Corporate Banking Services in UAE: Everything You Need To Know
Written By Antima – 28th July’22
Table of Contents
- Types of banking system in the UAE
- Benefits of opening a corporate bank account in the UAE
- Can an expat open a bank account in the UAE?
- How to open a business bank account in UAE for expats?
- What are the documents required?
- Challenges while opening a corporate bank account in Dubai?
- Role of RadiantBiz
UAE is attracting many expats due to its image of an international business hub. This has added a huge number of new licenses to its list of company setups in the first quarter of 2022. Expats can take advantage of the many benefits offered by the UAE government on numerous business opportunities.
Now, a business operating anywhere in the world must need a bank account so that all the financial transactions of the company can operate in a smooth manner. Similarly, when you are thinking to start business in Dubai, a corporate bank account in Dubai is an added advantage.
As an expat in the UAE, opening a business bank account in Dubai is necessary to carry out all your business activities. It is a good idea to open a corporate bank account to make your financial transactions easier. However, you are required to follow some guidelines to open a bank account in the region.
Types of banking system in the UAE
1. Commercial banks
A commercial bank is a financial entity that accepts deposits, grants various loans, and provides individuals and small businesses with basic financial products and savings accounts.
2. Investment banks
Investment banks are not the same as commercial banks, which offer their customers financial services such as deposits and loans. It’s a company that provides investment banking services. It retrieves or arranges investment for other businesses registered with it.
3. Industrial banks
Industrial banks in Dubai focus on providing loans for industrial development to individuals or businesses. Both large and small businesses can borrow from industrial banks.
4. Islamic banks
UAE has many top Islamic banks like DIB, ADIB, and EIB. Apart from that, all commercial banks also have their own Islamic division to fulfill their business needs. All Islamic banks follow sharia law and many businesses across the world prefer to opt for Islamic banking because of its mechanism and non-interest concept.
What are the benefits of having a business bank account in the UAE?
With the UAE’s high standards for corporate credibility, you can be sure that your corporate funds are always in safe hands. That’s why a UAE corporate bank account is the easiest and most secure way to send and receive money worldwide.
Many renowned banks in the Emirates also offer multicurrency accounts, allowing you to send and accept payments around the world without restrictions.
Let’s look at the major benefits of opening a bank account in the UAE for your business-
1. Complete confidentiality
While opening a business bank account in Dubai, you don’t have to worry about the confidentiality of your details. The banking system here is very secure.
2. Secure transactions
The banking structure in the UAE is very secure and so are the transactions done for any business. You get all the updates about your accounts in a proper manner via online notifications. Hence, there is no chance of any false dealings within the account.
3. Reasonable interest rates and loans
You will get loans at low and reasonable interest rates in most the renowned banks in the UAE.
4. Capital transfer in and out of UAE
If you an expat doing business in the UAE and its Emirates, then one of your major requirement is a reliable banking system that allows you to transfer capital in and out of the country. This becomes easy when you open a bank account in the UAE for your business.
5. Advanced banking services
Banks are very well-versed with the latest technology in the region. You get all facilities for online banking, credit cards, instant money transfer, and much more.
Can an expat open a bank account in the UAE?
Yes, expats are eligible to open a business bank account in Dubai, considering that they must be physically present in the country. Furthermore, you will be required to have a residence visa to apply for a bank account in UAE. The visa might take a few days, unless you have a reliable business setup consultant such as RadiantBiz working with you. In that case, you will receive the residence visa in no time.
Until then, you will be able to open only a savings account, and get an ATM card along with it so that you can withdraw money.
How to open a bank account for your business in UAE for expats?
Setting up a banking account in the Emirates is simple and quick, depending on the type of account, the process can take anywhere from a day or two.
Here’s how you can a corporate open a bank account in the UAE-
Get the business license
Obtaining a business license is necessary for opening a business bank account in Dubai. The bank will not recognize you as a business without a license, and you will be unable to open a corporate bank account in the country.
Check for all the paperwork
Keep a check on all your documents that are needed to open a bank account in Dubai.
Choose your bank
Once all the paperwork has been verified and submitted. Then you can choose which bank will be best for your needs. You can also get advice from a business setup adviser who will help you decide on the process for applying for a bank account.
Apply for a bank account
After double-checking that all your legal and corporate documents are in order, you may select your preferred bank that meets your requirements. There are several national and international banks from which you can choose.
What are the documents required to open a business bank account in the UAE?
These are the list of documents that will be required to be submitted when you are an expat, opening a business bank account in Dubai-
Company Trade License
Copy of passport with residency visa
Certificate of registration
Company memorandum and articles of association
Utility Bills for address proof
6 months bank statements
Your business plan
Type of activities on the account
Complete set of certified company incorporation documents
Certificate of good standing
What are the challenges while opening a corporate bank account?
The UAE offers one of the most secure banking services and financial platforms for your business. However, working with everything at once can be a tough task to accomplish. This is where an expat or a new enterprenuer can face challenges while opening a bank account in the country.
Some of them are as follows-
UAE has very strict requirements for who can open an account with a bank. You must have your residence visa and a local address.
- Compliance checks might be challenging because when opening a business or personal bank account, you must undergo bank compliance checks. This is a crucial step that determines whether your account will be opened. In order for them to make the best judgement, they could ask you for a few more supporting documents. In this case, you must be patient and fully cooperate with them.
Furthermore, depending upon the bank you choose, it will require a minimum balance criteria that is mandatory to be fulfilled.
Your money transactions should all be under the legal umbrella.
Therefore, it is always better to have a good and experienced business consultancy firm when opening a corporate bank account in Dubai.
How can Radiantbiz assist you with banking services in Dubai?
Every business has unique requirements, including choice of business jurisdictions, banking services for business corporate accounts, etc. That’s why RadiantBiz is here to help you with opening a bank account in the UAE for your business. We are a team of professionals who know exactly what you need when it comes to banking. and assist you throughout the process.
RadiantBiz management team have more than 15 years of corporate and commercial banking experience. We understand your business and assist you with strategized guidance. We will be there for you in the entire banking process and help you eliminate risks, and challenges that come with banking.
We take everything into account so that we can help you choose the right bank for you according to your needs. We assist you in opening corporate bank accounts with the leading UAE local and multinational banks, allowing your business to operate smoothly.
Frequently Asked Questions
What is the time taken to open a bank account in the UAE?
It takes around 4-6 weeks to complete all the formalities to open a bank account in the UAE. However, with RadiantBiz you can open your business bank account in just 1 week.
Can I transfer my money to any other country using the banking services in the UAE?
Yes, its very easy to transfer money to a country from UAE with your bank account. You can use the mobile/net banking facilities offered by your bank.
Is there any country banned that cannot open a bank account in the Emirates?
A few countries are banned due to sanction issues and you cannot do transactions with them. These countries include Iran, Syria, North Korea, Cuba etc.
What is the maximum amount that I can send to a country outside the UAE?
There is no such defined limit for remitting the money outside. This can be any amount depending on your business needs. However, some of the banks have per day limit, which is by default when you open an account. However, you can further request to bank and your relationship manager in the bank, and they can increase daily transaction limits depending on your business need to be supported by your invoices and business contracts etc.
Can I open a bank account in the UAE from abroad?
Although it is important to be physically present when opening a bank account in the UAE, but with RadiantBiz, you can get the option to open a bank account virtually. We will take care of the compete process for you.
What are the top banks in the UAE for expats?
Below is the list of the top banks in the Emirates for the expats-
First Abu Dhabi Bank (FAB)
Abu Dhabi Commercial Bank
First Gulf Bank
Dubai Islamic Bank
Abu Dhabi Islamic Bank
- Commercial Bank of Dubai
RAK, National bank of Ras al khaimah
What are the best international banks in the UAE?
Standard Charted Bank
What all services do I get when I open a bank account in any UAE based bank?
As an expat, when you open a bank you get many useful services from the bank, such as-
ATM card or Debit card
Net & mobile banking services
Trade finance services
- For other added services, all the banks have different criteria.
What is the minimum account opening balance for banks in UAE?
The minimum amount requirements depend on the bank with which you are dealing. This is because every bank has its own set of rules for minimum balance criteria. However, for most of the banks, it is approx AED 3000.
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