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LLC Registration in the UAE

It is necessary to register a local commercial company to operate in the UAE domestic market. The most popular company form in this country is Limited Liability Company (LLC).

LLC Registration in the UAE

The UAE as a beneficial place to open an LLC

Limited Liability Company is the most common form of company in the United Arab Emirates for several reasons. Foreign investors who have explored the benefits of registering UAE Limited Liability Companies and learned about the business-friendly environment are opening many new businesses in this country. This allows them to enter the local market and create a business presence in the region, gaining access to broader markets.

The process of LLC registration in the UAE is not as complex as it might seem at first glance. Our experts will help you open an LLC, interacting with local authorities to obtain the necessary documents and ensuring that the registration process is quick and efficient.

The UAE is a politically and economically stable country with a very low crime rate. The Emirate of Dubai, for example, has a modern road network, first-class airports, quality infrastructure, and government-supported services to make doing business in the region safe, easy, and profitable.

Favorable business environment in Dubai for UAE LLC formation

The European Economics & Financial Centre in London rated Dubai for having the most developed financial services in the region. The UAE banks have excellent capitalization and provide a wide range of financial and private business services.

The Emirates is a recognized regional leader in protecting intellectual property rights. So, trademark, copyright, and patent law rules constantly evolve to keep pace with technology development and resist high-tech criminal activity.

Dubai has a reputation as a wealth generator and investment stronghold. As a result, it became the most desirable location for the regional headquarters of multinational companies in the Middle East. Starting a business in Dubai has never been easier than now, using the services of our company.

The Department of Economic Development (DED) regulates the business registration and licensing process. It has three overarching goals:

  • Promotion of Dubai Government concept and the development of various economic sectors.
  • Preparation of a competitive investment climate to attract local and foreign investors and organization of business sectors following the best practices.
  • Providing the best human, financial, technical resources and environment for creativity and improvement.

Discuss the details with an expert

Check the list of required documents, and get the details of the process, terms, and costs.

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Benefits of LLC registration in UAE

The liability of UAE LLC founder is limited

An essential advantage of registering a company in the LLC form is that the partner is liable not for all the assets but only for the share in the company capital.

UAE LLC can operate outside the Emirates

UAE LLC may do business both within the country and abroad if its Memorandum of Association permits it.

The real benefit of UAE LLC formation far exceeds all tangible restrictions:

  •  Limited Liability Company does not involve the issuance of public shares. This guarantees complete control over the company’s business activities to investors and local partners.
  • LLC registration will provide unrivaled access to the UAE and regional markets.
  •  LLC form separates the personal assets of investors from the company’s liabilities.
  • Foreign investors and their families receive investor visas.
  • There are very few restrictions on the LLC operation. The law prohibits such companies from engaging in banking and insurance activities and investments in favor of a third party.
  • Easy access to local and international bank accounts.
  •  After LLC formation, the registration of branches also becomes available.

What are the restrictions for LLC registration in UAE?

Restriction on types of activities for UAE Limited Liability Companies

The only activities prohibited for LLCs are the banking and insurance sectors. For these directions, you will need Public Joint Stock Company registration. In addition, such companies in the UAE cannot make investments in favor of third parties.

UAE LLC rules of operation

Licenses and permits for UAE Limited Liability Companies

Before starting its business in the UAE, LLC must obtain all permits and licenses necessary for every particular type of activity.

UAE LLC must have an address

UAE LLC must have an address within the country for delivering correspondence and notifications.

United Arab Emirates LLC name

LLC must have a trade name. However, this name should not be already registered in the UAE, should not violate social norms, and should not be confusingly similar to other names, which could lead to mistakes. Also, it should relate to the company’s tasks or the name of one or more partners. In addition, the company’s name must contain “Limited Liability Company” or abbreviated “LLC”. If the company owner is an individual entrepreneur, then the name must include “sole proprietorship with limited liability”.

UAE registered LLC management

The company must have from one to five managers. They can be company’s shareholders or hired employees. The Memorandum of Association or the General Meeting of Shareholders appoints managers. They have full authority to manage the company.

Accounting in UAE LLC

Each Limited Liability Company must keep reports of its transactions. At any point in time, it should be possible to determine a company’s financial situation. The company must keep the reports at the head office for at least five years after the end of the financial year.

LLC can store the reports electronically, subject to the established rules. Also, it must have at least one auditor who will annually audit the reports.

The company must prepare annual financial reports – balance sheet, income report, etc.

All reports must be kept under the international accounting standards and international practices, giving a concrete idea of the company’s profits and losses.

Stages of registering LLC in Dubai

The step-by-step process of registering an LLC in Dubai looks quite simple:

  • Trade name registration. Our experts will help you choose a name and check if it is possible to use it.
  • Applying for a license to the Department of Economic Development. We will help you complete the application form and submit it to DED.
  • Obtaining preliminary approval for business registration.
  • The Memorandum of Association development for the new company.
  • The Memorandum of Association notary certification. Our experts will help at all stages of creating and certifying this document.
  • Lease of office space suitable for company registration and approval of the location with the authorities. Our specialists will help you select an approved office space and prepare the documents required for rent.
  • License fees payment to the Department of Economic Development and obtaining a license. Upon registration, we can pay the fees on your behalf and obtain your business license.

Required documents for registering LLC in Dubai

Step 1. Required documents to obtain pre-approval for setting up LLC in Dubai

  • Confirmation of trade name reservation. You have to apply for a trade name with at least three options. Once your name has been approved, you will receive confirmation of your registered trade name, which you will need to submit along with your pre-approval application. Our experts will help you to do it within a few hours.
  • Application for registration. You have to complete an application to register a company. We can help you complete the form.
  • Copy of the applicant’s passport.
  • Copy of manager or director’s passport.
  • If the applicant is a legal entity, then the Board of Directors of the existing company has to provide a resolution declaring the intention to open an LLC in Dubai. It must be certified by the UAE embassy in the country of residence. If a local agent facilitates the registration process, this agent must have power of attorney.

Step 2. Required documents after pre-approval for setting up LLC in Dubai

  • Confirmation of business registration pre-approval (from the first step).
  • Power of attorney for a local agent (from the first step).
  •  Confirmation of trade name reservation (from the first step).
  • LLC registration application (from the first step).
  • Copy of the applicant’s passport.
  • Copy of manager or director’s passport.
  • Documents for the office space lease. Minimum office space is necessary for registration. We can help you find the right place and get the rental documents. Having a minimum office space is mandatory for registration. We can help you find the right place and get the required rental documents.
  • The Memorandum of Association copy.
  •  If the applicant is a legal entity in the UAE or another country, then a notarized copy of the registration certificate is required.

Our experts will register an LLC in Dubai or any other emirate

Prices for the registration of UAE local company services

ServicePrice, AEDPrice, USD
LLC formationFrom 10000From 2740
Local sponsorFrom 150004110
Work card2000550
Visa (for an investor)40001100
Visa (for an employee)50001370
License renewal50001370

One of our main directions is assistance in registering a company in the UAE. We will offer qualified candidates for this role when you need a local sponsor. In addition, we will help you to establish communication with local authorities to obtain the necessary approvals.

Working with us, you will be sure that you have all the required documents for registration. Also, we are intimately familiar with the local culture and institutions. Thanks to this, we will make the company registration process as quick and hassle-free as possible.

After setting up and launching LLC, we will offer you additional support to make your business life easier. Our assistance includes:

  • opening a bank account,
  • providing accounting and financial services,
  • financial planning,
  •  internal audit,
  • external audits preparation, and
  • other useful services.

We will save your time for other businesses and personal life.

Local company registration in the UAE

In the UAE, a company established outside the free zones is called a local company. Foreign owners cannot fully own local commercial companies. UAE citizens or their companies must own at least 51% of new local company shares. Foreigners usually agree with the local shareholder that they will not gain a profit and will not participate in the company management. In addition, local companies take advantage of double taxation treaties.

Benefits of registering a local company in the UAE

A partner of a UAE local company is liable not with all the assets but only for a share in the company capital.

The local company may operate within the Emirates and abroad if the Memorandum of Association permits it.

The local company does not issue public shares, guaranteeing local partners and investors complete control over their business activities.

UAE LLC has easy access to international and local bank accounts.

The capital and assets of an LLC do not work on behalf of the founder but on behalf of the company itself.

How to create a company in the Emirates remotely?

In the DMCC free zone, it is possible to establish a company in the Emirates without visiting the country. The DMCC has a public park, hotels, medical centers, 68 towers that offer great views, educational facilities, and an embankment. More than 100 000 people work and live here.

There are no corporate and personal income taxes in the UAE. Therefore, in the DMCC, importing and exporting goods without paying duties is possible. However, when importing goods from DMCC into the territory of the Emirates, you will need to pay 5% of their value as a customs duty.

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