Key Terms
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License Validity (Years)
Refers to the duration for which the business license remains valid before requiring renewal. In the UAE, businesses can choose license validity for 1, 2, or more years depending on the free zone or mainland authority.
Shared Desk or Flexi-desk
A workspace requirement in free zones where businesses are provided with a shared office desk to meet regulatory compliance. This is mandatory for certain license categories.
Immigration Card
A document issued by the UAE’s immigration authorities that allows a company to apply for visas and sponsor employees and investors under its trade license.
Visa Allocations
The number of visas a company is allowed to issue under its trade license. This depends on the business activity, office space, and free zone regulations.
Investor Visas
A residency visa issued to business owners or shareholders of a company in the UAE, allowing them to live and operate their business legally.
Status Changes
(If inside country)
A process required for individuals already in the UAE on a visit or tourist visa to convert their visa to a residency visa without exiting the country.
Medical Test - Normal
A standard medical fitness test required for all residency visa applicants in the UAE, including blood tests and a chest X-ray.
EID Application
The process of applying for an Emirates ID, a mandatory identification card for all UAE residents, issued by the Federal Authority for Identity and Citizenship.
Preliminary Initial Approval
An approval required before obtaining the initial approval, usually for specific business activities that need additional verification by government authorities.
Payment Voucher
A document issued by the relevant authority specifying the amount to be paid for completing a particular transaction, such as license issuance or government approvals.
External Approvals
Additional approvals required from specific government entities based on business activity, such as the Ministry of Health for medical businesses or the Telecommunications Regulatory Authority for telecom activities.
Memorandum of Association (MOA)
A legal document that outlines company details, including shareholder names, ownership percentages, managerial powers, and operational regulations.
Trade Name Reservation (Arabic)
The process of registering and reserving a business name in Arabic, ensuring compliance with UAE trade regulations.
Trade Name Reservation (English)
The process of registering and reserving a business name in English, often done alongside Arabic name registration to establish a unique business identity.
Visa Stamping
The final step in the residency visa process where the visa is officially stamped in the passport, confirming the individual’s legal residency in the UAE.
Power of Attorney (POA)
A legal authorization granted to another person to act on behalf of the company owner in legal or administrative matters.
UAE Branch
A UAE branch enables locally registered limited liability companies to expand their operations by setting up a branch within our free zone. This branch operates as a legally connected extension of the parent company, carrying out all or part of the same business activities.
Foreign Branch
A foreign branch allows companies based outside the UAE to establish a presence within our free zone while retaining full ownership (100%) and operating under the parent company’s name. This branch functions as a legally dependent entity of the parent company, conducting all or a portion of its business activities.
Free Zone Establishment (FZE)
Sole Ownership
An FZE is designed for businesses with a single owner, who can be an individual or a corporate entity. This setup is perfect for those who prefer complete control and exclusive ownership of their enterprise.
Free Zone Company (FZCO)
Shared Ownership
An FZCO accommodates multiple owners, with a limit of up to ten. Owners have the flexibility to allocate shares as they agree and can either manage the company directly or hire a manager to handle day-to-day operations. This model is ideal for partnerships or joint ventures.
Work Permit
A work permit in the UAE is an official authorization that allows a foreign national to legally work in the country. It is issued by the Ministry of Human Resources and Emiratisation (MOHRE) and is tied to a specific employer, job role, and duration, ensuring compliance with UAE labor laws.
Dual License
A Dual License in the UAE allows businesses to operate both inside and outside a free zone, providing flexibility to access both free zone benefits and mainland markets. This setup enables companies to expand their reach while maintaining compliance with local regulations.
MOFA Recognized
means documents or entities have been officially authenticated by the UAE Ministry of Foreign Affairs. This is often required for legal, business, or personal purposes, ensuring validity and compliance with UAE regulations. It adds credibility and authenticity for use both domestically and internationally.
VAT (Value Added Tax)
Is a consumption tax applied to goods and services at each stage of production or distribution, paid by the end consumer. In the UAE, VAT was introduced in 2018 at a 5% rate, with some exemptions. Businesses exceeding the taxable threshold must register and file regular VAT returns.
Tax
Tax is a mandatory financial charge imposed by governments on individuals or businesses to fund public services and infrastructure. It can be levied on income, goods, services, or property. Compliance with tax regulations is required by law.
Job Offers
Job offers are formal proposals from employers to candidates, detailing role, salary, and start date. They follow a successful interview or selection process. Acceptance creates a legal employment agreement.
Employment Contracts
Employment contracts are legally binding agreements between employers and employees, outlining terms like job role, salary, working hours, and conditions. They ensure clarity and protect the rights of both parties. Signed contracts formalize the employment relationship.
Terminating employment contracts
Terminating employment contracts ends the work relationship via resignation, dismissal, or mutual agreement. It must follow labor laws, contract terms, and include notice periods or severance. Proper process ensures fairness and legality.
No Objection Certificate (NOC)
NOC is an official document stating no objection to actions like job changes, travel, or sponsorship transfers. It is often required for legal or administrative processes. Commonly used in the UAE and other regions.
Identity, Citizenship, Customs and Port Security (ICP)
is a UAE federal authority overseeing identity management, citizenship, customs, and port security. It ensures efficient border control, national security, and streamlined customs processes. ICP plays a key role in safeguarding the UAE's borders and enhancing trade.
The General Department of Criminal Investigation (CID)
Investigates serious crimes like fraud, cybercrime, and organized offenses. It ensures public safety, prevents criminal activities, and collaborates with other agencies to uphold justice and the rule of law.
General Directorate of Residency and Foreigners Affairs (GDRFA)
The GDRFA handles residency, visas, and entry permits in the UAE, ensuring immigration compliance and smooth processes for residents and visitors. It enhances security and facilitates travel.
EID & Medical Test - VIP
A faster processing option for Emirates ID and medical tests, allowing applicants to complete procedures with priority services.
Employee Visas
Residency visas issued to employees working for a company in the UAE, allowing them to legally live and work in the country under their employer’s sponsorship.
Ejari
A mandatory tenancy contract registration system under the Dubai Land Department, required for obtaining a business license.
Initial Approval
The first official step in setting up a company, where the relevant authorities approve the business activity before proceeding with further requirements.
