ne of the most common questions asked by first-time entrepreneurs in this part of the world is whether they need a local sponsor (Nominee Shareholder) in Dubai. The answer depends on many factors, including your nationality and the type of business you wish to set up.
If you’re a non-Gulf Cooperation Council (GCC) national looking to set up a business with a commercial or industrial licence on the United Arab Emirates mainland, then yes, you will need a local sponsor as a business partner. If, however, you are setting up in a free zone, or your business activity is covered by a professional services licence, a local sponsor is not required.
Professional license in Dubai, UAE refers to the type of license which permits professionals to start a business in the Emirates. Unlike other trade licenses, a professional license holder can do business in particular types of industries; Carpentry, Artisanship, Consultancy services, Printing and Publishing, Beauty saloons, Repair services, etc come under the professional license services in Dubai and UAE.
In short, a professional license is given to an individual or a single-ownership company to do any profession in which he/she delivers services based on their intellectual or artistic talent. However, if the business has more than one owner, it will be called a civil company. At Kiltons, we offer services to get a professional license in Dubai.
First, you’ll need to establish a mainland Limited Liability Company (LLC)—of which you retain 49% ownership with the other 51% going to the local sponsor. Rest assured, however, that profits are not split along the same lines and your local partner will have little-to-no say in the day-to-day running of your company.
Finding a local sponsor in Dubai, can be a demanding process for startups and new entrepreneurs. The local sponsor must either be a UAE national (also knows as an Emirati) or a corporate entity. The corporate entity must be completely owned by UAE nationals and comprised of a board of directors.
At Fexmy, we understand that many entrepreneurs find the concept of engaging a local sponsor and passing off a 51% share of their company worrying. That’s why our corporate sponsorship service is designed to give you complete peace of mind .
By partnering with Fexmys service agents, there’s no need to spend time searching for and building a rapport with an individual. Instead, we’ll provide a premier corporate nominee to act as your 51% local sponsor in Dubai.
Our main objective is to give you 100% financial and operational control, while protecting your shareholder rights in your Limited Liability Company company. The agreements and documents we use are drafted by first-tier legal counsel, and have been tried and tested for over a decade. We’ll make sure you’re armed with all the documentation you need to protect your business and secure the financial rights of your business.
There are many differences between a FreeZone company and other forms of business setup in Sharjah. Firstly, FreeZone companies are allowed to do business anywhere in the Sharjah and outside the Sharjah.
Previously foreign investors or entrepreneurs were not allowed to form a business in the Sharjah FreeZone with 100% ownership. It was mandatory to have a local sponsor with 51% of company shares allotted to them. This obligation has been revoked as per the new Dubai company law. This allows foreign entrepreneurs to own 100% of their company shares in the Dubai FreeZone.
Another major advantage differentiating FreeZone companies from others is the office space requirement and setup. Physical office space is required to obtain a FreeZone business setup license in Sharjah. FreeZone businesses have the advantage of setting up office spaces anywhere that suits them.
FreeZone companies also do not have any restrictions when it comes to visa eligibility. The number of visas issued is directly proportional to the area of workspace/office space that the company has.
Sharjah FreeZone companies also have business aids, tax exemptions, and other benefits in compliance with the latest laws.
You must follow the following procedure for FreeZone company formation in Sharjah.
The best thing you can do is to avail yourself services of our trusted FreeZone business setup consultants to reduce your burden and fast-forward the process.
Here is the list of documents that you will initially need to apply for FreeZone business setup:
There can be added requirements of documents based on the case. Your Consult Zone expert will guide you in case there is an emerging demand.
The latest amendments in Sharjah company laws benefit foreign businesses set up on the FreeZone in various ways. The law allows the foreign entrepreneur to have 100% ownership as opposed to the mandatory local sponsor requirement. Another major benefit is the significant tax exemption and government-funded business aid.
100% business ownership
100% business ownership
100% business ownership