In an exponentially growing business environment, UAE is continuing to witness a surge in the number of company registrations. The trend is further leading to an increased demand for financial advisory services, resulting in a huge number of individuals looking for financial consultancy license in UAE.
Owing to the biggest factor of an expansive regulatory framework, both individuals and corporates rely on experts to seek guidance on financial planning, taxation, compliance and risk management. In tandem, financial consultancies in UAE play a critical role in optimising the financial operations of a business, ensuring they adhere to the UAE’s stringent regulations.
Since UAE moves on the trajectory to become a global business hub, it encourages the growth of financial consultancies. Let’s explore the benefits of starting and obtaining a financial consultancy license in UAE.
Benefits of Obtaining a Financial License in UAE
Acquiring a financial license in UAE boasts a myriad of advantages. Clients often seek the services of companies that are licensed and are acknowledged or registered by the government’s authority. Hence, obtaining a business license in UAE significantly enhances the brand credibility of the consultancy among the target market. As part of it, businesses operate under the supervision of a regulatory body – the Securities & Commodity Authority and the Dubai Financial Services Authority (DFSA).
A licensed financial advisor or financial consultancy can tap into other international markets. It enables licensed businesses to offer a range of financial services to clients located in other global markets. In this role, the UAE’s strategic location plays a pivotal role in easing access to such markets like Asia, Europe and Africa, opening more avenues for international expansion.
Additionally, the UAE offers substantial tax advantages including zero income tax and favourable corporate tax rates. This makes UAE a highly sought after destination for financial advisors setting up their business in UAE.
Know the Eligibility
Ever since the Securities & Commodities Authority has taken over the responsibility of regulating financial entities and related businesses in UAE, it has been embarking on the journey to build a sustainable financial environment. Subsequently, the authority has drawn a specific eligibility criteria for obtaining a financial consultancy license in UAE.
Structure of the tourism business
Determining the structure of the tourism business is an essential and foremost step in obtaining a license. In the UAE, most businesses including tourism-related operate as Limited Liability Companies (LLCs) or sole proprietorship firms (for single owners).
Academic qualifications: The applicants and key stakeholders of the business entity must be holding a Bachelor’s Degree in economics, finances or other related fields to be eligible for setting up a consultancy business. The degree must be obtained from an accredited institution which sets a solid educational background with a clear understanding of financial principles, management and analysis.
Work experience: In addition to academic qualifications, it is mandatory for business owners to possess a minimum of two years of work experience in the financial services industry. The hands-on experiences ensure that the individual has practical knowledge and skills and deeply understands the nuances of the industry.
Proven expertise
It is significant to know that SCA also considers professional experience as a substitute for formal education requirements. In certain cases, individuals with proven expertise and track record of success in the industry may become eligible for holding a financial consultancy license in UAE, if they do not have a specific educational degree.
Documents & Prerequisites for License Application
Obtaining a business license in UAE is based on a comprehensive yet streamlined process. Individuals looking to obtain a license in financial advisory or related services must prepare to submit relevant documents.
Credentials for education: Applicants must gather the certified copies of their educational degrees- Bachelor (or higher) in finance, economics or related fields.
Work experience letter: Applicants should be holding work experience letters from their current or former employers that works as a verification of their experience. Additionally, the letters should clearly outline their job responsibilities and date of employment.
Identification: Applicants have to confirm their identity and status of residency. Hence, they are required to provide a copy of their passport along with passport-size photographs.
Additionally, documents: SCA can make special requests, depending on the eligibility and suitability of the business. Therefore, it is necessary to be handy of these documents for timely submission.
Get expert advice from SRTIP Accelerator
The UAE’s dynamic business landscape demonstrates a mix of unique opportunities and challenges for businesses. A seasoned financial advisor can help diverse businesses navigate through this landscape. Therefore, utilizing the services of a financial consultancy can help companies ensure operations and growth seamlessly, avoiding common pitfalls.
Seeking to setup a financial consultancy business in UAE free zone? We, at SRTIP Accelerator help you sail through the complex process. Get in touch with our seasoned team to understand the process:
Contact us now : +971 50 795 6303
