All You Need to Know About Company Formation – Complete Guide
Company formation in Dubai is an exciting option for those doing business in the United Arab Emirates (UAE). Dubai is a cosmopolitan city and emirate within the United Arab Emirates, renowned for ultramodern Architecture, luxury shopping, and a dynamic nightlife scene. Burj-Al-Arab, an eight hundred meter high tower, dominates the skyline. In its distance is Dubai Fountain, with huge lights and jets choreographed to upbeat music. Towards the offshore is the sleek new Atlantis, a luxury resort with marine-elephant parks and water.
However, for entrepreneurs venturing into business activity in Dubai, it is important to be aware of some laws governing business activity in Dubai and related topics. The most important law is the Immigration Law of Dubai which regulates both ownership and immigration of persons into the emirate. Before you purchase property or open a business in Dubai, you must hold a valid national or resident visa. There are several ways of obtaining a visa, including:
Company Formation In Dubai: Registered companies have to have a company name registered with the Dubai Ministry of Interior. This company name is then held by a company formation company which holds all necessary permits. Once this is done, all necessary bank accounts are opened and the company can now process credit cards. In order to facilitate business activity, the emirate has developed a system of company formation, allowing companies to register with the relevant ministries in Dubai. If you have not registered your company name before, you will have to go through the legal system to establish your business.
Commercial Bank Accounts: There are two types of commercial bank accounts in Dubai, which are the personal and the corporate accounts. Before you purchase shares or purchase property in Dubai, it is important to note that there are different types of company registration in Dubai. For example, Companies House and the Dubai Gold Trade Companies are the different types of companies registration in Dubai. Companies House allows direct foreign investment in Dubai and this service has become very popular among businessmen from other parts of the world. On the other hand, the Dubai Gold Trade Companies specializes in trading gold and other precious metals and is holding gold accounts.
Income Tax Laws: Companies that have their business in Dubai must have a complete set of Memorandum and Articles of Association. These provide all details about the nature of the business, its nature of business activities, shares held by the partners and directors, capital, working capital and other relevant financial norms. All income tax regulations that apply to UAE are also applied to the people who own companies that operate within the emirates. Companies that operate within the emirates have to register with the designated government agencies and obtain permits before they can start trading or selling their products. The permits and documents are necessary to conduct all their business transactions and comply with all legal requirements and standards.
Company Formation in Dubai: Companies that wish to open an office in Dubai can either choose to open a branch office or an individual office. There are no restrictions or requirements for the size of the office and there is no minimum capital requirement for establishing a business in Dubai. However, companies must have the consent of the authorized authority to establish a direct trading company or a limited liability company. A qualified and licensed attorney must be involved in every stage of the company registration process. Companies that are not registered will have to pay the necessary taxes and penalties to the government authorities.
Full Time Office Setup: Companies that wish to set up a branch in Dubai may either hire an accountant or conduct the entire setup on their own. Companies that conduct the setup themselves have the advantage of choosing an existing structure that is proven and certified. However, if the Company Formation in Dubai is to be conducted by an accountant then he must follow the Company Formation procedure as prescribed by the Companies House. Once the Company Formation in Dubai has been finalized, the new business entity will be provided with an address of permanent office. Companies have to follow all legal formalities and pay the necessary taxes and penalties to the government authorities.
Registration of Ownership: To prevent any confusion while dealing with business structure in Dubai, all Companies must be registered under the Companies House. Companies House has formulated a process that allows all interested parties to apply for a Company Registration in Dubai. The application can either be done personally or through a corporate representative. Once the application has been made, the Companies House will provide a timeframe within which the desired Company Registration will take place. Michael tell that companies will then receive all the necessary documents and information and once all the necessary papers are received, they can immediately start trading or doing business in Dubai.