One of the very common systems of making sure that an overseas company retains its foreign ownership in Dubai is by registering a company. This commonly makes sure the parent company receives complete ownership while conducting in Dubai. If you are interested to know what are the ways for foreign company registration in Dubai, then communicate with the Start Any Business specialists who will guide you on every step and also provide assistance during the entire process and make it easy, efficient, and reliable in a short possible time. Here we mentioned a little guide on how can someone start an overseas company in Dubai or the United Arab Emirates.
By incorporating companies in Dubai, the overseas business people are basically opening a representative office of branch office there. No matter whether the overseas business people are making a plan to incorporate a representative or a branch office in Dubai, both must undergo a commercial registration and get a trade license in the parent company name. The appointment of a national services agent by overseas companies is also a demand by law. The agent must be a national of the UAE or can be owned 100% national corporate unit. The agent usually acts as a sponsor for all foreign companies or business people.
The Process for Foreign Company Registration in Dubai
- The steps you need to follow for registering a foreign company in Dubai are given below –
- This is compulsory for any foreign and overseas company to hire a local agent to manage the procedure. In addition, the local agent should be a citizen of the UAE or a company wholly owned by a UAE citizen.
- The local services agent accomplishes the procedure of business name reservation. They proceeded it by the Dubai Department of Economic Development.
- Getting necessary approval from the Dubai Ministry of Economy and obtaining a business license from the Dubai DED.
- The Ministry of Economy would grant the certificate of initial approval to the DED.
- Required documents comprise – MOE preliminary approval, copy of the intended lease in Dubai. In addition, copies of documents presented to MOE and an involvement certificate from the locally registered Dubai auditor confirming the company are also required.
- The Department of Economic Development grants a business license for 1 year, and after one year it requires renewal.
- Apply for labor cards and visas for staff.
- Bank accounts and office space
The whole procedure described is to involve the representative or a branch office of the company existing already in Dubai. By doing so, overseas business people can fully control their company without any local interference. The procedure for registration is lengthy and involves many requirements with many phases. However, the duration of the application process is quick. It takes almost 10 to 15 working days to grant a registration certificate, after which it becomes easy to operate in Dubai.
Documents for Foreign Company Registration in Dubai
Prior to beginning the process of registration of a foreign company in Dubai, there are some essential documents to arrange and present. These documents include –
- Incorporation certificate from the home country
- Memorandum of Association and Article and Association
- Board resolution
- Parent company’s audited financial accounts for the last 2 years.
- Power of Attorney
- Bank guarantee granted in favor of the Ministry of Economy and Business plan.
- The bank guarantee should demonstrate a value of around AED 50,00. It must be renewed per year with approval from the Ministry of Economy.
- A local agent contract with the citizen of the UAE.
Benefits of Foreign Company Registration in Dubai
There are several benefits and attractions of establishing a branch of foreign company in Dubai and the United Arab Emirates. However, the procedure can take a lot of time and complications. Selecting business setup consultants at Start Any Business will guarantee a trouble-free experience during establishing a business. We ensure you receive trusted assistance in establishing a company. In addition, you get the benefit of having a secure and free local service agent for a branch of a foreign company.
- The foreign company can retain 100 percent overseas ownership in Dubai or the United Arab Emirates.
- A foreign company does not need to reflect over two years of incorporation and business experience in their home country.
- The company can operate a legally permitted activity elsewhere in the United Arab Emirates, comprising a free zone under its license.
- No limitations on the place where the company can purchase and rent office space.
- The government of Dubai has permanently waived any made payment needs.
- As the national services agent has a number of signatories that are available throughout the year, not like separate local partners who often travel during the summer time.