Cleaning Services License in UAE is gaining popularity as there is a growing demand for the service from newly constructions and existing large organizations. Also, the modern homes of the working class are also looking for professional cleaning companies for home cleaning requirements.

Cleaning Services Company in UAE – Demand from Residential and Commercial Consumers

Real Estate Analysts in the UAE estimate that almost 50000 new residential units are to be added to the property market in the year 2020. This will further raise the demands for cleaning services companies as there would be growing requirements for maintaining and carry out regular cleaning activities in these apartments.

On the corporate side, the demand is driven by large numbers of hotel apartments, hotels, office spaces, manufacturing facilities, hospitals, and many more. The Scope of Cleaning services Companies are extensive; It can be classified into specific services depending on the exact customer requirements.

Main Categories of Cleaning Services in UAE:

• Residential Apartments (Flats, Town Houses, Villas)
• Commercial Cleaning (Offices/Manufacturing/Hospitals)
• Industrial Cleaning (Equipment/Machinery)

Sub-Categories in Cleaning Services

Cleaning Services Companies can be categorized based on their exact business activity. Following are a few Sub-categories where Cleaning Services Companies facilitate their operations.

1. Streets Cleaning Services

There are special contracts for cleaning streets, footpaths, and markets by manual or mechanical tools. Dubai Municipality regulates the activity and the business license is subject to the approval of the Dubai Municipality.

2. Sea & Shore Cleaning Services – This activity enables companies to collect and dispose of marine waste and pollutants.

3. Building Cleaning Services – Residential, Government, and Professional premises

For example, Cleaning and maintaining huge office blocks such as the Dubai Airport Free Zone. It requires an administration team to handle the operations such as washing each floor, external glass cleaning, restroom & laundry cleaning, and more.

4. Advertising Signboards Cleaning – Cleaning of the large signboards fixed on streets and road cleaning.

5. Runways & Roads Cleaning Services – Manual and mechanical cleaning of runways and roads.

6. Yacht Cleaning Services – Yacht interior and exterior cleaning, polishing, restoration, brightening, interior cleaning, vinyl treatment, etc.

7. Car Cleaning License – Car Cleaning Service activity includes car wash using automatic or manual washing station activities.

How to Start a Residential Cleaning Services Company in Dubai?

To start a Residential Cleaning Services Company in Dubai, the business must register with the Department of Economic Development (DED) to obtain the required cleaning services license.

Based on the Shareholding pattern, the investor can decide on the company structure and license types. For Mainland Companies in UAE, there are two Business License categories that are right fit for the Cleaning Services Companies:

1. Professional License, or,

2. Commercial License

Alternatively, Cleaning Services License in UAE can be easily obtained from the Free Trade Zone also. However, for Cleaning companies aiming to employee a number of ground level staffs, take a warehouse, etc., mainland of UAE will be the right choice to keep the overall cost low and easily expand the market reach.

Professional License in Dubai – Things to Know

• 100% Ownership of your business
• Register as Sole Proprietorship or a Civil Company
• Appoint a UAE national as a Local Service Agent (LSA)

Commercial License in Dubai – Things to Know

• Must appoint a UAE national or Local Sponsor
• Local sponsors will own 51% of company shares and the rest 49% by the foreign investor
• The company will be registered as a Limited Liability Company

Documents Required for Setting Up a Cleaning Services Company in UAE

• Completed business application form for the Cleaning Services company setup
• Trade name for approval- 3 names
• Passport copies of shareholders
• Entry Stamp/Visa page/residence visa of the investor
• NOC from the current sponsor if the shareholder has a residence visa
• Any additional approval required if any

Step by Step Procedures: How to register a Cleaning Services Company in UAE

The Process of Registering the Cleaning Services Company with the Department of Economic Development (DED) is as follows:

• Choose the required business activity from the activity list
• Select the company structure (Sole Proprietor/ Civil Company/LLC Company)
• Get the tradename approval
• Get initial approval from the DED, Dubai.
• Prepare and sign the LSA Agreement (for Professional License) or the Memorandum of Association (MOA) for Commercial License
• Rent a physical office and submit the Tenancy Contract & Ejari. A mainland company must have a physical office as a mandatory requirement for obtaining a business license.
• Submit any additional approval if any
• Pay the fee and get the Business License

Things to Look for Before Setting Up a Cleaning Services Company in UAE

Cleaning Services Company Setup in Dubai is relatively easy but there are various costs and process to be in place to continue in business such as the following:

• Competition from other similar players
• Workforce requirements and logistics support
• Equipment and supplies
• Expertise in the Sub-Categories to expand business services

1. Highly Fragmented Market and Intense Competiton

The investor must be well aware of the market scenario in the UAE. The cleaning Services sector is a highly fragmented industry with a lot of small and large players intensifying the competition.

2. Large Office Space and Warehouse Facility Requirements for Cleaning Services Company

Cleaning companies would require heavy equipment, machinery, disinfectants, and related cleaning essentials in large volumes to cater to their clientele accordingly.

Hence, Investors have to account for huge upfront expenses and set up a support system to effectively procure, manage, and consume, the required essentials. It must achieve consistent profitability to continue business operations.

3. Heavy Investment and Operational Cost of Cleaning Service Company

The Cleaning Services business requires a lot of investment in logistics, essentials, labor, warehouse facility, office space, etc.

The operational costs are to be on a higher side always, investors must have a solid business plan to sustain the operations.

Why Choose Dubai Mainland for Setting Up Cleaning Services Company?

For Cleaning Services Company mainland company formation is the ideal choice than a Free Zone due to the requirement of region-wise operational flexibility and setting up branch offices anywhere in UAE.

1. Flexibility to Employee More Staff

Also, Cleaning Services is a heavy labor-intensive sector that requires employing a huge number of contract staff, in-house staff, part-time workers, etc.

So, for obtaining work-permits, applying for employee visas, gaining more visa quotas, a mainland company would be the right fit.

2. Easily Scale-up the Business Operations

There would be a requirement of having large office spaces or a warehouse to store the cleaning essentials and other required support systems. Again, locating an ideal warehouse would be more cost-effective in the mainland of Dubai.

3. Identify your Niche Area in Cleaning Services Sector

The scope of a Cleaning Services Company varies depending on the list of business activities that will be included in the business license while setting up the business.  

There is an all-time demand for various types of Cleaning Services in Dubai due to the ever-growing infrastructure and real estate investments in the region. So, investors can choose their niche area of cleaning services and set up their cleaning services company to scale up easily.

To know more about the procedures to open a Cleaning Services Company in the UAE, Connect with our expert Business Consultants right away!

Read more >> “How to Start a Manpower Supply Company in the UAE?“.

The post How to Start a Cleaning Services Company in UAE? – All Things to Know appeared first on AURION.

There two ways of appointing a Local Sponsor in Dubai for your LLC Company. One is choosing a UAE national as your local partner and the other choosing a UAE National Owned Company as your Local Sponsor.

Choosing Your Local Sponsor for Your LLC Company in Dubai

Choosing your Local Sponsor for an LLC Company is a very crucial part and it forms the backbone for the existence and continued business operations of the company in UAE. Hence, the decision has to be well-informed and with a full understanding of the terms and conditions of the contract.

With experienced business consultants like Aurion, the hassle of finding out the perfect UAE local sponsor has become easier. Aurion will assist you with a UAE local sponsor as well as a corporate sponsor based on your specific requirements and nature of business.

Things to Know before you choose your Local Sponsor in Dubai

Our legal experts will prepare 100 % legally complaint side agreements to protect your shareholding rights. The agreement will have it all clearly defined, the expectations, responsibilities and the Annual Sponsorship fees, and other specific clauses.

With our Local Partner assistance support, you will have 100% financial and operational control as well as securing your ownership rights. The local partner will have no involvement in your business operations and by virtue of the agreement created, all the operational and management rights will be vested with the foreign investor.

A yearly Sponsorship fee has to be paid to the local UAE partner to continue the partnership agreement. There is another type of local Sponsorship, that is instead of an individual a UAE local company can become the local sponsor for you.

Corporate Local Sponsor in Dubai

A Corporate Sponsor can act as your UAE local partner (51% share) and pass on the ownership rights to you for a Fixed Annual Sponsorship Fee. The Annual Sponsorship Fee will be fixed and will have an agreement that there will be no variation depending on the increase in turnover or profitability of the business.

The key benefit of a Corporate Shareholder is that the foreign investor will be dealing with a company that is a separate entity and has no interest in the daily business operations or ownership of the new company. There will be legal complaint side agreements, power of attorney, and other legal compliance documents stating the clear shareholding pattern and other ownership and operational responsibilities.

Key Benefits of Corporate Sponsorship

Corporate Sponsorship for LLC Company formation in Dubai will help in raising investor confidence and lowers the resistance of investors in finding and building rapport with an individual local UAE sponsor.

1. No Involvement in Daily Business Operations

The corporate sponsor does not get involved in the day-to-day running of the company enabling the foreign owner to have complete management control of staff, clients and product offering.

2.100% Financial Power

The business profits generated are vested with the foreign owner and are not to be shared with the Corporate Sponsor at any instance.

3. Shareholder Agreements

Corporate Sponsors have well defined and drafted legal contracts in place to protect both parties.

Hence, the authenticity of the legal form is assured and shareholder rights are protected well.

Aurion has a network of Corporate Sponsors as well as Individual partners for LLC Company registration in Dubai.

Also, for professional license requirements, we will assist you in finding the right Local Service Agents.

The Requirement of Businessmen PRO Services in Dubai

Along with finding the right Local Sponsor in Dubai for starting an LLC Company. Engaging a trusted businessmen PRO Services is a pre-requisite for the smooth operation of business setup and continued operations.

Businessmen PRO Services will handle numerous activities starting from all the company setup procedures, visa processing & Immigration, other documentation & attestation,  to administrative works.

Businessmen PRO Services in Dubai

Aurion Business Consultants provide the best-in-class Businessmen PRO services in Dubai and the rest of UAE. We have dedicated PRO agents for each Free Zone and for the Mainland Company Setup. They are experts in the field of visa processing assistance, application form preparation and immigration service assistance.

Aurion has strategically crafted an all-in-one exclusive Businessmen PRO Service Package to assist you in the end-to-end Company Setup process and beyond that. Our PRO Services cover the following areas and more. We ensure you have the most hassle-free company set up in Dubai.

• Visa Application form Preparation & Submission
• Labour and Immigration Cards
• Approvals and Renewals of Trade License
• Emirates ID Application
• No-Objection Letters
• Labour Contract Preparation
• Legal Translation and Notarization service
• Ejari Documentation
• Power of Attorney Attestation, Shareholder Resolution Document Preparation
• Memorandum of Association typing
• Local Service Agent Agreement
• Document Clearance & Amendments – Free Zones & DED
• Liaising with Government Authorities & Free Zone Authorities
• Company Cancellation documentation
• Additional Approvals and Clearance for Company Setup/Company Closing
• Import/Export Code & Customs Registration
• Trademark Registrations
• And many more…

So, in a nutshell for a hassle-free LLC Company Registration in Dubai, taking the assistance of an experienced Business Consultant is important.

They will assist you right from choosing your local partner to undertaking all the businessmen PRO Services and ensure your company registration process is executed the right way.

Interested to know more about LLC Company Formation in Dubai or Company Liquidation in Dubai, give us a call!

The post Finding a Local Sponsor in Dubai for your LLC Company Setup appeared first on AURION.