Company Name Registration Procedure in Dubai Mainland

Dubai is an important economic centre of the UAE that continues to attract enterprises and business owners from all over the world due to its beneficial business environment and strategic location. 

If you're thinking of forming a business in Dubai Mainland, one of the major steps in the process of company name registration. 

In this write-up, we will discuss in detail the company name registration procedure in Dubai Mainland.

Before diving deep into the procedure of registering a company name for your business in Dubai mainland, let us understand a few concepts.

What is a Trade Name?

A trade name is a name given to a company for its operational purpose. Often, it is referred to as a fictitious name or doing business name. The trade name is the name the public sees, like signs and the internet. In Dubai, business name registration is the third step of the registration process.

What is a Legal Name?

A legal name is the name of an entity or person who owns a business. A legal name must be registered with a state government and include a proper ending, such as an LLC or LLP, after the title. The government uses the legal name for communication purposes.

Government Authorities Involved in Trade Name Registration Process

  1. Department of Economic Development (DED):

The Department of Economic Development (DED) is the government body authorised to set and drive the economic agenda of Dubai, UAE. The DED buttresses the structural transformation of Dubai into a diversified, innovative, service-based economy that aims to improve the business world and accelerate productivity growth. The DED and its agencies develop economic policies and plans, identify and support the growth of strategic sectors, and provide services to local and international investors and businesses.

  1. Department in the Ministry of the Economy:

The Department in the Ministry of the Economy helps in the development of national industries, imports, and exports. Regulating the Small and Medium Enterprises (SMEs) sector and encouraging entrepreneurship. Protection of consumer rights and intellectual property rights. Trade Mark registration is done by the department in the Ministry of the Economy, and the department makes further enquiries about a trademark of economic development.

The Company Name Registration Procedure in Dubai Mainland

A good company name holds a lot of importance because your company's name portrays its identity, defines its objectives, and plays an essential role in advertising. 

To achieve such a name, it is vital to understand and follow all of the steps involved in company name registration in Dubai, which are explained below –

a) Choose a Name Based on Rules and Regulations:

A company name should be selected based on the rules and regulations. DED has a right to cancel the name if the business name does not follow any of the rules mentioned below.

Rules and Regulations for Choosing a Company Name - 

  • The company name should reflect the business activity.
  • The company name should not be reserved by copyright by a similar business in Dubai.
  • The company name shouldn't contain indecent words.
  • The company name should not hold God's name.
  • A few words are not accepted, such as Emirates, City's names, Districts and Airports codes of Dubai.
  • Names of continents and countries should not be used in trade names; however, nationalities can be used as a company name.
  • A business name cannot begin with either International, Middle East, Global, etc. or translated names.
  • A business name shouldn't contain abbreviations of Government Organizations.
  • A business name cannot partially or fully contain any of the active global brands like Apple, Samsung, Kia, and so on.
  • The company name shouldn't contain any sign of sectarian religious organisations or global political organisations, for example, the FBI, Vatican and so on.
  • The subsidiary's name cannot be similar to the parent company's name. However, suffixes and legal names are not considered as a part of a name.
  • Terms like "ME" and "CO" are restricted for individually owned companies unless they come as part of a word like "LCME Trading" or "ACTO Services."
  • Family names can only be if the first name is included and must be the name of one of the proposed shareholders.
  • Titles should be written literally and shouldn't be translated. For example, If the Arabic name is «العاليــة الســماء», then the trade name should be written as "Al Samaa Al Aalya".

2. Check the Availability of the Company Name:

After choosing a name for a company in Dubai, you need to check the availability. You can check the availability through public service offered by the Local Ministry of Economy.

3. Reserve your Business Name:

This step is crucial in case you need a trade license for your economic activity. To obtain the license, you have to reserve a business name by obtaining the permission of the DED in Dubai. Foreign investors can send online the application for the company name approval or submit it to the Department of Economic Development in Dubai (DED). For more details about reserving the company name, you may contact Agents in Dubai.

4. Make the Payment:

Payment can be made online or offline based on the user's convenience. You have to pay business name reservation fees within 72 hours of receiving the payment voucher. A company name certificate is valid for six months, and A company name certificate that has already expired should be reserved again. All fees should be paid.

In conclusion, a company name registration in Dubai Mainland is a major step in setting up a company in this generation of a growing economy. Making sure that you choose a company name and follow all the company name registration procedures according to the rules and regulations of the Department of Economic Development is very important for smooth business operations and further company formation steps.

It is beneficial to consult legal and business professionals who will help you with the registration process and guide you with the right information. One such consultancy firm is Commitbiz. It is a company which guides you in setting up a business from scratch. Choosing a Company name involves so many rules and regulations. Don't worry about that; we are waiting to help you! Feel free to contact us.

FAQs

Which authorities are responsible for trade name registration in Dubai?

The authorities responsible are as follows:

  • Department of Economic Development

  • The Ministry of Economy.

From where can we check the availability of our chosen Dubai trade name?

  It can be checked through the offered public service by the local Ministry of Economy.

For how much duration is the trade name certificate valid in Dubai?

It is valid for six months.

When should the Dubai business name registration fees be paid?

 It should be paid within 72 hours of receiving the payment voucher.

What kind of ending does a legal name should have in the Dubai Emirate?

 A legal name should have an ending like ‘LLC’ or ‘LLP’.