Company registration in United Arab Emirates (Dubai)

Registration of company in the United Arab Emirates

Company Law & Trust International offers prompt establishing business in the UAE. Most of the entrepreneurs tends to register an offshore company in the United Arab Emirates, but offshore company in Dubai and other cities of the said jurisdiction is not provided for.

Company formation in the United Arab Emirates is necessary to extend the client’s business to the territory of the Asian continent and cooperate successfully with Persian Gulf countries.

Among the advantages for registration of companies in the United Arab Emirates there are the following:

1. English is used interchangeably with the official, which simplifies translation of documents and cooperation with local representatives of the economic sector.
2. The local currency is the dirham, but euros, dollars, rubles or other currencies can be used in the territory of the UAE, because the control over transaction is not exercised.
3. Any company with the exception of companies engaged in the spheres of banking, oil and gas or hotel activities can be called offshore company in Dubai, as it is not subject to income tax.
4. In the case of import of goods to the domestic market of the UAE, the company is obliged to pay only customs duty at rate of 5% from the amount declared in the import declaration.
5. Regarding Russia and other CIS countries, there are offshore zones in the UAE, and the companies registered in their territory are not taxed abroad and do not pay contributions to the resident state due to the application of the agreement concerning lack of double taxation.

Business in the United Arab Emirates: organizational and legal form

1. Residents of the state have the right to establish LLC. This form of business in the United Arab Emirates makes it possible to conduct open activities in the domestic market.
2. Registration of the company in the United Arab Emirates in the form of limited liability partnership (Limited) is available for non-residents. This type is the most cost-efficient for tax planning purposes.
3. FZE/FZC are real businesses in the UAE, which is required to have a physical location in the territory of the state. Open activities can be conducted within the state and abroad. This type involves registration of an offshore company in the United Arab Emirates due to the fact that FZE/FZC are exempt from taxation.

Lawyers and tax consultants Law & Trust company will assist You in selecting favorable organizational and legal form of business. You can apply for individual consideration of the situation by phone or on the website.

Peculiarities of company registration in the United Arab Emirates

Legal entity or natural person can establish company in the UAE, and registration is possible on behalf of either local citizen or non-resident. When establishing the company it is required to confirm the level of income, as well as provide information on the sources of capital.

After foundation of the company the founder's name will be put on one or several registers, depending on the scope of activity of the enterprise and the economic area of registration. Data from the register shall not be disclosed to wide audience or third parties, indicating high level of confidentiality.

Registration of the company in the United Arab Emirates in organizational and legal form of Limited or FZC does not allow the establishment of the company in insurance and banking sector. In order to do business in any financial sector additional licensing is required, which is only available to the residents of the state. The companies of other types are registered within 3-4 weeks including the time necessary for collection and preparation of documentation.

All normative standards regarding establishment of companies in the territory of the United Arab Emirates are specified in such regulations as Registered Agents Regulations and International Companies Regulations of 2006. The necessity of submitting annual reports by all the undertakings of the country, as well as the payment of contributions amounting not more than $ 400 for Arab offshore and onshore companies are prescribed in these documents.

The same standards determine the procedure of opening bank account of the company for contribution of the charter capital. If the founder is natural person, he should have residence permit in the United Arab Emirates. For legal entity it is sufficient to visit the country by means of visitor, tourist or business visas.

Special attention during registration of the company in the United Arab Emirates should be paid to the name. Legislation of the state prohibits the use of previously registered names, as well as the presence of particular group of words in the name.

The specialists of Law & Trust can provide You with information about the details of the jurisdiction of the United Arab Emirates during private consultation. Calls from the website, applications to the chat and consultations are free of charge.