Contents of memorandum of association:

The following are some of the contents of the memorandum of association clauses:

Name Clause:

This clause contains the name of the company and its address. This name should not be similar to any other business name registered in Dubai. For example, if you want to start a new catering business then you cannot use the same name as that of your competitors. The name of your company should be unique and should not be similar to other companies registered with DED. You can check out if there are any similar names by searching in DED’s database.

Object Clause :

The object clause describes the purpose of incorporation. It defines what activities can be carried out by the company and what cannot be done. It also states that no other activity will be carried out by the company except those specified in the memorandum.

Liability Clause:

The liability clause states that shareholders are not liable for any losses incurred by the company unless they have committed fraud or criminal negligence or have guaranteed loans or debts on behalf of the company without authority from shareholders at a general meeting held after such guarantee was given. In case of loss due to failure to comply with these requirements, shareholders are liable for their own actions and decisions as well as those of directors acting within their powers when such losses were incurred by reason of any act or default done with intent to defraud creditors or members

Capital Clause :

This clause states how much capital has been paid by each shareholder and how much more needs to be paid by him/her before starting a business setup in Dubai.

Association Clause :

This section contains details about how many members are needed to form an association, who can become a member etc.

The purpose of a Memorandum of Association is to establish the identity of the founders and shareholders of a business. It is also used to outline the roles and responsibilities of board members, as well as certain policies and procedures for the company. A Memorandum of Association is required for business registration in UAE, so it must be translated, notarized and attested by various departments and ministries in your home country and then sent to MOFA for verification.