For the establishment of an LLC in the United Arab Emirates, a Local Sponsor (Emirati business partner) is still required for many activities. That goes for both Abu Dhabi and Dubai, there is no difference here.
Many people misunderstand the sponsorship part and think that this sponsor will invest in new business ideas. Please be advised that the "local" business partner does not participate in any investments for business development or ongoing operations, but only acts as a silent partner. This are government laws and cannot be avoided.
In many industries in Dubai and Abu Dhabi, a "strong" local sponsor is essential, especially if you want to enter into business relations with the military, police or ADNOC (Abu Dhabi National Oil Company). Those comapnies have a very strict registration process and the local partner plays an absolutely vital role and can be the decisive factor of being accepted or not.
It should be clear by now that the choice of the right business partner decides about victory or defeat. Or in this case about success or failure. A trusted, influential local sponsor can be the tip on the scales. He is either a helpful partner and supporter or the famous millstone round your neck.
Our local partner, Mr. Ahmed Al Nuaimi is officially licensed as a Local Sponsorship provider in the UAE and is probably the best choice for a reliable "local" partner. He comes from one of the most respected families in the United Arab Emirates.
As a modern Emirati, he is the CEO of his own construction company and already a local sponsor of several successful companies in Abu Dhabi and Dubai, such as SICIM Middle East (ADNOC Supplier) and LOc8 (Military Supplier). While working full-time for the Government of the UAE, he still finds time for his partner companies and supports them when need be. As so-called "big shot" he has excellent contacts within governmental and private companies.
It is important to know that the Local Sponsor is a "silent partner" who, of course, does not interfere with the business and decisions of the company concerned. We are 100% committed to that. He also has no access to company accounts and company balance sheets. After the license issuance, a side agreement is generally created, which hands over the company to the foreign partner. In addition, there is a power of attorney which gives the foreign partner the power of decision in all areas. Theoretically, one would have to meet his local sponsor only once to sign the shareholder agreement (MoA).
In addition to the standard program of the entire start-up process, we also like to act as a "door opener" to new business opportunities. We have excellent contacts to the industry giants in Abu Dhabi and Dubai as well as to the government of the United Arab Emirates.
Last but not least, we have an extensive network, starting with lawyers, marketing & business consultants, real estate experts, online specialists, accountants, etc. etc.
