Recognized for its hospitable business climate, progressive laws, etc. Dubai has grown significantly as a major international business hub over the years. There are various types of company formations in Dubai. A civil establishment or civil company is one among them. A civil establishment is a partnership of two or more people that provides professional services like those of doctors, engineers, lawyers, consultants, and accountants. Qualified foreign ex-pats are able to create a civil corporation in Dubai. Piggybacking on the previous article, this article is opening more doors to establishing a civil firm in the heart of Dubai. Browse through it.

How can I form a civil company?

While it is supposed to be straightforward, establishing a civil company can be challenging for foreigners who are unfamiliar with business registration in Dubai. Some business owners employ skilled business setup consultants to assist them. A trustworthy business consultant like Al Arabiya can assist you in hassle-free business formation. Here is an easy step-by-step guide to setting up a civil company in Dubai.

  1. Decide on a professional activity: The first step in forming your civil corporation will be selecting your business activity. A wide variety of professional roles that fit your background and experience will be available to you. Doctors, engineers, lawyers, accountants etc are some of them to mention a few.
  2. Obtain Business Name Registration: The name of your business is important! Before submitting your chosen trade name to the Department of Economic Development (DED), make sure it is available and free of obscenities.
  3. Obtain DED approval: The following list of important documents should be submitted for this.
  • Application for initial approval in detail
  • Certificate of Trade Name
  • Passport copies for each partner, as well as the local service agent.
  • A written agreement between the professional and the UAE national who will serve as your local service agent.
  • An agreement between local partners specifying the financial, profit-sharing, and ownership details.
  • A leasing contract issued by the Land Department.
4. Obtain a licence: You will receive your license once you’ve submitted your application for a civil company licence in Dubai and paid the necessary fees!

Important Factors to Keep in Mind When Creating a Civil Company in Dubai

If you want to get the most out of your new business, pay close attention to the following things:
  • Your company’s commercial endeavours must be reflected in your trade name.
  • You are free to expand or incorporate a branch of an established franchise since Dubai allows civil corporations to have several branches. Additionally, anyone may buy or sell a civil firm or branch; the owner, however, may alter the company’s legal structure.
  • Professionals of any nationality are free to organize civil companies and pursue their careers.

Differences between an LLC and a civil company

It is important to understand the difference between a civil company and a limited liability company. The Local Service Agent receives a Fee in exchange for his or her services but has no ownership position in the civil corporation. In a limited liability company, the corporation’s responsibility is constrained by the law. Although the two types of businesses have some structural similarities, in the event of liquidation, the differences are obvious.

How can we assist you in forming a civil company in Dubai?

Al Arabiya is here to help you with every step of the establishment of your business. We can help you with everything from starting your business to grabbing your visa. Our team of knowledgeable and experienced experts is committed to helping you understand the ins and outs of forming a civil company in the United Arab Emirates. Call us if you want to learn more!