7 June 2024
What can an Employer of Record do for you in the UAE?
Are you considering expanding your business into the UAE, or are you interested in accessing Emirati professionals? And is the process of establishing a company in the UAE too much to handle? There’s a more efficient option. Partnering with an Emirati Employer of Record (EOR) simplifies this process and accelerate your international growth.
Establishing a new branch or business in the UAE from another country requires careful consideration. If you are a new business looking to expand into the UAE, moving your employees there, or have staff interested in working from the UAE, our Employer of Record services provide a compliant and seamless solution for growing your team and taking advantage of new prospects.
This article will explain what an Employer of Record (EOR) does, how it assists with working across borders, and why it might be a better option for global hiring than other methods.
What is an Employer of Record?
An Employer of Record acts as a bridge between your company and your employees. They handle payroll, taxes, and insurance while you maintain your usual working relationship with your team. As an employer, you pay the EOR for these services, which cover the cost of employing your staff and ensure everything is handled compliantly.
Businesses opt to utilise Employer of Record services for different reasons. For instance, startups that are just starting out and do not have dedicated HR or payroll departments often outsource these important functions entirely. Moreover, companies venturing into new markets often depend on an EOR to guarantee compliance with local legal requirements without needing to set up a separate corporate entity.
Why choose an Employer of Record?
Understanding and adhering to local employment laws can be challenging when entering a new market. Discover how an Employer of Record can simplify your expansion into the Emirates:
1. Seamless market entry
Expanding your business into the UAE doesn’t have to be complicated. With an Employer of Record, you can hire in the UAE without a physical company presence, saving time and money.
2. Hassle-free hiring and HR management
Your Employer of Record handles every task related to managing a team in the UAE, from recruitment to payroll. This involves guaranteeing compliance with local employment regulations and overseeing payroll and employee benefits. As a result, you’ll have less administrative work and more opportunity to concentrate on expanding your business.
3. Tax and compliance expertise
Understanding the tax consequences of employing individuals in the UAE can be challenging. Utilising the services of an Employer of Record provides knowledge about local tax incentives, guaranteeing that you are compliant and able to fully leverage potential financial benefits.
4. Work permits and visa assistance
Businesses that want to move their current employees or recruit international talent may find visa applications and work permits to be daunting. An Employer of Record simplifies these procedures, guaranteeing that your team can legally work in the UAE without any delays or complications.
How the Employer, Employee, and EOR work together
Just to clarify how this system operates, consider it as a triangle. You, the employer, are positioned at one vertex, your employee is at another, and the Employer of Record is at the apex. As always, you continue collaborating with your employees while the EOR takes care of all the legal and administrative responsibilities. This cooperative approach enables you to expand into new markets, support your team, and effectively address the challenges of working internationally.
The main benefits of using an Employer of Record
Global expansion involves traditional approaches such as establishing a new entity, recruiting through staffing agencies, or utilising freelancers. While each method has benefits, let’s explore how the Employer of Record in the Emerati distinguishes itself.
1. Entity vs. Employer of Record
Establishing a new company in the UAE comes with substantial expenses and legal intricacies. Using an Employer of Record presents a simplified, economical option that allows you to commence operations within weeks instead of months.
2. Staffing Agencies vs. Employer of Record
Staffing agencies excel at filling positions but do not manage ongoing HR tasks. An Employer of Record continuously manages your employees, ensuring compliance and reducing administrative burden.
3. Freelancers vs. Employer of Record
Freelancers provide flexibility but involve less commitment and stability. An Employer of Record allows you to build a reliable team with dedicated contracts, establishing the basis for continuous operations and expansion.
Ready to expand into the UAE with ease?
Consider going global, hiring locally: Choose an Emirati Employer of Record for simple and efficient global hiring and expansion. Our mission is to facilitate seamless collaborations, allowing you to focus on running your business. Reach out today to discover how we can help you establish and grow your UAE team effortlessly.
Dive into the UAE market with a specialised Employer of Record by your side. Let’s start today!
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