Business Setup

How to Form an LLC in Dubai: Step-by-Step Guide

Published 26 Jul 2026 · 2 min read

A Limited Liability Company (LLC) is the most common mainland structure for businesses operating in Dubai, and since the ownership law reforms, most commercial and industrial activities now permit 100% foreign ownership without an Emirati partner.

The core steps

Forming an LLC in Dubai through the Department of Economy and Tourism (DET) generally follows this sequence: reserve a trade name, get initial approval for your chosen activity, draft and notarise the Memorandum of Association (MoA), secure an Ejari tenancy registration for your office premises, then submit for the final trade licence. Certain activities still require additional external approvals (from ministries or regulatory bodies) before DET will issue the licence — confirm this early for your specific activity.

Ownership and management structure

An LLC can have between 2 and up to 50 shareholders (a single-owner LLC is also possible in Dubai under current rules), each liable only up to their share capital — the core benefit that gives the structure its name. A manager, who may or may not be a shareholder, is appointed to run day-to-day operations and is named on the licence.

Costs and timeline

LLC formation costs include the trade licence fee, MoA notarisation, Ejari, and any activity-specific external approvals — model your specific case with this site's Business Setup Cost Calculator and Formation Timeline Estimator rather than assuming a fixed figure, since costs vary by activity and office size.

Frequently Asked Questions

Can a single person own a Dubai LLC?

Yes — Dubai permits a single-owner LLC under current rules, in addition to the traditional multi-shareholder structure, giving solo founders a limited-liability option without needing additional shareholders.

Do I need a local Emirati partner for a Dubai LLC?

For most commercial and industrial activities, no — 100% foreign ownership is now permitted following the UAE's ownership law reforms. A small list of strategically sensitive activities still requires Emirati participation; confirm your specific activity with DET.

What is the Memorandum of Association?

The MoA is the legal document setting out the LLC's shareholders, their ownership percentages, management structure and core governance rules — it must be drafted and notarised as part of the formation process before the trade licence can be issued.

How is an LLC different from a free zone company?

An LLC is a mainland structure that can trade directly anywhere in the UAE without restriction, while a free zone company is generally tied to operating within its own zone unless it sets up a separate mainland branch — this site's Free Zone vs Mainland Tool covers that broader decision.

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