August 16, 2020

What is a Local Sponsor in UAE and its Types?

What is a Local Sponsor in UAE and its Types?
Get Reliable Local Partners & Sponsors for your company in the UAE

MSZ corporate services provider assists companies and investors from all over the world to set up, expand, and scale their business in the United Arab Emirates. We keep your goals at the center of everything.

What are the Types of Sponsorship in the UAE?
When you plan to incorporate a mainland company in the UAE, you will be required to appoint a local sponsor or local service agent for your company. You have another option of a corporate sponsor that gives you a lot of financial freedom in the UAE. Very few Consultancy firms give direct corporate sponsorship choices as well as would commonly have another firm at the back giving the same. However, MSZ corporate services provider gives you an in-house corporate sponsor, and in this manner, you save on costs you shall pay else.
Following are the sponsorship available for the Mainland Company in the UAE:
What is a Local Sponsor in the UAE?
A local sponsor is a local partner to the business you have and by UAE law a local sponsor must be a UAE national who is entitled to 51% share of the company and 49% share goes to the business owner. Generally, if you have a mainland company that will conduct industrial or trading activities, a local sponsor is compulsory, and the company will be a Limited Liability Company LLC, for example, LLC Company. We can arrange a reliable and trustworthy local sponsor for your business in the UAE.
What is a Local Service Agent in Dubai/UAE?

Much the same as a local sponsor, a local service agent is a UAE national. However, and dissimilar to the local sponsor, the Local Service Agent will have no lawful rights, liabilities as well as interests in the company. A local service agent is more similar to a facilitator that acts as a point with the UAE authorities to facilitate the business. The local service is required for the accompanying type of companies:

What is a Corporate Sponsor in Dubai/UAE?
Many entrepreneurs who are new in the UAE think that it’s somewhat scary to have a local sponsor. So MSZ corporate services provider gives you a corporate sponsor option. Much the same as a local sponsor the corporate sponsor is a UAE national owned business entity that will have a 51% share of the foreign company yet managed and controlled by MSZ corporate services provider.
What is a Royal Sponsor in Dubai/UAE?

A royal sponsorship in lawful essence is like the corporate or local sponsor yet allowed by the private family offices of the royal family member in the UAE for the prime reason for getting and winning local tenders and authorities projects. The applying company should be well established and because of diligence by MSZ corporate services provider is conducted before preparing the application for the Royal Sponsorship.

How does MSZ corporate services provider arrange a local sponsor for your mainland company in Dubai/UAE?

Usually, a local sponsor in the UAE is required when you set up your business in Dubai mainland. Moreover, when you plan to incorporate a mainland company in the UAE, you will be required to appoint a Local service agent or Local Sponsor. To give you the idea of how we work with our customer, read the below process for getting a reliable local sponsor with MSZ corporate services provider;

  • A business advisor or a consultant will advise you on the best and suitable option for your mainland company as well as what type of sponsor you require.
  • You have to pay Local business sponsorship fee
  • You would get a lot of documents from the local sponsor including Emirates ID and passport copy
  • You apply for an initial trade license approval for your Limited Liability Company (LLC) after reserving the name of the company. Our specialist will completely facilitate the procedure and its related necessities.
  • We plan a meeting with the Local Service Agent or Local Sponsor for notarization of the MOA or the service agent contract at the Notary Public of the chosen emirate in the United Arab Emirates.
  • Our advisors will submit all the required documents to the Dubai Economic Department (DED) and liaise to get the payment voucher to receive the license.

For more information, call us on +971562181007 or drop a mail to info@msz.ae