Sole proprietorship business in Abu Dhabi

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Sole proprietorship business in Abu Dhabi
by Aswani

Sole proprietorship business in Abu Dhabi

The United Arab Emirates (UAE) offers some of the most current and favorable business formation rules, allowing major and small business owners or startups to launch their company as per their desire. The attractive business climate in Abu Dhabi enables investors to establish up their businesses in a variety of legal structures, including sole proprietorship.

A sole proprietorship is a business owned by a single person, and the trade license is granted in that person’s name. Abu Dhabi nationals or members of the Gulf Cooperation Council (GCC) can establish a sole proprietorship business in Abu Dhabi. The business owner, sometimes known as a sole trader, bears all of the organization’s financial duties, comprising all of its liabilities.

Foreign-owned businesses are obliged to hire a National Service Agent (NSA) to help them get licenses, visas, and other documents. A National Service Agent aids a foreigner with licensing procedures and other government-related affairs.

The Advantages of a Sole Proprietorship in Abu Dhabi

  • Foreign professionals can own 100 per cent ownership of their business.
  • Sole traders can establish their businesses in Abu Dhabi’s free trade zones.
  • Professional services can be lawfully provided everywhere in the UAE, including free zones.
  • There are no limits on where the business can rent or acquire workspaces.

Steps to launch a Business in Abu Dhabi

The process of forming a sole proprietorship business in Abu Dhabi is easy and uncomplicated. Let’s take a look at the different procedures which are given below.

  1. Choose the type of business activity for which you want to apply for a business license.
  2. Choosing a unique and suitable trade name for your business.
  3. Obtaining the Department of Economic Development’s (DED) first approval.
  4. Submitting an application form and supporting papers to register your business.
  5. Apply for a license once your business has been registered.

Documents Required for Forming a Sole Establishment Business

  • The application form
  • A certified copy of the business owner’s passport
  • A copy of the UAE residency visa
  • Proof of education, professional certification, or experience
  • Proof of registered address
  • No Objection Certificate (NOC) from your existing UAE residency visa sponsor

Note: The above-mentioned documents must be attested and notarized.

How can HLB ABUDHABI assist?

Sole proprietorship is an excellent choice for individuals who want to go all by themselves in the UAE since initial fees are often minimal and you may start with a single shareholder. HLB ABU DHABI is familiar with and experienced in UAE judicial processes. Our experts can address all of our client’s business setup needs and make the process simple and seamless.