Can company owners get 100% Ownership In the UAE? Previously, foreign investors who wanted to own 100 percent when doing a business setup in Dubai mainland had to find a national partner. In such a scenario, the national partner holds 51% of the company while the foreign investor holds the other 49%. Now, with the emergence of 100 ownership in the UAE, foreign investors, entrepreneurs, and businessmen can enjoy the benefits of 100% ownership in their companies.
122 Categories of Companies
While the UAE is getting closer to 100% foreign ownership, there are still many questions to be answered. The new law will only be available to companies with a minimum capital investment of millions of Dirhams in the local bank and a sponsor in the UAE. It will also affect early-stage companies. Until now, foreign investors have been limited to operating their businesses in the free zones. Now, the law will allow 100% foreign ownership of some sectors.
The UAE Cabinet has made it possible to allow 100 percent foreign ownership in listed business activities. However, the percentage of foreign ownership for each individual Emirates varies. As a result, companies registered in Dubai are eligible to be 100% foreign-owned. However, if a company is owned by the government, then the law will not apply to it. In other words, if you’re planning to incorporate a company in Dubai, you’ll need to incorporate it in Dubai’s mainland.
Procedures for Obtaining 100% Ownership
The Department of Economic Development, better known as DED, is the body responsible for the approval of industrial activity and business proposals. These entities have issued guidelines and orders that are followed by businesses and individuals wishing to obtain 100% ownership in Dubai Mainland. The Department is accessible through its online platform or service channels. The new law has simplified procedures for foreign investors.
If you’re planning to business set up companies in Dubai, get in touch today.
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