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[null,"Prepared By:","Contributors:"]
[null,"Afridi & Angell"]
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["Social Enterprise Law Surveys"]
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["Report Generated: 11/19/2025"]
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["View your report results on next tab"]

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["Question","United Arab Emirates"]
["I. Enterprise Form"]
["What jurisdiction(s) do you practice in?","United Arab Emirates (“UAE”)\nNote the UAE is a Federation of seven Emirates (namely Abu Dhabi, Dubai, Sharjah, Ajman, Umm Al Quwain, Ras Al Khaimah and Fujairah). In addition to applicable Federal laws, each Emirate has its own licensing and regulatory regime.\n"]
["What are the most commonly used types of for-profit corporate organizational forms in your jurisdiction (e.g., corporation, limited liability company, benefit corporation, social purpose corporation, etc.) used by Enterprises operating a trade or business (rather than for investment or holding company purposes)? Please briefly describe these forms. a. Of these, which are the most common for-profit organizational forms used by Enterprises seeking financing from investors and that will have multiple owners? b. Other than organizational forms specifically designed for Social Enterprises (and discussed below under Question 4), which, if any, are the most common for-profit organizational forms used by Social Enterprises?","The most common forms of business vehicles used by for-profit organizations in the UAE is an onshore limited liability company (LLC).\nOther common forms of business vehicles include establishing branches of a foreign company and the incorporation of companies in free zones. LLCs provide for limited liability of their shareholders and the ability to trade from the UAE (outside the free zone areas). There are restrictions on the activities that an entity established in one of the free zones of the UAE may carry on outside the free zone area in the UAE.\nAn LLC is formed by a memorandum of association (memorandum) entered into by the shareholders of the LLC. Each Emirate of the UAE has its own licensing authority.\nThe law provides that an LLC must have capital that is sufficient to achieve its purpose of incorporation. In practice, the level of the capital will need to be approved by the appropriate Emirate authority.\nAn LLC must be managed by one or more managers as determined by the shareholders in the memorandum. A manager can be one of the shareholders or any other person. Where an LLC has more than one manager, its meetings are regulated by the LLC's memorandum, subject to which the manager(s) have full power to manage the LLC and make binding decisions on its behalf.\nThe UAE government published Federal Decree Law 26 of 2020 (Amendment Decree) on 27 September 2020. Pursuant to the Amendment Decree, foreign investors can now own 100 percent of UAE companies based in mainland UAE (i.e., outside of the free zones). However, each Emirate retains the authority to determine which activities may be carried out by a company that is majority foreign-owned.\na. The most common form of company in this instance is an LLC. An LLC can have a maximum of 50 shareholders, thereby allowing multiple owners.\nb. There are no organizational forms specifically designed for Social Enterprises in the UAE. The most common for-profit organizational form used by Social Enterprises are LLCs.\n"]
["Do any of your jurisdiction’s traditional organizational forms require or permit the board or managers to consider, balance or prioritize interests other than shareholder value in decision making? What other interests, if any, are they required to or allowed to consider (e.g., interests of employees, customers, the environment, etc.)?","No, there is no such requirement with regard to any of the for-profit organizational forms.\nThe UAE has issued Cabinet Decision No. 2 of 2018 on Corporate Social Responsibility (“CSR Law”). The CSR Law imposes an obligation on certain commercial companies (companies owned partially or wholly by federal or local governments) operating in the UAE to report their contributions made to CSR activities on a digital platform operated by the Ministry of Economy. Furthermore, companies that are not obligated to comply with the mandatory provisions of the CSR Law may opt to follow the CSR obligations.\n"]
["Does your jurisdiction have organizational forms specifically designed for Social Enterprises? If so: a. What type(s) of organizational forms are they? b. How do they materially differ from the most closely analogous traditional organizational form? c. What are the main benefits for founders and funders of such organizational forms? d. Are there any restrictions on the use of these organizational forms (such as profit-caps, stakeholder involvement and impact reporting)? If there are, what are they? e. Are there any material differences in timing or costs for forming a Social Enterprise versus a traditional Enterprise? f. How prevalent and well known are Social Enterprise forms?","The UAE does not have organizational forms specifically designed for Social Enterprises.  LLC’s and nonprofits (discussed below) are the common forms of organizations used for social enterprises. \n"]
["Are Social Enterprises permitted to be formed and operated as Nonprofits? If so: a. Are Nonprofits that are Social Enterprises treated differently under the law as compared to Nonprofits that are not Social Enterprises, whether from a corporate, tax or other perspective? b. Are there any material benefits of, and/or restrictions on, using a Nonprofit form for Social Enterprises that does not apply to Nonprofits that are not Social Enterprises? c. Is there any type of “hybrid” Nonprofit form that requires less reporting and/or allows for faster formation? If so, please describe the drawbacks of utilizing this form (i.e. fewer tax benefits). d. How prevalent is the use of Nonprofits for Social Enterprises?"," A public benefit association may be set up pursuant to Federal Law No. 2/2008 Concerning Public Benefit Associations and Civil Society Organizations. Public Benefit Associations are generally used to form organizations that engage in social, religious, cultural, scientific, educational, professional, feminist, creative, artistic activities, or for providing humanitarian services. However, public benefit associations are organized for the purpose of engaging in public interest activities without obtaining material profit. Due to lack of a distinct organizational form for Social Enterprises, private associations (commonly referred to as nonprofits) are commonly formed to operate Social Enterprises. In this note, we have used the term private associations and nonprofits interchangeably.  \n\n Nonprofits licensed in the Emirate of Dubai are authorized to practice non-profit activities in fields such as social, health, educational, cultural, scientific, creative, professional and humanitarian fields and any other fields that seek to achieve public benefit as determined by the Director General of the Community Development Authority (“CDA”). Under the Dubai Private Associations Law, private associations fall under the following two categories: \n\n \n\t Non-governmental association which comprises of legal entities and individuals practicing any of the non-profit activities specified by the Dubai Civil Organizations Law; and \n\t Non-governmental institutions which are formed pursuant to the allocation of a sum of money to carry out any of the activities permitted by the Dubai Civil Organizations Law. \n \n\n One of the conditions for forming a Nonprofit is that the number of founders shall not be less than (10) ten members which shall include at least two UAE nationals. The CDA Director General has the authority to amend the membership requirements. \n\n A Nonprofit acquires a legal personality upon its license and registration being issued in the private associations record and publication in the Official Gazette.  The license is valid for a period of one year and can be renewed for further periods of between one and three years with the approval of both the CDA and any other applicable third party regulatory authority. \n\n There are restrictions on the financial resources of Nonprofits, which shall only comprise of the organization’s members' subscriptions, returns of the activities, services and investments the Nonprofit is licensed to conduct, and donations, subsidies and grants received by the Nonprofit (as approved by the CDA). Furthermore, the Nonprofit must provide information on its financial sources, how its finances will be utilized and the measures it shall implement to monitoring its expenditure. These reporting requirements are to be filed on an annual basis. \n\n The Dubai International Financial Centre (“DIFC”) is a free zone in Dubai that allows Nonprofits to be formed and operate in its jurisdiction, pursuant to the Non-Profit Incorporated Organizations Law 2012 (as amended by DIFC Law No. 8/2018). A DIFC non-profit incorporated organization shall only engage in approved activities and shall not engage in activities for the purpose of commercial or financial gain for its founding members or other members and it shall not distribute profits or revenues to its members. \n\n Social Enterprises that are organized as Nonprofits enjoy the same tax and registration benefits as other nonprofits and have the same burdens and restrictions, and there is no lesser reporting or faster formation process for Social Enterprise nonprofits as compared to other nonprofits. The license registration fee and renewal fee vary for a Nonprofit formed in mainland Dubai in comparison to a Nonprofit formed in the DIFC. \n\n Not every type of business venture may be eligible to form as a nonprofit, as they are subject to the licensing requirements under the law and, primarily, must be formed for the purpose of undertaking “societal development” activities.    \n\n For instance, an organization that engages in micro-finance activities may not necessarily qualify for being registered as a Nonprofit with the CDA. \n\n Due to the stringent licensing and establishment regulations for NGOs, entities that operate as Social Enterprises often tend to use an LLC structure. The absence of corporate income tax encourages Social entrepreneurs to use an LLC structure rather than the Nonprofit/private organization route. \n\n Due to the lack of a distinct organizational form for Social Enterprises, Nonprofits are commonly used for social enterprises and they are, as far as we are aware, not treated differently.  There are no “hybrid” forms of Nonprofits in the UAE. \n"]
["Does your jurisdiction allow for worker-owned Enterprises, such as cooperatives? If so, please describe any material benefits of, and/or restrictions on, using such forms.","Federal Law No. 13/1976 Concerning Cooperative Associations (“Cooperatives Law”) regulates the formation, licensing and operation of cooperatives in the UAE.  Under the Cooperatives Law, membership is optional and restricted to UAE citizens.  Members have equal rights and obligations regardless of the shares owned by them.\nThere are restrictions on the distribution of dividends, with a holder of shares in the cooperative not receiving dividends in excess of 10% of the nominal amount and the distribution of net profits must be based on the volume of transactions of each member with the cooperative.\nThe Cooperatives Law also offers certain exemptions, these include the following: (i) exemption on registration fees; (i) exemption on all taxes and fees due on contracts and deeds relevant to the cooperative’s formation, registration and amendment of bylaws; (iii) exemption of customs fees concerning tools and equipment imported serving the cooperative's objectives. Please note, in the event the cooperative disposes such tools and equipment to third parties within one year of importation, it shall be subject to the customs tariff in force at the time of importation of the equipment.\n"]
["Are there unique reporting requirements for Social Enterprises? If there are, please describe them. Please also discuss what government bodies Social Enterprises are required to report to.","If a Social Enterprise decides to form as a Nonprofit or use the form of an LLC, it would not be subject to any additional reporting requirements (other than the reporting requirements that a Nonprofit and LLC has to follow) by virtue of them being a Social Enterprise.\nSocial Enterprises formed as a private organization in Dubai report primarily to the CDA, while for-profit Social Enterprises report to the Department of Economic Development in the Emirate of its incorporation.  \n"]
["In your jurisdiction, has case law and jurisprudence evolved to address Social Enterprises? If there is meaningful jurisprudence around Social Enterprises, please provide some brief examples.","The UAE does not follow a system of binding precedent.  As a consequence, the reporting of court judgments is not well developed. There is not much relevant case law or jurisprudence addressing Social Enterprises.\n"]
["Does your jurisdiction have any ESG requirements for Enterprises generally? If it does, please describe.","The Securities and Commodities Authority (“SCA”) has issued a board decision adopting the Corporate Governance Guide that applies to public joint stock companies (“PJSCs”) listed on the Abu Dhabi Securities Exchange (“ADX”) and the Dubai Financial Market (“DFM”).  The guide sets out the ESG requirements to be adhered by PJSCs.\nADX and DFM are members of the Sustainable Stock Exchanges Initiative, a platform that encourages corporate transparency on ESG (environmental, social and corporate governance) issues.\n"]
["Does your jurisdiction have any ESG requirements specifically for Social Enterprises? If it does, please describe.","In the UAE, Social Enterprises are not subject to specific ESG requirements.\n \n"]
["Does your jurisdiction have any ESG requirements for investors? If it does, please describe.","Except as stated in paragraph 9 above, there are no ESG requirements that apply to investors.\n"]
["II. Funding"]
["Are any major investor classes (e.g., pension funds, mutual funds, etc.) required to look at ESG issues when making investment decisions in your jurisdiction? a. If they are, please describe the requirements. b. If they are not, are they permitted to consider such factors? c. What other relevant factors do investors tend to consider (aside from profit motive).","No major investor classes are required to look at ESG issues.\nIn addition to the Corporate Governance Guide, listed PJSCs must comply with the Global Reporting Initiative standards and the sustainability standards that are issued by DFM and ADX.\nWhilst large companies may consider ESG issues when making their investment decisions, it is not a legal obligation to do so.\nGenerally, investors tend to consider factors (other than profit) such as political and social stability, availability of skilled workforce and infrastructure.\n"]
["What kinds of philanthropic funding do Social Enterprises in your jurisdiction commonly receive (e.g., grants, charitable investment, traditional investment)?","In the UAE, the funding for for-profit companies engaged in social impact activities is the traditional investment route. However, there are certain instances where for-profit entities engaged in social impact activities are granted government funding. Please see query No.4 on page 16.\nUnder UAE law, only non-profit organizations may undertake non-profit activities and thereby receive grants and charitable investments. For a non-profit organization in Dubai to raise funds, it must obtain prior approval from the Dubai Islamic Affairs Charitable Activities Department, Dubai.\nUnder the Dubai Private Associations Law, a private association is prohibited to collect donations or advertise on the collection of funding without obtaining the prior written consent of the authority.\n"]
["How prevalent, if at all, are new for-profit impact investments in your jurisdiction (e.g. traditional instruments with impact terms, new investment instruments, aggregation with philanthropic capital, community based funding, etc.)?"," For-profit impact investments have been increasing in the UAE and investors are becoming more familiar with them. Many prominent companies are undertaking funding that have a social impact as well. A few examples include; \n\n \n\t DEWA’s AED 100 billion Dubai Green Fund to finance environmentally-friendly projects at favorable interest rates; and \n\t DP World’s sustainable development financing framework, which enables the company to issue green, social, or sustainability bonds and to utilize the proceeds to finance social and environmental sustainability projects. \n \n"]
["What are the types of government funding and support available to Social Enterprises, if any, available in your jurisdiction (e.g., grants, investments, bonds, and guarantees)? a. How difficult is it for Social Enterprises to obtain government funding? b. Is any government funding limited to Enterprises incorporated using Social Enterprise forms?"," Government funding and support are gaining traction in the UAE.  A few examples include: \n\n \n\t The Abu Dhabi Ma-an’ social incubator program offers social entrepreneurs’ investments and a stipend, mentorship and networking opportunities to develop their innovative ideas for social impact into a Social Enterprise or not-for-profit association. \n\t The Government of Abu Dhabi has launched the Ma’an grants program which provides eligible social organizations and not-for-profits with financial assistance to build and grow their organization and thereby increase their social impact. \n\t Ma’an Social Investment Fund is the first fund of its kind in the region that aims to tackle the most pressing societal challenges in Abu Dhabi and provide a sustainable source of funding for social causes and providing a fundraising platform for social causes. \n \n"]
["Are there any companies that are formed as a Social Enterprise listed on your jurisdiction’s leading securities exchange(s)?","Not that we are aware of.\n"]
["To what extent are publicly traded Enterprises required to disclose ESG related factors in annual reports/public filings in your jurisdiction."," Listed PJSCs are required to prepare and publish an annual sustainability report that sets out the company’s long-term strategy and its impact on the environment, society, the economy and governance (“ESG”). The report must address the company’s ESG impact, specifically, it must address the following: \n\n \n\t impact of the company’s operations on the environment and the communities in which it operates; \n\t how the company’s policies and operations contribute or could contribute to social justice, the well-being of workers and employees and its surrounding community; \n\t how the company is contributing to the economic benefit of society; and \n\t the impact of the company’s operations on the local economy. \n \n"]
["How prevalent, if at all, are impact bonds in your jurisdiction?","Atmah, the GCC regions first social impact bond was piloted in 2020 in Abu Dhabi as part of an agreement signed between the Department of Community Development, the Authority of Social Contribution (Ma-an), Aldar Education, Aldar Properties and Zayed Higher Organization for People of Determination, to support the employment of people of determination. The social impact bond will be used to launch a new vocational pilot training program.\nAs of date, this is the only social impact bond launched in the UAE.\n"]
["In your jurisdiction, are there any restrictions on foreign investments or donations that are unique to Social Enterprises (whether incorporated as for profit entities or as Nonprofits)?","There are restrictions on Nonprofits obtaining donations.  The Emirate of Dubai has issued a decree (Decree No. 9/2015 On the Organization of Fundraising in the Emirate of Dubai) on fundraising which applies to all donations collected in any way and for any purpose in Dubai. Please note, this also includes the special development zones and the free zones (including DIFC).\nPursuant to the decree, for an organization to raise funds, collect donations and advertise on fundraising activities, it has to first apply for a fundraising license from the Islamic Affairs and Charitable Activities Department. The department shall review the application and issue its decision within fifteen days from the date of submission. It is to be noted, the application shall be considered rejected in case no decision is issued within the above stated time period.\n"]
["Is “crowdfunding” legal in your jurisdiction? Are there rules under applicable securities laws that make it easier for smaller businesses or Social Enterprises to take money from investors that are not sophisticated/accredited/qualified under applicable statutes?","The Central Bank regulates and licenses loan-based crowdfunding activities in the UAE. The Central Bank’s regulation applies to crowdfunding companies that engage in loan-based crowdfunding in the UAE, irrespective of where the hosting platform is located. Please note the Central Bank’s regulations do not apply to the DIFC and ADGM.\nWe note that Dubai Next has launched its crowdfunding platform which aims at offering an integrated digital platform to innovators from diverse nationalities in Dubai to secure required funding to launch their projects.\nIn the DIFC, the Dubai Financial Services Authority (“DFSA”) has launched a regulatory framework for loan and investment-based crowdfunding platforms. Equity crowdfunding platforms are already subject to regulation by the Dubai Financial Services Authority within the Dubai International Financial Centre (DIFC).  There are no other crowdfunding regulations in the UAE that specifically apply to Social Enterprises. \n"]
["III. Tax"]
["Are there any tax exemptions that are uniquely available for Social Enterprises? a. Please describe any tax exemptions that are available and whether they are partial or full. b. Are they dependent on the Social Enterprise utilized using a specific organizational form (e.g., for profit vs. Nonprofit form)? c. Please describe any other key requirements of the available tax exemptions (e.g., restrictions on sources or uses of funds, restrictions on commercial activities, etc.).","The UAE does not have a federal corporate income tax regime.  Taxes are determined on a territorial basis in each Emirate and in practice, corporate income tax is currently only enforced on foreign oil companies (engaged in upstream petroleum activities) and branches of foreign banks.\nFurthermore, free zones in the UAE (that have their own taxation rules) typically offer tax holidays to businesses set up in the free zone. These tax holidays are for a period between 15 to 50 years and are considered to be renewable.  Therefore, most entities registered in the UAE, whether an LLC or Nonprofits are currently not required to file corporate income tax returns.\nUnder the current tax regime in the UAE, tax exemptions, double taxation of gains, expenses deductibility for contributions made to a Nonprofit have limited practical relevance.\nSocial Enterprises and Nonprofits may be subject to Value Added Tax (“VAT”).  VAT is imposed on most supplies of goods and services in the UAE. Therefore, VAT is chargeable on goods and services supplied by Nonprofits in the UAE if the Nonprofit is considered to be a chargeable person.\nWhere an activity is performed by a Nonprofit that is acting in its charitable capacity and it makes no charge for the supply of goods or services concerned, the activity would ordinarily not be treated as being liable to VAT as there is no charge unless the supply is treated as a deemed supply (please see below).\n"]
["Are individuals or other organizations able to provide tax deductible donations to for-profit Social Enterprises? If they are, please describe any restrictions applicable to tax deductible donations?","As stated above, under the current tax regime in the UAE, tax benefits for contributions made to Social Enterprises have limited practical relevance.\n"]
["Are there any other tax benefits uniquely available for Social Enterprises? (e.g. deferrals, favorable tax rates, business deductions, etc.)","Tax benefits for Social Enterprises have limited practical relevance.\n"]
["Does your jurisdiction provide for reciprocal recognition of tax-exempt status that has been granted under the law of any other jurisdictions?","We are not aware of any such reciprocal recognition of tax-exempt status.\n"]
["IV. Governmental Infrastructure"]
["Does your jurisdiction have Regulatory Sandboxes or similar policy frameworks for Social Enterprises? If it does, please describe.","The UAE does not have regulatory sandboxes for social enterprises.  That said, the UAE has a regulatory sandbox in the fintech field.\nThe ADGM has established RegLab, a regulatory framework that provides a controlled environment for fintech participants to develop and test innovative fintech solutions. \nThe DFSA has created its own regulatory sandbox, known as the DFSA Innovation Testing License (ITL) Programme, which allows participants to test new and innovative financial products, services and business models.\n"]
["What government operational support, resources, training or services, are available for small businesses or Social Enterprises?","The UAE government has recently been active in launching initiatives through which it provides certain incentives to small businesses.  \nPursuant to Federal Law No. 2 of 2014 On Small and Medium Projects and Enterprises, the UAE government aims at providing support and enabling the development of small and medium-sized enterprises (“SMEs”) in order to support the national economy. All federal agencies shall allocate 10% of their purchases of goods, services and contracts to SMEs.\n SMEs can register in the federal supplier register to apply for all government bids and tenders proposed by federal government entities. The government also offers incentives such as a 50% discount on first-time registration in the federal supplier register, free registration renewals, exemption for SMEs from paying the registration fees for the first two years from the establishment date.\nIn the Emirate of Dubai, Dubai Law No. 23/2009 On the Mohammed Bin Rashid Establishment for the Development of Small and Medium Enterprises applies to SMEs. Under this law, all government bodies, establishments and companies owned by the Government of Dubai and in which it holds more than 50% of the shares shall undertake to allocate 5% of its procurements to SMEs and shall prioritize, subject to certain conditions, registered SMEs for tenders offers and bids.\nThe Dubai Government has also launched the Mohammed bin Rashid Fund for Small and Medium Enterprises. The Fund aims to maximize financing solutions for innovative businesses and encourage Emirati entrepreneurs. The Fund offers Emirati nationals between 21 and 65 years of age, a loan depending on their funding needs. The Fund also aims at providing seed capital loans to startups and credit scheme loans, which will be offered through banking partners and guaranteed by the Fund to both startups and existing businesses.\n"]
["Are there different compliance requirements for different types of Social Enterprises than for traditional Enterprises? Please provide examples if there are.","Yes. As noted above, non-profit activities are exclusively undertaken by Nonprofits which are established in accordance with the law governing private associations.  Further, private associations/Nonprofits are subject to different compliance requirements from traditional enterprises For example, a Nonprofit’s funds must be deposited in the Nonprofit's account, held with a licensed national bank; (ii) the Nonprofit is obligated to inform the CDA within 10 days of funds being deposited into its bank account, (iii) Nonprofits are required to submit annual plans and programs of work, marketing material to the CDA, and (iv) audited accounts must be submitted yearly.\n"]
["Is there a dedicated government agency or department that oversees Social Enterprises? If there is, please describe its mandate and effectiveness.","The Department of Community Development in Abu Dhabi and the Community Development Authority in Dubai are the competent authorities that oversee the activities of Nonprofits in the two Emirates. On the other hand, the Department of Economic Development is the competent regulatory authority for overseeing the activities of for-profit companies in the UAE.\nThe CDA is responsible for licensing Nonprofits and their branches in Dubai, investigating complaints against Nonprofits, identifying violations and proposing legislation regulating Nonprofits. \n"]
["Is there a different bankruptcy system available for Social Enterprises?","Under the Dubai Private Organizations Law, a private organization may be dissolved if it is unable to meet its financial obligations.\n"]
["VI. Miscellaneous"]
["What are the average time and filing fees to form an Enterprise in your jurisdiction?","An LLC must be licensed by the relevant emirate level authority. Once all necessary documentation is in order, the registration and licensing process take approximately ten working days. However, it can take longer if the subject license requires the approval of an additional regulatory body. The costs for registering an LLC start at AED 25,000 and may vary based on the type of license.\nThe Dubai Private Organizations Law does not indicate the timeframe and filing fees to form a private organization. There will be additional expenses for leasing premises and obtaining permits from other applicable authorities.\nThat being said, the Dubai Private Organizations Law requires the application for establishment of a Nonprofit to be submitted to the CDA and the said authority shall have 30 days to issue its decision. This period may be extended once and the application shall be considered rejected if the decision is not issued within this period. On obtaining preliminary approval the applicant has to complete the final licensing procedures.\n \n"]
["What government or third-party certifications or accreditations, if any, are available for Social Enterprises that allow for access to benefits e.g. funding, beneficial tax status, etc.? Please provide examples and briefly describe them as well as the standards there are to maintain them.","With regard to Nonprofits, they have to be approved by the CDA, as explained above.   SMEs have to be registered to participate in the various schemes offered by the government.\nCertain Social Enterprises based in UAE are certified by organizations outside the UAE. For instance, UAE-based Social Enterprise Palestyle, is certified by Social Value & SROI (Social Return on Investment) the UK.   As far as we are aware, there are no certifications issued by the UAE Government. \n"]
["Please describe whether, in your opinion, startups and other entrepreneurial Enterprises generally can easily form and flourish in your jurisdiction.","Due to strong encouragement from the UAE Federal Government as well as the Governments of Abu Dhabi and Dubai, the UAE is emerging as a dynamic hub for start-ups.\nThere are about 14 certified incubators in Dubai with one of them being the Hamdan Innovation Incubator. These programs offer a platform for entrepreneurs to test their start-ups. The DIFC Fintech Hive and ADGM RegLab, encourage and provide a controlled environment for entrepreneurs to develop and test innovations in the fintech field.\n"]
["Please describe whether, in your opinion, Social Enterprises, in particular, can easily form and flourish in your jurisdiction.","Social Enterprises that register as Nonprofits are closely monitored and heavily regulated in the UAE and face barriers in scaling their operations. Furthermore, these Nonprofits cannot raise funding without seeking approval from the CDA.\nOn the other hand, companies undertaking for-profit impact activities are easier to incorporate and less regulated.  It is, therefore, easier for them to form and flourish in the UAE. However, the lack of a specific license for Social Enterprises does have an impact on obtaining funding from social investors.\nWhilst there are organizations such as Ma-an’ that have recently set up a social incubator program, that focuses on encouraging innovation and entrepreneurship to develop solutions to social, cultural, or environmental challenges, there is not sufficient data available to assess the impact of social enterprises in the UAE.\n"]
["Please describe whether in your opinion there are any laws that are obstructive to the formation of Social Enterprises (i.e. that actively disfavor or penalize, or otherwise discourage their formation) in your jurisdiction (for example, are Social Enterprises subject to legislation prohibiting inclusion of Social Enterprises in government contract procurement)?","Generally, there are no laws in the UAE that are obstructive to the formation of Social Enterprises. However as stated above, in practice, with regards to Nonprofits, the process of their establishment is long and difficult. \n"]
["In your jurisdiction, are there any major fraud concerns or defects due to corruption or fraud that should be addressed? If there are, please briefly discuss the concerns or defects.","Not that we are aware of.\n"]
["What changes to the law do you think would be most beneficial to enabling Social Enterprises to flourish in your jurisdiction?","In our view, a separate category of license should be introduced for Social Enterprises. This is likely to have an impact on creating more visibility for Social Enterprises which in turn may improve access to capital, particularly patient capital from social investors.\n"]
["What changes to the law do you think would be most beneficial to enhancing the social and environmental responsibility of Enterprises generally (whether or not Social Enterprises)?","ESG requirements should be adopted as part of general corporate governance practices.\n"]
["Is there anything else you would like to add or guidance you would like to provide? Are there any questions we should have asked but did not?","Nothing that we can think of.\n"]