Local Partner & Business Support

October 30, 2018

Local partners and business support services play crucial roles in facilitating the establishment and operation of businesses in the UAE, especially for foreign investors or companies looking to set up their presence in the region. Here’s how local partners and business support services contribute to the success of businesses in the UAE:

1. Legal Requirement: In many cases, having a local partner is a legal requirement for setting up certain types of businesses in the UAE, particularly in mainland areas. A local partner, who is typically a UAE national or a company owned by UAE nationals, holds a certain percentage of the ownership in the business.
2. Market Knowledge and Insights: Local partners often bring valuable market knowledge, insights, and networks to the table. They are familiar with the local business landscape, cultural nuances, regulatory environment, and customer preferences, which can be immensely beneficial for foreign businesses navigating the UAE market.
3. Government Liaison and Compliance: Local partners can assist businesses in navigating government regulations, obtaining necessary licenses and permits, and ensuring compliance with local laws. They often have established relationships with government authorities and can facilitate the bureaucratic processes involved in business setup and operations.
4. Access to Local Networks: Business support services provided by local partners extend beyond legal and regulatory matters. They can help businesses access local networks of suppliers, distributors, clients, and other key stakeholders. These networks can be instrumental in building partnerships, securing contracts, and expanding business reach.
5. Cultural and Language Support: Establishing a business in a foreign country comes with its own set of cultural and language challenges. Local partners can bridge these gaps by providing cultural insights, language support, and assistance in navigating social norms and business etiquette.
6. Risk Mitigation: Partnering with a reputable local entity can help mitigate risks associated with doing business in a new market. Local partners with a proven track record and established reputation can provide a level of credibility and trustworthiness that may be beneficial for foreign businesses.
7. Operational Support: Some local partners offer additional business support services such as office space rental, administrative assistance, HR services, accounting and bookkeeping, and IT support. These services can help businesses focus on their core operations while outsourcing non-core functions to reliable local partners.

In summary, local partners and business support services play pivotal roles in facilitating market entry, navigating regulatory requirements, accessing local networks, and mitigating risks for businesses operating in the UAE. Choosing the right local partner and leveraging their expertise can significantly enhance the chances of success for foreign businesses in the dynamic UAE market.