What is the security approval to establish a company in Dubai?

What is the security approval to establish a company in Dubai? Dubai is one of the most prominent global destinations for investment and company establishment, as it provides a flexible and diverse economic environment that supports business growth and expansion. The process of setting up a company in Dubai requires adherence to several regulatory requirements and procedures to ensure compliance with local laws and protect national security. Among these requirements, security approval is an essential part that cannot be skipped.

Security approval is considered a vital step for establishing any company in Dubai. What is security approval for opening a company in Dubai   ? It aims to verify the background of the founders and partners and ensure that the business activity to be established does not pose any threat to public security. In this article, we will review in detail the concept of security approval, its importance, the authorities responsible for it, and the steps necessary to obtain it, in addition to the factors affecting the process of obtaining security approval. With this comprehensive understanding, investors and entrepreneurs can be well prepared to set up their companies in Dubai safely and effectively.

What is the security approval to establish a company in Dubai?

The concept of security approval

Security approval is a regulatory procedure imposed by government authorities in Dubai to ensure that individuals and companies wishing to establish a business in Dubai do not pose a security or economic threat. This approval includes a comprehensive assessment of the security background of the company’s founders and major shareholders, ensuring the safety and security of the community and local economy.

The importance of security approval

Security clearance plays a vital role in maintaining the stability and security of Dubai as a global business hub. By ensuring that new companies comply with the required security standards, this approval contributes to creating a safe and stable business environment that attracts foreign investments and enhances Dubai’s reputation as a safe place to do business. In addition, security clearance helps prevent illegal activities such as money laundering and terrorist financing.

Entities responsible for security approval

Several government agencies in Dubai are responsible for issuing security approvals, the most prominent of which are:

• Department of Economic Development: The main body responsible for issuing commercial licenses in Dubai, which cooperates with various security authorities to ensure that the required conditions are met.
• State Security Agency: checks the security background of the founders and major shareholders to ensure there are no potential security threats.
• Residency and Foreigners Affairs Department: It contributes to evaluating the legal status and residency status of the founders and shareholders, and ensuring that there are no legal violations.

Through these measures and coordination between various parties, Dubai ensures that its business environment is safe and stable, which enhances its attractiveness as a global economic center.

Steps to obtain security approval

Submission of the application

The first step to obtaining security approval is to submit an official application to the competent authorities. The application can be submitted online through the available electronic portals or directly at the offices of the relevant authorities. The application must include comprehensive and accurate information about the proposed company, including the type of business activity, names of the founders, and their addresses.

Required Documents

The security approval process requires submitting a set of necessary documents, which include:

• Copy of founders’ passports: Clear and valid copies must be submitted.
• Certificates of good conduct: These certificates are issued by the security authorities in the country of the founders.
• Business Plan: A detailed plan must be submitted that explains the company’s goals, expected activities, and future plans.
• Articles of Association and Articles of Association: Legal documents that explain the company’s structure, the rights and duties of the founders, and ownership percentages.
• Location details: Provide accurate information about the company’s proposed location, including the address and facilities available there.

Processing duration

After submitting the application and the required documents, the application processing phase begins by the competent authorities. The processing time varies based on several factors, such as the type of business and the nationality of the founders. The treatment period usually ranges from several weeks to several months. During this period, there may be a need to provide additional information or clarifications, which requires continuous follow-up with the processing party.

By carefully following these steps and submitting the required documents completely, the process of obtaining security approval can be speeded up and any potential delays avoided.

Factors affecting security approval

A number of factors affect the process of obtaining security approval to establish a company in Dubai . Among these factors:

• Type of business activity

The type of business is one of the most important factors that affect security approval. Some business activities may require more careful security vetting due to their sensitive nature or direct impact on national or economic security. For example, activities related to high technology, media, and financial services may require additional approvals and extensive security scrutiny.

• Nationality and security background of the founders

The nationality and background of the founders are vital factors that are carefully examined when submitting a security clearance application. Security authorities may conduct comprehensive investigations into the background of the founders to ensure that there are no criminal records or suspicious activities that may affect public security. In addition, the nationality of the founders may impact the approval process, as there can be additional verification procedures for individuals coming from certain countries.

• Proposed company location

The proposed company’s location plays an important role in the security approval process. Some locations may be more sensitive than others, such as areas near vital installations or military sites. In addition, major commercial areas or highly populated areas may require additional security scrutiny to ensure there are no potential threats to public security.

Our company’s role in establishing a company in Dubai

In conclusion, security approval is a vital step and a foundation that cannot be skipped when establishing a company in Dubai . It ensures verification of the safety of the business activity and individuals involved, which contributes to enhancing security and economic and social stability in the emirate. By understanding the definition and importance of security clearance, as well as the entities responsible for it, investors and business owners can effectively prepare to submit applications and meet all required conditions.

The process of obtaining security approval includes several steps, starting with submitting the application and submitting the necessary documents, through the processing period, which may vary based on several factors. Therefore, it is always recommended to plan ahead and gather all necessary information to ensure the process goes smoothly and quickly.

There are also multiple factors that affect the outcome of security approval, such as the type of business activity, nationality, security background of the founders, and the proposed company location. Applicants must take these factors into consideration and work to provide a transparent and safe work environment.

In short, obtaining security approval is not only a routine procedure, but rather part of the commitment of investors and business owners to contribute to maintaining the security and stability of Dubai . By following the right steps and adhering to the conditions, investors can successfully achieve their business goals and contribute to the economic growth of the emirate.

Frequently asked questions about establishing a company in Dubai