Finding the right local sponsor is an inevitable part of your UAE business strategy as it affects your business in many ways. One does not have to share their business profit with this sleeping partner but has to pay an annual fee for his sponsorship.
There are various types of sponsorships available in Dubai
Local Service Agent: When professionals wish to set up their business for offering service, a local service agent is required to represent the company in all administrative matters. The local service agent, in this case, does not hold 51% of the business, but paid annually and is appointed for the sole purpose of liaising with the government departments and authorities to obtain visa, labor and immigration approvals and complete other necessary paperwork.
Corporate Sponsorship: In simple terms, this type of sponsorship happens when a UAE company owned by Emirati’s or UAE nationals hold 51% of the shares of an organization owned by a group or individuals of foreign origin. Here the P&L is shared by both the parties and the type of company setup is LLC, manufacturing unit or a trading company.
Individual Sponsorship: This is the most common form of sponsorship which is available in Dubai. An Emirati or a UAE national becomes a sponsor and may or may not be part of the operating business. An Emirati will hold 51% of the shares of the firm and can hand over a power of attorney to the foreign partner for a fixed fee.
We, as a premier business set up company in Dubai, offer help in finding you the right sponsor. Please feel free to contact us at +971 552 7777 31