Procedure for Company Formation in the UAE and Liability of Founders and Managers

Analytical articles from Real Law service

1. Company Registration in the UAE (Liability of Founders and Managers)

2. Procedure for License Amendments: Changing Address, Activity Type

3. License Renewal Procedure

4. Company Liquidation (Founders' Liability, Liquidation Process)

5. Procedure for Choosing a Company Form and Jurisdiction in the UAE

Review by Real Law

The formation of a company in the UAE requires compliance with certain legal procedures, depending on the chosen jurisdiction (Mainland, Free Zone, Offshore). Founders and managers are responsible for the process, which is governed by strict laws, including Federal Decree-Law No. 32 of 2021 On Commercial Companies. Below is a review of the main steps and legal aspects related to setting up a business in the UAE.

Stages of Company Formation

Choice of Jurisdiction and Legal Structure

Mainland. A Mainland company can operate across the UAE. There are no restrictions on the types of activities, and office leasing is permitted. It allows for 100% foreign ownership, though not in all sectors.

Free Zone.  Free zones are designated for specific...