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Steps to establish a company in Dubai Jebel Ali

٢٠ مارس Steps to establish a company in Dubai Jebel Ali

Establishing a company in Dubai Jebel Ali .. Determining the economic activity of the establishment:

Determining the activity is the first step in the process of issuing a commercial license. Through the activity, the parties associated with this activity and the legal forms permitted for the activity are determined.

There are more than 2,100 economic activities available in the Emirate of Dubai, where these activities are divided into different groups: commercial activities, industrial activities, professional activities and tourism activities.

The type of license is linked to the type of activity. If the activity of the license is professional, the type of license will be (professional). If more than one type of activity is combined in the license, we take the largest activity and consider the industrial activity to be the largest, followed by the commercial, and then the professional.

Industrial, commercial and professional activities can be combined provided that the activities are homogeneous or a permit is issued for the activity to be added. For example: If commercial and professional activities are combined in one license, the license type will be commercial because the commercial activity is the largest activity (this does not apply to tourism activities).

Some economic activities have characteristics that do not depend on the legal form or type of activity like other activities, but they have some laws that regulate them by the department or the authorities that regulate the activity itself, which are:

1- Activities of the Department:

  • These are activities that cannot be LLC.
  • It takes a legal form as a sole proprietorship, a civil business company, a branch of a Gulf company, or a branch of a foreign company.
  • The director or license holder must be enrolled in the consultant qualification program at the American University in Dubai.
  • The manager of foreign companies wishing to engage in consulting activities must join the consultant qualification program at the American University in Dubai.

2- Engineering activities affiliated with Dubai Municipality:

  • These are activities related to the engineering field only.
  • These are activities that cannot be LLC.
  • It takes legal form as a sole proprietorship or a civil business company only.
  • The parties to the license, whether owner/partner/manager, must have a university degree in the same field of the desired engineering activity.
  • No service agent is required for engineering activities.
  • Foreign engineering consulting offices can open branches without the need to appoint a company agent.

3- Legal consulting activities:

  • The approval of the Legal Affairs Department must be obtained before obtaining the initial approval and trade name from the Department.
  • Foreign legal consulting offices can open branches without the need to appoint a company agent.

4- General trading activities:

  • All types of commercial activities that do not require the approval of other parties can be practiced through this activity and in one place. It does not include activities that require the approval of external parties except after obtaining a no-objection from those parties. Example: jewelry trade, newspaper and magazine trade.
  • TRA approval.
  • A fee of AED 15,000 is collected for general trade activity in the following cases:
  • Upon issuance of the license
  • Change of activity to general trade
  • Upon license renewal, an amount of 3,000 UAE dirhams is collected annually.

5- Investment activities:

  • The company cannot take the legal form of a “sole proprietorship”.
  • Branches can be opened with all types of professional, commercial, industrial and tourism licenses, provided that they are branches of the parent company.
  • It is not permitted to practice any economic activity through this activity, but rather to own shares in other companies or open branches.
  • The word group or holding may be used for the trade name of this activity.
  • A fee of AED 15,000 is collected for all types of investment activity in the following cases:
  • Upon issuance of the license
  • Change of activity for investment of all kinds
  • Upon license renewal, an amount of 3,000 UAE dirhams is collected annually.

6- Activities of managing companies and institutions:

  • This activity allows the management of any company or institution affiliated with one person, provided that it has no less than 3 licenses.
  • It is not permitted to manage companies or institutions affiliated with others.
  • The word group can be used in the trade name, example: BNP Group.
  • The activity of managing companies and institutions is exclusive to citizens of the United Arab Emirates.
  • Conditions for establishing a company in Jebel Ali
  • A free zone establishment is an establishment formed and registered in the free zone and subject to the regulations of the zone only.
  • The capital of the free zone establishment shall not be less than approximately one million Saudi Riyals. The financial commitment of the company is limited to the paid-up capital.
  • Only one shareholder is required to establish a free zone establishment. A free zone establishment is an independent legal entity.
  • Those wishing to establish a free zone establishment, whether companies or personal organizations, must fill out an application and submit it to the management of the new free zone.

Licenses

The cost of issuing a regular commercial license is AED 10,000, plus other fees such as registration fees, virtual office or rent, professional fees, annual renewal fees, etc. Dubai South authorities also offer lump sum packages depending on your business needs.

There are 5 types of licenses that can be obtained within the Dubai South Free Zone:

  • Industrial license for light industrial activities
  • Logistics License: Issued only in the logistics services zone, to carry out logistics services.
  • General Trading and Trading License: To import, export, distribute and store the products specified in the license, and sell the products within the UAE market through a local distributor.
  • Service License: For services specified in the license within the Dubai South Free Zone and other locations in the UAE
  • Education License: This type of license is used for educational, social, training, and educational consulting services.

Why should you invest in the UAE?

The UAE is considered a good place to start an overseas investment as more than half of its population is filled with foreigners.

Not only are there an abundance of resources, but there is also a generally good business climate created by the stability in the country’s political atmosphere.

The UAE is also working to provide a rich investment environment at the regional and international levels. According to the World Bank’s Doing Business Report 2019, the UAE topped Arab countries in ease of doing business, and ranked 11th globally.

Free Zones in the United Arab Emirates

Free zones (also known as free trade zones) are designed to support and enhance global businesses by offering 100% ownership to foreign investors, but they also make the administrative procedures very easy. Once you have your company established and operating in the UAE, you, as the owner of the company, can apply for a visa to reside in the UAE and also employ (persons) of your staff. If you wish to apply for residence visas for your dependents, such as family members,

The UAE operates over 50 free zones covering all major business sectors. Whether your business is in manufacturing, trading, consulting, education, healthcare, technology or more, the UAE’s free zones are ideal locations to set up your business. Dubai is the business capital of the UAE, with free zones specifically established to serve a wide range of business sectors. Following Dubai’s vision, other emirates have also developed their own free zones, offering flexible rates to compete in the global UAE market.

Free zones for limited liability companies seek and provide a flexible corporate structure to help individuals alike, and provide a very easy plan to establish and operate companies in just a few days, as this process can be completed remotely, and foreign investors are not required to be physically present in the UAE to establish a new company.

Invest in Dubai in three steps

We provide the support you need to establish your business and give you a range of options that allow you the freedom to determine the best path that suits your project.

No hidden fees

Complete transparency with our clients from the beginning until the establishment of your company.

Why Dubai?

Dubai ranked first in the Financial Times’ “Best Foreign Direct Investment Performance” report for the world in 2018, which confirmed Dubai’s superiority over London, Paris, Dublin and Singapore, as it appeared in all global rankings of the best investment locations issued in 2018 by the “FDI Markets” index.

The period required to obtain a business license in the United Arab Emirates

It is related to the type of activities you wish to engage in, in addition to the legal form of the company. There are commercial activities that require approvals from more than one federal or governmental entity, but the Dubai government always guarantees to all investors the provision of unparalleled facilities and services.

Establish your company in Dubai

We offer you comprehensive solutions. Quick steps to establish companies. Complete transparency with our clients from the beginning until the establishment of your company.

Investor residence

Assisting the investor in facilitating all procedures, whether establishing a company or facilitating the procedures for obtaining a long-term investor residency, according to the availability of the conditions.