As the business landscape of Dubai is growing, the demand for expertise is equivalently increasing. Companies are striving to retain talent and optimize their workforce, which is eventually calling for the need for HR consultancy services in Dubai. As a result of this rising demand, HR consultancy firms are doing extremely well in the Emirates. However, to start a consultancy business, an HR consultancy license in Dubai is a must.
So, here in this article, we will provide a step-by-step guide to obtaining a consultancy license in Dubai, further exploring the reasons and opportunities in this booming industry.
Booming HR Consultancy Sector in Dubai
The HR consultancy sector is constantly on the rise in Dubai. Here’s why –
- Economic growth and business activity
The economy of Dubai is driven by sectors like finance, tourism, real estate, and technology. Therefore, it attracts a vast number of multinational and startup businesses. However, with the expanding companies and increasing competition in the global market, the need for effective HR strategies, talent acquisition, and employee management has become of great importance. HR consultancy firms in Dubai assist companies in navigating these challenges, thereby contributing to the rapid growth of the industry.
- Business-friendly environment
Numerous initiatives and policies fostering a business-friendly environment in Dubai were implemented by the UAE government. It intends to create a competitive economy that focuses on the enhancement and development of human capital and a high-quality work environment. This goal creates a favorable climate for HR consultancies to thrive on the soil of Dubai.
- Labor market regulations and compliance
The comprehensive regulations of Dubai’s labor market are designed to protect the rights of workers and ensure fair employment practices within companies. However, navigating these regulations can be a challenge for companies, especially those who are new in the market. HR consultancies have in-depth knowledge of labor laws and best practices that assist businesses seeking compliance and efficient workforce management.
- Talent acquisition
The rapid growth in Dubai’s economy has succeeded in attracting a diverse pool of talent from around the world. As businesses are competing for a skilled workforce, HR consultancies play a vital role in recruiting such talents and implementing retention strategies. They identify top talents, design effective recruitment processes, and create attractive compensation and incentive packages to retain them.
- Focus on employee well-being
Dubai gives supreme importance to employee well-being and happiness, which is why HR consultancies in Dubai help businesses create a motivated and productive work environment that fosters employee engagement and enhances overall employee satisfaction.
General requirements for HR consultancy license in Dubai
This segment explains the general requirements and considerations for acquiring an HR consultancy license in Dubai.
- Professional qualifications – The owner as well as the team of professionals in the firm must possess the required qualifications and expertise in the field of human resources.
- Business plan – A comprehensive business plan that outlines the services, target market, marketing strategies, and financial projections of the firm is mandatory for the license application process.
- Compliance with local regulations – The owner of the HR consultancy firms must be well-acquainted with local labor laws, regulations, and compliance requirements. They need to stay updated on the legal framework in order to advise clients on employment-related matters.
- Corporate bank account – The owner must set up a corporate bank account to manage financial transactions and operations of the consultancy firm.
- Visa and immigration – A proper understanding of the visa and immigration procedures is necessary to hire employees or relocate staff members from overseas.
Guide to obtaining an HR consultancy license in Dubai
The following steps summarise the key actions you need to take in order to secure your HR consultancy license –
Register the name of the firm
Company name registration is the first and foremost step for getting an HR consultancy license in Dubai. However, while deciding on a name, the owner must ensure to avoid any rude or blasphemous words or any well-known corporate names and abbreviations. Most importantly, they must check whether the selected name is available for registration. Shuraa Business Setup can help you with this process and get your business name registered with the concerned department.
Determine the legal structure
Choosing the right legal structure is just as crucial as the business name. With the correct structure, you can run your business more efficiently and fulfill its goals successfully. Some of the common choices are Sole proprietorship, Limited Liability Company (LLC), or branch office of a foreign company.
Choose a location
Choosing a location is as important as any other business decision. It is done based on the perks and prospects you expect to procure such as an easy incorporation process, ongoing business support, financial advantages, etc. Mainland and Free zones are two common options for business setup. Once you have determined your location, search for a suitable office space.
Apply for the license
Make sure you apply for the appropriate license that aligns with your business activities. Submit the requested documents, complete other formalities, and pay the license fees. The advisors from Shuraa can help you avoid any confusion over the type of license or fees you need to pay.
Cost of an HR consultancy license in Dubai
A consultancy company setup involves more than just a trade license. The overall cost of establishing the firm involves several factors including visa fees, trade name approvals, LSA notary fees, corporate service fees, immigration card, Emirates ID, bank account opening assistance, tax consultation, and more.
Kickstart your consultancy business hassle-free and affordably with Shuraa Business Setup.
Services provided by HR consultants in Dubai
An HR consultant in Dubai can offer a wide range of services across various sectors. Some of these services include:-
- Talent Acquisition and Recruitment – Helping businesses hire top talents through effective recruitment strategies and screening processes.
- Employee Training and Development – Designing training programs for the professional growth of the employees by enhancing their skills and abilities.
- Performance Management – Developing performance evaluation systems and setting clear targets to assess the employee efficiency, and accordingly providing feedback to enhance their productivity.
- HR Policies and Compliance – Ensure an unbiased and inclusive work environment for employees by implementing HR policies that comply with local regulations.
- Employee Engagement and Retention – Develop strategies to encourage employee engagement, improve job satisfaction, and reduce costs.
- Planning administration and restructuring – Plan administration and organizational restructuring of the client company.
- Employee payroll management – Taking careof payroll management and performance evaluation to mitigate the weakness of the entity.
- Auditing – Provide HR-based auditing services to remove interims affecting businesses.
Get your consultancy license in Dubai today!
In conclusion, the overall success of your HR consultancy firm will rely on the quality of services you provide. You need to deliver what you promise, communicate effectively, and continuously improve your services to meet the evolving needs of your clients. Thus, by prioritizing client satisfaction, you can establish a strong reputation in the industry and build a loyal client base in the global market.
Shuraa Business Setup offers complete support in company formation in Dubai and serves as a one-stop shop for all kinds of corporate services including license and visa applications, VAT registration, tax compliance, PRO services, and more. To book a free consultation with a business setup consultant at Shuraa, call +971 44081900 or write to info@shuraa.com
