A General Partner Company in Dubai implies a company owned by two or more partners, who bears unlimited liability, i.e., are responsible for the company's debts and obligations in a personal capacity. They also enjoy the entirety of their profits. This type of company can be opened by UAE nationals only. Each general partner has an equal right to participate in the management and control of the business.
A partnership may dissolve in the event of withdrawal, bankruptcy, insanity, or a partner's death. The partnership may, however, be continued if the rest of the partners unanimously ratify it. Such a decision must be duly filled in the commercial register.
The name of a general partner company may be a particular trade name or may include the names of actual partners. Its management may consist of 1 or more managers who are UAE nationals and who may or may not be partners in the company. In the interest of a partner, a partner can be moved as specified in the partnership agreement or with all partners' approval.
Features of a General Partnerships Business in Dubai
Some of the important characteristics of a General Partnership Company are as under:
- Administration of the firm must be with all partners, except in the case where it is assigned to a partner or a non-partner, through a separate contract.
- Each general partner may hold any number of shares. There is no minimum or maximum holding for any partner.
- The business can appoint a manager according to the Dubai Department of Economic Development (DED) business regulations.
- In Dubai, a general partnership business may have more than one branch, with each branch carrying out one or all of the business activities, as mentioned in the business license.
How to Register a General Partnership Company in Dubai?
The steps to register a partnership business in Dubai are :
- Select a name for the company. The name of the company shall comprise all partners or limited to the name of one or more partners. In case there already exists a company with a similar name, the word is to be added to modify the name. Further, the company may be given a unique trade name.
- The partners should apply to the Registrar through an application for the registration form. The form must be completely filled in and signed by each partner.
- The form must include:-
- The General Partnership name end with the word ‘Partnership.’
- The registered office address of the General Partnership
- Name and address of each of the partners of the General Partnership Firm
- Nature of business to be conducted
The DED will ask for additional information for submission
- On reviewing the application for the registration of partnership business, the registrar will approve the commencement of the business
Here are the documents required for submission to the Dubai Department of Economic Development -
- Passport copy and valid IDs of partners and managers
- Certificate of initial approval from the DED
- Document showing the official address of the company
- Name registration certificate of the Company
- NOC signed by all the partners
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