BUSINESS PARTNERSHIP IN DUBAI

12 June 2012
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Written by Administrator

Every business in Dubai needs a “Partner” except if you want to open a business in a free zone in Dubai. Usually, to open a business in a Dubai free zone requires a big capital. It is not a place for small businesses. The Partner MUST be a UAE national. A strong partner with lot of contacts and influence can be very useful for the business to start and run. Why? You will see many reasons throughout this page.

You have to pay an ongoing fee to the partner. There is a big chance that the partner may demand a percentage of the profit in addition to the fee.

Once you have acquired a partner, you have to register your business and obtain the Trade License. There are different rules for different business types. For an example, there are specific hygiene related rules to start and run a restaurant. It is not very easy to register a business in Dubai. You may have to seek your partner’s help to get your business registered. Language is a major barrier when dealing with government employees. Otherwise there is a big chance that the application will be rejected.

There are two types of Dubai companies open to incorporation for foreign investors or investors who are not citizens of the UAE. Depending on the business activity that the company wishes to pursue, the Dubai authorities will indicate the type of legal structure that the company can take. No matter what type of legal structure the company in Dubai assumes, the company will always require a local Dubai partner or a national or citizen of the UAE in one of two legal forms.

Last Updated on Thursday, 13 December 2012 05:47