DUBAI, The Business Registration & Licensing, BRL, sector in Dubai Economy has issued 41,252 electronic Memorandum of Association, MOA, and e-MOA addendums from January 2019 to end-May 2020.
This is in line with the Federal Decree-Law No. 7 of 2018 by President His Highness Sheikh Khalifa bin Zayed Al Nahyan amending articles within Federal Law No. 02 of 2015 on Commercial Companies.
The report showed that 85 percent of e-MOAs were issued by Dubai Economy, while 42 percent were related to e-MOA addendums of the total licences that require MOA. The electronic MOAs issued during the period varied with 90 percent being professional, followed by tourism, commercial and industry.
Business owners in Dubai can get the e-MOAs and all its addendums through Dubai Economy service centres or by approval to the text message from 6969 without the need to visit Dubai Economy.
The report also showed that during the first five months of 2020, Dubai Economy issued 9,282 electronic Memorandum of Association and e-MOA addendums; 89 percent of e-MOAs were issued by Dubai Economy, while 58 percent were related to e-MOA addendums of the total licences that require MOAs.
The BRL sector has added new procedures for e-MOAs that include selling a share contract for a Limited Liability Company and a One-Person Limited Liability Company, and issuing a Civil Company contract if the parties are UAE or GCC nationals. Approval of a service agent contract ratification for a Sole Proprietorship and a Civil Company have also been added.
E-signatures for MOAs are available whereas the representative of the company (a Legal Person) can electronically sign on behalf of the company provided that a valid legal agency is available by the company or by a decision from the board of directors or through the powers of the manager mentioned in the articles of MOAs.
The new procedures included adding administrative powers that give the manager rights such as establish, manage and cancel subsidiaries of the main company; register value-added tax and submit returns with the Federal Tax Authority; transfer salaries of workers and employees to banks in the UAE; mortgage the movable or immovable property of the company; represent the company before all courts and quasi-judicial bodies in the UAE, and finally appoint an arbitrator in case of any disputes.
The BRL sector focuses on making the process of registering new companies and issuing commercial licences easy and fast, which reflects positively on Dubai’s global competitiveness.
Source: Emirates News Agency