INVESTOR VISA
When it comes to business establishment, an idea alone isn't sufficient. Implementation requires funding. Delays in securing necessary funds can impede idea realization, a universal reality regardless of business type or size. While numerous funding options exist, let's focus on investor funds for now. Gaining adequate funds to launch a business is often challenging, especially for young entrepreneurs.
Interestingly, despite seeking investment from investors, doubt sometimes clouds perceptions of their "generosity." Concerns arise that investor funding might compromise business interests, causing hesitation in accepting it. However, this isn't always the case, considering the advantages derived from investor funding. Dubai, as a business destination, attracts foreign investors with abundant opportunities for expansion. Obtaining a Dubai investor visa grants the freedom to become a business investor, enabling entry, involvement in projects, and exit from the nation.
FnF Corp, a premier business consultant in UAE, offers impeccable visa services for individuals and corporations. Explore further to learn about Dubai investor visa details and application procedures.
Choosing to invest in Dubai, UAE stands as the optimal path for entrepreneurs. The nation extends a red carpet welcome, fostering a business-friendly climate with clear and straightforward regulations, alongside an expeditious business setup procedure. The UAE investor visa serves as the initial entry point for expatriates venturing into the business realm. The nation's thriving economy and burgeoning business prospects have catalyzed a notable surge in expatriates seeking this visa.
The sophisticated and well-organized seaports and airports in Dubai effectively cater to the growing needs of the industrial sector. The industrial sector utilizes this logistics advantage in the best possible manner. The transport of raw materials, equipment spare-parts, machinery and exchange of goods and all other associated activities can be performed smoothly and in a cost-effective manner. In the last decade, the industrial sector of UAE witnessed a growth of 31% and it is predicted to achieve a marginal increase by 2027. Dubai witnessed a 6% growth in the industrial sector in the last decade and is a major contributor towards the GDP. Electricity, water and gas, quarrying, mining and manufacturing are the major industrial sectors of Dubai.
Production or manufacture of goods or commodities in an industrial environment or space requires a valid Industrial License. Production can be termed as the transformation of raw materials or natural resources from the crude state to the final or refined state. Here the raw materials are subjected to structural or appearance-oriented transformation and the end product could either be in the semi-manufactured or fully-manufactured state. The transformation must be carried out via manual or mechanical intervention. Production, accumulation, Industrial segregation, and final packaging of products – all come under Industrial activity and therefore necessitate a valid Industrial License. The license issuance is carried out by the Department of Economic Development or DED. The approvals and permissions from other external agencies and ministries may be required for license issuance when it comes to Industrial License in Dubai, UAE. The license is issued with validity in compliance with the terms and condition specified at the time of issuance. The investors who are planning to set up an industry in Dubai should possess a physical warehouse. And yes – it is a mandatory requirements
The entire manufacturing-related activities systematically performed in an area of land come under Industrial production. Some of the major activities that come under industrial production are listed below:
Manufacturing of textile
Paper Production
Petroleum products manufacturing
Metal casting
Food production
Manufacture of equipment and appliances
There are certain prerequisites that an investor needs to accomplish before applying for an Industrial License in Dubai. And they are listed below.
51% sponsor share – You should find a local sponsor for your company. The local sponsor holds 51% of the company share and the remaining 49% goes to the foreign investor.
Local license – A local industrial license is mandatory for industrial concerns. And the local license is issued from the area of operation.
Office and warehouse – A physical office space and a warehouse in Dubai is mandatory to obtain Industrial License. Having a virtual office in Dubai will not serve the purpose here.
Employees – A minimum of 10 employees or workers is mandatory.
Capital Investment – Minimum Dhs 250,000 must be set aside as the capital of your company. 5HP specification machines are mandatory.
Certain Ministries and external agencies are involved in the License issuance. Here are the documents needed to attain an Industrial License in Dubai. A detailed report – You should submit a detailed report of the factory or industry that comprises the plan, objectives behind factory setup, information about the equipment involved in the production, manufacturing cost, capital involved and source of finance. You may furnish the employee details too. Non-citizens are supposed to submit the residence and passport copy. Feasibility study
Partnership contract in case of partnership firms
National Media Council Approval
Approval from the Ministry of Health
Copy of the Balance Sheet
Approval from the Ministry of Environment and Water
The process involved in the issuance of Industrial License in Dubai is listed below.
Obtaining the Initial Approval from the concerned authorities is the very first procedure prior to setting up of industrial concern or factory in Dubai. Initial Approval is also applicable when it comes to altering the present factory specifications or settings.
After you get the Initial approval, you may get in touch with the DED and apply for the Industrial License.
The processing time of the license application is 3 months. DED makes the final decision within the prescribed time.
The applicant shall receive the Application Approval notification from DED after the decision has been made. And this may take another 15 days.
When it comes to factory construction, you need to get prior permission from the Municipality.
You need to get other approvals from agencies and Ministries like the Ministry of Health, Chamber of Commerce and Industry etc.
If all the aforementioned requirements and documents are through, the final approval shall be issued within two weeks.
Getting an Industrial License in Dubai can be a time-consuming and tiring task because of the overload of formalities. Frank & Frank Business Setup Services have assisted several establishments for acquiring Industrial License in Dubai. Please contact our business consultants, even if it is a general query regarding Industrial License. We’re pleased to help you.
The authorities in the UAE have extended some privileges to the firms with an industrial license. Envisaged to promote industries and attract more investments in the sector.
The privileges of having industrial license in Dubai are:
Terms for renting industrial space exclusively formulated to benefit the investor
The government will provide land at a subsidised rate or free of cost for establishing your industry
Discounted rates for electricity, water and other essential requirements
Guidance based on modus operandi of similar industries, to enhance your industry
Innovative products can get a loan at reduced rates
If your product is expected to strengthen the national economy, the government will support you financially during the course of R&D
The products with exceptional quality will be given priority by the UAE government during official procurement
The cost of obtaining an industrial license in Dubai, UAE and setting up industry will depend on whether your business is in the Mainland or Free Zone and other relevant factors. You may need additional approvals and registrations according to the type of industry you are establishing. The total cost may be approximately AED 25K. However, this may vary from time to time, with amendments in existing pricing rules.
Considering the initial set up charges and other costs, starting an industry in the Free Zone jurisdiction would be more budget-friendly.
The federal authorities have specified certain obligations for the industrial license holder in Dubai. You must abide by the same for the smooth functioning of your industry and for avoiding unwanted repercussions.
Once your project is approved, you must commence construction of the industrial space within six months of receipt of the approval
Submit all the requisite data to the Department of Economic Development (DED), Dubai, as directed
A letter to be submitted to the DED as and when you are ready to start the industrial activity. The DED will issue a certificate of authorization subsequently
Your industry must be included in the register of industries. Submit a letter to the concerned authority for the same.
In case of any alterations or amendments in the data pertaining to the factory, submit a letter, in the prescribed format, to the DED detailing the changes
You are unauthorized sell or lease the property that has been allocated by the government for establishing the industry
The data of employees enrolled in the company has to be prepared and a copy of the same must be submitted to the DED
All the products and materials imported after claiming exemption from customs duties shouldn’t be used unless specified during the import
Federal laws stipulate a minimum of 25% employment for local Emiratis
Strictly follow the rules, regulations and policies of the land
All the directives to maintain hygiene, health conditions and industrial safety must be pursued without fail
Any changes, including the appointment of a director, must be informed to the DED in writing. In that case, the shareholders along with the director will be responsible for all the activities, law enforcement, and maintaining stringent regulations for the industrial safety of the company
Reports have to be submitted to the authorities on a regular basis.
There are multiple reasons why you should invest in Dubai. And some of the reasons are very evident. The geographical location and the connectivity offer Dubai a clear-cut advantage. The peculiar geographical location makes it easily accessible from Africa, Europe and Asia. The immaculate infrastructure, world class-connectivity, well-equipped airports and seaports make Dubai one of the most sought-after investment destinations. And Dubai is not just a business hub. It’s a traveller’s paradise too. Dubai has got into the 2018 “Top 10 World’s most visited cities” defeating renowned travel destinations like New York, Amsterdam and Las Vegas.
The stringent laws and their efficient execution restrict the crime rates which makes the city safe to live. The investor remains confident about the security of his valuable possessions or assets. UAE is considered one of the safest countries not only in the middle east but in the world. UAE secured the 11 th rank in the “Ease of Doing Business 2019” ranking. The UAE enjoys political stability since its formation and the credit goes to the visionary leadership. Another worth-mentioning aspect that attracts investors in large numbers to Dubai, UAE is the investor-friendly taxation policy. Income tax exemptions, complete repatriation benefits, 100% foreign ownership benefits, the recent launch of Investor’s residency visa for an extended period have a huge influence on the investors and entrepreneurs all over the world.
A Dubai investor visa is issued for expatriate investors to promote foreign investments in the Emirates. The investor visa legalizes the whole process of expatriate investor’s entry to the UAE, residence, implementing the business endeavours, and finally leaving the country. The investor visa enables the investor to carry out various business endeavours in the UAE. The Ministry of UAE issues the investor visa for a period of 3 years. The UAE consulate stamping on the visa is mandatory. For example, let us consider Dubai Investor visa. The foreign investor who needs to apply for the Dubai Investor visa is required to deposit a fixed amount that includes the Dubai visa fees. In this case, the deposit amount is AED 10,000. When the visa approaches the expiry, the investor is supposed to renew the same to enjoy the benefits in the future. For some reason, if the investor could not attain the estimated Return on Investment, the investor is entitled to cancel the particular visa
The benefits of attaining an investor visa in Dubai, UAE are many and they are listed below.
The investor visa holder is exempted of corporate taxes
In the UAE, the investors are supposed to open a corporate bank account. The investor visa holders can accomplish the bank account opening formalities without difficulty.
The investor visa holders can enjoy complete profit and repatriation benefits.
The duration of holding investor visa can be extended.
The investor visa holder is entitled to conducting recruitment globally.
The visa holder can easily acquire the Emirates ID and Residence visa.
The investor need not produce a placement offer from a business establishment based in the UAE.
A foreign investor has to apply for an investor visa to comply with the UAE laws. An investor’s visa is also called partner’s visa. Here are the procedures involved.
Submission of the Investor visa application form along with necessary documents.
Issuance of Visa
Undergoing medical examination
Applying for the Emirates ID
Stamping visa in the passport
Several documents are needed for issuing an Investor visa. Separate documentation is required for issuing the Entry visa, conducting a medical examination and for visa stamping.
Passport size photo
Copy of the trade license
Passport (copy)
LLCs should submit the MOA copy and the details of the partners
In connection with professional license, service agent agreement (copy) and partnership agreement (copy) should be submitted.
Copy of the Immigration Establishment card
Bank statement
Partners’/PRO’s Emirates ID
The investor is supposed to go through a medical examination as part of the official formality. And the documents required for the process are listed below.
Application duly typed.
Copy of visa
Copy of passport
Passport size photograph
As the final formality, the visa is stamped in your passport. Here are the documents needed for the same.
Visa (original)
Original passport
Passport size photo
Application for Emirates ID
Medical record
Copy of the trade license
Details of the partners
LLC contract
Immigration Establishment card
The UAE government implemented an extended residence visa system for investors in the UAE in 2019. These are 5 years and 10 years residence visa for investors. The new 10 years investor’s visa was implemented based on certain guidelines and conditions regarding the investment amount. The guidelines state that the investor should invest a minimum of AED 10 million in the UAE as an investment deposit or company formation capital or on partnership endeavors.
Based on the new system the investor attains a 10-year residence visa with complete business ownership. The 100% business ownership is applicable to the UAE mainland. Moreover, the assistance of a UAE national sponsor is not required to attain the 10-year investor visa. The visa renewal will take place automatically when it expires after the specified duration.
The investor is also entitled to a 5-year visa based on certain conditions. And this visa is applicable in connection with property investment. The conditions are as follows:
The property should possess a minimum total value of AED 5 million.
The investor is not supposed to avail a loan for the purpose of investment.
The investor must keep hold of the property for a minimum of 3 years
Frank & Frank undertake a wide category of visa Services And the services comprise of the visa application process, visa stamping, cancellation of visa, extension procedures, renewal of visa etc. Please let us know your requirements to initiate the procedures. With the prime objective of helping entrepreneurs, manufacturers, and business aspirers to turn their dream business into a reality, Frank & Frank offers excellent business and financial consulting services in Dubai and across the UAE.
If you need any kind of services for an investor visa in Dubai, get in touch with Frank & Frank. Our visa experts will help you avail the best service.
