Local Service Agent

 What is a Local Sponsor?

A Local Sponsor is an Emirati national who will be partnering with you in your business, in some cases. Local Sponsors do not usually involve in business operations and are just offering service in exchange for an annual fee to enable a foreign entrepreneur to open a company in Dubai mainland.

Several high-profile Local Sponsors can open their doors to help you set up a company in Dubai. If you would like to be assisted with any Local Sponsorship needs, please feel free to talk to one of our Business Setup Advisors.

Limited Liability Companies (LLC) in Dubai are established with Local Sponsors and are free from tax, and the foreign entrepreneur can repatriate 100% of its company profits. By owning a Dubai mainland company, your company can open several branches across the UAE and even engage in various government projects, unlike if you have a Free Zone license.

What is Local Service Agent?

A Local Service Agent is a UAE national and acts only as a representative and has no civil responsibility or monetary compulsions. He acts as a representative to enable a foreign entrepreneur to open a business in Dubai but will not have any legal interest in the operations, administration, company profits, or assets. The foreign entrepreneur holds 100% company ownership and holds full power in business operations.

WHAT IS THE DIFFERENCE BETWEEN A LOCAL PARTNER AND A LOCAL SERVICE AGENT IN THE UAE?

•           Sponsorship Options for an LLC in the UAE

Corporate sponsorship: In a Corporate Sponsorship, a company that is your local sponsor will hold 1% or 2% of the shares and obligations only  in serviced activities and this rule is not true for production commercial activities  . Whereas, the individual or group of foreign investors hold the other . The Emirati or local sponsor is a company rather than an individual.  A corporate sponsorship in Dubai is usually the preferred choice, as it provides further security for the expat partners.

•           Local Service Agent

A Local Service Agent is required for all Foreign Branch, Representative or Professional licenses in mainland UAE. The Local Service Agent is not a partner in the company and the ownership of the company lies 100% with the foreign investor. The role of the Local Agent is to be the representative of the company within the Governmental departments and to facilitate registrations with the various municipalities.        

•           Choosing a Local Sponsor in Dubai – The Corporate Sponsorship Option

The following legal forms require a service agent to support the company set up and operations in the UAE:

•           We at SAFS, understand that many entrepreneurs find it worrisome to engage a local sponsor . This is why, our Corporate Sponsorship service in Dubai gives you complete peace of mind

•           With SAFS, there is no need to spend time searching for and building a rapport with an individual. Instead, we provide a premier corporate nominee to act as your local sponsor in Dubai.