Information about setting up a Company and Business in Dubai

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A company is a kind of business set up that consists of either a number of living individuals and/or other companies. Each of these individuals contributes a sum of money in the company and thus become an owner of it. The individuals or owners of a company have a common goal or aim of doing business and thereby earning profits from it. The difference between a company and other business arrangements is that the company itself is considered a separate legal entity. Therefore a company in legal terms is separate or unique from its owners.

This also proves that a company continues to exist and perform its business regardless of any change in its owners. Also a number of individuals are selected that maybe the owners themselves or hired external people who are assigned the job of running the company and taking day to day as well as long term decisions for the company. In other words, they are the agents of the owners of the company hired to achieve the aim and objective of the owners that is earning as much profits for the owners of the company as they can. These people are known as the management of a company.

It is quite a formal process to start up company Dubai due to the requirements that a person has to undergo before actually being able to establish a company in Dubai. There are seven types of companies that are permitted to be established within the Dubai. These include limited liability company; public joint-stock company; private joint-stock company; general partnership or joint liability company; simple liability partnership also known as simple commandite company; private unlimited company and share commandite company. Some of these companies require participation by a UAE nationalist in the formation of the company.

All the companies in UAE are subjected to the federal companies' law. The law has some provisions and articles such as the rule that a Limited Liability Company should have at least 51% shares in the company owned by the UAE nationalists. Also it is a law stated in the UAE companies' law that a company should consist of at least 2 shareholders. Also the company should have at least 1 director however there is no nationality restriction regarding the management of a company. Therefore a company that is being setup in Dubai's non-free zones should abide by the laws outlined in the above mentioned law.

There are several free zone UAE are available in Dubai where one may get a chance to establish a company. These zones allow the establishment of companies that are solely based on the foreign investment therefore it can be said that these zones have been formed to provide a way for foreign investors to enter the markets of Dubai. However a free zone company is restricted to certain kinds of dealings that it may otherwise be able to conduct if it was operating in the zones other than the free zone.

Individuals who are willing to startup company or start business Dubai can also gain the assistance of the agents or other supporting bodies that are available in the city. These agents can guide the client through the process of setting up a company or even can carry out the procedures required to establish a company in Dubai for their clients for a reasonable fees. A foreigner can get great help from these bodies in abiding by the UAE Companies' law.

 

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