Often in the career path of a growing company, there comes a time when it begins to successfully achieve its business goals and thereby plans on diversifying its income sources by venturing into newer, more exciting opportunities. And for the owners of the company looking to do the same, it is humbling to know that the United Arab Emirate’s lucrative business laws allow investors to incorporate more than one business to their name, thereby multiplying their relative fortunes and bolstering and diversifying the economy of the country. Company incorporation in Dubai is one of the most novel plans for a growing business to branch out and strengthen its roots in the soil of the United Arab Emirates.
Company incorporation in Dubai
The city that is in the nascent years of enjoying prosperity, financial stability, and wealth, today offers myriad forms of lucrative options for global investors to set their eyes upon the market of UAE- company incorporation in Dubai is one of them. The ease of doing business under the relaxed trading laws and the presence of free zones throughout Dubai further smoothens the process of trading doing business in Dubai. And, today in this article we are going to highlight and talk not only about the company incorporation in Dubai but also about the company formation services in Dubai.
Firstly, it is vital for the investor to make up a sound strategy to expand on new prospects and implement the best legal approach to erect a reliable corporate structure for the next venture. It is for him/her to realize and identify if it should be a separate corporation/LLCs or one big shareholding company to administer all of them. Once decided, this is how to proceed with the company incorporation in Dubai.
Generally, there are two main methods to incorporate multiple business entities in the UAE-
Creating New Limited Liability Companies
In UAE, there is no limit to how many LLCs the investor can open as it usually is the first approach for adding new companies to their name. An investor already running a joint dining business can easily obtain a license to open a health and wellness centre in Dubai.
While the investor has to allocate additional resources, the main advantage of this strategy is it separates the risk of each business to its individual body. If one of the business’ sales takes a nose dive or faces legal complications, the other business remains unaffected from its liabilities. Thereby making company incorporation in Dubai an increasingly chosen option for businesses looking to diversify into the various booming sectors of the city.
Incorporating a Holding Company
One of the most dependable, viable, and legally secure approaches is to create or acquire individual corporations and bring them under the gamut of a holding company. Through a holding company in Dubai, the investor can legally take control and manage operations of new ventures in its fold and distribute monetary resources more effectively.
Beside from streamlining management of related companies, a holding company in Dubai also gives optimization of taxes, assets protection from any possible encroaches, owner anonymity, overcoming antimonopoly and currency restrictions, minimizing shareholder risk, and shielding from economic volatility.
This often requires the expertise of a company formation services in Dubai to help the business get through the various legal implications that involve in the formation of a company in Dubai as well as the incorporation of other businesses in Dubai.
Incorporating a Business in Dubai
Through these two methods, a budding entrepreneur or a seasoned businessman can look at incorporating newer businesses under the fold of one huge company.
The further steps to incorporating a business in Dubai is to start with the licensing – the most basic requirement for all business activity to begin in Dubai and usually falls in one of the following three categories of licenses:
- Commercial licenses covering all kinds of trading activity
- Professional licenses covering professions, services, craftsmen, and artisans
- Industrial licenses for establishing industries for the purpose of manufacturing
General Requirement
Next, is the part where the ownership requirements are met. As per legal guidelines and protocols, fifty-one per cent participation by the UAE nationals is the general requirement for all the UAE established companies except:
- Where the law requires 100% local ownership;
- In activities open to 100% AGCC ownership; ( Gulf cooperation council)
- Where wholly owned AGCC companies enter into a partnership with UAE nationals;
- In case of foreign companies registering branches or a representative office in Dubai;
- In the case of businesses belonging to professional or artisan companies, 100% foreign ownership is allowed.
After this, you are all set and ready to be part of Dubai’s ever prosperous economy, with plenty of choices at your disposal, either through the formulation of a company through company formation services in Dubai or company incorporation in Dubai.
Conclusion
Whatever may be the choice, the only wise option is to invest in the booming economy of the UAE’s finest city, Dubai. And, while the efforts of setting up a new business or incorporating an old one might seem cumbersome, there are efficient company formation services in Dubai such as Shuraa Business Setup that will take the headache right off you and leave you the job to dream up a wealthy capital through the successful business for you. To book a free consultation with Shuraa’s specialist, call +971 44081900 or send a WhatsApp to +971 50 777 5554 or simply drop an email at info@shuraa.com.
