Tips when establishing a company in Dubai

Dubai has recently been considered one of the best investment countries in the world, especially in attracting foreign investments, as it ranked sixth in the world in the field of foreign investments. Therefore, any investor must know the steps for security approval to invest in Dubai before starting investment in Dubai. Security approval is approval. Security authorities; Such as investigating you and ensuring that there are no previous cases or violations related to residency and entry visas to the country, and nationality may sometimes be an acceptance factor and is considered an initial approval that the government of the State of Dubai has no objection to establishing a company in Dubai.

Tips when establishing a company in Dubai

The procedures for obtaining security approval to work in the UAE include several steps aimed at ensuring that individuals and companies comply with security standards and local laws. Here are the specific procedures for obtaining security approval to work in the UAE:

Collect the required documents

1. Copy of passport: must be valid.
2. Copy of residence visa: if the applicant resides in the UAE.
3. Personal photo: identical to official photo specifications.
4. Academic and professional certificates: accredited and certified by the competent authorities.
5. Submitting a request for security approval: The request can be submitted through the website of the competent authority or through approved service centers. Fill out the electronic form and attach all required documents.

The application is reviewed by the security authorities

1. The request is transferred to the competent security authorities to review the information provided.
2. Additional information or an in-person interview may be requested.

Receive security approval

1. After the application is reviewed and approved, a security clearance will be issued.
2. The approval can be received from the service center or downloaded electronically.

Determine the type of business activity: Make sure that the proposed business activity requires security approval by checking the requirements of the Department of Economic Development or the competent authority.

Collect the necessary documents

1. Copies of passports: for all partners and shareholders.
2. Copies of residency visas: for partners and shareholders if they reside in the UAE.
3. A copy of the lease contract: for the company’s headquarters approved by the Land Department.
4. Summary of business activity: includes the type of activity and business plans.

Submit a security approval request

1. Visit one of the authorized service centers or use the electronic portal to submit the application.
2. Fill out the form designated for requesting security approval and attach all required documents.

The application is reviewed by the security authorities

1. Your request will be transferred to the relevant security authorities to review the information and ensure compliance with security standards.
2. This procedure may take some time, so you must follow up on the application regularly.

Receive security approval

1. After the application is reviewed and approved, a security clearance will be issued.
2. The approval can be received from the service center or downloaded electronically.

Completing licensing procedures

After obtaining security approval, complete the commercial licensing procedures with the Department of Economic Development or the competent authority.
Additional Tips:

1. Check for updates: Follow any updates or changes in security approval requirements through the website of the competent authority.
2. Consultation with experts: It may be useful to consult specialized companies or legal advisors to ensure that all requirements are properly met.
3. Obtaining security approval is a vital step to ensure compliance with local laws and start operating legally in the UAE

Some activities before applying for initial approval

Foreign investors must obtain the approval of the General Directorate of Residency and Foreigners Affairs before obtaining initial approval to invest in Dubai , as some activities require, before applying for initial approval, obtaining approvals from government agencies related to the activity, such as:

• Activities related to legal matters;
•  Activities related to security agencies and the Securities and Commodities Authority.

If you apply for security approval to work in Dubai from within the country, it may take about 14 days to obtain the visa. The security approval and work permit are valid for two months from the date of its issuance by the Ministry of Labor.

 The cost of establishing a company in Dubai

The cost of setting up a company in Dubai varies based on several factors without mentioning the direct prices. These factors include:

1. Company type: Costs vary between limited liability companies (LLC), sole proprietorships, branches, and others.
2. Place of incorporation: Establishing a company in free zones (such as JAFZA or DAFZ) is different from establishing it in Dubai Trade.
   Free zones offer benefits such as full tax exemption and 100% foreign ownership.
3. Type of business: Fees vary based on the business activity carried out. Some activities require additional approvals or special licenses.
4. Licensing fees: Includes commercial license issuance fees and annual renewal fees. Fees may vary based on company size and business activity.
5. Lease Costs: Lease costs vary based on the location and size of the office or store. Some free zones offer comprehensive packages that include office space.
6. Government and administrative fees: include registration fees and approval fees from the competent authorities. There may be additional fees for obtaining security clearances and other requirements.
7. Professional Services: Includes costs for legal and accounting consulting and PRO (government relations) services. Some companies use specialized companies to facilitate procedures and speed up the establishment process.

Steps to determine actual cost

1. Consultation with establishment experts: You can contact companies specialized in establishing companies to provide detailed consultations.
2. Needs Analysis: Determine business type, location, and company size to get an accurate estimate of costs.
3. Benefit from comprehensive packages: Some free zones offer comprehensive establishment packages that include licenses, office space, and administrative services.
4. Establishing a company in Dubai requires careful planning and investment in time and resources, but it can be the first step towards sustainable success in one of the most dynamic markets in the world.

Specific steps to obtain the security approval service

To obtain the security approval service for establishing companies in Dubai , you must follow a set of specific steps. This approval is a basic requirement for some businesses, and is intended to ensure compliance with security standards and local laws. Here are the specific steps to obtain security approval:

Determine the type of business activity

Make sure your business requires security clearance by checking the requirements of the Dubai Economic Development Department (DED).

Preparing the necessary documents

1. Copies of passports: for partners and shareholders in the company.
2. Copies of residency visas: for partners and shareholders if they reside in the UAE.
3. A copy of the lease contract: for the company’s headquarters, which must be approved by the Dubai Land Department.
4. Summary of business activity: showing the type of activity and future business plans.

Submit a security approval request

Visit one of the authorized service centers or use the electronic portal of the Department of Economic Development in Dubai to submit the application.
Fill out the form designated for requesting security approval and attach all required documents.
Review of the application by the security authorities:

Your request will be transferred to the relevant security authorities to review the information and ensure compliance with security standards.
This procedure may require some time, so you must follow up on the request regularly and ensure that any additional information is provided if requested by the competent authorities.

Receive security approval

1. After the application is reviewed and approved, a security clearance will be issued.
2. The approval can be received from the service center or downloaded electronically from the Department of Economic Development website.

Completing the procedures for establishing the company

1. After obtaining security approval, you can complete the rest of the company establishment procedures.
   Submit the security approval along with the rest of the required documents to the Department of Economic Development to issue the commercial license.
2. Check for updates: Follow any updates or changes in security approval requirements through the Dubai Department of Economic Development website.
3. Consultation with experts: It may be useful to consult specialized companies or legal advisors to ensure that all requirements are met.
   Obtaining security approval is an essential part of ensuring that your company is legally and smoothly established in Dubai, and helps you focus on the growth and success of your business.

Security approval procedures to work in the Emirates

There are some important steps that must be followed, which in turn will help you succeed in investing in the United Arab Emirates. Among the steps to invest in Dubai are the following:

1. Submitting an Application: A company or organization that intends to hire a foreign employee must submit an application for security clearance.
2. Submitting the necessary documents: The application requires submitting copies of the relevant employee’s passport, a personal photo, and any other required documents based on the type of job and the government agency in which the employee works.
3. Security examination: A security examination is conducted on the employee concerned, and this includes checking his criminal records and ensuring that there are no security problems that hinder his ability to work in the country.
4. Final approval: After completing the previous procedures and obtaining the approval of the competent security authorities, the employee is issued a security approval, allowing him to work in the UAE legally.
5. Renewal: In some cases, there may be a need to renew security clearance based on certain conditions, such as a change of employment or renewal of residency. These measures aim to ensure that foreign talent is brought in in a way that maintains security and stability in the country.

Costs of investor entry into the UAE market

If the investor resides permanently in the UAE, there is a residency fee estimated at approximately 5% of the lease value.
There are waste disposal fees estimated by the company’s waste department.
Investment fees in the United Arab Emirates are estimated according to whether the company operates under the local law system, or the free zone law system, and if the company is under the local legal system, 5% of the value of the lease contract is paid to the government as fees. If it is under Dubai Free Zone Law, 7.5% of its value is paid to the government as fees.
If the company’s headquarters is owned and not rented, whether the company is subject to local law or free zone law, the fees are based on the committee’s report.

As we mentioned at the beginning of the article, there are many advantages that the state offers to entrepreneurs for investment in Dubai, such as:

1. Availability of all services necessary for a decent life, such as health, education, and housing.
2. The school must teach respect for other cultures in the Emirates, and uphold the values ​​of tolerance and brotherhood. By doing this, different nationalities can coexist in the UAE.
3. The UAE enjoys a strategic location, as it is located in the middle of the continents and connects global markets to each other.
4. Free zones in the Emirates benefit from investments in infrastructure and provide all the necessary facilities for investments.
5. There are many commercial centers for shopping or investment, and there are international hotel services in Dubai. This is part of the reason why people from all over the world choose to live or stay in Dubai.
6. Dubai provides facilities for obtaining permanent residency for foreign investors, as well as for some company members, their spouse and children.
7. Another important advantage is that the United Arab Emirates is safe and stable. Its laws are fair and its people are civilized, and this is achieved by ensuring investment in the United Arab Emirates, as it is considered one of the most stable countries, whether politically, security-wise, socially, or economically. The UAE also protects foreign investors and provides protection through its laws.

Steps to obtain security approval to work in the UAE

1. First, you must provide all the documents required to obtain security approval.
2. Apply for security approval in the competent departments.
3. The investor applies for an investment visa in the UAE.
4. Pay the fees and obtain the visa.
5. Obtaining a license to practice work in the Emirates before applying for security approval.
6. The turn to obtain security approval comes after fulfilling the previous conditions.
7. The last steps are to start working in the Dubai market.

Establishing a company in Dubai is a strategic move that gives entrepreneurs and investors the opportunity to enter a diverse and dynamic global market. Dubai provides a developed work environment and modern infrastructure, supported by encouraging government policies aimed at facilitating business and promoting economic growth. Whether you plan to establish a company in the free zones or within the city, understanding the legal and administrative procedures and requirements will help you get off to a successful start. Through careful planning and utilizing available expertise, investors can achieve success and prosperity in this vital commercial center. The great opportunities in Dubai are embodied in its stable and thriving economic environment, making it an ideal destination for establishing a business and achieving sustainable growth.