Dubai Company Formation

There are a number of different ways of creating an establishment in Dubai.

Branch or Rep Office

Foreign companies may establish a branch or representative office in the UAE. Branches and rep offices may, subject to obtaining the necessary licenses, carry out promotional activities and facilitate contracts but cannot sell or manufacture goods locally.

Registering in the free zones.

The usual method of establishing a business in Dubai is by registration in one of the free zones. There are several free zones, most popular ones being Jebel Ali free zone, Sharjah Airport free zone, Ras A1 Khaimah free zone, Dubai Airport free zone etc.

Limited Liability Company (LLC)

This type of company allows joint venture between national and foreign partners. Non-national partners are permitted to hold shares not exceeding 49% of the capital, with the national partner holding the remaining 51%. The law provides that the initial share capital should be a minimum of Dirham 300,000.

Jebel Ali Offshore company

This company can be used to own real estate properties on Palm islands or any properties owned by Nakheel Company LLC or any other real estate properties approved by the JAFZ-Authority. However, the Company will not be allowed to carry on business with people who are resident in the UAE or carry out any trade in the JAFZ or in the UAE, unless they have first obtained an appropriate license for the relevant authority.