Limited Liability Company (LLC)
Limited Liability Companies (LLC) are one of the most popular form of commercial entities that entrepreneurs and corporates can establish in the UAE. As the name suggests, every stakeholder is liable according to the percentage of the shares he or she holds in the company. Limited Liability Companies are widely preferred by entrepreneurs and corporates that wants to penetrate the UAE market and establish their presence in the Middle East region.
Commercial Entities in UAE require Limited Liability Company to have at least one or more Local/Emirati Partners. The Local Partner must own a minimum of 51% of the shares in a Limited Liability Company. With the following release of the UAE Federal Law No. 19 of 2018 on Foreign Direct Investment, the UAE Cabinet announced the positive list of activities covered by the FDI Law, which allows up to 100% foreign ownership.
Advantages :
- Access to markets within and beyond the UAE
- No minimum capital requirement to form an LLC in Dubai
- A security deposit is not required to obtain a visa if the person owns an LLC in Dubai
- No limit on the number of employment visas (depending on the size of the office space)
- Branches of UAE-based LLC can be set up anywhere in the UAE.