mike-7
Provide all ISO certification services and business setup services .
Source: http://www.exsolutiongroup.com
The Limited Liability companies have been around since the late 70’s but only recently have they become a popular format for the small-business owners. Business setup services in Dubai have the capacity to help organisations wanting to become an LLC. LLC is a hybrid format that combines features of partnerships and corporations. You can enjoy liability protection without having to remit double the tax. The earnings and losses are passed on to your tax returns. Indeed, this one of the many advantages of being an LLC. However, on the flipside there are some disadvantages. The purview of this article is to enumerate the various advantages and disadvantages of the Limited Liability Corporation (LLC).
Advantages
Limited Liability
This means that you will only have to risk the capital that you’ve paid into the business. Your personal assets won’t be going down when there are business debts or liabilities that are due. However, if you were to give a guarantee on a debt, then you are relinquishing you limited liability
Simplicity
This is simplicity with regard to tax. Like said earlier, this is great because all profit and returns are reported on to the owner’s personal returns. There will be no separate business tax imposed on you, unless of course there are more than one member, when the taxations resembles that of a partnership. Since there exists no double taxation both the business and shareholders are not taxed.
Flexible
There are entities called “members”. These are equivalent to the shareholders and can be anything from an individual, shareholder, or a corporation itself. Management can be shared with these members and when you are at a situation where thing s are going awry, you can rely on the expertise of these members to help you get through it.
Distribution
Unlike other corporation structures, distribution of profits and losses are not dependent on the proportion of the money put in by each individual. This advantage means that everyone is equally given responsibility of profits and losses.
Disadvantages
Stock
If you plan to create a company based on money being raised through the public or investors, then the LLC should not be the one you’re aiming at. It is so because these people would like to get some stocks and shares in their hands that you might not have in good supply. When you do decide to give a percentage of the ownerships to outside investors, you must decide whether they’ll be part of the management team.
More than one
Sometimes according to where you are, you will need to be having more than one member of an LLC. If that is the case, then there will be certain amount of friction between either two parties.
Incentives
This is the case when you want to give incentives to your employees so that they do a great job. You cannot motivate with monetary benefits to a great extent as there are no way you can deduct the costs of a benefit. Since there are no stocks either, you can’t use that either.
The Paperwork
The LLC will have to file articles of organization with the corporation of Dubai, and will also have to draft an operating agreement listing member’s rights as well as the responsibilities. There is further more paperwork for employer ID (relatively easy), quarterly reports, withholding, and tax deposits (protracted). It is not essentially impossible but it is hefty.
Taxes
Depending upon the country or the state that you are in, you will have to pay taxes on being an LLC. One of the types of taxes that you will pay is the self-employment tax. The self-employment tax is levied on your profits instead of your salary.
**
Advice**
It is best if you were to make this decision gradually as possible and not something that you should do alone. Taking an advice from a specialist will help you a lot in choosing whether to become an LLC or not. There are several business setup services in Dubai who are comprised of business setup consultants who can heed you with the perfect advice and help you setup your business.
Setting up your company off shore has several advantages over other forms of company setup in Dubai. Offshore companies are often preferred because of how discreet they are compared to other forms of companies that are there in Dubai. Locations where you can setup offshore companies are located in three specific areas in Dubai – Jemel Ali (which is in Dubai), Ajman, and Ras Al Khaimah. This article will look into the details of the one in Jebel Ali and what are the perks associated when you create an off shore company.
Let us enumerate the benefits of setting up an off shore company in any of the three locations:
In a nutshell those who want to setup their company in an offshore location will be able to avail:
Confidentiality of Shareholders
Those who chose to setup in Off Shore Locations are usually practicing;
Investments
When you want to register the company in Dubai, you will require a registered agent to work with you. This registered agent will help you with registering of the company. The government will levy charges before you can become a registered off shore company in Dubai. But overall those companies which are there off shore can relax because of the level of anonymity that they are able to gain.
That being said, there are certain things that you are not allowed to do when you are operating off shore.
Companies operating in off shore are not able to trade within the United Arab Emirates.
Companies operating off shore are also not able to rent local premises in the UAE.
The Jebel Ali Free Zone was setup with the intention of it becoming a coveted destination for international business. Therefore, it is fitted with a multitude of features and incentives for companies to coalesce into the area: a strategic location, state of the art infrastructure, and logistical framework. Furthermore, Jebel Ali allows is one of the world’s best service driven and customer centric locations, where one is extricated from the vexing government restrictions, and brings about an environment that is perfect for structured growth. This is the perfect location if you were planning for a company setup in Dubai. Jebel Ali holds the distinction of being the first Free Zone to be ISO Certified, which it got in 1996.
The Free Zone is located halfway between the major routes connecting Europe, Africa and Asia and thereby it provides all its clients with access to a customer base of 2 million people. From this location, all the major business destination in the GCC, UAE and the Middle East are mere hours away. From its humble origins from 19 members, it is now home to more than 7000 companies’ from over 110 countries.
The location of the free zone, a mere 45 minutes’ drive away from the Dubai International Airport, and located right next to the Jebel Ali Port, the free zone is perfect to gives its occupants access to people in the rest of Asia, South Asia, Africa, Singapore and other locations. Moreover, it is well connected to land through modern highways, and therefore is perfect for company setup in Dubai.
The companies that are here in the Free Zone today, 40 % of them are from locations in the U.S., Europe and the Far East. All these western companies are here because of the range of facilities that are offered here in the Free Zone such as the modern warehouses which are pre-built, office spaces of various sizes to accommodate myriad companies, and with extensive plots of land reserved for companies who would want to setup their HQ or Manufacturing Company in Dubai.
Apart from these benefits, with a Jebel Ali Free Zone Company Setup in Dubai, you’ll have these more benefits:
There are several advantages to having your company setup in Dubai, but to have your company setup in the Jebel Free Zone will get you many benefits.
If you have decided upon a business setup in Dubai, then there are several processes that you need to initiate first before getting the license.
Dubai is an ideal location to start your business because of its status as one of the world’s premium business hubs. It has come a long way from being a small fishing village, and into becoming one of the biggest attractions for tourism and business. The world class infrastructure and business opportunities are enough to attract companies from all over the globe, and there several things that need to be done for a successful business setup in the mainland, and several factors that influence the pace of the setup. One of those factors is what legal form that you are going to take:
The Department of Economic Development Dubai is the authority in charge of the business setup in Dubai. It oversees everything from business registration, mainland license, commercial compliance, and consumer protection to mention a few.
In order for you to get your business setup in Dubai, you will have to find a proper local agent, who will be your local sponsor and will own 51% of the share of your company. Now, this might seem like an inherent disadvantage, because you would not want a stranger to meddling in the affairs of your business. Therefore, it is possible for you to get complete control of your business.
When you need to create a business in the mainland, then you will need to have an office address that is verified by the Dubai Municipality. Although this criterion can be optional in some cases, mostly it’s not so, and it is the responsibility of the ones who want to setup to have a tenancy contract ready before registering a license.
There are certain companies and business types which will have to acquire special approval from the authorities to get their business to be setup. These industries are travel & tourism, engineering consultancy, educational services, monetary exchange companies, healthcare, RTA.
The case for most companies wanting business setup in Dubai involves going through six distinct steps which can be surmised as:
There are plenty of advantages to being gained if you choose to setup your business in Dubai:
Offshore Company Setup in Ajman had started out late in 2014, and it comes under the jurisdiction of the Ajman Free Zone Authority. Offshore company setup in Ajman is noted for how relatively cheap it is compared to other Free Zones. Although trading with the mainland is not permitted, shareholders can invest in UAE companies.
Features of Offshore Company Setup in Ajman
No Residence Visa for Founders and Directors
Documents required for the formation Offshore Company Setup in Ajman
Individual Shareholder Type:
Passport copy of each shareholder
Original Bank Reference
Corporate Shareholder
Incorporation Certificate of Parent Company
Passport Copies
Activities allowed in Ajman
Holding Company
Property Owning
Advantages of Offshore Company Setup in Ajman
Quick and cost efficient registration process
Located in Ajman, the Free Zone is one of the most coveted destinations for businesses to set up their company along with a lot of incentives. One of which is the fact there is a greater deal of economic freedom and liberal policies here compared to all the other Free Zones. The port of Ajman makes the Free Zone accessible to markets in both the west and the east. There is state of the art infrastructure available where you can leverage advanced communication facilities to help you build your business forward.
If you were to set up your company here in Ajman, you’ll be able to avail several benefits for your business. One of the best business advantages that you’ll be able to obtain will be the usage of the warehouses and the storage facilities. In fact, the Ajman Free Zone is in the process of building ‘smart warehouses’ so to speak which has a whole host of new facilities for you.
The Seaport itself is another great advantage to be had for it is one of the most used convergence points for thousands of vessels every single year. There are several seaports that are accessible via trade routes over water located in the emerging markets of Africa and Eastern Europe.
Another thing to remember about Ajman is the fact that they are able to process your licensing and registration easily and quickly. Additionally, these are the things that you can take advantage of:
Ajman Free Zone is growing even faster than before and Is finding itself to be a less costly alternative to the ones in Dubai, it would be a very wise decision for you to start your company here.
Dubai South is one of the most ambitious projects ever conceived, not just by the government of Dubai, but anywhere else in the world. The Dubai South is a long-term investment that is built to reach its complete operational capacity by the time the Dubai Expo 2020 arrives. This grand ambitious project comes with many incentives for businesses who are trying to find the right location to invest their fledgling business in. One of the grandest projects ever undertaken, the Al Maktoum International Airport is found in the midst of this location.
Indeed the location is divided into three distinct regions where there are different rules which are applied.
The Aviation District: This is where you can establish yourselves if you are an industry that is dealing in the aviation business. You can establish your business here whether you are in manufacturing, training, maintenance, R & D, design, and consultancy, or any area whatsoever, as long as it is related to the aviation industry, you will find a place here to settle your business ambitions.
The Logistics District: As Dubai South is connected to all the major locations in the rest of the UAE through the land corridor, and to all the major trading hubs in the rest of the world through air and sea, it is the best place for logistics. If you are looking to facilitate such a business, then this is the probably the best place in the world for you to start up your company.
FreeZone Business Park: This is located near the entrance of Dubai South and is a location where you will be able to operate your business by settling in locations where there is state of the art technology and offices that are leased out at extremely competitive rates for companies who want to establish their business as Free Zones over here.
The enormity of the project can be confirmed by the fact that it is estimated by the government that the place will be home to over a million people here by the time it completely finished and will be able to provide employment to 500,000. Sheikh Ahmed bin Saeed said that it is going to set the benchmark for the rest of the Emirates.
If you are looking to get your business setup here in Dubai South, here are the benefits you will receive:
The location, the business-friendly environment and the low cost real-estate makes Sharjah one of the more attractive places to setup business in the UAE. You have several kinds of business setup in Sharjah, actually, there are seven major types of business that can be setup in Sharjah. The purview of this article is to enumerate the seven businesses types that can be and the legal definition business types so anyone looking to establish their business in Sharjah can use this article as a reference for business setup in Sharjah.
** Limited Liability Company**
A limited liability company is one where the liability is shared between partners. The maximum amount of partners permitted is 50 while the minimum is about 2. Each person is only liable to the extent of his shares in the firm or capital. However, it is mandatory to have an U.A.E. partner who also needs to keep a minimum share of not less than 51% of the capital.
Partnership Company
A partnership company is one where two or more people are liable jointly to all the shares of the company’s liabilities. All the partners here should be U.A.E. Nationals.
Local Service Agent License or Business Partnership License
These are individual establishments that are owned only 1 person and they are created for the purpose of practising an economic activity. The financial liability of that establishment only extends to the owner as he is the only person who bears all the responsibility.
If the owner is someone who is not an Emirati or a G.C.C. national, then the license should be regulated through a local service agent who is a UAE national, legal entity, and a natural person.
Branch of Foreign Company
For the purpose of a foreign company establishing a branch here in Sharjah, proper documents must be submitted so that the preliminary license approval can be made.
Local Company Branch
This is for companies that are established in any other emirate but want to establish a branch in Sharjah. This entails the company filing the proper documents and an application for preliminary license approval.
GCC Company Branch
An application must be submitted in order to get license approval for the setup of a branch. This entails all the companies from an established country in any of the GCC.
Private and Public Shareholding Companies
A pubic shareholding company is one where the share capital has been equally divided into tradable shares where each shareholder is only liable to their share in the capital. Anyone who signs the memorandum and the articles of association are considered founding members of the company. Public shareholding companies won’t be licensed unless there are 10 founders and the share capital is not less than 10 million dirhams.
For the private shareholding companies, the same rules apply, although few of the rules will be slightly different. Namely, the number of founders cannot be less than 3, the share capital should be less than 2 million, and the shares cannot be offered for public subscription.
