Reference

UAE business glossary

The licensing, ownership, visa and compliance terms you will meet setting up in the UAE — in plain English.

A

AED
The UAE dirham, the national currency. Government fees, licence costs and share capital are quoted in it.
AML
Anti-money laundering. The controls a UAE company must have to detect and report suspicious transactions, with obligations that vary by activity.
AOA
Articles of Association — the document setting out how a company is run internally: how shares change hands, how directors are appointed and how decisions are taken. Free zones usually issue their own template, and some fold it into the MOA as one document.

C

Corporate Tax
The federal tax on business profits in the UAE. Registration is required regardless of whether tax is ultimately payable.

D

DED
Department of Economic Development — the emirate-level authority that licenses mainland companies. Each emirate runs its own and several have renamed: Dubai's is now the Department of Economy and Tourism (DET), Abu Dhabi's is ADDED and Sharjah's is SEDD.

E

Ejari
The Dubai system for registering tenancy contracts. A registered lease is normally needed before a licence or visa can be issued.
Emirates ID
The national identity card issued to UAE citizens and residents. It records residence status, is produced once biometrics are taken inside the country, and is what banks, landlords and government services ask for.
ESR
Economic Substance Regulations — the rules that required a UAE entity carrying on certain activities to show real activity, people and premises in the country, and to file a notification and a report. Cancelled by Cabinet Decision 98 of 2024 for periods after 31 December 2022: substance still matters, but through the corporate tax rules rather than a separate ESR filing. The obligation stands for the periods before that.
Establishment Card
An immigration card issued to a company, allowing it to sponsor employee and investor visas.

F

Flexi-desk
A shared or part-time desk package sold by free zones, satisfying the office requirement for a licence without a private office.
Free Zone
A designated economic area with its own licensing authority, allowing full foreign ownership and its own rules on activities, visas and premises.
FTA
Federal Tax Authority — the federal body that administers corporate tax, VAT and excise tax. Registration, returns, refunds and audits all run through it.
FZ-LLC
A free zone limited liability company — a free zone entity with more than one shareholder and liability limited to its capital.
FZE
A free zone establishment — a free zone entity with a single shareholder.

G

GCC
The Gulf Cooperation Council — Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the UAE.
Golden Visa
A long-term UAE residence visa for categories such as investors, entrepreneurs and specialised talent, renewable and not tied to an employer.
Green Visa
A self-sponsored UAE residence visa for skilled professionals, freelancers, investors and partners who meet its criteria. It is held by the person rather than by an employer, and lets the holder sponsor family members.

L

LLC
A limited liability company. In the UAE the term usually refers to a mainland company whose shareholders are liable only up to their capital.

M

Mainland
A company licensed by an emirate-level authority rather than a free zone, able to trade directly across the UAE market.
MOA
Memorandum of Association — the constitutional document setting out shareholders, share split, activities and how the company is run.

O

Offshore
A UAE company formed for holding assets or international business. It cannot trade inside the UAE market and does not carry residence visas.

P

PRO
Public relations officer — the role, usually outsourced, that handles government paperwork such as licences, visas and attestations.

S

Share Capital
The capital shareholders commit to a company, recorded in the MOA. Requirements differ by jurisdiction and activity.

T

Trade Licence
The permit allowing a company to carry out its stated activities. The type follows the activity: commercial, professional, industrial or tourism.
TRC
Tax Residency Certificate — the document the Federal Tax Authority issues to prove a person or company is tax-resident in the UAE, which is what a treaty partner asks for before granting double-taxation relief. Individuals qualify on days present or on a permanent home plus a permit; companies apply once the entity has been established twelve months.

U

UBO
Ultimate beneficial owner — the natural person who ultimately owns or controls a company, which UAE companies must record and report.

V

VAT
Value added tax, charged on most goods and services in the UAE. Registration becomes mandatory once turnover passes the statutory threshold.
Visa Quota
The number of residence visas a licence permits, usually determined by the jurisdiction and the office space held.

W

WPS
Wage Protection System — the electronic system through which salaries must be paid so the authorities can verify staff are paid on time.