Corporate Regulation & Minimum Level Best Practices

The United Arab Emirates ("UAE") offers multi-jurisdictional setting up opportunities for foreign companies (i.e. non UAE companies). Subject to business objectives and the preferred shareholding structure businesses proposing to set up in the UAE can register in the mainland (under UAE Commercial Companies Law ("CCL")), or in one of the numerous free zones which operate under self governing legal regimes.

Although the free zones continue to attract foreign entrepreneurs owing to their relatively permissive laws (mainly the right to hold 100% shares by foreigners) and ease of setting up, the CCL has seen positive changes that have made establishing a limited liability company in the mainland under the CCL simple and cost effective. As a result, the main land is now attracting more businesses.