Considering the company’s registration in the UAE, there are two most common forms of organization: joint stock companies and limited liability companies. It is desirable to pay attention to some features of payment of share capital of company in these forms.
For some types of companies in the UAE paying of share capital is not required in general.
But there are certain types of companies, where paying share capital is a mandatory requirement for registration of company. In such cases, its payment may be in cash or other assets. It should be noted that paying share capital by other assets is always connected with the need to evaluate such assets, their registration with this company, provision of documents supporting such registration i.e. quite a long and costly procedure. For this reason, in practice, almost in all cases, paying of the share capital is done by payment in form of money.
Exceptions include large-scale projects with the need to form significant share capital - in this case, paying of other, non-cash assets, may also make sense.
