Establishing a business in Dubai is one of the most incredible adventures, but planning is necessary for a fast and smooth registration process. This Article contains every essential document and information covering the needs of corporate shareholders, both local and foreign.
Keep an Eye Before U Begin the Registration Process
Collect basic documents and information about individual and corporate shareholders, managers, and directors before starting the company registration process. Being prepared ahead of time can really save hours down the road.
Required Documents for Each Individual Shareholder and Manager/Director
- Passport Copy: It has to be a clear, scanned copy of the passport, valid for at least six months.
- Visa Copy (If a UAE Resident) : It is required only if the individual holds a UAE residence visa.
- Emirates ID (For UAE Residents): A valid copy of the Emirates ID.
- Home Address: Give full home address details in a proper format that distinguishes between UAE (residents) and individual(s) home country (non-residents).
- Contact Details: Such as mobile and email, and communication with the business for document submission.
Additional Requirements for Corporate Shareholders
When a corporate entity acts as a shareholder of a company, the documents that essentially require submission are as follows:
License Copy : A copy of the trade license of the corporate entity.
Share Certificate: A document evidencing shared ownership of the corporate entity.
Incumbency Certificate: The legal document that would confirm the current standing of the corporate entity, directors, and shareholders.
Board Resolution
A vital document person is the one who is empowered to act on behalf of the corporate shareholder. The resolution must clearly state that the individual is empowered to:
- The authority to open a company.
- Sign documents before the notary public in Dubai or anywhere in the UAE.
Important Note:
The biggest mistake clients tend to make is with the Board Resolution when they set out the scope of powers for the signatory.
Ensure that the resolution defines the powers of the signatory clearly to:
- Open a company.
- Sign contracts and legal papers.
- Represent the corporate shareholder in the offices of the notary public.
Corporate Shareholder Attestation Requirements Outside the UAE
Whenever a corporate shareholder is situated outside the UAE, the following steps must be adhered to:
Document attestation
All corporate documents, inclusive of License Copy, Share Certificate, Incumbency Certificate, and Board Resolution are to be:
- Attested by the MOFA in the home country.
- Further attested by the MOJ.
UAE Embassy Attestation
It also requires a stamp from the UAE Embassy in the corporate shareholder’s home country for final authorization.
The shareholders’ share structure
Determining the shareholding structure is extremely important as this decides upon ownership and control within the company. Some of the common examples are:
- 50%–50%: Equal ownership and shared responsibility.
- 60%–40%: One shareholder in control.
Hint: Document the agreed structure to avoid disputes in the future.
Profiles of Managers/Directors
- Appointment of Managers or Directors
- Shareholders hold the right to appoint themselves as managers or directors.
2. Signatory Authority in Banking
- Determine who will serve as the signatory for bank accounts and other formal matters. There is:
- Single Signatory: One person in charge of all company accounts.
- Joint Signatory: More than one person is involved to authorize a transaction.
- Either or Signatory: Any person from among the designated signatories can initiate a transaction.
The Memorandum of Association (MoA) signing regulations.
MOA is an important document that defines the company’s structure, business activity, and ownership. The following needs to be taken into consideration:
Setting up a mainland company (DED):
Physical presence required:
The MOA should be signed in person by the shareholders or their Power of Attorney (attorney-in-fact) holders.
Notarization of MOA:
Requires a notary to be public.
Setting up a free zone company:
- No physical presence is required:
- Shareholders can set up a company from anywhere in the world.
Digital signing of the MOA
Most free zones permit signing documents digitally, making it more straightforward for international investors.
Visa Requirements for Company Owners
Although opening a company remotely from free zones is possible, visa requirements compel the applicant to come to the UAE. The key steps are:
Biometric Registration
Complete the biometric verification in person.
Medical Examination and Visa Stamping
Undergo medical examination and have the visa stamped on the passport for final processing of the residence permit.
How RAS Corporate Advisors Can Help
Ras corporate advisors have functions such as establishing the organization in Dubai, an increasingly complex process involving receiving academic approval from the authorities, including corporate shareholders.
Among the diverse manner of assistance provided by RAS Corporate Advisors include:
Document Preparation: Documents on behalf of individuals and corporate institutions will be prepared according to the rule of law.
Resolution Guidance: The drafting of inaccurate board resolutions and even noncompliance will be avoided by supplying proper guidance.
Attestation Assistance: Liaison with MOFA, MOJ, and UAE embassies on proper document legalization.
Complete Service: View the whole process, from deciding the shareholder structure to applying for visas.
Start Your Business Goal Today!
Assistance is on hand for commencing establishing a Dubai-based company. RAS Corporate Advisors supplies expert advice specifically tailored for your business to set it in motion. Let us handle the complications; meanwhile, you focus on your business!