Dubai Company Formation
What We Mean by’ Dubai Company Formation’
Dubai Company Formation is a ‘collective term’ encompassing Company Formation and Set Up of ANY type or Dubai Company or Business (Dubai Offshore Company, Dubai Free Zone Company or Mainland-Local Dubai Company – Business) in ANY Dubai Offshore Zone, Dubai Free Zone Free or ANY other area location in Dubai. In turn, Dubai Company Formation is an important option among the many UAE Company Formation options available.
Dubai offers the options of setting up Dubai Offshore Companies, Dubai Free Zone Companies or Mainland Dubai ‘Local Businesses / Companies’.
Moreover, the term Dubai Company Formation (Dubai Offshore Company Formation and Dubai Free Zone Company Formation being part of that) practically refers to the process, considerations, decisions and actions of legally setting up a Dubai Company in ANY Location of Dubai, under UAE and Dubai Law and Regulations, intended to conduct business in the UAE and/or internationally.
Related and practically closely linked to the Company Formation process is, additionally, all work connected to the establishment of the business per se of the New Company in Dubai which is to be conducted after the incorporation stage is complete.
Such establishment work for Your Dubai Company often entails arranging for Visas for the owners, managers and staff if permitted by the license type, opening bank accounts, arranging premises, again if permitted by the license type, arranging for professional services to support the company and other establishment work.
Types of Dubai Company Available:
You can Set Up a Dubai Offshore Company, Dubai Free Zone Company, Mainland (Local) Dubai Company or a Dubai Local Professional Firm. There are 4 broad Dubai Company Types that appeal to International Investors:
Dubai Offshore Company
- The Dubai Offshore Company, the only option being the JAFZA Offshore Company in Jebel Ali Free Zone in Dubai – this is a non-resident company exclusively conducting international business outside the UAE but hold a UAE bank account in Dubai.
Dubai Free Zone Company
- The Dubai Free Zone Company / ies – these are resident onshore companies but cannot do business in the UAE mainland (except, practically, services tot specially regulated like consulting and trading in free zones and internationally). They can open a UAE bank account in Dubai.
- These are resident companies conducting business locally in special free zone areas and internationally outside the UAE and hold a UAE bank account.
Dubai Local LLC
- Local Dubai LLC Companies – these require a local sponsor /shareholder of 51% – these are used for local trading as well as GCC and international trading.
Dubai Professional Firm
- Dubai Professional License Companies – these are suited to professionals: doctors, accountants, lawyers that wish to practice their profession in the UAE.
But why set up a Dubai Company in the first place?
Why Set Up a Company in Dubai?
Constructive use of UAE Company Formation in the Dubai can yield the investor significant advantages. Tax, Security, Confidentiality and Lifestyle advantages. Read about the Dubai Offshore Company Advantages and the Dubai Free Zone Company Advantages.
Advantages of a Dubai Offshore Company
- Activities allowed ONLY outside the UAE
- No residence visa is issued (except for a JAFZA offshore license with office space in JAFZA)
- Foreigner can own 100%
- Able to have UAE bank accounts and worldwide bank accounts
Advantages of a Dubai Free Zone Company
- Only able to trade freely within the free zone areas and worldwide – Dubai Free Zone Companies and RAK Free Zone Companies can also render services locally in the UAE as long as the services are not under a regulated regime (banking, investment, medical etc.)
- 100% foreign ownership permitted
- Residence visas are issued
- Goods out of the free zone and into mainland UAE must pay a 5% customs duty
- Office space is required within the free zone
- Able to open UAE bank accounts and accounts worldwide
- Membership of the Chamber of Commerce through the relevant office in the specific Free Zone
Advantages of a Local Dubai Company or a Dubai Professional Firm
Well first you enjoy ALL the advantages enjoyed by the Dubai Offshore Companies and the Dubai Free Zone Companies PLUS+ the added significant advantage of conducting any business activity (subject to approval) without ANY restrictions in any location in the UAE and the Gulf / GCC region. A huge market with exciting potential.
Well and how is a Dubai Company or Business …Actually Set Up?
Dubai Company Incorporation – Establishment Procedures
The 5 Stages of the Company Formation Process in Dubai
FBS EMIRATES are up-to date with ALL new laws and regulations and with our help you can cut through the whole process quite easily with minimum involvement on your side.
Below is a brief outline of the Main Company Formation Stages in Dubai, UAE.
1. Initial Consulting
It is valuable that FBS EMIRATES provides free initial advice on Dubai Business Set Up. This is so as you DO need Our Services since there are many different options for company formation and complex residency and labour and immigration regulations as well as complex processes, red tape and requirements.
2. Documents – Licensing – Formation
Once all the necessary documents have been obtained from you and certified, the incorporation process starts. The Company, at the completion of this stage is Legally Formed and Licensed and Ready to Operate.
3. Bank Account
Bank Account Opening in Dubai comes next. A very important stage as Dubai Companies with no bank account are considered by Tax Authorities and market counter-parties as Companies without economic substance in most cases and therefore not useful or practical. In our capacity of Official Professional Introducer with many banks in Dubai and internationally you can rest assured the account opening will be fast and quite smooth. We will handle the process and guide you through the documentation requirements.
4. UAE Visas
Immigration Residence Visas and Emirates ID is then obtained for you, your family and your staff. All details and actions required will be handled efficiently. Generally the medical examination takes a maximum of 5 working days, although this can faster with an urgent medical application.
5. Establishment and Set-Up
The next stage, with our support, involves setting up the corporate image (business – office address, telephone answering, logo, business cards, and website) as well as substance (premises, telephone, utilities, virtual office, staff, business plan). We can discuss what is appropriate for your case.
Summary of Our Simple 8-Step Approach to Your UAE Company Formation Process in Dubai
Our Simple 8-Step Process aims at addressing all the actions and decisions necessary to successfully, smoothly and in a problem-free fashion Form, Set Up and Establish Your Dubai Company and Business in Dubai, UAE.
Our 8-Step process revolves around 8 central actions and related decisions for your UAE Company Formation:
Step 1 – Choose Your UAE Company Formation Agents
Choosing a suitable UAE-based UAE, Dubai & RAK Company Formation Expert and Consultant and submitting to them the Required Documents and Forms and obtaining a proper consultation.
Step 2 – Decide on Business and License Type and UAE Location
From then on with our guidance comes deciding on the Business and License Type and a specifically chosen UAE Location and Registration Authority to set up the company.
Step 3 – Decide on Ownership Type
Weather 100% ownership or use of a local partner / sponsor.
Step 4 – Choice of Specific Legal Form
Free Zone, Offshore, Local and which particular Legal Entity type.
Step 5 – Decide on UAE, Dubai & RAK Company Trade Name
Trade Name choice and approval is the first step and 3 names must be submitted for official approval.
Step 6 – Determine Share Capital – Shareholders – Managers
Taking into account UAE Rules and Legislation on the above.
Step 7 – Decide where and with which Bank to open a Bank Account with
There is a wide choice of banks in the UAE and internationally.
Step 8 – Set out plans for the Establishment Logistics – Premises, Marketing and other set up work
This is the last step and, naturally, necessary before the launch of your UAE business.
How We Help You in the Dubai Company Incorporation Process …and after
- Collect all Dubai Company Owner identity and passport personal documents, CV, bank reference letter, 6-months bank statements, proof of address and a draft business plan and activities list AND in the case of a corporate shareholder the relevant company documents of the shareholding company
- Prepare all incorporation documents for your Dubai Company
- Complete, check and submit all Dubai Company Registration, Bank Account and Visa applications to the relevant bodies, institutions and Authorities
- Dubai Company Name approvals and other governmental approvals (after approval, MOA and application forms will be signed)
- Monitoring and controlling the progress of the Dubai company incorporation process through the various steps ensuring smooth and problem free set up
- Dubai company Bank Account Opening – we introduce banks to clients to act as the Dubai company’s bankers
- Full-Scope professional services to support your Dubai company operations from A to Z (VAT, Tax, Accounting, Bookkeeping, Audit)
Following the Formation Stage our role is to continuously support you in all related matters pertaining to your Dubai company needs for professional services, as required.
Part of FBS Kotsomitis International Network
7th floor, Offices 7F-6A-6B
RAKEZ Amenity Centre, Tower 2
P.O.Box 322762, Al Jazeera Al Hamra
Ras Al Khaimah, United Arab Emirates