AFZ UBO

We would like to inform you that, under the, Cabinet Decision No. (109) of 2023 on the Regulation of the Real Beneficiary Procedures was issued. This decision requires all companies operating in the United Arab Emirates, including those in commercial free zones, to maintain accurate and up-to-date records of their beneficial owners, shareholders, and partners. Companies must also submit this information to the relevant licensing and registration authorities when requested.

Objectives of the Decision

The decision aims to:

• Strengthen and enhance the UAE’s business.
• Set minimum obligations for registrars and legal entities regarding licensing and registration procedures.
• Establish and regulate the Beneficial Owner Register and the Register of Partners and Shareholders.
• Develop effective and sustainable mechanisms for managing beneficial ownership data.

Definition of a Beneficial Owner

A beneficial owner is a natural person who ultimately owns or controls the legal entity, whether directly or through a chain of ownership or control, or any other indirect means. It also includes any natural person on whose behalf transactions are conducted, or who exercises ultimate effective control, in accordance with Article (5) of Cabinet Decision No. 109 of 2023.

Required Registers

Companies shall prepare and maintain the following records within their premises (Register of Partners or Shareholders – in accordance with Article (10) / Register of Beneficial Owners – in accordance with Article (8)).

Ministerial Decisions:

• Cabinet Decision No. (109) of 2023 on the Regulation of Beneficial Owner Procedures.
• Cabinet Decision No. (132) of 2023 on Administrative Penalties for violations related to Beneficial Owner Procedures.
• UBO Requirements.

Submitting the Declaration

You may submit the required information through our online portal by clicking the link below: