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Business Articles Of Incorporation Template for United Arab Emirates

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Key Requirements PROMPT example:

Business Articles Of Incorporation

"I need Business Articles of Incorporation for a UAE-based technology consulting firm to be established in March 2025, with two international shareholders (60/40 split) and provisions for future employee stock options."

Document background
Business Articles of Incorporation are essential founding documents required when establishing a company in the United Arab Emirates. They must comply with UAE Federal Law No. 2 of 2015 (Commercial Companies Law) and its subsequent amendments, including the landmark changes allowing 100% foreign ownership in certain sectors. These Articles serve as the company's constitution, detailing crucial information such as ownership structure, management framework, capital requirements, and business objectives. They are filed with relevant authorities including the Department of Economic Development and must be drafted in both Arabic and English. The document is particularly important in the UAE context due to specific local requirements regarding shareholding structures, capital requirements, and corporate governance frameworks.
Suggested Sections

1. Company Name and Legal Form: Official company name in Arabic and English, and designation of legal form (LLC, Private Joint Stock, etc.)

2. Registered Office: Official registered address and principal place of business in the UAE

3. Company Objectives: Detailed description of permitted business activities and scope of operations

4. Duration: Term of the company's existence (typically unlimited unless specifically limited)

5. Capital Structure: Details of share capital, number and types of shares, and par value

6. Shareholders: Identity of founding shareholders and their respective shareholdings

7. Share Transfer Restrictions: Rules and procedures governing the transfer of shares

8. Management Structure: Composition and powers of the board of directors or managers

9. General Assembly: Rules for shareholder meetings, voting rights, and decision-making processes

10. Financial Year and Accounts: Specification of financial year and requirements for accounting records

11. Profit Distribution: Rules for distribution of profits and handling of losses

12. Dissolution and Liquidation: Procedures for company dissolution and asset distribution

Optional Sections

1. Preemptive Rights: Additional provisions for existing shareholders' rights to purchase new shares - include when shareholders want enhanced protection

2. Tag-Along Rights: Rights of minority shareholders to join in sale of majority stake - relevant for companies with significant minority shareholders

3. Drag-Along Rights: Rights of majority shareholders to force minority shareholders to join in sale - useful for future exit planning

4. Non-Competition Provisions: Restrictions on shareholders' involvement in competing businesses - important for protecting company interests

5. Deadlock Resolution: Procedures for resolving shareholder disputes - crucial for 50/50 ownership structures

6. Intellectual Property Rights: Provisions regarding ownership and use of IP - important for technology or brand-focused companies

7. Employee Stock Option Plans: Framework for employee share ownership - relevant for startups or companies planning incentive schemes

Suggested Schedules

1. Schedule 1 - Shareholder Details: Detailed information about shareholders including ID/passport numbers, addresses, and shareholding percentages

2. Schedule 2 - Share Capital Allocation: Detailed breakdown of share classes, numbers, and values

3. Schedule 3 - Licensed Activities: Complete list of licensed business activities with respective codes

4. Schedule 4 - Initial Board Members: Details of initial directors/managers including ID information and terms of appointment

5. Schedule 5 - Specimen Signatures: Authorized signatories and their specimen signatures

6. Appendix A - Powers of Attorney: Standard forms of power of attorney for company operations

7. Appendix B - Share Certificate Template: Template for share certificates to be issued to shareholders

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions




































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Relevant Industries

Financial Services

Technology

Manufacturing

Retail

Professional Services

Healthcare

Real Estate

Construction

Tourism and Hospitality

Trading

Education

Media and Entertainment

Logistics and Transportation

Energy and Utilities

Telecommunications

Relevant Teams

Legal

Corporate Governance

Compliance

Finance

Executive Leadership

Business Development

Risk Management

Corporate Affairs

Company Secretariat

Investment

Operations

Relevant Roles

Chief Executive Officer

Chief Legal Officer

Company Secretary

Corporate Lawyer

Legal Counsel

Compliance Officer

Chief Financial Officer

Board Director

Managing Director

Corporate Governance Officer

Business Development Manager

Risk Manager

Investment Manager

Shareholders

Company Formation Specialist

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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