Free zone company setup in Dubai

LLC company formation in Dubai: Is It A Good Idea?

LLC companies in Dubai have been getting attention, for all the right reasons. People who look forward to forming a company in Dubai prefer setting up an LLC company. You might be surprised to know that LLC company formation in Dubai is among the most preferred business setup services. These companies are affordable and quick to set up which has made people ditch the other options. There are companies that are offering services as fast as LLC company registration just in 3 days. However, you shouldn’t just follow a crowd just because everyone is doing it. You must know whether setting up an LLC company is actually a right decision. In this blog, I will share my views on setting up an LLC company and all the important aspects related to it.

The first question that comes to mind is whether Dubai itself is the right location to start a business. Sometimes, places are overrated and not that worthy in reality. So, before going ahead with the discussion, it is important to know whether your plan of an LLC company formation in Dubai is a good one. If we look at UAE, it connects the Eastern and Western countries together. Dubai is located at around six to eight hours flight distance from most of the leading countries. Hence, it can be said that it works as a bridge between the Eastern and Western parts of the world. That’s the reason why Dubai is a favorite destination for setting up a company among the entrepreneurs from all over the world. However, the question remains the same. Is an LLC company formation in Dubai a good idea? Let’s try to find it out by looking at some factors that matter:

Quick Setup

It is almost impossible to complete the process of setting up a company if you choose any other option except LLC. While other types of companies may take weeks you can complete an LLC company registration just in 3 days. You will be surprised to know that the time required for the registration process is going to be even lesser. You can easily complete it in as less as 90 minutes. What more can one expect? I have seen people going with different plans to business setup consultants and coming back with an LLC company on the cards. And, if you ask about the reason, they are gonna state the same thing: it takes less time to be formed! However, I would still suggest you to do more research and find out whether it fits your business requirements.


If there’s something new entrepreneurs are extremely concerned about, it is the total cost of setting up a company in Dubai. For outsiders, it may be a big deal because of the differences in currency values and other expenses that include shifting from one country to another, living expenses and more. An LLC company can be the best option in such situations. If you are someone who wants to keep things in budget, you can go for an LLC company. You must remember that true dreams find a ground to survive and eventually thrive. And, setting up an LLC company is not all! If you are low on budget, you can start with it and keep working on your ideas; it’s up to you.

Easy Sponsorship

To form an LLC company, you will need sponsorship if you are a foreign. As per the UAE law, you can only incorporate in Dubai if you have a local sponsor. Now, that sounds like a hard nut to crack. But don’t worry; there are many businesses set-up companies that provide sponsorship for affordable prices. You can also choose to have an UAE national as a sponsor but it might create a hassle as he will be holding 51% shares and will be the dominant one. In this situation, if your sponsor is not a nice person, he may create problems in future. So, choose wisely!

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