Why Business Owners Should Consider a UAE Will
For an entrepreneur, estate planning is not limited to personal property. A business owner may also have company interests, investments, bank accounts and other financial assets that need to be considered as part of their estate.
A properly prepared and registered Will can provide a framework for how eligible assets should be distributed after death, subject to the applicable UAE legal framework and the registration route used.
For example, the Abu Dhabi Judicial Department's official Civil Will template expressly includes shareholdings in companies among the assets that can be addressed in an estate.
What Can a Business Owner Consider in a Will?
Depending on the applicable legal framework, estate planning can address a range of assets, including:
- Shares or interests in companies
- Bank accounts and deposits
- Investments and securities
- Real estate and other property
- Insurance-related benefits
- Other financial and personal assets
The official Abu Dhabi Civil Will template includes company shareholdings, investments and other assets within its estate provisions.
This makes Will planning relevant not only to individuals with substantial personal wealth, but also to entrepreneurs whose business interests form part of their overall estate.
Why Registration Matters
Drafting a document is only one part of the process. Where the relevant legal framework requires registration, the Will needs to be registered through the appropriate authority to receive the intended legal recognition.
The Abu Dhabi Judicial Department states that, for a Civil Will under its framework, the Will must be registered with its Civil Wills Section to be legally recognised.
The UAE Government also confirms that the UAE's civil personal status framework for non-Muslims covers matters including wills and inheritance, while Abu Dhabi has its own personal status framework for non-Muslims.
Business Succession Requires More Than a Will
A Will is one element of succession planning. Business owners should also understand how their company is structured, who owns the shares, who has authority to operate the business and what corporate documents govern ownership and management.
For a founder with partners or shareholders, these matters should be reviewed together so that personal estate planning and the company's legal structure are properly considered.
When Should an Entrepreneur Review a Will?
A Will should not be treated as a document that is prepared once and then ignored.
Business owners should review their estate planning when there are significant changes such as:
- Establishing or acquiring a company
- Changes in share ownership
- Marriage or changes in family circumstances
- Acquisition of substantial assets
- Changes in residence or jurisdiction
- Major changes to the business structure
The appropriate legal route can depend on the individual's circumstances, religion, nationality, residence and the emirate or authority involved. Professional legal advice is therefore important before preparing or registering a Will.
UAE Will Planning for Business Owners
For entrepreneurs and investors, succession planning should be considered alongside company formation, ownership structure and long-term asset planning.
Bexford can coordinate legal support for business owners who need to understand their UAE Will and succession-planning requirements, while ensuring the appropriate legal route is considered for their individual circumstances.
If you own a UAE business or significant business interests, speak with Bexford about arranging the appropriate legal consultation.
Government sources verified: