In Dubai, the most popular company’s legal or structure is the tried and trusted Limited Liability Company (LLC) structure.

An LLC structure in the UAE is an independent legal entity that is owned by multiple shareholders. But there are a lot of good reasons why LLC company formation in Dubai is so popular. Not only the setup process of LLC is fast and affordable, but also the LLC structure enables entrepreneurs to trade directly with the local market in Dubai.

So, if you are planning to start a business and are still considering different structures of company setups, here are the most significant reasons LLC company formation in Dubai is the best.

Limited Liability Protection

Perhaps the main reason behind the popularity of Limited Liability Companies in the Dubai mainland is that it provides complete personal protection from liability to the entrepreneurs. So, if in case anything goes wrong and the business gets into trouble, you will not be personally liable as the owner or shareholder. In total, your liability will be capped up to the amount that you have invested in the business. Thus, you will be protected from liability for any bad debts or court injunctions that are incurred by the limited liability company – as it is regarded as a separate legal entity.

Low Setup Costs

LLC formation in Dubai is also very attractive to first-time entrepreneurs, not just because of its low cost of setting up, but there is also no need for paid upfront share capital.

Great Tax Breaks

When it comes to talking about different methods of company formation in the UAE, LLCs are popular because of the incredible tax environment. In short, LLCs in the UAE are 100% tax-free which means paying no matter what your profit is.

Range of Permitted Business Activities

Unlike some other company formation types, LLCs enable you to undertake a broad and extensive range of business activities. Entrepreneurs of LLCs can apply for the license to trade in any of the 2,000 activities ranging from agriculture to finance that have been permitted by the DED. Also, you can list as many as 10 related activities under one LLC trade license in Dubai.

No Restrictions on Office Locations

Unlike free zone companies, LLCs in Dubai are permitted to trade directly with the local market. So, you can take on the office space and set up your business anywhere in Dubai mainland.

Need to start an LLC company in Dubai? To setup speak to Shuraa’s business setup consultant for free, as we help you form an LLC company in the most secure and easy ways. https://www.shuraa.com/book-free-appointment/

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