Commercial Law, otherwise known as Business Law, is the set of laws which governs commercial dealings in a jurisdiction. There are many law firms in UAE which specializes in providing advises related to corporate law in UAE.
The UAE is a country which promotes commerce and business which in turn is contributing to a competitive and prosperous economy. Accordingly the corporates laws of UAE are in-line with vision of country’s leadership and is at par with international standards. According to some corporate lawyers in Dubai the UAE commercial environment is ideal for starts ups as well as already established businesses. Financial free zones like Dubai International Financial Center (DIFC) are initiatives taken by the UAE government to boost business activities in UAE. Many law firms in Dubai specializing in corporate law are based around the DIFC. Similarly, the corporate law firms in Abu Dhabi are also becoming actively engaged in activities in the Abu Dhabi based financial free zone Abu Dhabi Global Market (ADGM).
People thinking to start new businesses in UAE has to know that there are several regulations pertaining to economy, trade and investment. According to lawyers in Abu Dhabi, UAE government is constantly working on upgrading several major legislation’s.
The basic requirements for all business activities in UAE are:
- Commercial licenses covering all kinds of trading activity
- Professional licenses covering services, professions, artisans, craftsmen
- Industrial licenses for establishing industrial or manufacturing activity
The commercial licenses are usually issued by the Department of Economic Development of each concerned Emirate. It needs to be kept in mind that licenses for certain types of businesses may need special approval from concerned ministries and/or other authorities like Central Bank of UAE, Ministry of Economy and Commerce, Finance Ministry and Industry, Ministry of Health etc.
According to the new Commercial Companies Law of UAE, i.e. Federal Law No. 2 of 2015, the general categories of business organization in UAE are
- General Partnership company
- Joint venture company
- Public Joint Stock company
- Private Joint Stock company
- Limited liability company
- Partnerships (permitted only to UAE nationals)