Starting a Limited Liability Company (LLC) in Dubai has never been easier. With its strategic location, robust infrastructure, and business-friendly environment, Dubai is a prime destination for entrepreneurs looking to establish their presence in the Middle East.
Why Choose an LLC in Dubai?
An LLC is one of the most popular business structures in Dubai due to its flexibility and the various advantages it offers:
- Limited Liability: Shareholders’ liability is limited to their share in the company, protecting personal assets.
- Local Market Access: An LLC allows you to trade directly within the UAE market.
- Ownership Flexibility: While having a local sponsor is required, profit-sharing and management control can be fully agreed upon by the partners.
Steps to Form an LLC in Dubai
- Choose a Business Activity: Determine the type of business activity you want to engage in, as this will influence the type of license you need.
- Select a Trade Name: Choose a unique and appropriate trade name for your company. Ensure it complies with the naming regulations set by the Department of Economic Development (DED).
- Find a Local Sponsor: An LLC in Dubai requires a local sponsor (UAE national) who will hold 51% of the shares. However, profit distribution and management control can be customized in the Memorandum of Association (MOA).
- Prepare the MOA: Draft the Memorandum of Association, outlining the share distribution, capital investment, and management responsibilities. This document must be notarized.
- Submit Initial Approval: Apply for initial approval from the DED. This step involves submitting your business plan, MOA, and other required documents.
- Lease an Office Space: Secure a physical office location as per DED requirements. The office must meet the minimum size requirements set by the authorities.
- Obtain a License: After receiving initial approval and securing an office space, apply for the final
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