The banking sector in the United Arab Emirates (UAE) plays a major role in the economic landscape of the country. With a projected net interest income of USD 29.56 billion in the banking sector, traditional banks are set to dominate the UAE market, as per data research expert - Statista.
With the country promoting multiple industries, corporate bank accounts contribute majorly to the banking sector. To complete the process of business setup in UAE it is important to open a corporate bank account to ensure seamless financial transactions. In this guide, we will walk you through the steps of opening a business bank account in UAE.
Back to topWhy Open a Bank Account in the UAE?
Before moving into the process, let us understand why it is important to open a corporate bank account in UAE, irrespective of you being a local entrepreneur or a foreign investor. Some of the reasons include:
- Easily access funds and manage financial transactions related to the business.
- Helps manage business expenses by tracking various spendings.
- Easy to file tax returns as income and expenses related to the business can be tracked in a seamless manner.
- Make investments for business growth and expansion easier through standing instructions and reminders.
- Helps in acquisition of business loans and other forms of credit.
- Allows you to leverage digital banking services using smart devices like laptop, smartphone, or tablet.
How to Open a Corporate Bank Account in UAE?
The process to open a mainland or a UAE free zone company bank account is simple and straightforward. You can connect with the experts of Commitbiz to help you in opening a corporate bank account quickly. It involves the following steps:
Step 1: Choose the Right Bank
With the UAE being home to major international and regional banks, our experts can suggest you the appropriate bank based on your requirements, offered services and other things like fees and charges.
Step 2: Documentation
The next step is to arrange all the necessary documents. We will help with the entire documentation process so that you can get your bank account up and running in a hassle-free manner.
Step 3: Know-Your-Customer (KYC) Process
With banks in the UAE adhering to strict KYC and anti-money laundering (AML) laws, a bank representative will contact to inquire about the company. This includes learning about the business operations, anticipated transaction volume, funding source, capital invested, and clients.
Step 4: Attestation Requirements
When looking for how to open a UAE bank account from abroad, it is mandatory for all the documents to be legalised and attested. While the UAE Embassy of the specific country legalises the documents, the UAE Ministry of Foreign Affairs and International Cooperation (MOFAIC) attest them.
Step 5: Fill the Account Opening Form
The final step is to fill the account opening form and submit it to the bank authorities. It enables the business to start carrying out banking transactions.
Back to topDocument Required to Open a Business Bank Account in UAE
Different account types require you to submit different documents depending on the nature of the business and the chosen sector. Below are the mandatory document requirements to open a business bank account in UAE:
- Copy of valid trade license
- Copy of Commercial Registration certificate
- Copy of incorporation certificate
- Copy of Power of Attorney or Board Resolution
- Copy of tenancy contract or utility bill to prove the company’s physical office address
- Copies of MOA and AOA
- Copy of bank reference letter
- Copy of residence visa of the account signatories and Emirates ID
- Copy of Incumbency certificate
Which Eligibility Conditions Should be Fulfilled for Opening a Business Bank Account in UAE?
It is crucial for businesses in the UAE to meet certain requirements when looking to open a business bank account. Whether it is in the mainland or business setup in UAE free zones, you must meet the following eligibility conditions:
- Your company must be a separate legal entity operating in the UAE.
- Your business must hold a valid trade licence or certificate of incorporation from the UAE authorities.
- All the partners/owners and authorised signatories must have valid passports and Emirates ID.
- Your business must have a valid Memorandum of Association (MOA), Articles of Association (AOA), and board resolution.
- You must submit the bank statement for the last six months, if it is an established company. In case of a new company, the bank statement is required of the partner/owners.
Why Choose Commitbiz?
Every successful business begins with a solid financial base. To assist business growth, and ensure compliance you must have a corporate bank account. Contact us for opening a business bank account in UAE in a seamless manner. Our experts will assist you through the entire process and ensure success.
Back to topAre there any minimum balance requirements for corporate bank accounts in the UAE?
Yes, most banks require a minimum average monthly balance, depending on the bank and chosen account type. Failing to maintain the required balance may result in fines.
Can I open a business bank account online?
While some banks offer the facility, in-person verification and document submission is required, especially when opening a first bank account in UAE.
Do I need a local sponsor to open a business bank account in Oman?
No, having a local sponsor is not required for opening a bank account. It needs to be mentioned here that full ownership and shareholder structure must be clearly disclosed to the banking authorities.
