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LLC operating agreements Dubai

  LLC operating agreements Dubai of a limited liability company is adaptable because the laws allow for broad changes. Every entity is formed by a certain number of shareholders (owners) and a share can be defined as the amount of percentage of the company owned by each of the shareholders of the entity. However, the number of shareholders can be increased or decreased as per each companies’ requirements by a way of selling or transferring the shares.

     A Share Sell Agreement is a document that transfers company shares or stocks from one party to another. It contains the shares for sale, price, date of the transaction, and other terms and conditions.

     This agreement can also be called a Stock purchase agreement, Share purchase agreement, Share transfer agreement, or Stock transfer agreement. A Share Purchase Agreement allows an individual or sole established company or corporation to sell or buy shares in a company.

Share Transfer Agreement In UAE

     A share transfer for a UAE company to another shareholder, either as a gift or by sale, is very common. Private companies can expect the transfers of company shares to rarely occur; however, various circumstances lead to assignment of shares. These include:

  • Assignment of shares to a spouse
  • Transfer of shares to a pension scheme or any other tax-efficient vehicle
  • Assignment of shares to children as a part of an implemented tax strategy or handing over the business to the new generation
  • Share transfer upon the existing shareholder’s death
  • Agreement of share transfer between two shareholders or business partners
  • Part of a transition in the corporate structure
  • To free up cash for an intended purpose
  • Assignment of shares on separation, civil partnership dissolution or divorce

     Prior to agreeing to purchase or acquire company shares, most especially if amount asked by the existing shareholder is signification, a share transfer agreement in UAE has to be drafted, and it must include terms of the termination of the company that other shareholders must also agree to.

Key provisions to include:

  • Price and payment
  • Completion arrangements
  • Conditions precedent with the sale
  • Warranties and indemnities
  • Non-competes and restraints
  • Miscellaneous or other provisions

If you have any questions, related to LLC operating agreements Dubai, contact us Call +971586675900+971586675900. We are happy to serve you. 


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