Local Partner In The UAE
In the United Arab Emirates, having a local partner is a mandatory requirement for conducting business. This local partner, often referred to as a Local Sponsor in Dubai, is a UAE national who collaborates with foreign investors. Many foreign investors may not be familiar with this concept of commercial partnership.
Who is a local partner?
In the United Arab Emirates, having a local partner is a mandatory requirement for conducting business. This local partner, often referred to as a Local Sponsor in Dubai, is a UAE national who collaborates with foreign investors. Many foreign investors may not be familiar with this concept of commercial partnership.
In the United Arab Emirates, having a local partner is a mandatory requirement for conducting business. This local partner, often referred to as a Local Sponsor in Dubai, is a UAE national who collaborates with foreign investors. Many foreign investors may not be familiar with this concept of commercial partnership.
Who is a local partner?
In the United Arab Emirates, having a local partner is a mandatory requirement for conducting business. This local partner, often referred to as a Local Sponsor in Dubai, is a UAE national who collaborates with foreign investors. Many foreign investors may not be familiar with this concept of commercial partnership.
What Is a Professional License?
The purpose of a Professional License, crafted for professionals and companies involved in service-driven industries. The license is granted to individuals or companies that showcase intellectual or artistic talents. This can involve demonstrating skills in a specific trade or industry, such as craftsmanship or artistry.
Obtaining a professional license is essential to setting up a professional firm offering services to customers in the UAE. It could be a professional tuition center, an art center, or any similar entity. Obtaining the license signifies your official approval to conduct the specified activities.. Your firm will be officially recorded in the authority’s documentation, which can also prove valuable if any legal issues or disputes arise.
Facts Of Professional License
Professional Licenses in UAE are issued by confirming the educational entitlement and skill area of the applicant. Thus, preventing the individuals without any adequate qualification setting up a professional business in the UAE.
Key Information on Professional Licenses
When it comes to ownership rights for foreign investors, a Professional License offers a clear advantage over Commercial and Industrial Licenses. Foreign investors can enjoy 100% ownership of the business, which allows them to establish sole proprietorship.
In the UAE, Professional Licenses are issued based on the applicant’s educational qualifications and area of expertise. This ensures that only individuals with the necessary qualifications can set up a professional business in the UAE.
Although investors retain 100% ownership rights, appointing a local service agent is mandatory to fulfill legal formalities. The local service agent has no claims or rights over the company’s equity or operations. The investor is responsible for paying an annual service fee for the agent’s services.
Initial Approval for a Professional License
To obtain initial approval for a professional license in Dubai, start by preparing a clear and accurate description of your business activities. Appoint a service agent to handle the official formalities efficiently. Once this is in place, you can proceed to secure initial approval from the Department of Economic Development (DED). Next, select a relevant trade name for your business and reserve it. Final approval will be granted by the DED after you submit all the required documents.
When choosing a trade name, it’s essential to follow the regulations. The authorities prohibit trade names that include political or religious references. If you plan to use your name, it must be spelled out in full, without abbreviations.
Required Documents for Securing a Professional License in Dubai
- Completed application form
- Passport copy of the owner/partner
- Copy of the partner’s naturalization book
- Expatriate partners require a sponsor’s NOC (Not applicable if the partner is on a Tourist/Visit Visa; a UID number is sufficient)
Based on your business activity, the relevant authorities will issue the initial approval. You must apply to the DED with certificates and documents that verify your professional qualifications and experience (if applicable). The DED will review these documents before issuing your professional license.
Guidelines for Professional License in Dubai
- Prepare the local service agent agreement that assigns a UAE national as your company’s service agent, using a legal translator.
- Have the agreement notarized? If the agreement is in Arabic, the seal of a legal translator is not required.
- Draft the Memorandum of Association (MOA) with the local service agent.
