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Is a freelancer license right for your start-up in UAE

If you’re thinking of opening a business in UAE, you’re probably also wondering what kind of permit is right for your business startup in the UAE and Dubai. This is an important question, as the Dubai government, for example, issues various licenses to different companies based on what kind of business they conduct and their location.

When you consider a business setup in UAE, including which license is right for your company, it’s important to consider and weigh both advantages and disadvantages. That way you can optimise operations, revenue generation, and cost savings.

Also read: Everything you need to know about freelancing in the UAE

As a prospective new, independent business startup in Dubai and UAE, you’ve probably heard of a freelancer’s license. Read on to learn more about this licensing option, how it works, and its pros and cons.

 

 

Pros of freelancer license in Dubai

Opportunity

Dubai is a fast-growing global business hub and the government is actively creating and instituting policies that help entrepreneurs and independent companies thrive. If you’re an international freelancer, consider Dubai as the place to get your business license in UAE. There is a special visa category through which foreign freelance permit holders can apply for a resident’s visa and sponsor dependents.

Flexibility

You can work as a freelance consultant even if you have a full-time job, though you may need a no-objection certificate from your employer under certain circumstances. If this is an option you’re thinking of pursuing to expand your portfolio, the good news is the permit application process is straightforward and efficient. With the right paperwork, you’ll receive your license within 7-14 business days.

Cost-effectiveness

The fees for setting up a freelance business are reasonable – far less than required for a registered company, and you’re saving on office space. Fees vary slightly based on location, and each free zone is dedicated to fostering and growing a market for different kinds of businesses. Remember, you must renew your license on a yearly basis.

Also read: Everything about social media influencer license

Cons of freelancer license in Dubai

There are very few drawbacks to a freelancer’s permit. When considering one, think about whether this permit meets your needs.

Freelance permits are open to individuals in four central industries: media (including journalism and entertainment), marketing, tech, and education. They are geared ideally toward people who want to work independently in these fields.

  • You can’t hire employees as you would as a traditional business owner.

But what about if your project involves working onsite for another business? You just have to keep the following in mind:

  • As an independent freelancer, you are allowed to work at the company’s office site.
  • You are also permitted to use coworking spaces in designated free zone areas in Dubai and other emirates.
  • As a freelancer, note that you cannot hold a corporate bank account with a trading name, but you are allowed to accept payments through your personal bank account. For this, and the permit application process, you’ll need a reference letter from your bank, and possibly a no-objection certificate from your employer.

For more information on how to obtain a freelance business license in Dubai, UAE, contact experts at Decisive Zone today!

About the author:
Bob Natividad | Operations Manager

Bob Natividad | Operations Manager

Bob’s years of experience in the industry makes him one of the top experts in business operations and compliance.
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