How to Start a Recruitment Agency in Dubai

With the UAE becoming the technological and economical hub for commerce and business, there is a need for reliable sources to meet the recruitment demands. With the amount of new business ideas in Dubai, the manpower supply companies are in demand. Thus, it is a recruitment agency in Dubai that comes to the rescue of these businesses. They have a well-defined process through which one can get the best employees for their business. They offer a streamlined process to both the employee and the employer, making the whole experience a tad bit easy for everyone.

In this blog, we will be discussing recruitment agencies in the UAE, their setup, benefits of starting one, licenses involved, and many more of such things.

Overview of recruitment agency in Dubai

Everyone around the globe is aware of what a business giant Dubai is becoming. People are walking into the Emirate from all walks of life from around the globe to be a part of its bustling economy. While there are thousands of new business opportunities available, we will be solely focusing on recruitment agencies in Dubai.

Increased foreign investment and company expansion are driving the recruitment sector’s strong growth in the United Arab Emirates. Market researchers predict that between 2022 and 2027, the HR outsourcing market—which includes recruiting services—will expand at a noteworthy 8.96% yearly rate. Additionally, between 2021 and 2028, the Middle East and Africa region’s online recruitment market is anticipated to develop steadily at a rate of 3.8% annually. The rising need for qualified workers and the changing nature of the UAE labour market creates abundant opportunities for recruitment agencies.

How to start a recruitment agency in Dubai?

To start a recruitment agency in Dubai, there is a well-defined process that you are required to follow. These steps involve:

1. Select a business name and purpose:

Choose a name that is appropriate for your company. Decide which particular recruitment or HR service you will provide.

2. Decide on a business jurisdiction:

Select an appropriate business structure, like a mainland firm or a free zone company formation in Dubai. Think about things like operational flexibility, taxation, and ownership.

3. Obtain the licenses and approvals you need:

Apply to the appropriate authority for a UAE trade license. Send in the necessary paperwork, such as copies of your lease agreement, passport, and visa. Obtain regulatory bodies’ approvals as needed.

4. Launch your company:

Hire office space in a good area. Establish operational procedures and hire personnel. Create a marketing strategy and company plan.

5. Acquire visas:

Get a resident visa for yourself and a Dubai work visa for workers you may have. Undergo medical examinations and submit the required paperwork.

6. Create a business bank account:

To handle your company’s finances, pick a good bank and open a corporate bank account.

Benefits of starting a recruitment agency in Dubai

There are various benefits of company formation in the UAE. The advantages of a recruitment agency are as follows:

• Growing Economy: There is a steady need for qualified workers due to the UAE’s strong economy, which is fueled by industries like real estate, tourism, and oil and gas.
• Global Connectivity: Due to its ideal position and top-notch infrastructure, Dubai makes it simple to access international talent pools and marketplaces.
• Growing Need for Skilled Manpower: As the United Arab Emirates develops more, there is an increasing demand for skilled professionals in a number of different areas.
• Government Assistance: To encourage company expansion, notably in the hiring sector, the UAE government provides a number of incentives and assistance initiatives.
• Possibility of Growth: Due to Dubai’s diversified atmosphere and varied economy, employment agencies have the chance to grow and serve a wider range of sectors and nationalities.

Types and requirements for recruitment license Dubai

For recruitment agencies in the UAE to function, they require licenses approving their working. Here are the two licenses that might help you with the same:

1. Brokerage Licence: This license enables employment agencies to act as a middleman between UAE employers and international candidates. They have the ability to post job openings, handle applications, and link companies and prospective employees.

2. Temporary Recruitment License: With this license, employment agencies can actively seek out and hire workers on behalf of companies. They are able to interview applicants, shortlist them, and sponsor foreign nationals seeking jobs in the United Arab Emirates.

Moving on to the requirements to obtain these licenses are:

• ID Proof for all the directors and shareholders.
• Copy of confirmation for the trade name.
• Articles of Association
• Memorandum of association
• Passport copy for shareholders

Cost of getting recruitment license Dubai

The cost of recruitment license in Dubai starts from AED 12,900* (zero visa) in a free zone, although AED 14,000* (without visa) may be the starting price for a mainland setup. The location, setup type, and size of the business all affect how much it costs to open a recruiting agency in Dubai.

To get accurate cost details, you can contact our experts at Dubiz Business Setup.

How can Dubiz Business Setup help you gain a recruitment agency license in Dubai?

Dubiz Business Setup is a firm that hosts talented members who have both the knowledge and skills to guide you with establishing your business ventures in the UAE. We not only help you with understanding the process but also allow you to ask questions. For anyone in need of either company formation in UAE, or Golden visa Dubai, or any other establishing requirements in the UAE, can contact us at: call us at +971563695485 or WhatsApp: +971563695485, or email info@dubiz.co

Frequently Asked Question

1. Do I need a license to start a recruitment agency in Dubai?

Yes, in Dubai, recruitment firms can apply for a temporary recruitment license or a brokerage license.

2. Cheapest manpower supply license in UAE?

AED 100,000 is required for a temporary recruitment agency license, while AED 50,000 is required for a brokerage license. For the term of the license, MOHRE must additionally receive a bank guarantee of AED 300,000 for brokerage licenses and AED 1,000,000 for temporary agency licenses. Please note that manpower supply needs partnering with the local sponsor.

3. How to start a manpower supply company in UAE?

These six procedures must be followed in order to launch a personnel supply business in the United Arab Emirates:

1. Report any changes made inside the agency to the Ministry in accordance with the new UAE law.
2. Acquire a Dubai employment agency register address.
3. Only in Dubai-free zones are foreigners permitted to open recruitment firms.

These are prerequisites for establishing a labour supply business in the United Arab Emirates.

4. Is a recruitment company formation in Dubai a costly affair?

No. Setting up any business in Dubai might require a certain amount of capital, which can be considered both costly and cheap depending on the nation you are coming from.

5. What is the best place to start a recruitment agency in UAE?

United Arab Emirates offers you a lot of benefits while opening a business in the nation. There are multiple places in UAE that offer excellent facilities and conditions for starting a recruitment agency. You can choose the jurisdiction that you want to dictate your business with, and you have the best place to start your recruitment agency.

6. What is a recruitment agency license in Dubai?

A recruitment agency license in Dubai is a special permit that allows you to run a recruitment agency legally in the city, where you act as an intermediary between job seekers and job providers.