you in completing the business formation procedures and starting a business in the oil country within no time. Fix an appointment with us and ensure a prosperous future in the business arena.

Company Formation FAQs

With its geographical location between the Asian and the European markets, it is easy to do business with other countries. You can start a business in two places – Mainland Dubai or in any of the Dubai free zones.

If you choose Dubai mainland for business formation, then you have to register with the Department of Economic Development, who will provide you with a Dubai business license. Free zones are setup for attracting foreign investment. Here there are exclusive laws regarding the ownership, tax and labour. In a Free Zone you have 100% foreign ownership, while in Mainland Dubai it is mandatory to share 51% of ownership with a local sponsor.

Limited Liability Company

Private Shareholding Company

Public Shareholding Company

Simple Limited Partnership

Partnership Company

A trade license is required to start a business in Dubai. Knowing about different trade licenses and the permissions required from various ministries is essential to start a business in a specific location.

Trade licenses fall into three categories.

Industry license – This license allows a company to engage in industrial or manufacturing activities. Those companies that import raw materials from other places and manufacture products in their Dubai facility for export purpose should have an industrial license.

Commercial license – This license is needed for those who are engaged in various trading activities. Various documentation procedures are associated with the sanctioning of trade licenses.

Professional license – Service providers, IT professionals, artists, craftsmen etc should apply for a professional license in order to start their business in the country.

All the above discussed licenses are issued by the Economic Department of Dubai. You can consult with us to get more information on this regard.

  • Passport copy of shareholder(s)
  • Application form
  • Memorandum of Association
  • Article of Association
  • Chamber of Commerce Extract
  • Board Resolution (if required)