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Dubai has gained the reputation of a leading trading hub in UAE, owing to premier business
locations and an environment that is not unduly restrictive. It offers International businessmen
most liberal operating conditions, tax exemptions, asset protection, complete privacy, and limited
liability, in a business setup in Dubai. The tax haven also offers tremendous promise to overseas
companies, as it has:
Excellent growth trajectory (imports have doubled since 1990) and unique policies of
Prosperous market located in one of the world's richest regions that is diversified and
offers wide opportunities to traders
No trade barriers, quotas, exchange controls (open market)
High accessibility through air or water (around 90 airlines and 170 shipping lines)
Why Setup a Business in Dubai?
Setting up business in Dubai is beneficial, and the reasons mentioned above vouch for the fact.
But, those are not the only reasons why companies should have a presence in the Middle East.
Personal relationships play an important role in Arab, and people prefer doing business with
someone they know and can trust, unlike US or Western Europe where online companies equally
Thus, business setup in Dubai becomes extremely strategic to make contacts, secure orders and
liaise with customers in the long-term. Following are the types of companies that can be
registered in Dubai:
Get the License: You know the market, the target audience, the product, the service – but
do not start your business unless you get your license. Dubai as well as the other parts of
UAE is firm in regards to the business licensing procedures and company formation in
Dubai. While they categorically mark every company under industrial, commercial and
professional – there are also certain permission and certification you will have to comply
before getting into the business activity.
Get your office space: From flexi-desk, to small and executive offices, from warehouses,
lands, plots to premade industrial setups -Dubai offers it all, but make sure you have rented
the property you require fore handedly. There are mainly three important features of doing
this – 1) the availability of the property is a subject of matter if you are deemed to a
particular zone, 2) Another factor it that, for registering the company it is a prerequisite to
have the rented documents, 3) Having the office space beforehand also will make it clear
on the type of registration you would like to apply.
Get into Banking: To open and manage a current account is quite simple and most of the
banks in Dubai and wider UAE offer specialized services, nonetheless to avoid unnecessary
costs double-check the bank details, the bank charges and the minimum balance
requirement for your account, a business setup consultant in Dubai can advise you to
choose the right bank and give a go ahead.
Get the Information Firsthand: Do not rely everything you read on internet, even though
you are reading this article, it is extensively encouraged to get information first-handed. We
are in era on information technology that is readily available – even the Department of
Economic Development, various governmental organizations and other related judicial
institutes offer E-services which are undoubtedly beneficial, but getting into the market,
speaking to businessmen or even business setup consultants in Dubai is always better
before initiating your process.
Get the ‘Number’ of Employees: Before initiating company formation in Dubai, you
are likely to create this point under the budget of your company. But when in Dubai or any
other part of UAE, give a special consideration to the ‘number’ of employees your willing
to appoint in the preliminary stage itself. This is because; you will be only allowed to
appoint people depending on the kind of company you form as well as the proportion to
your office space.
Limited Liability Companies
Of all the forms of companies that can be established in the UAE, as provided for in the Federal
Law, Limited Liability Company is the most common and easy to establish form. Also known as
a company with limited liability, it is a flexible type of enterprise that amalgamates the features
of a partnership and corporate structure.
The rules defining LLC company formation UAE as well as the steps involved are comparatively
simple. According to the general rule for LLC company formation in Dubai and other six
Emirates, it can be formed by a minimum of two and a maximum of fifty people whose liability
shall be limited to their shares in the company’s capital. Furthermore, being a flexible form of
company, differential profit sharing arrangement is also possible in an LLC. The company must
have 51% participation from a UAE national while the rest 49% can remain with the investor.
Hence, the formal shareholding pattern for an LLC is as follows:
Local Partner (UAE sponsor) – 51%
Foreign Shareholder(s) – 49%
Moreover, either the UAE national or the foreign partner must be granted the authority of
managing the operations of the organization.
Offshore company formation in Dubai
As mentioned, there are a number of advantages involved when it comes to setting up an
offshore company formation in Dubai. In fact, UAE has always attracted entrepreneurs for its tax
free business territory status, confidentiality, operations, and the ease that comes into the running
of the business, hence making the offshore company setup in Dubai one of the most popular
ways of business. Whether your company is a multinational firm or a small business, the
excellent and efficient business environment along with the strategic location of the Dubai
offshore companies lets you enjoy the benefit of tax relaxations regardless of the size of your
company. The advantages of offshore company formation, Dubai are as follows:
Completely tax free and customs duty free
Full ownership, no local national involvement required
Complete repatriation of profits and investments
Ideal for any kind of international business
No office space requirements
Liberal bank account opening and maintaining
Bank accounts that support multiple currencies
Quick incorporation – 2-3 working days
Besides all the advantages that have already been mentioned, one of the most important benefits
of setting up Dubai offshore company is that the country offers businesses the freedom to run
their operations with its well- known jurisdictions system which is a relief in the process. This
helps you avoid the tedious process of documentation that one has to go through in Ministries of
Foreign Affairs and embassies.
RAK offshore company setup
RAK Offshore company formation is the quickest if your clients need the company for Middle
RAK offshore provides total banking privacy which is better than Switzerland, and a lifestyle
which is better than any other sought-after destination in the world. The RAK Investment
Authority is the governing authority and companies are regulated under the RAK Offshore
Ajman offshore Company
Offshore company formation in Ajman has been started as late as 2014. UAE Offshore Company
is under the regulations of Ajman Free Zone Authority and since then it converted a popular
choice for offshore company formation in Ajman. Just like any other offshore jurisdictions,
Ajman Offshore company formation offers a Zero Tax Structure and Ajman offshore Company
is providing confidentiality & privacy. The permitted address of the Ajman offshore company
The cost of set up an offshore company in Ajman is the inexpensive in UAE and is less time
taking process to setup Ajman offshore company. Ajman offshore companies are also non-
resident companies just like other offshore companies and are not allowed to operate in UAE.
Here, these companies will only get a company incorporation certificate. Ajman offshore
company cannot carry business within United Arab Emirates. These shareholders are, however,
permitted to invest in UAE companies. For Ajman offshore company registration, a director or
shareholder needs to be physically present in Ajman Free Zone office, along with a registered
agent, and personally sign the documents then and there.