Dual License in U.A.E.

By Suneesh | September 21 , 2018 | 01

The result of an MoU between two of Dubai’s free zones (DAFZA and DIFC) and the Dubai Department of Economic Development (DED), the dual licensing system allows foreign free zone companies to extend their operations to the Dubai mainland. The process for obtaining a dual business license involves first registering a company at DAFZA or DIFC and then applying for a dual business license with the Department of Economic Development. The two business activities in a dual business model will be interconnected through the license. Dual licensing allows businesses to explore multiple avenues at the same time. Entrepreneurs will have the chance to take advantage of the various benefits of both the free zone and mainland business models.

Now, the Abu Dhabi Department of Economic Development (ADDED) has announced the launch of the first phase of its Dual Licenses Initiative, which enables companies to both operate in the Emirate’s free zones and carry out their commercial activities onshore in Abu Dhabi, Al Ain and Al Dhafra. The new scheme aims to encourage investment and drive economic development across the Emirate.

The first phase of the initiative is open to companies headquartered in Abu Dhabi and based in one of its free zones. ADDED is currently developing a comprehensive scheme for the second phase of the initiative, which will allow more companies to qualify for a dual license.

Dual licensing is the latest in a series of initiatives to support entrepreneurs, SMEs and the private sector. In its first phase, the initiative will offer companies more opportunities to do business and grow, such as allowing them to work and partner with other government entities.

Eligible companies will need to present a non-objection certificate from their free zone, an undertaking that states no ownership of branches located outside the free zone, and a photocopy of the parent company’s free-zone license. After the application is submitted, it will be transferred for primary approval. Once approved, the license will be printed upon the payment of the required fees.

Recover your Debt in easy steps

By Suneesh | August 29 , 2018 | 01

We are specialized in Debt Recovery process. This is the best process when clients did not want to create initial expenses for the litigation cases. We have handled many debt recovery cases, and process starts with negotiations, meetings, sending legal notices, and attempt for the amicable settlement outside the courts.

Our client base varies from small local companies to large international organizations. Our team has an excellent record of accomplishment of being able to secure amicable settlement without the need for litigation.

Set up your company incorporation

By Suneesh | August 28 , 2018 | 01

One may think that company incorporation could be formed with an assistance of normal business center executives. However, without seeking the right legal advice on the company incorporation, you may end up in totally different structure than you expected.

We are specialized in incorporating any type of company structure that will meet your requirements, apt legal advice on the activities to be chosen to the right jurisdiction where the company has to be formed.

We assist our clients with the following types of registrations:

• Limited Liability Companies
• Branches and Representative offices
• Professional companies
• Sole Establishments
• Free Zone Companies
• Joint Ventures
• Offshore companies incorporated within U.A.E. Free Zones and/or within other offshore locations

Cyber Crime in U.A.E.

By Suneesh | August 25 , 2018 | 01

Latest Amendments to UAE Cybercrimes Law

According to the Decree, Article Nos. 26, 28 and 42 of Federal Decree-Law No. 05 of 2012 on Combating Cybercrimes will be replaced with updated provisions.

Article No. 26 stipulates an imprisonment period of at least 10 years and not exceeding 25 years, and a fine not less than Dh2 million and not in excess of Dh4 million on whoever establishes, manages or runs a website or publishes information on the computer network or information technology means for the interest of a terrorist group or any unauthorised group, association, organisation, or body with the intent to facilitate communication with their leaders or members or attract new members, or to promote or praise their ideas, finance their activities or provide actual assistance thereof or for the purpose of publishing methods for manufacturing incendiary devices or explosives or any other devices used in terrorism acts.

The Article also details an imprisonment period not exceeding five years, and a fine not less than Dh500,000 and not in excess of Dh1 million for whoever establishes, manages or runs a website or publishes information on the computer network or information technology means with the aim to incite hate.

Article No. 28 stipulates a punishment of temporary imprisonment and a fine not in excess of Dh1 million for whoever establishes, manages or runs a website or uses information on the computer network or information technology means with intent to incite acts or publishes or transmits information, news or cartoon drawings or any other pictures which may endanger the national security and the higher interests of the State or afflicts its public order, or attacks on any member of the judicial courts system.

Lastly, Article No. 42 entails that subject to the second paragraph of Article No. 121 of the UAE Penal Code, the court may decide deportation of a foreigner who is convicted in any of the crimes specified in Federal Decree-Law No. 05 upon execution of the sentence adjudged.

Know the new Influencer Law in U.A.E.

By Suneesh | August 25 , 2018 | 01

The National Media Council requires licensing of individuals who conduct commercial activities through their social media accounts, such as advertisements done on a paid basis. Accounts, blogs and personal pages are not subject to these new regulations, including the accounts of influencers on social media, provided they are not commercial in nature. Individuals and organisations that voluntarily promote work are not affected by the Electronic Media Regulations.

The UAE’s National Media Council (NMC) announced a new three-category system in conjunction with the influencer law, effective on June 1.

The first category includes the “Individual Licence” for independent influencers, which will cost Dh15,000. They would also have to acquire a separate trade license as well, which comes at an additional cost. Dh5,000: Is the minimum fine for influencers operate without licence

The second category, is the “Partnership Licence” for small groups of friends or family who can set up a company together, which would also cost Dh15,000.

The third category is for influencers to sign up with official “Influencer Agencies” that are certified by the NMC. These influencers will not have to pay any licensing fees or register as a company, however they must work exclusively with the clients of the agency and would not be allowed to acquire business independently. An influencer who is signed under an agency or a media company is not required to get the e-media licence, as the company’s licence will cover them. These agencies are also required to obtain the licence before they can sign any influencers.

100% foreign ownership for companies in U.A.E.

By Suneesh | May 25 , 2018 | 01

Offshore Company Incorporation in U.A.E – Advantages

By Suneesh | May 2 , 2018 | 01

Offshore company is particularly for all foreign investors from all over the world. Key points are high privacy, free from paying any tax (corporate tax as well as personal tax), no foreign exchange of information of shareholders, no requirement of office space etc.

Mostly people use offshore company formation U. A. E. as a holding company. That is to hold licensing of franchises, hold share in other companies including free zone and main land companies. It is also used to protect trademarks, copyrights and other intellectual property rights.

Following are the main advantages offshore companies in U.A.E.:

• 100% foreign ownership
• Tax free and free from all import duties
• Hold properties or assets
• 100% repatriation of capital and as well as of profit
• Easy to open a corporate bank account in UAE including multi-currency bank account
• No share capital required
• Easy procedures for shares transfer
• Low operational costs
• No foreign currency restrictions
• Protection of assets and as well as investments
• Quick set up time
• No office space required

If you have immovable property in Dubai, it is suggested to register a will with the DIFC Wills.

By Suneesh | April 25 , 2018 | 01

Article 1(2) of the Federal Law No. 28 of 2005 concerning personal status allows an expat non-Muslim to apply the provision of personal law of his home country. It states: “The provisions of this law shall apply to the residents/citizens of the U.A.E unless the non-Muslims of them are subject to special provisions applicable to their sect and denomination, as long as none of them insists on applying his law.” There are provisions for non-Muslims to opt for law of their country related to the personal affairs regarding marriage, wills and inheritance.

If you have immovable property in the emirate of Dubai, it is suggested to register a will with the DIFC Wills and Probate Registry, to serve the needs of the non-Muslim expatriate community who own a real estate property in Dubai. You may also get your will attested by a Notary Public or Consulate General of respective country.

Non-Competition Clause in Employment Contract

By Suneesh | April 23 , 2018 | 01

Whereas Article 127 of Law No. 8 for 1980 and amending laws had given the employer the right to require that the worker (who works for him and is permitted within the scope of his work to know his clients or have access to his secrets) may not compete with him or participate in a competitive work upon the completion of the contract. In order to set a unified base for the execution of the mentioned article, the following shall be taken into account:

The employer, upon the ratification of the labour contract, may add the non-competition condition, provided that the following is specified in the contract:

1- Place: Does not exceed the borders of the United Arab Emirates and may include one or two emirates, or the entire state.

2- Time: The validity of the non-competition condition may not exceed two years from the date of the contract termination.

3- Type of Work: Determine the type of work that may not be practised as a condition for non-competition.

4- The competent employees at the Ministry may not ratify the labour contract if the above-mentioned requirements were not present in the contract.

The employer may not set a condition to prevent the worker from working in the country (except in accordance with the provisions of Article 127 and if all conditions apply).

The nationals of the Gulf Cooperation Council countries shall practice all types of economic activities and professions in U.A.E. except few.

By Suneesh | April 22 , 2018 | 01

The nationals of the Gulf Cooperation Council countries shall practice all types of economic activities and professions in the country with the exception of the following activities:

1. Hajj and Omra services
2. Recruitment of workers
3. Commercial agencies
4. Care homes for the disabled
5. Centers for the rehabilitation of the disabled
6. Homes and Clubs for elderly care
7. Social service centers. Any office or center that cares for social services after clarifying its objectives and scope of social work.
8. Establish printing presses and publishing houses
9. Establish newspapers and magazines