Dubai, UAE – Young entrepreneurs in the UAE can now start their dream business just as they turn 18. The law amendment reducing the age limit for running a business in the country was announced in January 2023, aligning with the international standards to support and develop the UAE’s business environment.
Previously, the age limit for running a business here was capped at 21 years. The Ministry of Economy (MoE) took necessary steps to revise this limit under the new Commercial Transactions Law, giving immense opportunities to young business owners to spread their wings and take flight at the earliest. Guidelines regarding the recent amendments were published back in October 2022 before legalization.
“This age revision for starting a business in the UAE is sure to bring in tremendous changes to the country’s marketplace,” says___, legal consultant at Fichte & Co, one of UAE’s top law firms. “We surely have so many youngsters with fresher and bolder business ideas that could potentially change the face of the country. By getting that hands-on experience early on they can ensure a better future for themselves as well as all of us.”
The new Commercial Transactions Law further stipulates the following:
- The legal capacity to practice business has been brought down to 18 years.
- A legal reference for commercial transactions has been set into place, according to which banking institutions can stimulate investments, thereby driving businesses for better growth and competition.
- The law also supports Islamic banking and establishes it as one of the main drivers of development.
- The law further offers support to commercial activities related to digital fields and the technology sector.
- Under the amended law, businesses must obtain necessary licenses following the legislation regulating securities in the country for the regulation and establishment of financial markets.
As a flourishing business hub, this law is one of the many government initiatives promoting entrepreneurs and investors to make the UAE their base thereby diversifying the country’s economy further.
For more information and legal assistance, talk to our labor lawyers at Fichte & Co today.