Close this search box.

Navigating UAE Business: Establishing an LLC Company in Dubai with Al Kabban & Associates

Home / Corporate Law / Navigating UAE Business: Establishing an LLC Company in Dubai with Al Kabban & Associates
Dubai skyline

Unlocking Business Potential: A Guide to Establishing a Limited Liability Company (LLC) in Dubai with Al Kabban & Associates

Dubai, UAE – In recent years, the UAE has cemented its position as a global hub for business establishment, offering investors unparalleled flexibility to set up companies in the mainland, free zones, or offshore regions, depending on their specific business activities. Dubai, in particular, boasts a robust infrastructure with easy access to key transportation hubs, harbors, and airports. These factors combine to make LLC company formation in Dubai an attractive choice for entrepreneurs and investors alike.

The surge in popularity of the LLC company structure in Dubai is attributed to the favorable regulations put in place by the UAE government. This structure allows investors and business partners to enjoy the advantages of a corporate framework while benefiting from a hassle-free business partnership model.

Understanding the Limited Liability Company (LLC) Structure

A Limited Liability Company (LLC) is the most prevalent form of business in the UAE. An LLC can be established with a minimum of 2 and a maximum of 50 shareholders, and their liability is restricted to the extent of their shares in the business capital. This framework offers full personal protection from liabilities to shareholders, a key advantage provided by Dubai’s business laws.

Under an LLC setup, businesses can operate across a broad spectrum of activities, offering a diverse range of business opportunities. When forming an LLC in Dubai, it is no longer essential to partner with a local sponsor (UAE national) as per the new company law, Federal Decree Law no. 32 of 2021. Under these changes expatriate investors can now own 100% of their companies bar a few exceptions.

Steps to Open an LLC Company in Dubai, UAE

Establishing an LLC in Dubai requires strict adherence to legal frameworks and adherence to government business guidelines. Here are the key steps to follow:

Step 1: Choose Your Business Activities

Thoroughly understand your business activities and select them from the list maintained by the Department of Economic Development (DED) and other relevant authorities.

Step 2: Reserve a Trade Name

Reserve a trade name for your business that complies with government naming conventions.

Step 3: Select Your Business Location

Finalize your business location and obtain the initial approval certificate from DED, which is contingent upon the acceptance of your trade name.

Step 4: Secure Pre-approvals

Complete all necessary documentation, including Memorandum of Association (MoA) and Local Service Agent (LSA) agreements. Collaborate with a reliable local sponsor to ensure legal compliance.

Step 5: Obtain a Trade License

Secure the trading license for your business upon successful verification of all submitted documents.

Step 6: Additional Documentation

Apply to the labor registry for labor cards and manage visas for you and your partners. With these steps completed, your LLC company in Dubai is legally operational.

Cost of LLC Company Formation in Dubai

The cost of obtaining an LLC license in Dubai starts at approximately AED 18,500. Additional charges may apply for foreign trade names/non-Arabic names, with an extra fee of AED 2,000. Renewing an LLC license in Dubai ranges from AED 8,000 to AED 15,000.

Why Invest in an LLC Company Setup in Dubai?

Affordable Company Formation: Contrary to the perception of Dubai being an expensive business destination, LLC formation offers a cost-effective establishment model. There are no hidden overhead costs, and double taxation can be avoided.

Limited Liability Protection: LLCs are recognized as separate legal entities, safeguarding the personal assets of shareholders. Each shareholder’s liability is limited to their invested capital.

Wide Range of Business Activities: Dubai’s DED maintains a list of over 2,000 legal business activities suitable for LLC formation, providing extensive opportunities.

Freedom to Choose Business Location: LLC formation grants the freedom to select any legal business location, allowing for optimal business decisions.

Multiple Visa Opportunities: LLC formation makes you eligible for an investor visa, with the potential to secure visas for family members and employees.

The Process Simplified: Al Kabban & Associates Assisting Your LLC Formation

Establishing an LLC company demands a comprehensive understanding of UAE’s business dynamics. Al Kabban & Associates can provide valuable insights and assist you throughout the process. As your silent local partners at the Best Law Firm in Dubai, we ensure your ownership remains 100% operational.

Our track record includes assisting over 5,000 companies in the Dubai marketplace. Are you ready to embark on your journey towards forming a limited liability company in the UAE? Connect with Al Kabban & Associates for a free consultation.

Contact Information:

Phone: +971 4 4539090

Whatsapp: +971 50 5385138



Tags: Dubai LLC company formation, LLC company formation in Dubai, LLC company in Dubai


News & Articles

Scroll to Top