Estidama EJARI contract Dubai

In the Arabic language, “Estidama” is the word for sustainability. The Estidama program is a key part of the “Abu Dhabi Vision 2030”. It is a building design methodology that will allow buildings to be constructed and also operated sustainably. Even if Estidama took its root in Abu Dhabi, it is currently under work in all the emirates of the UAE.

How does the Estidama Lease Contract work?

Previously, to obtain a trade license for any mainland businesses in Dubai and the UAE, they had to rent a physical office space. The office had to be a minimum size of 200 square feet according to the Department of Economic Development in Dubai. After a business had rented such office space, officials from the Department of Economic Development in Dubai would come and inspect the office. If they approved of the space, only then they would issue a trade license.

However, recently the Department of Economic Development in Dubai started to permit smaller businesses to rent virtual offices and still be able to apply for trade licenses. This route is more sustainable for smaller businesses and hence it is named the Estidama lease contract. The Estidama lease contract is basically a contract for a virtual office. With the Estidama lease contract, you get a complete lease agreement, which is a requirement for getting a trade license in the UAE. You can get in contact with Estidama consultants in Dubai and get Estidama offices in business centers here easily.

Estidama EJARI contract Dubai
Estidama contract in Dubai

Here are a few benefits of an Estidama contract in Dubai:

  • Replacement for EJARI

An EJARI is required for getting a trade license in the UAE. And you need to rent a physical place to get an EJARI. However, the Estidama issued by the Dubai Land Department will work as an Estidama EJARI. That means you can use that Estidama EJARI contract to apply for a trade license in Dubai. You will receive a business address from the business center where you get the Estidama EJARI contract. Even if you will not work from that address, you can use it for business purposes. For example, when filling up official forms for your business, you can use that Estidama address as your business address.

  • No need for a physical office space

Physical office spaces are expensive. They are not sustainable for many small businesses that can put the capital to better use. Many small businesses do not need a physical office space to work from. Most IT startups can efficiently work from home. In fact, regularly traveling to physical office space will be unproductive for these businesses because they are losing both time and money while commuting. An Estidama contract allows these businesses to work remotely and still get a trade license from the Department of Economic Development in Dubai.

  • Sponsor visas

Depending on the size of the office you lease or rent, you may sponsor a certain number of visas for employees from abroad. Of course, the bigger the office space the more visas you can sponsor. However, even if you fulfill your office needs with an Estidama lease contract. You may still need to bring in employees and workers from abroad. That is why even without a physical space, and Estidama enables you to sponsor up to four employment visas or labor quotas.

  • Various amenities

Depending on the business center you are getting the Estidama from, you will receive various amenities with the virtual office. Many business centers provide a front desk for your virtual office, while others give you the option of renting a dedicated desk. Some virtual offices also allow physical office spaces for few hours per month. They also provide meeting rooms should you need to meet with a client or a potential business partner. The TRN number is accessible with an Estidama. You can open bank accounts with the address provided by the virtual office. DU or Etisalat is also possible with an Estidama.

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EJARI registration in Dubai

In the Arabic language, “Ejari” means ‘my rent’. The authorities in Dubai have named the registration process of tenancy contracts EJARI. Besides the tenancy contract registration process, the tenancy contract itself is sometimes called an EJARI. The EJARI online registration system was initiated by the Real Estate Regulatory Agency (RERA) in Dubai.

EJARI registration is mandatory for any private rental contracts in Dubai. The tenant is required to complete the registration process and pay the EJARI fees. You can register the EJARI online or you can do it through the EJARI app as well. However, the EJARI contract must be printed from any one of the authorized typing centers in Dubai. The EJARI fees you will be required to pay at the typing centers are usually around AED 220.

Documents required for EJARI registration online

Here are the documents that you need to upload when registering for EJARI online in Dubai:

  • The signed tenancy contracts
  • The receipt of the security deposit
  • A copy of your (tenant) passport.
  • A copy of your (tenant) visa.
  • Your Emirates ID.
  • If the landlord is an individual (not a corporation), then his/her passport copy.
  • A copy of your power of attorney.
  • A copy of the title deed of the rented property.
  • The DEWA bill and premises number.
  • The previous EJARI if you are renewing.
EJARI registration in Dubai

A copy of your trade license if the EJARI is for commercial property.

EJARI renewal process

Your EJARI needs to be renewed when you change the property that you are leasing or renting. The documents required for EJARI renewal are the same as the EJARI registration process with the addition of your previous EJARI. The EJARI renewal fees are also the same as the EJARI registration fees. The fees mostly depend on the agent you are hiring to do the EJARI for you.

If you are a foreigner looking to get started in Dubai or anywhere in the UAE. This all may be a little confusing at first. It is suggested you consult with professionals who have done these registration processes before. They also have the necessary connections to streamline the process of making an Estidama EJARI contract. They will also ensure there are no errors that may complicate the process while registering.