The UAE’s rapid urban expansion continues stimulating the demand for technical services amongst its private, public, and corporate consumers. In this blog, we will explore the procedures and nuances of obtaining a technical services license from Ajman. Technical service contracting requires a commercial license in the UAE mainland.
How do I acquire a commercial license in Mainland Ajman?
Here are the steps of acquiring a commercial license from the Ajman Department of Economic Development (DED):
- Business Activity Selection
Our chosen activity is legally defined as Technical Service Contracting. To explore the feasibility of this activity, you can use our management consulting services.
- Local Sponsor Search
If you are an expat, you will require a reliable UAE National as your local partner/sponsor. This individual (or a group of local investors) will own at least 51% share ownership of your company. On the other hand, you and the other expat partners can have up to 49% of private share ownership.
Typically, the local partner merely oversees how many visas are issued by the company. However, additional conditions can be arranged in a side agreement. For example, the local partner may hand over the decision making authority and profits if they do not contribute any capital. The local partner can be given a fixed salary instead of profit share, these details can be discussed and finalized with him or her.
- Legal Structuring / Form Selection
In the case of technical services, the legal form will be of a Limited Liability Company.
- Trade Name Selection
The next step is to select your trade name.
The name is a unique source of differentiation amongst your competitors. The trade name must not misrepresent the activity which you are conducting. For instance, a technical services company cannot be called Financial Brokers LLC.
- Initial Approval from Ajman’s DED
Receiving the initial approval is key to finalizing the business license. Our PRO Services will speed up and simplify the process of arranging the required paperwork for the initial approval.
- External Approvals & Supplementary Paperwork (Optional)
External approvals and other additional documents will only be required when performing special activities outside of the license. If you are planning on conducting activities not mentioned in the activity list below, contact us to learn which ministries you should approach for your chosen special activities.
- Renting an Office & getting the Ejari Certificate
Mainland companies have a minimum office space requirement of 200ft2. Once your tenancy contract is signed, you will get an Ejari certificate from the Ajman Department of Land and Real Estate Regulation (Ajman ARRA).
- Receive your Technical Services Contracting License!
What are the advantages of a mainland license from Ajman?
- Affordable & seamless business setup
- Access to developed infrastructure, a wide range of premises, & UAE’s resources
- Access to a growing market for technical services, across the UAE
- 100% repatriation of funds & profits, free movement of capital
- No fixed limit on employee visas
- No personal or corporate tax
- Access to government projects
- No capital requirements
- No currency restrictions
- No auditing requirements
- Access to corporate services from specialized agents
A Technical Services Contracting License permits the following range of installation works:
- Steel Products
- Light Partitions
- Metal Part Erection
- False Ceilings
These Contracting and Building Works activities can be added through additional commercial licenses:
- Fire Retardant Lining Materials and Exterior Cladding Installation
- Kitchen Installation
- Fire & Smoke Resistant Doors, Windows Walls and Partitions
- Exterior Building Cladding Contracting
- Glass & Aluminum Installation & Maintenance
- Steel Products Installation & Maintenance
- Decoration Design & Fit-out
- Wall Paper Fixing
- Engraving and Ornamentation Works
- Wall Tiling Works
- Interior Decoration
Dubai Business Advisors have 17 years of experience assisting the incorporation of thousands of businesses throughout the UAE. You can get a quote regarding the costs of receiving a mainland business license in the UAE. We will also be glad to assist you throughout your market-entry process!