How to Obtain an Investor Visa in the UAE: Q&A on Minimum Share Capital Requirement

Q: What is the minimum share capital requirement for an Investor Visa in the UAE?

A: Business investors are obliged to have share capital in their company, valued at a minimum of AED 50,000, to be qualified for an Investor Visa in the UAE.

Q: Does the percentage of shares held by the investor matter in getting an Investor Visa?

A: No, the value of the share capital is more important than the percentage of shares held. In any case, the share capital must be at least AED 50,000, whatever the percentage of ownership.

Q: Can an investor apply for an Investor Visa with a small percentage of ownership in the company?

A: An investor can be qualified for the Investor Visa, even on a small percentage of ownership, like 5%, provided that represents a minimum share capital of AED 50,000.

Q: Does this requirement of share capital apply to all economic zones of the UAE?

A: Yes, this rule applies uniformly across the UAE, including all economic zones such as the Department of Economic Development (DED) and various free zones.

Q: Why is this share capital requirement standardized across different zones?

A: This is uniform because the UAE immigration law and federal authorities regulate it so that its application should always be the same throughout the federation.

Q: How does the concept of UAE Investor Visa work?

A: In general, an Investor Visa to the UAE is a regular residence visa in the United Arab Emirates, valid for two years. With such a visa, you enjoy easy travel, family sponsoring, and other opportunities available in the state, respectively.

Q: What to do to get an Investor Visa?

A:

  1. Check Your Share Capital. Your share capital of the company should not be less than the minimum requirement of 50,000 AED.
  2. Prepare Documentation. Gather all those documents that prove your share capital and ownership percentage of the share capital.
  3. Apply Through Relevant Channels. The application should be made through the concerned economic zone authority, such as DED or the concerned free zone authority.
  4. Be Well-informed. Emphasize being updated on changes in immigration laws and rules to ensure full compliance.

Q: What do I need to do to get any clarification on my Investor Visa application?

A: One should seek further advice and support from legal experts or immigration consultants who have specialized knowledge in UAE visa regulations. They will provide specific advice and support you through the application process.

Understanding the Role and Responsibilities of the GCGRA in the UAE Gaming Industry

Introduction
The GCGRA is at the heart of a transformation that is taking place in the United Arab Emirates regarding the industry of commercial gaming. The authority was created to make sure gaming activities are conducted with integrity and managed responsibly, and it’s one of the cornerstones composing the UAE regulatory framework. This blog will outline what GCGRA is, its roles, and responsibilities, thus providing insight into how it impacts the industry.

What is the GCGRA?
The General Commercial Gaming Regulatory Authority is the federal authority to regulate lotteries and commercial gaming activities within the UAE. Its mission is to build and maintain a world-leading regulatory framework that upholds the highest standards of integrity, transparency, and responsibility.

Core Responsibilities and Roles of the GCGRA

1. Licensing
GCGRA is in charge of issuing, maintaining, and renewing commercial gaming licenses. Any entity that intends to conduct activities within the gaming industry of the UAE must apply for a relevant license with the GCGRA. This process ensures that gaming activities are conducted in a manner that does not violate any legal or ethical premises.

2. Maintenance of Standards
Included among the major responsibilities of the GCGRA are developing and maintaining clear-cut rules, standards, and directives with regard to gaming operations. While doing so, GCGRA has made operators adhere to the best practices that are supposed to guarantee fair play and protect consumers against likely malpractices.

3. Promoting Responsible Gaming
It institutes several responsible gaming measures that minimize harmful results game activities have on the players themselves, families, and at the social levels of organizations. The GCGRA can equally work in cooperation with licensed operators so they may create a culture and attitude for responsible behavior aimed towards ethical gaming.

4. Financial Crimes Prevention
One of the essential elements of the mandate of GCGRA is to prevent financial crime. It strongly enforces compliance with the UAE’s laws on the prevention of money laundering, terrorism financing, and other financial crimes. In this process, the GCGRA safeguards the integrity of the gaming industry to keep it free from all illegal activities.

Licensing Process
The GCGRA has, therefore, made it easier to license new operators into the gaming market of the UAE through an efficient pathway, which includes:

  • Initial Notification: The applicant is supposed to notify the GCGRA of its intention to apply for a license.
  • Intake Form Submission: The applicant fills in basic information about the business and the type of license it is applying for.
  • Screening and Portal Access: After screening the applicant, the applicant is given access to the GCGRA licensing portal.
  • Detailed Application Process: The applicants give detailed information on business, financial, and corporate.
  • Evaluation and Approval: GCGRA goes deep into the application to ensure the suitability of the applicant.
  • Licensing: After successful evaluation, the applicant pays the due fees, and the license is issued.


Ongoing Licensee Obligations
Licensees are expected to adhere to high standards and requirements of the GCGRA even in possession of a license. Some of these include:

  • Professional Conduct: To always carry oneself with integrity and professionalism.
  • Regulatory Compliance: Understand and apply all appropriate rules and regulations.
  • Information Maintenance: Keep the GCGRA updated on any important business or personal changes in status.
  • Cooperation and Transparency: To cooperate fully with the GCGRA in providing all information that might be requested from them with timely attention.


Conclusion
The GCGRA shapes the gaming industry responsibly and with a tremendous deal of transparency in the UAE. By way of high standards, promotion of ethical practices also protects operators and consumers. To do business in the UAE games market, understanding and adherence to GCGRA guidelines are tantamount to success.

For more details on how to overcome the complexities of UAE gaming regulations, please contact our law firm at www.lylawyers.com.

Banks Freezing End of Service Entitlements

What to Do if Bank Freezes Final Settlement After Switching Jobs
Suppose this were to happen: you lose your job and find another one that pays less, so you immediately intimate your bank of the change in employment and find your final settlement frozen just because the new employer is not listed with the bank. You have enough salary coming in from your new job to service the installments on your existing loans, yet the bank will have nothing of releasing your dues.

This is not an isolated incident in the UAE, and if this were your case, then it’s time to know about your rights and options. So, can your bank, legally, withhold your end-of-service entitlements or final settlement in this context? Let’s break it down.

Understanding the Bank’s Actions
The basis on which the bank will freeze your funds, even when you are still able to service your loan obligations, usually rests on the terms of the loan agreement you signed. This, in turn, means your options are going to largely depend on what the details of your agreement show. Two possible scenarios exist:

Scenario 1: Contractual Provisions Allowing the Freeze
Sometimes, your loan agreement can specify that you need to draw at least a certain minimum monthly salary as a prerequisite for the loan. This is typically employed as a kind of guarantee that gives assurance in particular of your capability to repay the loan amount taken in advance. If your monthly salary drops below this minimum value, the bank may trigger a clause that enables them to freeze your final settlement, whether or not you are in default on the loan payments.

In this case, the bank can legally hold on to the final settlement depending upon the conditions of the contract between them. Laws in UAE like Article 715 of UAE Civil Transactions Law permits allowing a loan to be tagged along with the condition of security, pledge, or mortgage.

In other words, if these are the conditions in your agreement, then the bank is not in contravention of UAE law and/or public order. This therefore will give the bank the right to lawfully deduct or freeze your settlement, as they approved the loan at a salary level that they considered adequate to protect their interests.

Scenario 2: There Are No Such Contractual Provisions
It may not be legally justified for the bank to hold the final settlement if there were no clauses in the loan agreement related to the minimum salary requirement or any clause that allows the bank to withhold your final settlement upon a decrease in salary.

In this regard, the bank shall not freeze your final settlement in case:
• You are not in default of your loan obligations, and
• Your new salary is still sufficient to pay the monthly installments of the loan.

If both of the above exist, then you have enough reason to approach the bank to unfreeze your account. You may need to approach the bank with proof that your new salary can still meet your loan obligations. It is also likely that even now, the bank may offer to restructure the loan in view of change in your salary. This may sound superfluous, but the restructuring can actually offer an opportunity to cut down on your monthly payments, making it easier for you to be able to afford it longer term.

What Should You Do If the Bank Refuses to Release Your Settlement?
If, in case of a bank continuing not to release your end-of-service entitlements despite approaching them to resolve the matter, you may do the following:
• Review Your Loan Agreement: Check your agreement for any clauses that enable the bank to apply this action. Look at every word regarding salary requirements or end-of-service payments being in the nature of collaterals.
• Approach the Bank: Write to the bank while providing proof of your current salary and financial ability with which to service the loan.
• Loan Restructuring: You can also demand loan restructuring according to your revised salary. This is either an extension of the tenure of the loan or the amount you pay every month.
• Lodge a Complaint: If, after all, the bank does not release your settlement, you can file a formal complaint to the Central Bank of the UAE or to Sanadak, the UAE’s consumer protection platform. Your complaint should mention your right to have your money returned based on the UAE Civil Transactions Law and what the bank is supposed to do based on the regulations and guidelines on consumer protection by the Central Bank.

Protecting Your Future
It always pays to be one step ahead, and as transparent as possible with your bank when there is a significant change in the status of employment or income. This may reduce chances of funds freezing for an unknown reason. Secondly, read your loan agreement in detail before signing, making sure you know what rights the bank has, and what you are obliged to do.

Conclusion
Whether your bank has legal rights to withhold your final settlement in case of a job change is, of course, a matter of the exact contractual terms agreed upon between you and the bank. In that case, if there is a provision in the contract stating that they could freeze one’s funds due to a salary decrease, then they can be considered justified. In the absence of this, it may not be justified for the bank to freeze your funds if the salary is sufficient to cover installments on a monthly basis.

In such a case, one would be advised to consult with an attorney who can best discuss and make the proper decision regarding one’s rights. For a situation like this, at LYLawyers, we can represent you in court due to the financial situation presented and give you the legal representation needed to settle your case. Feel free to call us today and book your appointment so that we may take you through such woes.