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Onshore Company Establishment & Registration in UAE | Hire Expert Lawyers in Dubai

The United Arab Emirates (UAE) is known for its favorable business environment and strategic location, making it an attractive destination for entrepreneurs and investors.

To establish and register for an onshore company in the UAE, the following steps must be taken:
1. Choose the Appropriate Legal Structure: The first step in setting up an onshore company in the UAE is to decide on the legal structure that best suits your business needs.

The most common legal structures are:
a) Limited Liability Company (LLC): Suitable for most businesses, an LLC requires at least two and up to fifty shareholders, with liability limited to their respective shareholdings.
b) Sole Establishment: Ideal for a single owner, this structure provides full control, but the owner bears unlimited personal liability.
c) Civil Company: Suitable for professionals like doctors, lawyers, engineers, etc., who wish to offer their services as a partnership.

2. Choose a Business Activity: Determine the specific activities your company will engage in. Different activities may require approval from various government departments, so it is crucial to choose the correct business activity during the registration process.

3. Local Sponsorship: For an onshore company, you will typically require a local sponsor who holds 51% ownership of the business. This local sponsor can be an individual UAE national or a UAE-owned company. While they have ownership rights, profit-sharing, and other arrangements can be agreed upon in a legal contract.

4. Trade Name Registration: Select a unique and appropriate trade name for your company and have it approved by the Department of Economic Development (DED). Ensure that the name complies with UAE naming conventions and does not violate any trademarks or copyrights.

5. Memorandum of Association (MOA) and Articles of Association (AOA): Prepare the MOA and AOA, which outline the company’s structure, activities, and rules governing its operation. These documents need to be notarized by a notary public in the UAE.

6. Obtaining Necessary Approvals: Depending on your business activities, you may need approvals from various government departments or regulatory bodies. For example, some industries require approvals from the Ministry of Health or the Telecommunications Regulatory Authority.

7. Rent Office Space: To register your onshore company, you need a physical office space. This office space must comply with the requirements set by the DED and be located in a designated business area.

8. Apply for Registration: Submit all the required documents, including the MOA, AOA, trade name approval, and other relevant paperwork, to the DED for company registration. Pay the necessary fees at this stage.

9. Obtain Licensing and Permits: After obtaining the initial approval, you need to apply for the relevant licenses and permits to operate legally in the UAE. The requirements vary depending on the nature of your business.

10. Get Your UAE Residency Visa: As a shareholder or partner in the onshore company, you can apply for a UAE residency visa. This process requires a medical examination and other documentation. Establishing an onshore company in the UAE can be a rewarding venture, given the country’s business environment and access to a diverse market.

However, the process of company registration and incorporation can be complex and time-consuming. With careful planning and adherence to the legal procedures, you can set up a successful onshore company in the UAE and tap into the numerous opportunities it offers for business growth and expansion.

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