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LLC company formation in Dubai

LLC company formation in Dubai, UAE: Step-by-Step Guide 2024

The limited liability company, commonly abbreviated as LLC, is one of the commercially focused businesses with approximately 50 stakeholders, where all investors, as well as business partners, can enjoy the astonishing benefits of corporate stature and easily adopt trouble-free business partnership models. Indubitably, the LLC company formation in Dubai and UAE is considered one of the top destinations in the world to set up businesses in the Free zone, mainland, and even offshore companies.

As mentioned earlier, LLC company formation in Dubai offers entrepreneurs lucrative benefits and much flexibility. Therefore, you should be aware of the entire procedure, from what is LLC company in UAE and how to open LLC, along with all documentation and associated benefits.

What is LLC Company in UAE?

The LLC considered the most famous form of business entity in the UAE, allows 2 or more shareholders to establish it with a maximum of 50 shares. Moreover, there are numerous business opportunities available for entrepreneurs through company formation and complete liability protection as well. 

However, when you have plans for the formation of an LLC company in Dubai, collaboration with a local sponsor or a UAE national is necessary, as they have the right to hold 51% ownership compared to the expatriate’s share. In this arrangement, the local sponsor acts as a silent partner, giving you full operational control.

How to Open LLC Company?

The LLC Company Formation process is smooth with Alriyday’s expert consultants, as our team is here to guide you from choosing a suitable trade name to managing the entire spectrum of business activities. We assist our clients in preparing documentation and obtaining approvals from the authorities, providing full support for efficient processes. It is crucial to ensure compliance with the legal framework and rules of the UAE government during the company formation. Let me lift the curtain on key steps that you need to follow while opening the limited liability company in Dubai. 

“Firstly, ensure you have thoroughly reviewed the Dubai LLC company list and understand all business activities involved in your venture. Now, you need to reserve a suitable business name, ensuring it complies with naming conventions. After that, select a good location for your business and obtain an approval certificate from the Department of Economic Development (DED) once your business name is accepted.

Once the location is approved after the business name, complete all documentation, including the Memorandum of Association (MoA) and Local Service Agent (LSA) agreement. Additionally, ensure that you have partnered with a local sponsor to comply with all legal requirements.

After the documents are approved, you will receive a trade license for your business, granting you the right to operate in Dubai, UAE. Additionally, you can apply for a labor registry to obtain labor cards. This allows you to manage your visa along with your partners’ visas, enabling you to legally run your LLC Company in Dubai.

Dubai LLC Company Registration Cost

Generally, the LLC license cost starts from 18,500 AED, with additional charges for a foreign trade name amounting to 2,000 AED. However, the renewal cost for an LLC in Dubai varies from AED 8,000 to AED 15,000. You can schedule an appointment with Alriyady corporate services provider to discuss this further and obtain the exact cost of an LLC for the current year.

Documents Required for LLC company formation in Dubai

Before proceeding with the registration process of an LLC company in the UAE, specifically for Dubai, you need the following documents:

  • A clear photocopy of the applicant’s passport, as well as that of the local sponsor, with a valid expiry date.
  • If the stakeholder works in a UAE firm, provide a no-objection certificate along with a copy of your Emirate ID card.
  • The applicant’s DED registration form, along with the attested tenancy contract for the office space, is also mandatory.
  • Finally, ensure you have provided the attested Memorandum of Association from the public notary and submit any additional documents requested by the DED for a smooth application process.

Benefits Of LLC Company In UAE

Obtaining an LLC in the UAE streamlines the business process, making it more efficient and reliable. There are numerous advantages to this:

It’s one of the quickest and easiest ways to register your business with the Department of Economic Development (DED), taking merely 90 minutes. However, the entire setup may take up to 4-5 business days.

Additionally, after the LLC company formation in Dubai, you don’t need to pay taxes on any income, as it’s 100% tax-free. That’s awesome, isn’t it?

Foreign shareholders can achieve 100% ownership after registering an LLC company in the UAE, and you can easily rent or buy office premises.


What does LLC stand for in the UAE?

LLC is the most common type of business and stands for Limited Liability Company, requiring a minimum of 2 and a maximum of 50 shareholders who can avail themselves of amazing benefits.

What is the total LLC company liquidation cost in UAE?

After calculating all charges, you can expect to pay around AED 14,875 for this process. However, for a more accurate estimation, you can contact Alriyday today, as sometimes costs may fluctuate.

Wrapping Up

In a nutshell, Limited Liability Company or LLC is a stanafed type of company formation in UAE mainland, however, it’s not restricted in the UAE Freezone at all. So, I must say, LLC company formation in Dubai is one of the best ways to expand the business in the whole UAE with more advantages. Moreover, setting up the LLC doesn’t take much time; you can do this yourself, but if you’re new and want 100% LLC approval, then it’s highly recommended to hire a professional from Alriyady Dubai to turn your dream into reality. 

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