How to set up a PLC
A public joint-stock company in the UAE is known as a public listed company, or PLC. Such a company is a limited liability company within the free zone, meaning that the liabilities of the company are limited to its capital paid. This formation allows the creation of a company that hold public shares which can be bought and sold on the public market.
A public joint-stock company (PLC) shares typically trade on the stock exchanges and offer certain rights and protection similar to that of shareholders in private companies. Publicly traded companies can raise capital by selling additional shares.
A PLC has a legal personality distinct from that of its shareholders and has the capacity, rights and privileges of a person.
If you want to set up a public joint-stock company in the UAE, it is essential to seek professional legal advice and consult with experts who can advise regarding the company laws of the UAE. At Jafza, our team is equipped to help you with setting up a Public Listed Company.
Setting up a Public Listed Company (PLC).
The journey to set up a public listed company requires a set of criteria to be fulfilled. There are a few basic steps that must be completed in order to start the process:
- Register your interest online. You can start your journey online by registering your interest. Once you have completed our online form, you will be contacted by our sales and advisory team to further verify your application.
- Book a consulting session with the sales and advisory team. During this session, you will be asked to submit your signed application form along with the list of all required documents.
- Select an offering from our listed solutions, license type and make the payment towards the business setup process. Make sure you review the United Arab Emirates Department of Economy Development’s Business Activity List for your license type.
- While the process for the setup of the PLC is underway, you can work with our Leasing team regarding the solutions we offer. Jafza also offers custom development solutions that allow you to scale your business and create an environment that is suitable for your needs.
What documents are required to set up a PLC?
A PLC is essentially a public joint stock company that will be listed on a securities exchange.
Once you have registered your interest in setting up your company online, you will need the following documents at the time of submitting your application to set up a PLC with Jafza.
- The Jafza Application Form.
- Environment Health and Safety (EHS) application form.
- Project summary or a Business Plan. You will find a sample template of this on page 22 of the application form. You must limit this to one page.
- Know your customer (KYC) form to be filled in and submitted along with the application form.
- Ultimate Beneficiary Owner (UBO) Form to be filled in and submitted along with the application form. Cabinet Decision No. (58) of 2020 requires all companies in the United Arab Emirates to declare the Ultimate beneficiary of a business. In simple words, an ultimate beneficial owner (UBO) is an individual who is the ultimate beneficiary of a company.
Based on the initial discussion with the Sale Advisory of Jafza, it may be determined that further documentation may be required. This will be communicated during the session or via email.