How to Open LLC Company in Dubai UAE

The UAE has emerged as one of the world’s finest destinations for business set up. The region gives investors the flexibility to open their company in the mainland, free zone, or offshore depending on their business activities. Moreover, Dubai has robust transportation services, and companies get easy access to harbors, airports, etc. All these reasons make LLC company formation in Dubai ideal.

The LLC company structure has picked up pace in the past few years because of favorable laws established by the UAE’s government. The investors and business partners can enjoy the benefits of a corporate structure combined with a hassle-free business partnership model.

What is LLC Company in Dubai?

Limited Liability Company (LLC) is the most common form of business in UAE. A Limited Liability Company can be formed by a minimum of 2 and a maximum of 50 shareholders whose liability is limited to their shares in the business capital. Therefore, the business laws in Dubai offer shareholders full personal protection from liabilities.

You have an increased business domain under an LLC set up, i.e., a larger pool of business activities for company establishment. Whenever you form a limited liability company in Dubai, it’s mandatory to partner with a local sponsor (UAE national) who’ll have 51% company ownership. The expatriate, in this case, would have control over the remaining 49%. Reliable local sponsors act as silent partners for your business and allow you to have 100% operational ownership.

Great things in business are never done by one person. They’re done by a team of people. Steve Jobs

 Benefits of starting an LLC LLC Company in Dubai, UAE

1. Affordable company formation
2. Limited liability protection
3. Broad range of permissible business activities
4. Freedom to choose the preferred business location
5. Opportunity to apply for multiple visas

How to Open LLC Company in Dubai, UAE

You need to ensure that you adhere to all legal frameworks and follow the business guidelines established by UAE’s government before, during, and after your company’s formation. Here are the key steps to follow to open a Limited Liability Company in the UAE.

Step 1: Choose your Business Activity

Understand all business activities involved in your venture to the core and select them carefully from the list maintained by DED and other authorities.

Step 2: Register the trade name

Reserve a trading name for your business. Ensure that it doesn’t breach any naming convention law maintained by the government.

Step 3: Select your Business Location

Finalize the business location and obtain the initial approval certificate from DED. You won’t get this certificate if your trade name is rejected.

Step 4: Get Pre-approvals

Complete all the required documentation, including MoA and LSA agreements. Partner with a reliable local sponsor who’ll help you with legal compliance.

Step 5: Acquire a Trade License

Obtain the trading license for your business. You’ll receive the same for successful verification of all the documents you submitted to the authority.

Step 6: Other Documentaions

Apply to the labor registry to obtain the labor cards and manage your visa alongside the visas of your partners. Once done, you’re ready to run a legal LLC company in Dubai.

How much does it cost to set up an LLC in Dubai?

The LLC license cost in Dubai approximately starts from AED 18,500. While among the additional charges, foreign trade name / non-Arabic name will be an extra AED 2,000. The LLC license renewal cost in Dubai is around AED 8,000 to AED 15,000.

The cost of setting up a limited liability company in Dubai for most economic activities is almost the same. The only factors that may change the costing is the number of visas applied for, the chosen medical insurance, additional approvals from relevant governmental authorities, and foreign trade name.