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NAS management

Why is a Local Sponsor Needed in UAE?

The UAE market continues to grow in popularity as a spot for foreign investors. To help with setup, all companies in the UAE must have a national partner who is acting as a local sponsor. The UAE Commercial Companies Law states that a local sponsor will hold a 51% share in the company, and 49% share will belong to the ex-pat business owner of the company.

Our corporate service specialists can help you find a local sponsor to facilitate a timely, easy, and simple transition into the UAE business market.

Who Can Be a Local Sponsor in UAE?

The term “local sponsor” refers to a person who is a UAE national/Emirati citizen that has a family membership card. The sponsor will serve as a sleeping partner for Mainland companies with foreign investment. The sponsor must be a local resident of the country, hold a valid UAE passport, and have a share in the profits of your company.

The local sponsorship rule only applies to the UAE Mainland. A sponsor isn’t required in Dubai Free Zone regions or for some civil companies

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