Link Up Corporate Services has extensive knowledge of the Dubai real estate market and the processes involved in setting up a real estate brokerage business. As a local business consultant, we understand the document requirements and can efficiently guide you through the registration process without any delay. With the growing demand for real estate brokerage services in Dubai due to its thriving market and innovative developers, our team is well equipped to assist you in establishing a successful business in this field.
Real Estate brokerage services in Dubai is divided into two groups:
1) Real Estate Leasing Brokerage:
The real estate brokerage in Dubai acts as a mediator between landlords and tenants for the purpose of negotiating and finalizing a property lease agreement, for which they receive a fee. Once the agreement is signed, the broker's role is completed.
2) Real Estate Buying & Selling Brokerage:
As a broker, the firm acts as a mediator between the owners and buyers of real estate properties. The broker facilitates the transaction by helping both parties reach an agreement. Whether buying or selling a property, the broker's role is vital in ensuring a smooth and successful transaction.
Whether the firm is planning to act as a real estate leasing broker or real estate buying & selling broker, it must require a business license in Dubai to carry out the operations.
The process of helping people find their dream property can be very rewarding. However, it requires a significant amount of effort and attention to detail in order to be successful. In the real estate industry, it's important to be familiar with the requirements and regulations set by the Department of Economic Development and the Real Estate Regulatory Authority in order to comply with all legal requirements.
Real Estate Brokerage Legal Structure Set By the Dubai Government
If the firm is planning to start a real estate brokerage business in Dubai, then the following two types of legal structure can be registered:
1. For a single person involvement, Sole Establishment
2. For minimum two and maximum fifty partners as shareholders, Limited Liability Company (LLC)
A Sole Establishment is designed for a single individual and the proprietor is solely responsible for any business debts, to the extent of their personal assets.
LLC is completely different from the Sole establishment because here shareholder’s liability of LLC shall be restricted to the extent of their share in the capital of the company as per the Art.218 of the Law No.8 of 1984 on Commercial Companies.
As per the UAE rules, any real estate brokerage company can be established only under the complete ownership of a UAE national(s) or a company completely owned by a UAE national(s). The expatriate can be authorized signatory and a special POA will be given from local sponsor.
Step By Step Guide For Real Estate Company Registration Process in Dubai
Step1: Finalize a Trade Name
Visit the website of the Department of Economic Development (DED) and fill the form online to reserve the Trade name. You can also do it by visiting one of the typing centres in the emirate.
Step 2: Submit the Documents & Get Initial Approval Request Receipt
In this step, an individual has to submit the application form and required documents such as the application form (BR-1 form), passport copies of the shareholders and a manager as well as the high school or university degree certificate of the partners and a manager. After submitting all these documents, the government authority will provide an initial approval request receipt.
Step 3: Approval from the Real Estate Regulatory Agency (RERA)
RERA course is specifically made for the real estate field and this course can be for 2 days or 15 days. The duration of this course completely depends on the education qualification of the applicant. The applicant has to pass this RERA course to get the approval from the Real Estate Regulatory Agency.
Step 4: Legal Documentation
If the firm is opening on a Sole Establishment term then concerned parties will sign only office tenancy contract. But in the case of LLC company formation, the MOA between shareholders should be signed. And this process should be done in front of a notary public.
Step 5: Acquire License from DED
Now in this step, the firm has to submit all the documents such as a finalized trade name reservation certificate, RERA approval receipt, tenancy contract and MOA with passport copies of all shareholders and a manager to DED. This department will check all the documents and will start the process to provide the final license. In this step, DED will also use a payment voucher that includes all remaining payments to obtain the license. Once all the payments will be clear, DED will issue the license.
Step 6: RERA Registration Process
With a successful DED license, not the company is eligible for RERA registration and to obtain the RERA registration certificate.
Here is the list of required documents:
- Application Form
- DED License Copy
- Payment Receipt Received by RERA Course
- Tenancy Contract/Ejari Copy
- Map of the Location
Step 7: DNRD and Ministry of Labor Registration Process
This step is common for almost all companies. If you are opening a Real Estate Brokerage Company then you have to register your firm with DNRD and the Ministry of Labor (MOL). With this registration, an individual can hire foreign employees and sponsor their visas.
Step 8: Get the Brokers Card
To carry out real estate brokerage activities in Dubai, the firm must obtain a license from the Real Estate Regulatory Authority (RERA). Upon completing the RERA registration process, the firm can engage in any type of brokerage activities. While an individual can be registered with RERA and obtain a broker's card, he/she must be employed by a real estate brokerage company.