Incorporation

A foreign entity can establish a business presence in the UAE in primarily in the following ways:
• A Limited Liability Company (LLC)
• A Branch Limited Liability Company (LLC) with GCC acting as the Local Service Agent and providing 100% Foreign Ownership of the LLC of a foreign registered company
• Professional Licenses that require add additional language
• Acting as an agent for distribution of products within the UAE
• Representative office of a foreign registered company
• A Free Zone entity in one of the many Free Zones in the UAE including entities such as a Free Zone Establishment (Sole Proprietorship)
• An Off Shore Company in either JAFZA Free Zone, RAK Free Zone or Ajman Free Zone
• A Special Purpose Company

For the purposes of establishment, it is necessary for companies (other than companies seeking to establish themselves in a Free Zone) to enter into an agreement with a UAE national or a company (LLC) wholly owned by UAE nationals. GCC Solutions is 100% Emirati owned LLC and can act as your corporate nominee sponsor to facilitate the legal requirements of operating a LLC within the UAE.

Limited Liability Company

This is the most commonly adopted entity for companies seeking to enter into business outside of a Free Zone in the UAE. Generally, at least 51% of the total shareholding in a limited liability company must be held by a UAE national or a company wholly owned by UAE nationals. There are certain other exceptions and rules that apply to particular industries that vary from Emirate to Emirate. GCC would act as the corporate nominee beneficial sponsor retaining 51% of the shares as a beneficiary ensuring that our clients retain 100% control of the operations of the LLC. The Managing Partners of GCC Solutions, Mr.. Ali and Omar Fikree are both qualified Civil Engineers and hold Master Degrees (with honours) from the University of Bristol in Engineering. As such GCC is able to facilitate the corporate beneficial sponsorship of companies seeking Professional Licenses in the business activities of General Contracting, Architecture, Engineering Consultancy, Interior Design and other professions that require the majority shareholder of the LLC to hold a professional qualification in Engineering as stipulated by the Municipality requirements i.e. Dubai Municipality or Abu Dhabi Municipality.

Local Service Agent

A foreign company can establish a federally registered branch, a federally registered representative office or a locally registered branch office. Federal registrations fall within the jurisdiction of the UAE Commercial Companies Law whereas local registrations fall within the jurisdiction of the relevant Local Order applicable in each Emirate. Branch LLC’s of a Foreign Registered Company can be 100% owned by a foreign company with the stipulation that they appoint a Local Service Agent that is either a UAE national or a company wholly owned by UAE nationals.

Professional Licenses

Many professional licenses require that a UAE national with a certain qualification act as the majority shareholder for either a onshore Limited Liability Company or a Branch LLC with a Local Service Agent. Mr. Ali & Omar Fikree both hold Master’s degrees in Engineering from the University of Bristol and GCC can act as the nominee sponsor to attain a professional license in the fields of Engineering Consultancy, General Contracting and Architectural Practices.In addition, there are several other Professional Licenses that require external approval from government authorities and GCC is well placed to assist your firm with swift approvals from the required authorities in the respective Emirate therein.

Free Zone Company

There are several Free Zones in the UAE, in which incorporation does not require any UAE national shareholding. Free Zone entities are not liable for import or export duties for goods imported into and exported out of the Free Zone, and are generally exempt from corporate tax for a defined period of time. A Free Zone entity can be a branch office of a foreign company, a Free Zone establishment, a Free Zone Company or a Free Zone Offshore company (in Jebel Ali Free Zone only). However, Free Zone companies can only conduct business with other firms in the Free Zone, and hence, they are essentially like offshore vehicles. Thus if your firm is looking to conduct business and enter into contract with companies outside of the Free Zone you will need to form an LLC in the applicable Emirate in order to comply with UAE national law and local regulations as stipulated by the applicable Emirate therein.GCC Solutions can advise you on the benefits of incorporating into a Free Zone as well as provide a comprehensive approach to choosing the right Free Zone for your legal and commercial needs.

Please click here for more information on our Free Zone company formation services in the UAE.

Offshore Company

There are three primary Offshore jurisdictions in the UAE to choose from including the RAK Free Trade Zone, JAFZA Free Zone and Ajman Free Zone. We work with all three jurisdictions as a registered agent and can provide Offshore company formation services to create a bespoke Offshore company that benefits from over 40 double taxation treaties (DTAAs) the UAE currently has in place as well as it’s status as a white listed independent jurisdiction for Offshore purposes. Moreover we provide our corporate beneficial nominee sponsored clients the service to create a Offshore company that can act as a holding company for companies under our nominee beneficial sponsorship which offers an additional level of security for our clients and their 49% shareholding within a Limited Liability Company under our sponsorship. Please click here for more information on our offshore company formation services in the UAE.

Special Purpose Company

Special Purpose Vehicle Companies can be setup in offshore jurisdictions within the UAE as well as in one of the many Free Zones including the DIFC. The DIFC is a popular choice for Special Purpose Companies as it affords shareholders protection up to their commitment of share capital, it provides an international environment for the company, the DIFC court system (separate and independent from the Dubai Courts) as a venue for dispute resolution and is specifically designed to be used in structured financial transactions.

Labour laws in the UAE

All non-UAE nationals who work and live in the UAE are required to hold a valid work permit and residence visa. The Ministry of Labour is responsible for issuing work permits and the Naturalisation and Immigration Department of the Ministry of Interior is responsible for issuing residence visas.Employers are responsible for applying for an employment visa for any incoming employee, which is valid for two years. There are several different types of visas available including an Investor Visa, Partner Visa, Family Visa and Employment Visa. Upon arrival in the UAE, the employee must obtain a health card and obtain a blood test. The Ministry of Labour will issue a labour card once results are clear, which will enable the employee to obtain a residence visa valid for two years. GCC can advise your company which visa(s) are suitable your executive leadership and employees.

Taxation

There are no taxes in the UAE. While there are laws pertaining to corporate taxation, these are limited to oil companies, resource related industries and financial institutions, though exemptions are sought and commonly granted or otherwise are not assessed for taxation by authorities.

Property

Foreigners are permitted to own freehold properties in the UAE where it has been designated as a freehold area by decree in each Emirate of the UAE respectively.

For more information on how we can help your company establish a presence in the UAE, please contact one of our local offices or one of our Global Account Directors to arrange a consultation.