DUBAI NEW COMPANY REGISTRATION
B C Shetty & Co., Chartered Accountants
COMPANY FORMATION PROCEDURE
•All the documents needs
to be signed in front of
Certified Public Accountant
or a solicitor in
•Look for location
•Submission of MOA
and AOA along with
other documents * to
• Directors details
along with ID proof
and residential proof.
One of the Directors
should be resident of
• Shareholders details
along with ID proof
and residential proof
COMPANY FORMATION PROCEDURE (CONTD.)
•Certificate of Incorporation will be obtained after a week
•Commencement of Business
•Appointment of Secretary
within Six months of
*Company Secretary shall be a locally resident individual
A Limited Liability Company can be formed by a minimum of two
and a maximum of 50 persons whose liability is limited to their
shares in the Company's capital. The time required to form a
company will be approximately 1-2 weeks from the date of receipt
of all the documents. and procedures and the breakdown of the
cost can be given upon request.
The Majority of Companies with expatriate partners have opted for
this Limited Liability Company, due to the fact that this is the only
option which will give maximum legal ownership i.e. 49% to the
expatriates for a trading license.
Fifty-one per cent participation by UAE nationals is the general
requirement for the Limited Liability Companies. Therefore the
normal shareholding pattern for an LLC will be:
Foreign Shareholder (s)
STEPS TO ESTABLISH LLP.
Selecting a commercial name for the company and having it
approved by the licensing department of the economic
Drawing up the company’s memorandum of association and having
it notarized by a notary public in the Dubai courts.
Seeking approval from the economic department and applying for
entry in the commercial register.
Once the approval is granted, the company will then be entered
into the commercial register and have its memorandum of
association published in the ministry of economy and commerce’s
bulletin. The license will then follow, which will be issued by the
The company should then be registered with the Dubai chamber of
commerce and industry.
Minimum capital required is AED 300,000 (US$ 82,000), and should
be contributed in cash. Whilst foreign equity in the Company is not
permitted to exceed 49%, profit and loss distribution can be agreed
The various fees and charges paid at different levels vary depending
on activity, premises rent etc. Estimated at AED 30,000
SCOPE OF WORK
Obtain Approval for Trade Name from Department of Economic
Obtain approval from the Immigration Department for Expatriate
Owner (if the 49% shareholder is an individual/individuals).
Obtain Initial Approval for the Activity from Department of
Obtain Approval/no objection from concerned Ministry/Authority.
Registration in Ministry of Economy.
Prepare and Review the Memorandum of Association.
Notarize the Memorandum of Association from the Court.
Prepare the side agreement.(by the local partner stating that the
51% he is holding is for the expatriate partner)
Obtain Approval for the Office Premises.
SCOPE OF WORK (CONTD.)
Assistance in opening a bank account.
Follow up with Department of Economic Development until
issuance of license.
Complete the formalities with Chamber of Commerce to obtain the
Membership Registration Certificate.
Obtaining approvals from other Departments, if necessary.
Immigration and Labor File Opening.
Work Permit for the Partner and Manager
- Lower Corporate tax
- Rebate for first 10,000
75% exempt, next
290,000 50% exempt.
- For start up companies
shareholding of at least
10%, there is a tax
concession for the first
three assessment years,
whereby there will no tax
on income up to
- Capital Gain is exempt
If the local turnover of
the Company exceeds
S$ 1M, company has to
register with GST
authorities and collect
7% and remit to the
Govt. They can offset all
input taxes. On exports,
there is no GST and
Govt would refund input
tax suffered where
Trade name approval
Initial Approval from Department of Economic Development
Trade license Fee (Department of Economic Development
Abu Dhabi Chamber of Commerce & Industry
Ministry of Economy
Legalization of LLC Agreement & Side Agreement
Sign board sketch
Department of IT - say
Bank letter – for Capital remittance - Refundable upon issuance of 300000
Immigration and Labor File Opening
Sponsor ship fee. – say 20,000. – ( 50% of it initially to be paid.)
Please feel free to Contact
Mr. Sathya Hegde
B C Shetty & Co.,
Mobile :+91 9945179868
Mail Id: email@example.com