$100k deposit required for Dubai?

[sherwoodcap]

So we are going through the steps talking to formation agents in Dubai at the moment and we have been told by Sovereign Group that banks would require us to deposit $100k for at least 3-6 months.

Our industry is not considered a high risk industry. Is this standard of banks in Dubai?
The company being formed is not mainland. IFZA I think

 

[JackAlabama]

sherwoodcap said:
So we are going through the steps talking to formation agents in Dubai at the moment and we have been told by Sovereign Group that banks would require us to deposit $100k for at least 3-6 months.

Our industry is not considered a high risk industry. Is this standard of banks in Dubai?
The company being formed is not mainland. IFZA I think
Click to expand...

That is a nice number they are asking for. 😉 How much do they ask for their setup?

Why don't you go with the trusted member @Fred from this forum?

 

[Fred]

sherwoodcap said:
So we are going through the steps talking to formation agents in Dubai at the moment and we have been told by Sovereign Group that banks would require us to deposit $100k for at least 3-6 months.

Our industry is not considered a high risk industry. Is this standard of banks in Dubai?
The company being formed is not mainland. IFZA I think
Click to expand...

If you get such feedback from a Corporate Service Provider in 2023 - this is a red flag.

Either the Provider is not aware of "new" (they exist since 2019) banking products or the whole Bank Account opening approach still happens through some old school Bank Meeting sitting you in front of a RM who introduces his own requirements to get some comission.

No matter what - it's bad for you as a client.

Our clients never see any bank branch from inside unless they need to collect Welcome Packs or Debit Cards in Person - the whole Compliance Process is handled by us through designated Corporate Service Provider Portals.

We approach up to date banking products only which allows us to run the Compliance directly with the Compliance of a Bank and not with a RM who puts his own requirements + response times on each case / reply.

The only scenario when a old school Bank Meeting happens is for Enhanced Due Dilligence case or additional forms need to be signed due to the Nationality - however still 100.000 USD deposit are not on the table.

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[Crest]

Fred said:
If you get such feedback from a Corporate Service Provider in 2023 - this is a red flag.

Either the Provider is not aware of "new" (they exist since 2019) banking products or the whole Bank Account opening approach still happens through some old school Bank Meeting sitting you in front of a RM who introduces his own requirements to get some comission.

No matter what - it's bad for you as a client.

Our clients never see any bank branch from inside unless they need to collect Welcome Packs or Debit Cards in Person - the whole Compliance Process is handled by us through designated Corporate Service Provider Portals.

We approach up to date banking products only which allows us to run the Compliance directly with the Compliance of a Bank and not with a RM who puts his own requirements + response times on each case / reply.

The only scenario when a old school Bank Meeting happens is for Enhanced Due Dilligence case or additional forms need to be signed due to the Nationality - however still 100.000 USD deposit are not on the table.
Click to expand...

Hi Fred, what is your opinion that physical office is required for opening bank accounts in UAE, or flexi desks still an option? With exception of Wio, most banks seem to ask for physical office spaces.

 

[JohnLocke]

You better change to @Fred in order to get the right setup for your needs. I'm sure he is the better choice for your future business.

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[Crest]

Fred said:
If you get such feedback from a Corporate Service Provider in 2023 - this is a red flag.

Either the Provider is not aware of "new" (they exist since 2019) banking products or the whole Bank Account opening approach still happens through some old school Bank Meeting sitting you in front of a RM who introduces his own requirements to get some comission.

No matter what - it's bad for you as a client.

Our clients never see any bank branch from inside unless they need to collect Welcome Packs or Debit Cards in Person - the whole Compliance Process is handled by us through designated Corporate Service Provider Portals.

We approach up to date banking products only which allows us to run the Compliance directly with the Compliance of a Bank and not with a RM who puts his own requirements + response times on each case / reply.

The only scenario when a old school Bank Meeting happens is for Enhanced Due Dilligence case or additional forms need to be signed due to the Nationality - however still 100.000 USD deposit are not on the table.
Click to expand...

I am very surprised that you say you can run compliance directly with the compliance of banks, as that literally defeats the point of compliance, and I have never known a single bank (unless a weird one) that allows the 'public' to connect direct with the compliance department of a bank.

 

[tolstoy]

sherwoodcap said:
So we are going through the steps talking to formation agents in Dubai at the moment and we have been told by Sovereign Group that banks would require us to deposit $100k for at least 3-6 months.

Our industry is not considered a high risk industry. Is this standard of banks in Dubai?
The company being formed is not mainland. IFZA I think
Click to expand...

For freezone companies several solutions are available.

 

[wellington]

@Fred can you do for a BVI company (banking in Dubai)?

Euro's.

Fred said:
If you get such feedback from a Corporate Service Provider in 2023 - this is a red flag.

Either the Provider is not aware of "new" (they exist since 2019) banking products or the whole Bank Account opening approach still happens through some old school Bank Meeting sitting you in front of a RM who introduces his own requirements to get some comission.

No matter what - it's bad for you as a client.

Our clients never see any bank branch from inside unless they need to collect Welcome Packs or Debit Cards in Person - the whole Compliance Process is handled by us through designated Corporate Service Provider Portals.

We approach up to date banking products only which allows us to run the Compliance directly with the Compliance of a Bank and not with a RM who puts his own requirements + response times on each case / reply.

The only scenario when a old school Bank Meeting happens is for Enhanced Due Dilligence case or additional forms need to be signed due to the Nationality - however still 100.000 USD deposit are not on the table.
Click to expand...

 

[csp dubai]

get an account open in dubai is get more complicate and complicate , beter open account in foreign bank

 

[Fred]

Crest said:
I am very surprised that you say you can run compliance directly with the compliance of banks, as that literally defeats the point of compliance, and I have never known a single bank (unless a weird one) that allows the 'public' to connect direct with the compliance department of a bank.
Click to expand...

Read my post again - with a designated Corporate Service Provider Portal you are able to onboard the clients - in this way you take out the RM who does the answers / documents forwarding in his own will and timeframe. Questions / Pushbacks / Clarifications coming directly back to us.

Best example for this is ENBD in Dubai - it takes always at least 2-3 months to approve a Business Bank Account with them due to the huge workload a RM has while the Compliance running time itself is maximum 4 weeks.

This only makes sense - and whole Banking Industry in some Countries only working through Corporate Service Providers like Mauritius.

Like everyone we can't walk in a bank and talk to the compliance with a cup of coffee but this should be clear anyway.

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[EliasIT]

You can trust @Fred and his service he is around to make good business not to make fun with people!

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My personal favorite thread posted in the Mentor Group. Group of investment companies to avoid licensing.

 

[drumtraks]

Crest said:
Hi Fred, what is your opinion that physical office is required for opening bank accounts in UAE, or flexi desks still an option? With exception of Wio, most banks seem to ask for physical office spaces.
Click to expand...

Mashreq Neo Biz (never ending onboarding) has no problem with flexi. It also has a very clunky user interface for online banking.

Wio (straight forward onboarding) has been great so far. I appreciate the WhatsApp customer support. Be prepared that customer service is one of the worst parts of the UAE.

 

[JimBeam]

It was always weird to me that the bank will ask you a 1000 questions for their KYC, AML and other crap and after that will accept 100k payment without verifying where did you get that money from. LOL

 

[Cryptohodler]

JimBeam said:
It was always weird to me that the bank will ask you a 1000 questions for their KYC, AML and other crap and after that will accept 100k payment without verifying where did you get that money from. LOL
Click to expand...

Please tell me which wonderful bank does this . I'll go there