100% company foreign ownership in UAE starts from June 1st, 2021.
Foreign companies and corporations will no longer require a UAE national to operate a business in the United Arab Emirates
Previously licensed businesses in the UAE can amend their statuses according to the new amendments to the UAE Commercial Companies Law.
According to UAE’s Commercial Companies Law (CCL), foreign shareholders were limited to owning a maximum of 49 % in an LLC operating as an onshore UAE business. This required a local Emirati to hold 51% as a local sponsor.
The amended law allows natural and legal persons to establish and own 100 percent stake in their companies, regardless of nationality. However, the law will not apply to some companies that are excluded based on decisions by the cabinet and those that are either wholly owned by federal or local governments or their subsidiaries.
Dubai has also recently launched the Virtual Company License, which is a new directive that enables overseas entrepreneurs to digitally establish a business in Dubai, without acquiring a residence in the city. Application of the new virtual license in Dubai is open to foreign businesses from over 100 countries! It covers main sectors including creative industries, technology and services.
Abdulla bin Touq Al Marri, Minister of Economy, commented "The amended Commercial Companies Law aims at boosting the country’s competitive edge and is a part of the UAE government efforts to facilitate doing business."