How to Change Your Sole Proprietorship to an LLC in Dubai

How to Change Your Sole Proprietorship to an LLC in Dubai

Why Make the Switch?

Many business owners start with a simple sole proprietorship but later change to an LLC (Limited Liability Company) because:

  • Your personal money and property stay safe if the business has problems
  • You can bring in business partners more easily
  • Banks and big clients often prefer working with LLCs
  • You can sponsor more employee visas

What Changes When You Become an LLC?

  1. Ownership
    • Sole Prop: Only you
    • LLC: Up to 50 owners allowed
  2. Responsibility
    • Sole Prop: You’re fully responsible for all business debts
    • LLC: The company is responsible, not your personal assets
  3. Name
    • Must add “LLC” to your business name
  4. Costs
    • LLC setup costs more than a sole proprietorship

How to Change Your Business Step by Step

1. Prepare Your Current Business

  • Make sure all fees are paid
  • Clear any violations with Dubai authorities

2. Pick Your New Business Activities

  • LLCs can do more types of business than sole props
  • Some activities need special permission

3. Choose a New Name

  • Must be different from your old name
  • Must include “LLC” at the end

4. Gather Your Papers

  • Current business license
  • Your passport and Emirates ID
  • No Objection Letter if you have a local sponsor
  • New company agreement papers

5. Apply at the DED Office

  • Submit all documents
  • Pay the fees (usually between AED 15,000 to 30,000)

6. Move Everything to the New Company

  • Close old bank accounts, open new ones
  • Transfer all contracts and licenses
  • Update your visas

Things to Remember

  • Time Needed: About 1-2 months
  • Cost: More expensive than keeping a sole prop
  • Visas: You’ll need to get new ones under the LLC
  • Taxes: LLCs have different tax rules

We Can Help Make It Easy

Changing your business type can be confusing. Ez Bizz Corporate Services LLC helps with:

  • Preparing all the right papers
  • Dealing with government offices
  • Handling visa changes
  • Setting up new bank accounts

Call or email us today:
Phone: +971 52 610 6577
Email: info@ezbizzsetup.com

Common Questions

Can I keep my old business name?

No, you need a new name with “LLC” in it

What happens to my current contracts?

You need to transfer them to the new LLC

Do I need a local partner now?

No, most businesses can be 100% foreign-owned

Should I do this myself?

You can, but professional help avoids mistakes and saves time

Changing to an LLC helps protect you and lets your business grow bigger. Start the process today to secure your business future.

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