The UAE government announced via Decree 26/2020 an important amendment to UAE Companies Law effective 01.06.2021.
According to this new change, the UAE government removed the statutory requirement of 51% ownership by local sponsor. Any branch of Foreign or Free zone companies directly register in UAE without a Local Service Agent.
The existing Foreign and Free zone companies can terminate their Service Agent by a notarized Termination Agreement or by taking a letter from the sponsor/agent confirming that all his dues have been settled by the company.
This provision is not applicable to Sole Establishments & Civil Partnership Companies. Government may issue a “Strategic Activities List” and a minimum capital required for those companies.
To know more please get in touch on incorporate@nrdoshi.ae or contact us at www.nrdoshi.ae today!
