For entrepreneurs interested in business setup in Dubai or anywhere else in the UAE, getting an NOC might be a part of the process. It’s important to understand the NOC meaning, how to get a certificate, and what circumstances require an NOC. Working with a business setup consultant can help you understand when you will need to apply for an NOC.
What is the NOC Meaning?
When Did You Need an NOC in the UAE?
Previously, most expats in the UAE needed to get NOCs for performing any kind of legal activity, like:
- Changing jobs: You often had to get approval from your current employer before you could join a new company.
- Buying or selling property: To purchase or transfer ownership of a home or apartment, you needed confirmation that there were no objections or legal issues.
- Registering or selling a car: Before transferring a vehicle to another person, you needed an NOC letter showing that there were no pending fines or problems with the car.
- Switching visa sponsors: If you were changing who sponsors your UAE visa (like moving from a company to a family visa), an NOC was often required.
You don’t need an NOC to do most of these things nowadays, but it’s always better to double check with the concerned authorities.
- Changing jobs: You often had to get approval from your current employer before you could join a new company.
Who Can Issue an NOC Letter in the UAE?
Most government entities and legal sponsors can issue an NOC in the UAE. As an entrepreneur, here are some of the most common issuers of NOC certificates you should know:
1. Employers
- Your employer is the most common NOC issuer.
- An employer will need to issue an NOC if you’re planning to start a side hustle.
- The letter usually confirms your job title, employment duration, and that the company has no objection to your plans.
- For entrepreneurs with free zone company formation in Dubai, the free zone authority is your sponsor.
- They will issue an NOC form when you want to move your business to the mainland or transfer to another free zone.
- You might also need an NOC to change your business activities or update your trade license.
- DMCC (Dubai Multi Commodities Center)
- DMCC is a free zone located in JLT (Jumeirah Lake Towers) and has been in operation since 2002.
- The free zone handles over 25% of the world’s gold trading.
- DMCC houses the Dubai Gold & Commodities Exchange (DGCX) which deals with derivatives exchange.
- A DMCC gold trading license comes in wholesale, retail, bullion trading, precious metals categories.
- The Ministry of Human Resources and Emiratisation (MoHRE) issues all the employment-related NOCs.
- The Roads and Transport Authority (RTA) issues NOC letters in Dubai for anyone wanting to start driving lessons.
- The General Directorate of Residency and Foreigners Affairs (GDRFA) issues NOC certificates for any visa-related changes.
Streamline Your Business Setup Process
Is an NOC Mandatory for Business Setup in Dubai?
- If you’re starting a business related to oil & gas, real estate, defense, security, or banking, you will need an NOC from a sponsor.
- If you’re starting a side hustle, you will need an NOC letter from your current employer, especially if you need to stay on their visa.
- If you’re applying for a trade license in certain free zones which still have a NOC form requirement.
- If you’re changing your visa to an entrepreneur visa, you will need an NOC from your current sponsor.
NOC Letter Sample
If you need a letter from your employer to start a business, this is what the NOC format would look like:
You might need an NOC to be issued in both Arabic and English, so make sure to convey those requirements ahead of time. For some trade license applications, your NOC may also need to be notarized.
How to Get an NOC in the UAE
Getting an NOC in the UAE is usually a straightforward process. Here’s how it works:
- Collect your paperwork: Every NOC issuer will have different requirements. Make sure to have all the supporting documents ready. You might be asked to share things like your business plan, ID documents, and job contract.
- Submit the request: The NOC request should mention all the relevant details including why you need the NOC letter. If you need it in Arabic, mention that as well. Most NOCs are free to request, but certain requests can cost up to AED 500.
Track the request status: Make sure you apply for the NOC well in advance so you’re not scrambling at the last minute. If it’s been longer than the expected time, you can follow up.
Start a Business With the Experts at A&A Associate
A&A Associate is the UAE’s largest business setup advisory. We have a decade of experience working with clients across the country, both in mainland and free zone company formation. Our experts are seasoned professionals who provide end-to-end business support from licensing to getting you a bank account.
We also offer audit services, corporate tax advisory, and accounting and bookkeeping services.
Get in touch for a free consultation!
