Insights

Insights: Top 11 tips to choosing the right local UAE sponsor

Choosing the right partner for your UAE business

WORRIED ABOUT HOW TO CHOOSE AN EMIRATI SPONSOR FOR YOUR BUSINESS?

This factsheet gives a guide to entrepreneurs who wish to set up a limited liability company in the UAE. By

law, an Emirati sponsor is required to hold 51% of the shares in the company.

1. Chose a professional sponsor.

2. Ask for professional profiles (education, work experience, achievements, and how he is held in the

local Emirati business community).

3. Carry out due diligence work on your potential sponsor, ask for references from the other

companies that he is sponsoring.

4. Check your sponsor’s awareness of government rules and know how.

5. Focus on quality over price (i.e. the annual fee that will be charged for sponsoring your company).

6. Check how your sponsor manages his trade licenses with other companies and his track record of

sponsoring foreign investors in the UAE.

7. Your sponsor must have a business background and mindset.

8. Consider referrals through other business colleagues.

9. Interact with the business community and network at business events for potential business

sponsors.

10. Maintain a win/win relationship with sponsors.

11. Keep abreast of the local laws, rules and regulations that affect your business.

 

For further guidance, please contact our advisors.

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