Among the different kinds of businesses set up in Dubai, the common form of business or company formation is LLC or Limited Liability Company. By definition, an LLC company is one that has two minimum and maximum fifty shareholders. Their liabilities are limited to shares in the capital of the business.
There are several advantages of companies to take on the form of a limited liability company. The companies that are formed with foreign partners usually find it advantageous to operate as a limited liability company. This kind of option provides legal ownership to the maximum level. For expatriates who wish to own local businesses in UAE will be able to hold 49% of shares when their company is an LLC setup. There are certain legal requirements to be complied with when you wish to have an LLC business setup in Dubai, UAE.
When one is looking to set up an LLC company in the UAE they need to have a UAE national as a partner in the company. The person should be a prospective investor in the company. The majority owner with at least 51% control or ownership in shares of the company can choose to have a UAE national as an investor or a sponsor of the company. There are different kinds of profit sharing partnerships possible in the LLC. This provides more flexibility in this kind of a company setup than in other company formations. Foreign investors find a great edge in this kind of company formation that allows them to be a majority shareholding partner. If you are looking to explore business opportunities in Dubai, you could look at this kind of company formation. It is best to seek out appropriate legal advice before you commence to explore such options in Dubai.