Setting Up a One Person LLC in Dubai: Key Insights for Investors
UAE National entrepreneurs, instead of an Establishment (sole proprietorship) can set up a Limited Liability Company (LLC) in Dubai. The One-person LLC business setup in Dubai allows the UAE Nationals (Emiratis) to have full control of the company but gives the owner the benefit of limiting his liability in the entity. The Single Person LLC is a legally recognised business form in which the owner would be the only director as well as the shareholder of the company. Seeking the assistance of business setup consultants in Dubai gives the investors a simple route to complete the procedures of One-person LLC incorporation.
Before starting a One-person LLC in Dubai, the investors should give much thought into the legalities of incorporation which are detailed below.
a) Ownership of One-Person Limited Liability Company
As per the regulations of company incorporation in Dubai, a Single-Person LLC can be formed by a corporate body or a UAE national. An individual needs to be having UAE citizenship as per the laws and regulations to be the owner of a One-person LLC in Dubai. Also, a corporate body fully owned by UAE nationals can set up a Single Person LLC in Dubai.
The investor who owns the license of the One-person LLC will also be the shareholder. There is a provision to appoint a nominee director who will be having no power except in the situation where the owner as the director is incapable of entering into business contracts. Investors can ease the process of registering a Single Person Company by hiring experienced business set up specialists in Dubai.
b) Managers in One Person Limited Liability Company
The investors are allowed to appoint managers in the One Person LLC subject to the following conditions:
- Investors can appoint managers of any nationality
- The license owner can also become the manager
- A company should inform the licensing authority if the manager is ending the service and it should be notified 30 days from the date of the end of his service
c) Trade Name of Limited Liability Company
While reserving the trade name with the DED, the investors should follow certain guidelines. Some of them are:
- The trade name should be ‘Shareholders name plus business activity including the legal structure followed by the term LLC (Shareholder’s Name, general trading One Person Co LLC)
- Shareholder’s name can consist of two names at least in the trade name, e.g., the 1st name + the 2nd name or the nickname (consists of more than one name).
- The phrase owned by should be mentioned if the trade name doesn’t start with the name of the shareholder.
The investors can consult with prominent business setup specialists in Dubai to resolve any complexities related to reserving the trade name with the DED. The business setup consultants possess the legal expertise regarding business setup in Dubai and the incorporation process could be completed quickly.
Documents Required for Setting up a One Person LLC
- Attested copy of owner’s/shareholder’s passport
- Proof of residence
- Personal Profile of the owner/shareholder
- Name of the company that you are going to start
- Memorandum of Association (MoA) issued and authenticated by the notary public
- Details of the shareholders (if any)
Hire Experienced Business Setup Advisors in Dubai
Opting for One Person LLC business setup in Dubai provides a lucrative opportunity for the UAE nationals as it not only gives full control over the business but also limits the owner’s liability on the company. The process of setting up a One Person LLC in Dubai is nearly straight. Yet, having sufficient legal backup in the form of experienced business setup Consultants in Dubai such as Jitendra Business Consultants (JBC) saves the businessmen from unnecessary delays in obtaining the license. JBC offers the entrepreneurs efficient business set-up services in Dubai that cover documentation, getting approvals, bank account opening etc.
JBC has years of experience in setting up companies in Dubai as well as other emirates. Be it the mainland or free zone company formation in Dubai, JBC is one of the most trusted names in the industry. JBC incorporates companies quickly and cost-effectively which explains why both local and foreign businessmen put immense trust in the company’s services. JBC has a team of business setup consultants who with their impeccable legal know-how and experience dealing with the authorities simplify the process of business set-up in Dubai.