One of the most difficult issues that prospective entrepreneurs must deal with when starting a company in the United Arab Emirates is the question of single ownership. Due to the fact that a local sponsor in Dubai is needed in order to undertake any commercial or industrial company activity on the UAE Mainland, this is the case.
Amendments to the Commercial Companies Law, which took effect late in 2020, made it possible for foreigners to hold 100 percent of a company. Even in the form of a Limited Liability Company (LLC). There would be no need for a local sponsor in Dubai, as a result of this. Consequently, international entrepreneurs wishing to establish a company in Dubai must be clear about the reasons for why they need the assistance of a local sponsor. This is due to the fact that they may be established with the assistance of local service agents and can be 100 percent foreign-owned. In contrast, if you want to engage in commercial, industrial, or trade operations in any of the emirates, you will almost certainly need the assistance of a local sponsor for business in Dubai, Sharjah, or Abu Dhabi.
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The following are the most important considerations when it comes to sponsorship:
In addition to getting access to the local market, working with a local sponsor for company in Dubai may provide you with a number of additional benefits.
Limited Liability Corporation (LLC) Limited Liability Corporation (LLC) Limited Liability Corporation (LLC) Limited Liability Corporation Companies that are established with the assistance of a local sponsor are exempt from taxation. Furthermore, as a foreign investor, you have the option to repatriate 100 percent of your earnings. Additionally, you may establish numerous offices across the UAE and get access to a variety of government initiatives.
Finally, partnering with a local sponsor for business in Dubai grants you the status of an investor in the United Arab Emirates. This allows you to apply for and acquire resident permits for you and your family members.
You can always rely on Generis Global to be there for you, from the East Coast to the West Coast and all the way to the Middle East.