Removing a local sponsor in Dubai, UAE can be a complex process and requires a clear understanding of the laws and regulations in the country. In this blog, we will discuss the steps you need to follow to remove your local sponsor in Dubai.
What Is A Local Sponsor In Dubai?
A local sponsor in Dubai is an individual or a company that acts as a sponsor for foreign nationals who want to live and work in the United Arab Emirates (UAE). In Dubai, all foreign nationals are required to have a local sponsor in order to obtain a residence visa and work permit. The local sponsor acts as a guarantor for the foreign national and is responsible for ensuring that the foreign national follows the laws and regulations in the UAE. There are two types of local sponsors in Dubai: individual sponsors and company sponsors. Individual sponsors are typically family members of the foreign national who are residing in Dubai, while company sponsors are usually the employer of the foreign national.
The role of the local sponsor is to provide support to foreign nationals in the UAE, including assistance with obtaining a residence visa, arranging medical insurance, and helping to resolve any issues that may arise during their stay in the country. In some cases, a local sponsor may also be responsible for ensuring that the foreign national leaves the country if their visa is canceled or if they are no longer employed in the UAE. Therefore, it’s important to choose a local sponsor carefully and to understand the terms and responsibilities of the sponsorship agreement before entering into it.
Steps To Remove Local Sponsor In Dubai, UAE:
Step 1: Terminate your Employment Contract
The first step in removing your local sponsor is to terminate your employment contract. This can be done by mutual agreement between you and your sponsor or by giving notice as per the terms of your contract. It’s important to note that the notice period may vary depending on the length of your contract and the laws in your jurisdiction.
Step 2: Documents Required To Change The Local Sponsor
Changing the local sponsor in Dubai can be a complex process, and it’s important to follow all the necessary steps and formalities to ensure a smooth and successful transition. In addition to the amendment of the MOA (memorandum of association agreement)and trade license, obtaining a board resolution, and having both the previous and new owners sign the amended documents, there may be other requirements depending on the specific circumstances of the case. For example, there may be fees associated with the process, and it may be necessary to provide additional documentation such as a passport copy, trade license,NOC etc.
Step 3: Obtain a No Objection Certificate (NOC)
Once you have terminated your employment contract, the next step is to obtain a No Objection Certificate (NOC) from your sponsor. The NOC is a document that confirms that your sponsor has no objections to your departure and that they have fulfilled all their obligations towards you. You can request your sponsor to provide you with a NOC, which you will need to apply for a new visa with a new sponsor.
Step 4: Transfer your Residence Visa
After obtaining the NOC, you will need to transfer your residence visa to a new sponsor. This process is known as visa transfer and requires the new sponsor to apply for a new visa on your behalf. The visa transfer process may take several weeks to complete, so it’s important to plan ahead and start the process as soon as possible.
Step 5: Exit Clearance
Once your visa has been transferred, the final step is to obtain an exit clearance from the Dubai immigration authorities. This clearance certifies that you have fulfilled all your obligations in the UAE and that you are free to leave the country. You can obtain your exit clearance by visiting the immigration department or by submitting your documents online.
It’s important to note that the process of removing a local sponsor in Dubai can be complex and time-consuming, so it’s important to have a clear understanding of the laws and regulations in the country. If you are unsure about any aspect of the process, it’s always best to seek professional advice from a local lawyer or consultant.
In conclusion, removing a local sponsor in Dubai requires a clear understanding of the laws and regulations in the country and a careful approach to the process. By following these steps, you can successfully remove your local sponsor and move on to a new opportunity in the UAE or elsewhere.
Why Do LLC Companies Want To Change Their Local Sponsor?
There are several reasons you might want to change their local sponsor in Dubai. One of the most obvious is if they no longer meet your needs. For example, if the sponsor you used in the past is no longer available or accessible, you may need to find a new one. Another reason would be if you feel like your sponsor isn’t fulfilling their obligations to you. This could be because of a lack of clarity about the process, disputes with other parties involved in your immigration case, or even just because you don’t feel like they’re taking care of their responsibilities as best they could.
- Cost: The fees charged by local sponsors can be high, and some companies may feel that the cost is too high for the services provided. And a local sponsor will own the majority of shares in the business, while a foreign investor will own a minority.
- Poor Service: Some companies may feel that their current sponsor is not providing the level of support and assistance they need, which can be detrimental to the success of their business.
- Change in Business Needs: Companies may change their business needs over time and require a different type of sponsor, for example, from a family sponsor to a corporate sponsor.
- Relocation: Companies may want to move to a different part of Dubai or the UAE, and their current sponsor may not be able to provide the required support in the new location.
- Legal Issues: Companies may have legal disputes with their current sponsor, and may feel that it is in their best interests to change to a new sponsor.
- Better Terms and Conditions: Companies may find that they can get better terms and conditions with a different sponsor, including lower fees and more comprehensive services.
How Legal House helps you:
As a legal consulting firm, we can help you in removing local sponsors in Dubai. We can draft all your needed commercial contracts and gives the legal advice. We are a team of experienced legal professionals who will guide and assist you through the process of obtaining a No Objection Certificate (NOC). Our team has years of experience in providing legal services to clients from all over the world, with a focus on those interested in investing in Dubai. Apart from legal services we also help you with new company formation and restructuring the old companies in Dubai and other emirates. Get free advice today!
The United Arab Emirates (UAE) recently lifted its restriction on foreign ownership in the mainland, allowing 100% ownership by ex-pats. This will greatly simplify the business process for non-citizens of the UAE.
There are two types of local sponsors in the UAE. Individual and company or corporate local sponsors in UAE. You should take a corporate local sponsor in Dubai to work as an agent for your business.