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Mainland LLC company formation in Dubai is the most popular business structure chosen by Indian entrepreneurs to start a business in the UAE.
If you are an Indian entrepreneur looking to form an LLC in Dubai, here are the key points. A Mainland LLC in UAE requires minimum 2 and maximum 50 shareholders to start.
From 1st June 2021, Indian investors can own 100% shares in a Mainland LLC company for specific commercial activities in Dubai.
An LLC limits liabilities only to the company itself. Shareholders are not personally responsible for the company’s debts.
Minimum capital requirement required for company formation in Dubai Mainland is AED 300,000. In other Emirates it is AED 150,000. Indian investors can increase share capital during company setup as per business need.
Profits and losses distribution in a Dubai LLC can be distributed among the shareholders. A shareholder or even an appointed third party can manage the LLC.
A Dubai LLC cannot provide insurance, business banking or financial investment services to others and cannot treat its shares as negotiable instruments.
Any Individual or company from India can set up a Mainland LLC in Dubai for any commercial activity.
A Mainland LLC can open branches in the same emirate or across other Emirates’ jurisdictions.
Daily operations including banking activities are managed by a company manager appointed in the notarized Memorandum of Association (MOA). The investor often acts as the manager and is responsible for any misconduct or fraudulent activities.
Mainland LLC can access credit facilities from UAE banks and money-lending institutions subject to credit approval.
Some activities may require special licenses from Dubai Department of Economic Development (DED) and approvals from other authorities like DHA, KHDA, RTA, DTCM or Dubai Municipalities.
To set up an LLC in Dubai, it is mandatory to rent an office or shop. Mainland companies can now also register using Desk Facilities (Sustainability Centers) for specific activities.
Trading LLC can do business in the UAE and can handle import-export activities across borders.
All Indian ex-pat shareholders holding AED 72,000 share capital can apply for a 3 years UAE residence visa. They can also sponsor family and parents by fulfilling the visa document requirements.
The Labour Department allows hiring of any number of employees in an LLC subject to approval and fulfilling UAE labour laws.
In case of liquidation, LLC companies must produce an audit report from a government-registered audit firm and advertise the liquidation in UAE newspapers.
Flyingcolour® assists you with the best llc company formation in Dubai.