Who is a Local sponsor?
Local sponsor in UAE – The local sponsor is a UAE national’s, who acts as a service agent for your business in UAE and the local sponsor generally acts as a sleeping partner of the company.
Following are the three ways for foreign entrepreneurs to set up a business in UAE
The Professional services licenses are issued to service providers such as doctors, lawyers, engineers, consultants and accountants. This is only the way for the foreign entrepreneur to set up business outside free zone and owns 100% of the shares, with the support of a local service agent.
LLC-Limited Liability Company formation
If you require a commercial or industrial license then you must need a local partner.
The local partner own 51% of the business, but profits do not have to be distributed accordingly.
Freezone company formation
Registering a company in a free zone is a straightforward way to maintain 100% ownership in your business without having to take on a local sponsor.
Following are the types of local partners/local sponsors in UAE
The corporate sponsorship is similar to the individual sponsorship but here sponsor’s is the UAE national company and they hold 51% share of your business.
when a UAE national’s in his or her individual capacity becomes the local sponsor of a company.
Local Service Agent
If you want to open a professional services company then you need a local service agent. They will not hold your business shares. They will only represent a company in all administrative works and deals with government departments.
We at MSZ Consultancy, we provide assistance to find the right and reliable local sponsor for your New Company registration in Dubai or UAE. Contact us:+971 52 544 1248 or Email us: email@example.com
Find out how much it cost you to setup your Dream Business
Other Recent Blogs
Are you wondering if your company needs to register for Value Added Tax? Value Added Tax, or VAT, is one of the most common types of tax around the world. More than 180 countries have implemented this tax, including the UAE. While some countries have raised their tax...
The United Arab Emirates is known around the world for its business-friendly environment. Over the years, the country has put new rules and regulations into place to attract foreign investors, and it has paid off big time! Switzerland, the United Kingdom, India, the...
There’s no doubt that the pandemic has impacted the way that businesses operate. Business owners in Dubai and from all around the world had to change their structure and uncover new opportunities to succeed during the pandemic.
Officials in the UAE are hoping for an explosion of foreign investment, that’s because they’ve revamped their company laws to allow foreign investors to fully own local companies without the need of an Emirati sponsor. This is a huge deal for foreign entrepreneurs!
If you’re thinking of starting a business in Dubai, you can’t go wrong with a travel agency. The tourism industry is booming due to the popular shopping spots, stunning architecture, dining,
If you’re a female entrepreneur, the United Arab Emirates is the place to be. That’s because the country offers greater gender equality than any other country in the region. And women entrepreneurs are noticing because now, more than ever before, women are taking...
Subscribe to Our Newsletter
We’ll keep you updated on the latest trends and news