How to Start a Recruitment Agency in Dubai: MOHRE License, Cost & Requirements 2026
Starting a recruitment agency in Dubai can be a strong business opportunity because companies across sectors such as healthcare, construction, hospitality, technology, finance, retail and professional services continually require skilled employees. However, recruitment and temporary employment are regulated activities in the UAE.
A company providing recruitment mediation, temporary employment or outsourcing services must obtain the appropriate commercial licence and satisfy the licensing requirements of the UAE Ministry of Human Resources and Emiratisation (MOHRE).
This guide explains how to start a recruitment agency in Dubai, MOHRE licensing requirements, licence fees, bank guarantees, documents and setup procedures in 2026.
What Is a Recruitment Agency in Dubai?
A recruitment agency connects employers with candidates and assists businesses in finding suitable employees.
Under UAE employment regulations, agency activities are broadly divided into two important categories.
Recruitment / Mediation Agency
A mediation agency brings employers and potential employees together and may negotiate employment terms without becoming a party to the employment relationship.
This is the model most people mean when they talk about a conventional recruitment agency or recruitment consultancy.
Temporary Employment and Outsourcing Agency
In this model, the agency employs workers and makes them available to another business or beneficiary.
Because the agency itself becomes the worker’s employer, the regulatory and financial requirements are substantially higher.
Do You Need a MOHRE License for a Recruitment Agency in Dubai?
Yes, when the proposed business performs regulated employment-agency activities such as recruitment mediation, temporary employment or outsourcing.
A normal commercial licence by itself should not be treated as permission to carry out regulated recruitment activities.
MOHRE provides a dedicated Issuance of a New License for Temporary Employment and Mediation Agency service.
The basic pathway is:
Choose Activity → Initial Economic Approval → MOHRE Application → Meet Financial & Regulatory Requirements → Bank Guarantee/Insurance → Commercial Licence → Operations
How to Start a Recruitment Agency in Dubai
1. Decide Which Recruitment Activity You Need
This is the most important decision.
Determine whether your company will provide:
Recruitment Mediation
or
Temporary Employment & Outsourcing
or
Both Activities
The distinction has a major impact on your MOHRE licence fee and required financial guarantee.
For a business that simply finds candidates for employers and charges recruitment fees without employing and outsourcing those workers itself, the mediation agency model is the relevant category to investigate.
2. Select Your Company Structure
Determine the appropriate legal structure for the business.
Consider:
- Number of shareholders
- Ownership structure
- Recruitment activity
- Office requirements
- Number of employees
- Future expansion
- Whether outsourcing will be provided
Because recruitment requires external regulatory approval, don’t select a generic low-cost company formation package without confirming that it supports the required activity.
3. Reserve the Trade Name
Choose and reserve a professional name for your recruitment business.
For marketing purposes, consider a name suitable for:
Website + LinkedIn + Google + Job Portals + Corporate Sales + Candidate Marketing
Your brand should communicate credibility to both employers and candidates.
4. Obtain Initial Approval
MOHRE currently lists initial approval from the Department of Economic Development among the documents required for a new employment-agency licence.
This means your commercial licensing and MOHRE processes need to be properly coordinated.
5. Arrange Suitable Business Premises
MOHRE states that an applicant must have a clearly identifiable address solely for conducting the business, except where the Ministry permits the recruitment activity to be conducted electronically.
For Dubai’s normal trade-licence route, a site lease contract is also required.
Before signing a long lease, confirm that the premises satisfy the requirements applicable to your activity.
6. Apply for MOHRE Recruitment Agency Approval
Submit the application to MOHRE with the required documents.
MOHRE currently lists documents including:
- Initial economic-department approval
- Establishment location diagram
- Passport copies
- Emirates ID copies
- Valid trade licence
- Acknowledgement of regulations governing agency activities
- Credit report
- Valid Police Clearance Certificate
- Certificate of financial solvency
- Licensee’s property report
Additional documentation may apply according to the ownership structure and circumstances.
7. Meet the Bank Guarantee Requirement
This is one of the biggest financial considerations when starting a recruitment agency.
Recruitment Mediation Agency
MOHRE currently requires a bank guarantee of at least:
AED 300,000
Temporary Employment & Outsourcing Agency
The required bank guarantee is at least:
AED 1,000,000
Combined Activities
For a business combining temporary employment/outsourcing and mediation, the guarantee requirement is also at least:
AED 1,000,000
MOHRE states that an approved insurance system may be used as an alternative to the bank guarantee under the applicable framework.
The bank guarantee is not the same as the licence fee.
8. Pay the MOHRE Recruitment Agency License Fee
MOHRE currently publishes the following fees for a new agency licence:
| Agency Type | MOHRE Licence Fee |
|---|---|
| Mediation Agency | AED 25,000 |
| Temporary Employment & Outsourcing | AED 50,000 |
| Combined Mediation + Temporary Employment/Outsourcing | AED 75,000 |
These are federal MOHRE fees and do not represent the complete cost of establishing the company. MOHRE also notes that the published figures exclude applicable tax and collection charges.
9. Obtain the Commercial Licence
Once the required regulatory approvals have been completed, finalize the applicable Dubai commercial licensing procedures.
Dubai’s normal trade-licence route requires the relevant incorporation documentation, lease and external government approvals where applicable.
Do not confuse:
Dubai Trade Licence ≠ MOHRE Recruitment Agency Licence
Both parts of the setup need to be handled correctly.
10. Set Up Your Recruitment Operations
After licensing, establish the operational infrastructure needed to run the agency efficiently.
This may include:
- Applicant Tracking System (ATS)
- CRM
- Recruitment website
- Candidate database
- Job-board subscriptions
- LinkedIn recruitment tools
- Corporate sales team
- Recruiters
- Candidate screening process
- Interview management
- Employer contracts
- Compliance procedures
- Accounting and payroll systems
For an outsourcing company, payroll and workforce-management requirements become considerably more important.
Recruitment Agency License Cost in Dubai
There is no single fixed total startup cost.
Your overall investment can include:
| Cost Component | Requirement |
|---|---|
| MOHRE Mediation Licence | AED 25,000 |
| MOHRE Temporary Employment Licence | AED 50,000 |
| Combined MOHRE Licence | AED 75,000 |
| Bank Guarantee – Mediation | AED 300,000 minimum |
| Bank Guarantee – Temporary/Combined | AED 1 million minimum |
| Dubai Commercial Licence | Depends on structure/activity |
| Office | Depends on location and size |
| Visas | Depends on staffing |
| Technology | ATS, CRM, website etc. |
| Recruitment Platforms | Job portals and sourcing tools |
| Marketing | SEO, Google Ads, LinkedIn etc. |
| Working Capital | Payroll and operations |
The bank guarantee should be shown separately from operating expenditure when preparing an investment estimate.
Recruitment Agency License Renewal Cost
MOHRE currently publishes the following renewal fees:
Mediation Agency: AED 12,500
Temporary Employment & Outsourcing Agency: AED 25,000
Combined Activities: AED 37,500
The agency must also maintain the applicable bank guarantee or insurance arrangement during the licence period.
This makes renewal cost an important consideration when preparing the business plan.
Key MOHRE Requirements
MOHRE imposes specific eligibility and compliance requirements.
Among the current conditions, the applicant/partners must satisfy requirements relating to criminal history and regulatory compliance. A valid police clearance, credit report and evidence of financial solvency are among the documentation currently required.
MOHRE also requires written approval before changes or amendments are made to relevant licence details.
How Long Does It Take to Get a Recruitment Agency License?
MOHRE currently lists a 10-working-day service completion period for issuing a new recruitment/temporary employment and mediation agency licence.
This should not be interpreted as the total time required to establish the entire business.
The complete process can involve:
Initial Approval → Documents → Office → MOHRE Application → Financial Requirements → Bank Guarantee/Insurance → Commercial Licence → Operational Setup
Preparation of documents, banking and commercial licensing can extend the overall timeline.
Recruitment Agency vs HR Consultancy in Dubai
This distinction is particularly important.
Recruitment Agency
A recruitment agency directly participates in bringing employers and job seekers together for the purpose of establishing employment relationships.
This falls within regulated employment-agency activities where applicable.
HR Consultancy
An HR consultancy may provide businesses with advisory services such as:
- HR strategy
- Organisational design
- HR policies
- Compensation consulting
- Performance management
- Workforce planning
An HR consultancy licence should not automatically be treated as permission to conduct recruitment mediation.
If the actual business model involves placing candidates with employers, determine whether MOHRE employment-agency licensing applies before operating.
Recruitment Agency vs Manpower Supply Company
These business models are also different.
A conventional recruitment/mediation agency connects employers and candidates.
A temporary employment and outsourcing agency employs workers and makes them available to third-party beneficiaries. UAE regulations expressly distinguish this activity from mediation.
This explains why the temporary employment/outsourcing category has significantly higher licence and guarantee requirements.
Frequently Asked Questions
How do I start a recruitment agency in Dubai?
Choose the correct employment-agency activity, obtain initial economic approval, satisfy MOHRE’s eligibility and documentation requirements, arrange suitable premises, obtain MOHRE approval, provide the applicable bank guarantee or insurance and complete the commercial licensing process.
How much does a recruitment agency license cost in Dubai?
MOHRE currently lists AED 25,000 for a new mediation agency licence, AED 50,000 for temporary employment and outsourcing, and AED 75,000 for a licence combining the activities. Additional commercial licensing, office and operating expenses apply.
How much bank guarantee is required for a recruitment agency?
MOHRE currently requires at least AED 300,000 for a mediation agency and AED 1 million for a temporary employment/outsourcing agency or a combined licence, subject to the applicable alternative insurance provisions.
Do I need MOHRE approval for a recruitment agency?
Yes, regulated employment-agency activities require the applicable MOHRE licensing process.
Can I start an online recruitment agency in Dubai?
MOHRE’s current requirements state that an identifiable business address is required except where the Ministry permits the applicant to conduct recruitment activity electronically. The exact model should therefore be approved rather than assuming an online business is exempt from recruitment licensing.
Can a recruitment agency supply workers to another company?
That changes the regulatory model. Employing workers and placing them at another business’s disposal falls within temporary employment and outsourcing, rather than ordinary mediation.
What is the renewal fee for a recruitment agency?
MOHRE currently lists AED 12,500 for mediation, AED 25,000 for temporary employment/outsourcing and AED 37,500 for a combined licence.
Start Your Recruitment Agency in Dubai
A recruitment agency requires more than a standard Dubai business licence. The setup should coordinate:
Business Activity → Initial Approval → MOHRE Licensing → Financial Solvency → Bank Guarantee/Insurance → Office → Trade Licence → Recruitment Operations
For a traditional recruitment company that connects employers and candidates without employing and outsourcing the workers itself, investigating the MOHRE mediation agency licence is the logical starting point.
Planning to start a recruitment agency in Dubai? Get professional assistance with company formation, MOHRE licensing, commercial licensing and approval coordination.
