FORMATION OF LLP IN DUBAI, UAE
A. Eligibility Criteria:-
1. Partners: Minimum 2 and Maximum 50.
2. Foreign Contribution: Cannot exceed 49%. (in other words, you are required to have 51% stake of residents of Dubai)
3. Profit & Loss Distribution: Allowable as per Mutual Agreement of the Partners.
4. Management: Can be vested in Foreign Partners / National Partners / Third Party
5. Business allowed under LLC: Single Trading, General Trading, Advertising Agency, Technical Services, Contracting, Transportation.
6. Compulsory Office: Virtual Offices are not allowed. Enterprise must have a physical address and an actual office.
B. Brief Procedure:-
Basic condition for carrying out business activity/ies in Dubai is to acquire one of the following three categories of licenses:
1. Commercial Licenses – includes all kinds of trading activity
2. Industrial Licenses – for setting up manufacturing or an industrial activity
3. Professional Licenses – Encompassing Artisans, Craftsmen, Professions and other such services
Department of Economic Development, Dubai is the licensing authority that issues license for major activities.
However, certain kind of activities require Special Approval from the related Ministry /Department. For instances, some of them are depicted hereunder:
|Activities||Seek approval from;|
|Medical Pharmacy etc.||Ministry of Health|
|Telecommunication Equipment||Ministry of Communication|
|Air Transport, Air Cargo etc.||Dept. of Civil Aviation|
|Financial Institutions, Banks, Money Exchange, etc.||Central Bank|
|Agriculture, Veterinary, etc.||Ministry of Agriculture|
|Engineering and Constructing, etc.||Municipality|
|New Industrial Project, Expansion||Ministry of Finance and Industry|
|Legal consultancy||Ruler’s Office|
D. Advantages of LLC:-