"PROFESSIONAL PARTNERSHIP"

The Government of the Emirate of Dubai pays special attention to maintaining a favorable investment climate in the region. All the necessary conditions for doing business are created here, including with the participation of foreign partners. You can open your own business in Dubai in several ways, one of which is a civilian company. We received a lot of questions from readers who are interested in the legal aspects of this kind of business. We asked lawyer Ahmed Kashvani and consultant of the law firm Kashvani Anzhelika Shcheglova for clarification.
A civil company ("Professional Partnership") is a professional company that is opened by agreement of two (or more) persons and is wholly owned by them. The purpose of such a company is to provide professional services to third parties for a certain fee. The defining feature of a professional company is that it conducts professional, not commercial, activities. The same principle underlies the work of, for example, government agencies, charities and public organizations.
A professional company is formed in accordance with local law. Its partner partners have unlimited obligations. To open a professional company, the participation of a citizen of the emirate of Dubai, who will act as a Special Agent, is necessary.
The work of a professional company is based on the professional qualifications and intellectual potential of its participants. In accordance with the Emirate’s Law of Dubai No. 63 of 1991 (“local law”), which establishes the licensing procedure for professionals and qualified specialists, in order to start work, participants in a professional company must obtain a professional license for consulting activity, which is issued by the Dubai Department of Economic Development (DDED) )
To greatly facilitate the procedure, professional companies registered in Dubai should only obtain a local license. They do not need to register at the federal level with the Ministry of Economy and Commerce of the UAE.
The local Special Agent does not have any property or managerial interests or rights in a professional company and cannot in any way affect its obligations. In compensation for his work, he receives an annual remuneration.
The number of full-time employees of a professional company in accordance with local law may not exceed seven people. However, in a number of special cases, exceptions are provided.
Professional companies can carry out their activities in a strictly limited framework: legal practice and advice, auditing, accounting, services and advice on urban planning and architecture, maintenance, medical care and treatment, training services - and other similar activities.
The income from the activities of a professional company should be distributed among partners on the basis of an agreement between them.