Sharjah is the third biggest out of seven emirates in the UAE. In addition to relying on natural gas as a source of income, Sharjah and its geographical benefits base its main economy on trading companies. Sharjah on the Gulf Coast and has three main ports Mina Khalid, Khor Fakkan on the East Coast and Hamriyah Port in the Gulf. Sharjah has plans to expand, despite its three main ports.
Sharjah offers great possibilities for investors from abroad. This is the only location with access to the ports on the eastern and west coasts of the Arab Gulf and the access to the Indian Ocean along with the direct links to North Africa. In Sharjah, there is access to open various types of companies by foreign investors such as Limited Liability Company, General Partnership Company, Joint(Venture)Company, Public/private Shareholding Company Partnership-en-Commendams, and Share Partnership Company.
Why Start LLC in Sharjah?
A Limited Liability Corporation (LLC) is the largest corporation in the UAE, established for commercial operation. A limited liability undertaking must be made up of at least two persons and a maximum of fifty persons whose liability is restricted to their interests in the capital of the undertaking. UAE nationals have a minimum equity of 51%. Foreigners need a local sponsor to set up an LLC in Sharjah. The allocation of income or losses may be delegated to regional, international partners, or third parties. Such companies' shares shall not be publicly owned, and they shall not issue negotiable securities. Under the Commercial Companies Act, LLCs can participate in a wide range of commercial activities, except banking, insurance, and third-party money investment, unless they receive prior approval from the UAE Central Bank / appropriate institutions. An LLC is a preferred platform or a Joint Venture between a foreign party and a UAE (national UAE partner) if the two parties are committed to a common business objective in the UAE. [Currently, DED has waived the requirement of providing capital confirmation from a local Bank].
Benefits of LLC Formation in Sharjah
- There is no limitation in the office working space requirement and recruiting process.
- Enables you to do business in any part of the UAE.
- The investor can become a business partner
- There are no limitations in getting employment visas.
- Easy to open international /local corporate bank accounts and avail credit facilities.
- Flexibility to rent office anywhere
- The investor obtains the investor visa under which he/she, along with
- his / her family enjoys the status of the investor in the Emirates.
- There is no corporate tax
- Foreign equity in the company does not exceed 49%, profit and losses can be shared at a ratio different from the share capital.
Procedure to Start a Limited Liability Company (LLC) in Sharjah
The procedures for registration consist of numerous phases, as described below.
- The first and primary step is to obtain the necessary approval of the trade name and to submit the Registration & Licensing Application Form [duly completed and signed by all partners] with DED, to obtain their initial approval for the LLC activity.
- Upon completing the trade names, legal affairs, and verification procedures, the buyer (applicant) approaches the licenses section to complete his transaction.
- The employee reviews and endorses the trade license data and makes the necessary changes to the current data and adds some if appropriate.
- Issuance of payment permission and auditing.
- License and registration certificates will be issued after payment.
Experts estimate a time frame of approximately 10 to 12 working days from the date of receipt of the relevant documents to complete the whole process and obtain the LLC license.
The documents mentioned-below need to be submitted to DED.
- License form Brand certificate
- Passport copy and National ID and UAE national identity ID
- We have certified no objection letter, a copy of the expatriate's passport and visa or residence, and identity card of the expatriate
- Technical assessment study reports Legal approvals if any
- Partnership contract (Memorandum attested by a Notary Public)
- Approval by the Ministry of Economy
- Approval of legal affairs
- Certified Lease Contract copy
- Map image or property certificate
With more than 13 years of industrial exposure and local knowledge, Commitbiz's trusted business advisors provide a forum for a smooth Sharjah Business Setup. We have a large team of enthusiastic professionals who help companies get strategic feedback on business plan planning, financial statements, and related services involved in starting up a company in the UAE. Ready to get started? And to know the various perks and advantages of business setup in Sharjah Mainland or even for a Sharjah free zone company setup, contact us now. We make Sharjah company registrations easy and affordable.