{"id":25648,"date":"2026-04-29T06:25:19","date_gmt":"2026-04-29T06:25:19","guid":{"rendered":"https:\/\/stratrich.com\/ae\/?p=25648"},"modified":"2026-04-29T09:39:37","modified_gmt":"2026-04-29T09:39:37","slug":"insights-share-transfer-in-the-uae","status":"publish","type":"post","link":"https:\/\/stratrich.com\/ae\/insights\/mainland-freezone-share-transfer\/","title":{"rendered":"Mainland vs Free Zone Share Transfer Process\u00a0"},"content":{"rendered":"\n

When ownership changes in UAE company whether through an investor exist, a new partnership, or a strategic acquisition, the process of share transfer in the UAE<\/a> is anything but uniform. Where your company is registered determines which authority governs the transaction which documents you need, how long does it take and what it costs. Getting this wrong can delay a deal by weeks or expose the company to compliance risk.   <\/p>\n\n\n\n

This blog break downs the mainland vs freezone share transfer <\/strong>process in the UAE, covering the legal framework, procedural steps, timelines, costs and what changed following the 2025 amendments to the Commercial Companies Law. <\/p>\n\n\n\n

What does the share transfer in UAE involves? <\/h2>\n\n\n\n

A share transfer in the UAE is the legal process of passing ownership of a company, or part of it, from one person or entity to another. This can happen when an owner exits the company completely, when a new investor buys a share of the company, or when ownership is reorganized within a group. In simple terms, it means officially changing who owns the company\u2019s shares. <\/p>\n\n\n\n

The transfer process and required documents depends on the type of the company, and their registered location whether its mainland, Free Zone or offshore in respect of obtaining approval from the relevant authority in the UAE. This also requires amendment of the company\u2019s Memorandum of Association (MOA), notarization, and official updates to company records with authorities.  <\/p>\n\n\n\n

Before any transfer proceed the company\u2019s MOAs must be reviewed thoroughly. Most MOA carries pre-emption clauses (allow existing partners the right to buy shares prior to their transfer to third parties) that gives shareholders to first refusal on any outgoing shares. These rights must be addressed and resolved before the transfer proceeds, regardless of whether the company is registered in mainland or in Free Zone.<\/p>\n\n\n\n

How does the mainland share transfer process works? <\/h2>\n\n\n\n

The process of share transfer for mainland companies, normally limited liability companies (LLCs) registered with the Department of Economic Development (DED) or the Department of Economy and Tourism (DET) in Dubai, involves several steps.  <\/p>\n\n\n\n

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  1. The process starts with a formal application submitted to the DET, along with the company’s existing trade license, identification documents for both buyer and seller, and any required partner NOCs or board resolutions.  <\/li>\n<\/ol>\n\n\n\n
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    1. The DET reviews the request and issues an initial approval, which normally takes one to eight business days. If the company operates in a regulated sector, healthcare, financial services, education additional approvals from the relevant sector authority may be required before the DET moves forward. <\/li>\n<\/ol>\n\n\n\n
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      1. Once initial approval is in hand, a Share Transfer Agreement (STA) and a corresponding MOA amendment are drafted. These two documents are typically prepared together. The STA records the identities of the transferring and receiving parties, the number of shares changing hands, the agreed consideration, and the effective date of transfer. <\/li>\n<\/ol>\n\n\n\n
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        1. Then, both of these papers should be notarised by a notary public in the UAE. In Dubai, there are three options: coming to the notary\u2019s office in person, getting this done directly at DET (Dubai Economic Department), or using online notarization services provided by the Dubai courts, if both parties are UAE citizens. <\/li>\n<\/ol>\n\n\n\n
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          1. All existing and incoming shareholders or their representatives holding valid Powers of Attorney must be present or digitally connected at the time of signing. <\/li>\n<\/ol>\n\n\n\n
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            1. After notarization, the executed documents are submitted to the DET for final registration. Upon payment of the applicable fees, the DET issues updated incorporation documents, and the amended trade license is generated electronically, reflecting the new ownership structure. <\/li>\n<\/ol>\n\n\n\n

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              It is worth noting that the 14-day gazette publication requirement where a public notice of the share transfer is placed in an official gazette applies in Abu Dhabi and certain other emirates, but not in Dubai. Business owners in Dubai can therefore move through the final registration step without that additional waiting period.<\/em> <\/p>\n\n\n\n

              What documents are required for share transfer in mainland Dubai? <\/h2>\n\n\n\n

              For a mainland LLC share transfer in Dubai, the core document set includes: <\/p>\n\n\n\n