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Setting Up a Limited Liability Company in Dubai


Dubai is one of the most vibrant cities in the Middle East. It is a melting pot of both the Eastern and Western parts of the world. The most prosperous city of the United Arab Emirates, Dubai has come a long way in the last two decades and today is recognised, as the top few business hubs in the world. 

Limited Liability Company or LLC is the most popular form of business in the UAE. One can form an LLC with a minimum of 2 and maximum of 50 shareholders. Their liability is limited to their shares that they contribute to the business capital. LLC company’s main requirement is to have one local service agent who is UAE national with 51% shareholding. Companies with foreign partners choose LLC business structure because this is the only structure that allows them maximum legal ownership. The expatriates get 49% shareholding for a local business. Many ex-pats also opt for this form because it becomes easier for them to start a business in Dubai with free trading opportunities, which is not possible in free trading zones.

The investors have the option to choose a UAE national as their local sponsor/partners in the company, as it is compulsory to have a local as a partner in an LLC with 51% shareholding. Limited liability companies have a flexible structure, and it also allows differential profit-sharing provisions. For foreign investors, it is beneficial as 51% legal equity is with a local partner.


Procedure to LLC Company Formation in Dubai

Steps to follow to register an LLC in Dubai:

  1. Register the company with the Department of Economic Development (DED)
  2. Making and legalising the company’s Memorandum and Articles of Association
  3. All the necessary documents and business license application form to be submitted with the Department of Economic Development
  4. Register with the Dubai Commercial Register
  5. After company formation process is complete, register employees with the Ministry of Labour and General Authority for Pension and Social Security


Benefits of a Limited Liability Company (LLC) in Dubai

  1. Dubai LLC offers unparalleled reach across the UAE economy
  2. Can set up branch offices anywhere in the country
  3. There is no need for specific minimum capital.
  4. Local partners are helpful in contacting the local authorities
  5. Investors can manage the business without the involvement of the local partners.
  6. It is simpler and easier to open corporate bank accounts
  7. Credit facilities easily available


An LLC in Dubai is the most convenient business structure for investors, whether local or expatriates.

 If you find the above processes complicated, you can hire a business setup consultant to assist you in the entire process. They are qualified and trained with years of experience in establishing the businesses in UAE. They also understand the fundamentals of this area and are experts in company formation, registration, setup, etc.




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