The Free Zones in the United Arab Emirates are the finest aspect of launching a business in the country. These are distinctive places that are popular with international investors and Creative Zone will help you. This is due to the fact that they impose zero percent corporate and personal tax, as well as 100 percent foreign ownership and exemptions from import and export taxation.
UAE legal business structures
If you’re thinking about beginning a business in the United Arab Emirates, you should first evaluate the sort of firm you’ll establish. The United Arab Emirates, like any other country, has a wide range of legal company forms. Most popular and their criteria are listed below.
Ownership is limited to one person.
One person owns 100 per cent of this business. As a result, the individual in question has complete authority over business operations and revenue. Only UAE and GCC nationals can have a commercial or industrial business, even though anybody can start a sole proprietorship company.
Civil Company (Civil Law Corporation)
Civil firm businesses in the UAE are available to professionals, including physicians, accountants, and attorneys. Emirati citizens must own at least 51 per cent of the company.
Corporative Entity (LLC)
There might be anything from two to fifty stockholders in an LLC. As a result, each person is solely responsible for their portion of the total debt. Profits and losses are also split up between stockholders based on their own interests. Another requirement is that a UAE national control 51% of the company’s stock. There must be at least three shareholders on the board of an LCC with more than seven partners.
Branch Office of a Foreign Company
Establishing a branch office in the UAE is possible for a foreign firm. The parent firm owns the entire business in this scenario. It is necessary to import everything through a local trade company.
Company Operating in a Tax-Free Zone
Two to five stakeholders are required for Free Zone businesses. Establishing a business in the UAE Free Zones has numerous advantages, but you should be aware that these firms cannot deal with the UAE market. As a result, the criteria for starting a business in that location may change. Twofour54 Abu Dhabi, as an example, does not call for any upfront money.
Freelancers
In the United Arab Emirates, starting a freelancing company is surprisingly simple. An application form, CV, bank reference, and notarized Registry Identification Code Form are all required for registration in a Free Zone. You’ll be able to apply for a visa at this time as well.
