Frequently Ask Questions

A list of frequently asked questions to help you understand how it works.

No, UAE national sponsor is mandatory for all L.L.C. structures. U.A.E National will have 51% shares in the company.

Yes, generally a side agreement with local sponsor is followed; however, these are not valid in the court of law and can be used for the internal purpose.

Free zone companies can be fully owned by expatriate and no local sponsor is required There are restrictions in providing business services to main land areas of UAE, through a Free Zone company.

Free zone licenses are processed by respective free zone authorities whereas L.L.C. license are being processed by ministry of economic development and municipalities.

100% owned by expatriates

No income tax and 100% profit repatriation

Bank accounts in UAE

Complete confidentiality

Cannot conduct business activities in UAE

Yes, subject to the documentation and resolution by board of directors.

Activity is approved by the relevant license issuing authorities. Normally almost all activities are permitted, unless prohibited by the ministry.

Branch companies can conduct the activity in UAE, in line with the activity of parent company. Also this activity should be permitted to conduct in UAE. Branch activities will be consolidated in parent companies books of accounts.

Yes, UAE is completely free from income tax, vat etc.

Tax is being imposed only on some much selected activities in UAE.