The United Arab Emirates (UAE) is a top destination for engineers and investors looking to launch engineering consultancies. The business environment is flexible, supportive, and offers access to local and regional markets. Below is a comprehensive step-by-step guide to help you launch your firm successfully.
1. Choose Your Activity and Company Name
Begin by selecting your business activity from approved categories such as architectural, mechanical, or civil engineering consultancy. Then, reserve your trade name with the Department of Economic Development (DED) or the relevant free zone authority.
2. Mainland vs. Free Zone Setup
- Mainland: Allows direct work within the UAE and access to government contracts but may require a UAE national service agent or partner.
- Free Zone: Offers 100% foreign ownership and quicker setup, but typically limits work within the local UAE market unless you appoint a local distributor.
3. Technical Requirements
The managing director or technical manager must hold a Bachelor's degree in Engineering and have 5–10 years of experience, depending on the consultancy's scope. Registration with the Society of Engineers UAE is mandatory.
4. Licensing Process
- Reserve the trade name and submit for initial approval.
- Secure office space (200 sq.m or more for Mainland companies).
- Submit all documentation and receive the engineering consultancy license.
5. Estimated Costs
- Consultancy License: AED 10,000–30,000 per year.
- Office Rental: AED 15,000–50,000 annually, depending on location.
- Local Sponsor/Agent Fee (Mainland): AED 5,000–15,000/year.
6. Classification and Staffing
You may need to hire additional registered engineers for specific project classifications (e.g., G+1, G+4). Dubai Municipality and other authorities may classify your company based on its experience and team qualifications.
7. Open a Bank Account and Visa Applications
Once licensed, you can open a corporate bank account and apply for residence visas for staff and partners.
8. Compliance & Renewal
Your license must be renewed annually. You may also need to file compliance reports such as ESR (Economic Substance Regulation) or UBO (Ultimate Beneficial Ownership) depending on your setup.
Conclusion
Establishing an engineering consultancy in the UAE is both strategic and profitable. With proper documentation, expert guidance, and a sound business plan, you can tap into one of the region’s most dynamic and fast-growing markets.
