- August 11, 2020
- Posted by: DBS Editorial Team
- Category: Company Formation in Dubai
Company formation in Dubai offers several perks, as the economic environment continues to lure heavy foreign investment. The Dubai government along with the Department of Economic Development has made the process easy. However, being a foreign national entering the international markets can be quite complicated.
Thus, we at DBS Business Setup present to you a quick guide on company formation in Dubai. This guide will not only help you form a company in Dubai, but also help you understand the various steps involved in the entire process.
Here is a quick guide that can help you with company formation in Dubai:
To get started you must have your business plan in order! Once you have acquired the approvals and permissions from the government bodies, you will have to put your business plan in to action. A business plan must distinguish your objective and have a time frame to establish it. Having a business plan will help you trace accountability, control finance, set goals and limit waste of time.
Company formation in Dubai require you to make crucial decisions. Make your decisions with regards to your business plan, monetary investments, the business activity or type, business jurisdiction, financial policies, business licensing, etc. It is also advisable to get guidance from a business setup consultant before you make these decisions on company formation in Dubai.
Business licensing is a significant step is the process of company formation in Dubai. The city has three categories of licenses – those are commercial licenses – cover all types of trading activity, professional licenses – ideal for professionals, services, craftsmen, artisans, etc, and the industrial licenses – to start an industry or manufacturing units. Once you get a license, you can add up to 10 additional similar business activities to the same business license. Hence, pick your business license correctly, so that it does not restrict the future of the company.
For company formation in Dubai, you as an entrepreneur can opt for seven types company structures. Those are general partnership company, share partnership company, joint venture company, public shareholding company, partnership-en-commendam, private shareholding company and limited liability company (which is most commonly preferred). The company structure mainly decides where and what type of business can be conducted. It also defines the shareholding of partners within the company.
Businessmen are usually given an investors visa. However, the business activity, the company structure as well as the jurisdiction are the basic determining factor. The determining factors eventually state the number of visas that can be issued under a company. It also states if the company owner is eligible to get a residential visa and an Emirates ID. For example – setting up a company in offshore regions of Dubai do not offer the company owner a residential status.
The UAE Commercial Companies Law
The Commercial Companies Law governs the operations of a foreign business in Dubai or anywhere across the UAE. The law provisions specific legal structure for every type of business. The commercial law also allows to determine the category of business organization. As per the law, a company setup in Dubai mainland offer 100% ownership to professional license, but mandates 51% partnership with a UAE national for general trading licenses. Besides this, it also states requirements such as – number of shareholders or directors, minimum capital levels, incorporation procedures, etc.
Get Professional Help
Several entrepreneurs have an amazing business idea but do not know how to execute it. If you are one among them, consider getting professional help to setup your company. Business setup services providers help you with all the formalities of company formation in Dubai. You can concentrate on your business alone! The professional business setup service providers focus on legislative processes of your company setup, acquire all the required documents and fulfil the obligations to form your company in no time!
Book a free consultation and get personal guidance on company formation in Dubai:
We at DBS Business Setup help you with the various aspects of company formation in Dubai and all across the UAE. Speak to an expert from DBS Business Setup, click here https://www.dubaibusinessservices.com/ to chat with our live associates and book your free consultation today!
For more details call us on +97145667485 or WhatsApp +971555813673 to request a call back.