New Business Setup and Advisory Services

A foreign investor wishing to start a business in Dubai can choose to set up operations as a Branch, Representative Office or a registered Company, or it can appoint a commercial agent to sell its products in the UAE market or for export.

New companies can also choose to conduct their activities from a Free Zone, which is a designated, self-regulated area set up to encourage economic activity within an Emirate. There are around 40 Free Zones in the UAE , with more coming to market.

The UAE Commercial Companies Law (CCL) provides for the establishment of the following business entities for foreign investors: joint stock companies (JSC), Limited Liability Companies (LLC), unincorporated joint ventures and branch offices of foreign companies . The CCL does not apply to companies that are established in the Free Zones.

An amendment to the CCL, effective 1 June 2021, permitted 100% foreign ownership of UAE mainland companies for the first time. It removed the requirement for a local partner or sponsor to own 51% in UAE mainland companies. As a result, mainland UAE companies (existing and new) are allowed to be 100% foreign-owned, subject to the proposed activity of the company and obtaining specific approval from the relevant authorities in each Emirate.

It is important to have a full understanding of your options before deciding how to establish your company’s presence in the UAE. The potential growth of your business in the UAE can be damaged by making the wrong choice, so please consider the following points when deciding the best structure for your needs:

01 The current nature of your business

02 Your business expansion plans

03 The current capital to invest

04 The need for outside investors now or in the future

05 The tax implications of the structure

06 Your personal liability and company risk

07 The need for audits and other accounting requirements to remain compliant

08 What sort of physical presence and PRO services do you require in the UAE