dubai

Why is Approval from Government Agencies in Dubai Important?

An investor planning business in Dubai should begin the process by getting approvals from the authorities concerned. Gathering necessary approvals from government agencies is essential for foreign investors to start their business activities with legal binding. Approval indicates that the business complies with the legal requirements of the land. The operational legitimacy of the business and trustworthy relationships are possible only by getting approval. Furthermore, approval ensures the safety of the business as well as the employees and protects the rights of the employer and the employee.

What are the types of
Business approvals in Dubai?

Dubai is in a move to promote non-oil foreign investment in the country, and different types of trade licenses are issued to accommodate various business activities and business structures.

Initial Approval from the Department ofEconomic Development (DED)

Any investor planning investment in Dubai needs to get initial approval from the Department of Economic Development Dubai. DED approval is an indication that the DED does not object to the business idea by the investor. The investors can proceed with further steps after getting this initial approval.

Approval for Trade Name

A trade name is the unique identity of a business. As the name indicates, the trade name tells the people what the trade is. An investor needs to get the permission of the DED to use the trade name. The DED will issue permission to use the trade name only after verifying its uniqueness. Besides, it also ensures that the trade name complies with all the requirements of the country.  Getting approval for a trade name helps the business to protect the identity of the brand and set aside any legal battles over the name.

Memorandum of Association (MOA)

MoA is the document that gives legal shape to the structure and ownership of a business. The MoA also sets operational guidelines for the business. Once the MoA is ready, the same has to be notarized for legal validity. For companies having multiple shareholders, this MoA defines the distribution of shares and responsibilities.

Commercial Lease Agreement Approval

It is important for businesses to have a physical address in Dubai. A foreigner will need to lease an office space by preparing a tenancy contract or a commercial lease agreement. The investor needs to make sure that the agreement is registered with the Ejari system to avoid any legal complications in the future. Regulatory compliance can be assured by completing the approval procedure under the Ejari System.

Business Specific Activity Approvals

Businesses operating in Dubai need industry-specific approval from various government departments. Application for industry-specific approval needs to be submitted to departments concerned to ensure legal compliance. Getting a nod from the DED may not be sufficient sometimes. Investors may need the consent of other departments also.

Health Department: Persons investing in the healthcare sector need to get approval from the health department. This helps to ensure compliance with health and safety regulations.

Approval from the Food Safety Department: Any sort of food business in Dubai needs approval from the Food Safety Department to ensure hygiene and safety standards.

Approval from the Civil Defense Department: Companies working in the construction and manufacturing industry need to obtain this approval to ensure safety protocols.

A set of Industry-Specific Licenses and Permits:

Dubai Municipality: Persons investing in waste management, construction, and public health need permission from the Dubai Municipality.

Dubai Tourism : Businesses operating in the tourism and hospitality industry need special approval

Financial Services Authority : Essential for businesses operating in the financial services sector to get approval from this authority.

How can a PRO service support
you to get approvals

A Professional PRO service provider can play an important role in clearing the complex legal procedures involved in getting approvals from various government agencies in Dubai. Instead of approaching different offices in person and investing a major share of your time in managing the documentation and approval application procedures, you can complete the procedure by contacting a PRO service. PRO services are an essential support system for foreign investors to make a leap in the business world in Dubai. Their familiarity with local regulations and bureaucratic processes helps businesses in obtaining necessary approvals. Besides, PRO service promises the following benefits.

01
Expertise

The comprehensive experience and expertise of a PRO team in dealing with the government departments promises all-in-one support to investors.

02
Streamlines Operations

 Partnering a leading PRO service provider in Dubai, you can streamline approval processes. They will help you in documentation and application submission by managing essential processes.

03
Assures Compliance

 Don’t worry about regulatory compliance once you partner with a PRO service provider. A trusted team like Top Focus will help you minimize the risk of non-compliance. Thus, you can avoid penalties.

04
Efficient Communication

Public Relations Officers of Top Focus maintain good communication with the investors and the government officials to ensure timely issuance of approvals.

Making the best use of PRO services, foreign investors invest their time in their core business activities.

Frequently asked questions

Initial approval from the DED is the first step for business setup. This approval is the preliminary statement that the department does not object to the proposed business

A trade name is the identity of a business. Approval for this helps businesses to build their brand and avoid any legal conflict at a later stage.

The structure and ownership of the company is decided by the MoA. Notarization makes it a legal document.

Businesses in certain industries, like the health department, civil defence, food business etc. need approval from the government agencies concerned.

As approval processes and other activities require language translation, knowledge of local regulations etc., PRO service providers can ease business setup in Dubai.
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