Dec 15, 2021
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How to build a Headhunting Agency in the United Arab Emirates?

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There is an Industry in the UAE that is booming and showing no intention of stopping in the next few decades. It is the recruitment or headhunting industry. Over the last few years, Dubai has shown massive improvements and has become one of the favorite choices for different businesses. Not only it offers thousands of free lands, but also it provides tax-free jurisdiction and incredible facilities to businesses.

Because of these opportunities, Dubai witnesses hundreds of new businesses on its shores by immigrants. These businesses need workers. In the next few decades, Dubai will require an unlimited supply of jobs. This has created a tremendous opportunity for headhunting agencies.

If you are desperate to grab this opportunity and enlist your name among the best headhunters in Dubai, this article is for you. Here we are going to discuss every single detail you should know before starting your recruitment agency in Dubai.

Before we jump onto how to build a headhunting agency, we need to discuss the types of licenses and documents required for starting a recruitment agency.

Recruitment Agency License types:

  • Brokerage License
  • Temporary requirement License

Brokerage License:

This is the license the recruitment agencies must obtain to complete activities related to employment relations between the UAE and other foreign countries. In simple words, the brokerage license will allow the headhunting agencies to

  • Process applications of candidates looking for employment from all over the world.
  • Receiving requests from several companies who are willing to hire employees from the UAE or abroad.
  • Create databases for available jobs.
  • Maintain databases for both the candidates and the employers.

Temporary recruitment license:

A temporary recruitment license provides recruitment agencies the authority to shortlist, interview, and hire employees for required job roles presented by employers.

If the employer company needs to outsource its workforce, the recruitment company has to hire employees from foreign countries.

Documents required to start a recruitment agency:

These are the documents that you need to submit to the Ministry of Human Resources and Emiratisations to obtain the license required for starting a headhunting agency in Dubai.

  • Passport copies of the company’s shareholders.
  • A copy of the application’s family book.
  • Copies of their National ID cards.
  • A written statement of opening a recruitment agency signed by the shareholders.
  • A blueprint of the recruitment agency’s location.
  • A statement of good conduct.

How to start a recruitment agency in the United Arab Emirates

First, try to find some professional advice before you start your recruitment agency. It will be very beneficial, and the overall procedure will become very easy. I will advise you to work with business-forming consultants at the starting of the journey. You will also be familiarised with the documentation and license process.

These are the following steps you must follow to start a recruitment agency in the United Arab Emirates.

  1. Properly Analyze The Recruitment Market: This is the most fundamental step of starting a recruitment business in Dubai. Analyze the recruitment market properly. You have to conduct a comprehensive analysis of several preferences and expectations of the targeted market. This targeted market will enable you with the conditions for work availability. In short, you need to have an overall understanding of your target audience.
  2. Choose a business model: The next step is to find a business model. The UAE provides multiple options to entrepreneurs for their commercial establishment. Each one of them comes with some benefits and drawbacks. You can engage with the best headhunters in Dubai and analyze which business model can satisfy your business needs.
  3. Find a strategic location:  The place you choose for your recruitment business plays a very important role in the success of your business. You need to make sure that you find the perfect locations so that your target group can easily access the place. The UAE offers businesses owners different choices from Mainland to offshore. Now businesses can set up their process after finding the perfect locations.
  4. Keep the essential documents handy: There are a collection of documents that I have already mentioned that have to be kept handy. They are needed to be submitted to the UAE ministry to acquire the license you require to establish your recruitment agency.
  5. Filling up the application form: It is very crucial to fill up the application form currently with all the shareholders. Often government authorities may also ask for submitting required paperwork along with the submission of the application form. Once all the required data is submitted, the verification process commences. It would take around a maximum of 15 days.
  6. Obtain the agency license:  After the documents get properly verified, you are eligible to obtain the recruitment agency license. Now you have to work on the core pillars of a business like taxation, VAT, accounting, etc.

Categories of recruitment market:

There are several types of recruitment agencies you can start in the UAE. I am narrowing it down to the top 5 categories. It will help you understand the recruitment market better.

  • Traditional recruitment agencies:  Traditional recruitment agencies works with many organizations of all sizes. They mainly focus on hiring trained professionals. Any organization can ask these agencies to hire any professional based on their job requirement.

These agencies usually have a large pool of applicants. Hence, they can find the right candidate for any employer whether it is a tech company or a sales company.

  • Executive search agencies: Companies who are looking to hire top executives search for these agencies. These agencies hire highly skilled and experienced candidates for their clients. They mainly hire candidates who can perform administrative and managerial roles for their client organizations.

When companies are looking to hire candidates for their top posts but are short of time and manpower, they contact these search agencies. These recruitment agencies do the headhunting for them. Or, they can contact the best headhunters in Dubai.

  • Agencies that operate in specific niches: These headhunting agencies become helpful to those client companies that are looking for candidates who can perform specific roles in their companies depending on their requirements.

These agencies operate in several niches like economics, technology, banking, energy, etc. For example, If a company has an urgent requirement for a game developer, he can contact a headhunting agency that specializes in hiring game developers. The best headhunters in Dubai look for expertise in candidates before hiring them.

  • Mass recruiting agencies: These agencies aim to hire candidates on large scales. Their primary goal is to provide massive supplies of manpower to organizations that are in need. These mass recruiting agencies have their presence in foreign countries. So that if a company requires a large workforce to operate in the UAE, they can hire candidates from all around the world.
  • Temporary recruitment agencies: While operating in the UAE, companies can face sudden requirements of a few employees. It can happen because of any reason. Maybe some employees have fallen sick or gone on a vacation.

Or they may have received a project with a shorter deadline. These situations force companies to hire employees for a limited time. Temporary recruitment agencies specialize in hiring for client companies that require an urgent workforce.

These employees move from site to site to handle urgent workloads for different companies. Also hiring temporary employees is cheap. Companies do not have to spend money on their health insurance or other benefits. Temporary recruitment agencies do all the hiring jobs for them.

Final thoughts:  A recruitment agency hires the best candidates for their client companies. They make the hiring process a lot easier for those companies who have very limited time and resources available in the UAE. I hope this article helped you understand the exact procedures to build a recruitment agency in Dubai. For more information, you can contact the best headhunters in Dubai.  

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