United Arab Emirates corporate law

[1] The types of Business Licenses issued in the United Arab Emirates (UAE) are professional, commercial, industrial and tourism.

In UAE, a company can be formed in any of the following three jurisdictions: Mainland, Free Zone and Offshore.

of employees are higher - they would be required to lease a dedicated office space within the freezone.

Here's a brief guide to understanding and managing the legal work involved in launching your startup in this dynamic city.

To capitalize on this environment, startups must focus on innovative ideas that cater to Dubai’s diverse and technologically advanced market.

Conduct comprehensive market research to identify consumer preferences, industry trends, and potential competitors.

Navigating the licensing process can be complex, but it is a vital step in ensuring compliance with local laws and regulations.

Ensuring that all team members have the correct work permits and residency visas is essential for smooth business operations.

UAE Offshore company registration is a very popular method of doing business in the Middle East region.

They offer similar services but serve different strategic goals of offshore company registration.

[9] A Limited Liability Company (LLC) is the most common type of registration in the UAE and is recommended where the purpose of the entity is to make sales within the region.

LLC is not allowed to practice its activities in the UAE without a Trade License and Commercial Registration Certificate.

In some cases the Branch of a foreign company are required to obtain an additional license from UAE Ministry of Economy.

These activities include banking, insurance, investment fund management, lease-finance, headquarters, shipping, holding company, intellectual property, and distribution and service centre businesses.

To comply, companies must demonstrate substantial economic presence within the UAE, including conducting core income-generating activities locally, being directed and managed within the country, and maintaining adequate employees, operating expenditure, and physical assets in the UAE.

Additionally, companies subject to these requirements must submit an Economic Substance Report within 12 months of their financial year-end, detailing their relevant activities, income, expenses, assets, employees, and confirming compliance with the economic substance test.