A Limited Liability Company is the most common form of the business entity currently formed in UAE. Limited liability companies can be formed by a minimum of two and a maximum of 50 persons whose liability is limited to their shares in the company’s capital. The minimum equity participation by UAE national is 51%. Capital required to form a limited liability company in Dubai is AED 300,000 (US$ 81,744) contributed in cash or in kind. However, in the other Emirates, the capital requirement is AED 150,000 (US$ 40,872).
Profit or loss distribution can be prescribed and responsibility of the management of an LLC can be vested in the foreign or national partners or third party. The shares of such company are not open for subscription by the public and they do not issue negotiable shares