Compliance

MOHRE Quota Approval for a New Dubai Company: Eligibility, Cost and Timeline

Bhavana Sagar

Bhavana Sagar

Bhavana Sagar

10 min read
10 min read

Last Updated on

Last Updated on

Topic Summary

  1. What Is MOHRE Quota Approval and Why It Matters for Your Dubai Company

    MOHRE quota approval is the Ministry of Human Resources and Emiratisation's authorisation that sets the maximum number of work permits a Dubai company may hold at any one time. Without it, no work permit application can be submitted, making it a prerequisite for all private-secto

  2. MOHRE Quota Approval Eligibility: Does Your Dubai Company Qualify?

    MOHRE Quota Approval Eligibility: Does Your Dubai Company Qualify?

  3. MOHRE Quota Dubai Cost: Government Fees Explained

    The core MOHRE quota cost for a new Dubai company includes the establishment card fee and the bank guarantee or insurance per sponsored worker. Government fees vary by company size and labour category. Visa processing, entry permit, status change, medical, Emirates ID, and visa s

  4. How to Get MOHRE Quota Approval in Dubai: Step-by-Step

    Getting MOHRE quota approval in Dubai takes five sequential steps: incorporate your company and obtain the trade license, register the establishment card with MOHRE, lodge the bank guarantee or insurance per worker, submit the quota application via the MOHRE portal, and receive t

  5. MOHRE Quota Approval Timeline: Realistic Expectations for New Companies

    The full MOHRE quota approval timeline for a new Dubai company typically runs two to four weeks from trade license issuance to an approved quota. The longest single variable is bank account KYC, which takes 5 to 20 working days if the employer uses the cash deposit route for the

  6. Managing and Increasing Your MOHRE Quota After Approval

    Once your initial MOHRE quota is approved, you can apply to increase it as your headcount grows. MOHRE assesses expansion requests against the company's compliance record, Emiratisation ratios where applicable, and financial standing. Companies with 20 or more employees must also

In 2026, every private-sector employer in Dubai must secure MOHRE quota approval before a single work permit can be issued (MOHRE, 2026). A new company without an active establishment card and approved labour quota cannot legally hire one staff member. The bank guarantee stands at AED 3,000 per sponsored worker (MOHRE, 2026). Trade licenses at Dubai South Business Hub Free Zone are issued in 1 business day. Formation packages start from AED 12,500. The full quota approval window runs two to four weeks from license issuance. This article explains what MOHRE quota approval is, which companies qualify, what it costs in government fees, and how long the process realistically takes, so you can plan your hiring timeline before you open your doors.

What Is MOHRE Quota Approval and Why It Matters for Your Dubai Company

MOHRE quota approval is the Ministry of Human Resources and Emiratisation's authorisation that sets the maximum number of work permits a Dubai company may hold at any one time. Without it, no work permit application can be submitted, making it a prerequisite for all private-sector hiring in the UAE.

The Legal Basis Behind the Labour Quota System

Federal Decree-Law No. 33 of 2021 on the Regulation of Labour Relations establishes MOHRE's authority to set and enforce employer quotas (u.ae, 2021). The quota is tied to the establishment card, not to the trade license alone. Both must be active before any work permit application is accepted at the MOHRE portal.

Exceeding the approved quota, or submitting permit applications without one, triggers an immediate block on all new applications. Consider a logistics consultancy licensed at a Dubai free zone that attempts to hire its first three staff. Without a valid establishment card and approved quota, all three work permit applications are blocked at the MOHRE portal, even if the trade license is active and in good standing (MOHRE, 2026).

How the Quota Differs from a Work Permit

The quota is the ceiling; the work permit is the individual authorisation for each employee within that ceiling. A company with a quota of five can hold a maximum of five active work permits at any point. These are two separate instruments operating at two different levels.

Quota approval is a company-level decision made by MOHRE. The work permit is employee-level, issued for a named individual against the company's approved quota. You can increase the quota later by application, subject to your compliance history and, for larger employers, Emiratisation targets tracked via Nafis. For more on navigating MOHRE's digital services, see our MOHRE inquiry UAE guide.

MOHRE Quota Approval Eligibility: Does Your Dubai Company Qualify?

Infographic: MOHRE Quota Approval for a New Dubai Company: Eligibility, Cost and Timeline

A Dubai company qualifies for MOHRE quota approval when it holds a valid trade license, a registered physical or flexi-desk address, and an active MOHRE establishment card. Free zone companies must also have the free zone authority's endorsement. Newly incorporated companies are eligible from day one of license issuance.

Minimum Requirements for a New Company

To qualify for MOHRE quota approval in Dubai, your company needs:

  • A valid trade license (issued in 1 business day at Dubai South Business Hub Free Zone)

  • A registered office address, a flexi-desk lease agreement satisfies MOHRE's physical address requirement

  • An active MOHRE establishment card, included in the 1 Visa and 2 Visa packages at Dubai South Business Hub Free Zone

  • No outstanding MOHRE violations or unpaid fines linked to any company the owner previously controlled

A founder incorporating a professional services company at Dubai South Business Hub Free Zone on the 2 Visa Package receives the trade license, Articles of Association, share register, flexi-desk space, lease agreement, and establishment card as part of that package, satisfying every eligibility requirement before the ink is dry. You can review the full range of business activities in Dubai before you incorporate.

Activities That Can Affect Quota Eligibility

Regulated activities, healthcare, financial services, education, require the named regulator's approval in addition to the MOHRE quota. Dubai South Business Hub Free Zone licenses the activity, and the relevant regulator approves it separately. Both approvals must be in place before MOHRE finalises the quota for roles in those sectors.

Companies subject to Emiratisation targets under the Nafis programme must meet their hiring ratios to maintain or expand their quota. The Nafis threshold applies at 20 or more employees (Nafis, 2026). Construction and domestic worker categories follow separate quota rules outside the standard commercial employer process.

MOHRE Quota Approval Cost Breakdown: One-Off vs. Recurring Fees

Fee Item

One-Off Fees

Recurring Fees (Annual)

Establishment card registration (government fee)

Paid once at registration; required before any quota or work permit application

Renewal fee due annually to keep the card active

Bank guarantee deposit: AED 3,000 per sponsored worker (refundable)

AED 3,000 per worker lodged upfront; refundable when the work permit is cancelled

No annual renewal for the deposit itself; funds remain held until permit cancellation

Quota application processing fee

UNVERIFIED: <figure> Confirm before publishing

UNVERIFIED: <figure> Confirm before publishing

Establishment card renewal

Not applicable, renewal is a recurring obligation

Due annually; failure to renew blocks all permit activity under the card

Bank guarantee renewal or insurance premium per sponsored worker

Insurance premium is non-refundable and paid at activation; bank guarantee deposit is a one-time lodgement

Insurance route: annual premium per worker. Bank guarantee route: no annual renewal, but deposit remains tied up

Visa processing fees (entry permit, status change, medical, Emirates ID, stamping)

NOT INCLUDED, always quoted separately per employee

NOT INCLUDED, always quoted separately per employee

MOHRE Quota Dubai Cost: Government Fees Explained

The core MOHRE quota cost for a new Dubai company includes the establishment card fee and the bank guarantee or insurance per sponsored worker. Government fees vary by company size and labour category. Visa processing, entry permit, status change, medical, Emirates ID, and visa stamping, is charged separately for each employee.

Bank Guarantee vs. Insurance: Which Route Costs Less?

The bank guarantee route requires a cash deposit of AED 3,000 per sponsored worker, held with MOHRE and refundable when the worker's permit is cancelled. For a two-person startup, total deposit exposure is AED 6,000 before either work permit clears. That capital sits locked until the permits are cancelled (MOHRE, 2026).

The insurance alternative charges an annual premium per worker. It's non-refundable, but it frees up working capital compared to the cash deposit route. Worth flagging: opening a bank account in the UAE takes 5 to 20 working days for KYC clearance (Central Bank of the UAE, 2026). If you choose the bank guarantee route, factor that window into your timeline.

  • Bank guarantee: AED 3,000 per worker, refundable, capital tied up until cancellation

  • Insurance: Annual premium per worker, non-refundable, preserves working capital

  • Best for lean startups: Insurance route avoids the KYC delay and the upfront deposit

  • Best for established companies: Bank guarantee route has no recurring premium cost

How to Get MOHRE Quota Approval in Dubai: Step-by-Step

Getting MOHRE quota approval in Dubai takes five sequential steps: incorporate your company and obtain the trade license, register the establishment card with MOHRE, lodge the bank guarantee or insurance per worker, submit the quota application via the MOHRE portal, and receive the approved quota before filing any work permit.

Step 1: Incorporate and Obtain Your Trade License

At Dubai South Business Hub Free Zone, the trade license is issued in 1 business day. Before you incorporate, check your company name availability to avoid delays at the registration stage. Make sure the business activity list on your license matches the roles you intend to hire for, MOHRE cross-references activity codes when reviewing quota applications.

The 0 Visa Package (AED 12,500) includes the license, Articles of Association, share register, flexi-desk space, and lease agreement, but does not include the establishment card or a visa allocation. The 1 Visa Package (AED 16,350) and the 2 Visa Package (AED 18,200) both add the establishment card and the respective investor or partner visa allocation.

Step 2: Register the MOHRE Establishment Card

Submit your company documents to MOHRE: the trade license, lease agreement or flexi-desk confirmation, and the owner's Emirates ID or passport. For free zone companies, the free zone authority co-signs the establishment card application before MOHRE processes it. The establishment card number becomes the reference point for every quota and work permit application that follows.

Step 3: Lodge the Guarantee and Submit the Quota Application

Deposit AED 3,000 per intended sponsored worker via the MOHRE portal (bank guarantee route) or activate an approved insurance policy. Submit the quota request through the MOHRE Tasheel service centre or the MOHRE smart services portal. MOHRE reviews the application and may request additional documentation for regulated activities. Approval notification arrives via the registered email and the MOHRE portal dashboard (MOHRE, 2026).

MOHRE Quota Approval Timeline: Realistic Expectations for New Companies

The full MOHRE quota approval timeline for a new Dubai company typically runs two to four weeks from trade license issuance to an approved quota. The longest single variable is bank account KYC, which takes 5 to 20 working days if the employer uses the cash deposit route for the bank guarantee.

Stage-by-Stage Timing Breakdown

  • Trade license issuance: 1 business day at Dubai South Business Hub Free Zone

  • Establishment card registration: Typically a few working days after document submission

  • Bank account KYC (if bank guarantee route): 5 to 20 working days

  • Quota application review: Several working days after the guarantee or insurance is confirmed

  • Total realistic window: 2 to 4 weeks from license issuance to first active quota

A founder who incorporates on Monday, chooses the insurance route (bypassing bank KYC entirely), and submits the establishment card and quota application simultaneously could have an approved quota in under two weeks, roughly half the time of the bank guarantee route.

Common Causes of Delay and How to Avoid Them

  • Mismatched trade name on documents: Ensure the name on the license, lease, and owner ID is identical. Fix: verify all documents before submission.

  • Incomplete establishment card documents: A missing lease agreement or flexi-desk confirmation is the most common rejection trigger. Fix: use a formation package that includes the lease.

  • Bank KYC backlog: Corporate bank account opening takes 5 to 20 working days. Fix: start this in parallel with the establishment card process, not after.

  • Regulated activity approvals: If your activity requires a named regulator's sign-off, that regulator's own window adds time before MOHRE finalises the quota. Fix: identify regulated activities before you incorporate.

Managing and Increasing Your MOHRE Quota After Approval

Once your initial MOHRE quota is approved, you can apply to increase it as your headcount grows. MOHRE assesses expansion requests against the company's compliance record, Emiratisation ratios where applicable, and financial standing. Companies with 20 or more employees must also meet Nafis Emiratisation targets to retain and grow their quota.

When and How to Apply for a Quota Increase

Apply for a quota increase via the MOHRE portal or a Tasheel service centre once the current quota is at or near capacity. Submit the increase request with updated financial statements, lease confirmation, and evidence of Emiratisation compliance if your headcount is approaching or has crossed 20 employees. MOHRE may conduct a workplace inspection for significant quota increases. Each additional worker approved requires a further AED 3,000 bank guarantee deposit.

Emiratisation Obligations Linked to Quota

Companies with 20 or more employees fall under Nafis Emiratisation targets. Failure to meet the required ratios can result in a quota freeze, meaning no new work permits can be issued until compliance is restored (Nafis, 2026). The Nafis platform tracks Emiratisation rates in real time and reports non-compliance directly to MOHRE.

Companies below the 20-employee threshold are not currently subject to mandatory Emiratisation quotas, but monitoring regulatory updates via the UAE Cabinet

References

  1. MOHRE

  2. u.ae

  3. Central Bank of the UAE

  4. UAE Cabinet

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