Business formation in Dubai include sole-proprietorships, partnerships, and companies. Each structure has its benefits and disadvantages, but most foreign investors prefer to open a Company. Dubai recognizes a Company as a separate body from the owners.
We all know that Dubai is the most substantial trading port that links West and East of the world. Today, offshore company formation in Dubai is in high demand. Offshore Company registrations in Dubai usually are set-up in Jebel AN Free Zone, Ras Al Khaimah Free Zone, and several new Free Zones coming up. Flence, for investors who want to gain maximum from offshore companies, the sky is the limit.
As an investor, it is wise to know that Dubai is rising just in time. The government of Dubai has improved business rules and principles making it easy for investors to do business in Dubai for a long time.
What you need to know about Company formation in Dubai
Company formation in Dubai is somehow complicated. Without a clear view of the procedure and requirements of its creation, it could be hard to do it right. For example, a One-Person Company is a company whose shares are owned by just one person. But in Dubai, a One-Person Company can be held by a UAE national, a GCC national or a company whose shares are owned by UAE or GCC nationals. Besides, the name of the company must have the name of the owner and LLC at the end.
An LLC (limited liability company) which is preferred by most foreign investors has 2-50 stockholders. When registering an LLC in Dubai, 51 percent of the company shares must be owned by UAE nationals. Also, you should involve a recognized auditor by UAE to inspect your companies accounts. Limited liability company shares trade freely on the stock exchange. Both LLC and One-Person Company must pay corporate tax. Flowever, this is separate from the Standard Personal Tax.
Dubai is the best place to flex your business muscles by opening an offshore branch or setting up a company. In fact, the number of expats in Dubai has reached 2 million. Company formation in Dubai is not as complicated as most people may think. You only need to understand the procedure and the requirements. Flowever, it may be wise to involve a business lawyer to help with the formation and registration of your business. Hiring a business lawyer will cost you money, but it is worth each coin.