Q: Process/Steps and Documents required to complete simple share transfer between minority shareholders in an LLC ( Shop)?

Q: I hold a 25% stake in a Free Zone company in Dubai, with my business partner holding a 75% share and therefore being the majority shareholder. In April 2017, there was an agreement between myself and my partner, in which he agreed to transfer all of his shares to me. Upon this agreement, we both signed and stamped a request for transfer of shares document as well as a shareholders resolution. These documents were then submitted to the Free Zone Authority but then were subsequently withdrawn without my knowledge. As far as I was aware the documents were still being processed and I only found out about the withdrawal of the documents when I followed up with the Free Zone Authority. The Free Zone Authority has since acknowledged that they should not have returned the documents and are trying to mediate between myself and my business partner to submit the documents again but he is refusing to do so. I want to know what legal action I can take against my partner for his actions.

Q: I am an expat who purchased a sole proprietorship training company in Dubai onshore. I would like it to be owned by a Holding company outside of the UAE. Can the Holding own such a company or do I have to change its legal form to something else? And, would that form force me to have lower % ownership? Thank you.

Q: Hello Mrs Yamalova, I am looking to buy a company in Dubai. I would acquire 75% of the company. My questions are: What can the other owner with 25% do in the company? What is his share power, so to speak? Thank you for your help.

Q: We have invested 20% as a partnership 20 years ago but on a mutual understanding basis, with no legal document. Now our partner wants us to move out and he will bring another partner. He agreed to pay a certain amount. He is asking for a written agreement that unless we are paid the full amount agreed, we shall not leave the company. My question is: Will this lead to any discrepancies?

Q: I wish to part ways with my business partner in a free company in Dubai. The business is profitable. There is no breach of law. We just do work together and I want to offer my partner an exit from the LLC. I am the appointed business director. I manage the business personally. On grounds of incompetence and personal differences, I wish to offer her a sum and get the partnership solved. What are my options and how does one evaluate the share to be dissolved fairly. Like is there a formula such as a multiple of net profits to be offered? Thank you!

Over the years the UAE has become a centre of trade and commerce for the Middle East, thanks to its strategic location, excellent connectivity and extensive services to assist with all aspects of business. According to the World Bank's 2016 report, the UAE has ranked 31st in the global index of ease of doing business. This encourages more entrepreneurs to set up different kinds of business entities in the country.

The provisions of this Law apply to the commercial companies established in the UAE and the foreign companies that have established in the UAE a base to conduct any activity therein or established a branch or representative office. The Law abrogates Federal Law No. (8) of 1984 Concerning Commercial Companies.

The provisions of this Federal Decree-Law No. (51) of 2023 Promulgating the Financial Restructuring and Bankruptcy Law, known as the "Bankruptcy Law" governs Financial Restructuring and Bankruptcy regulations in the United Arab Emirates