Making the world a better place takes more than a company formation. The job doesn’t finish once you set up a company. It just starts from there. The responsibility towards the society increases. Confidence, happiness and optimism mingle together and form a Corporate Social Responsibility (CSR).

Companies seeking to setup business in UAE need to follow the CSR regulations. So, let’s check out all the details about CSR in UAE in this article.

What is Corporate Social Responsibility (CSR)

CSR refers to the contribution of a company towards society in terms of developing the community through the implementation of economic, environmental and social projects. Adopting CSR strategies in a company enhances the scope of shared values among the employees, customers, organizations, and shareholders.

A CSR strategy not only strengthens the community but also for the company. You can address any issues in the company with the CSR model. For example, your company can adopt any measures in terms of sustainability or environmental initiatives to upgrade the company with CSR methods.

What is CSR for Company Formation in UAE

UAE (United Arab Emirates) is one of the modern-day countries to adopt CSR measures. The companies will have to promote the CSR methods in order to contribute responsibly to society and its well-being. The UAE government is encouraging people to bestow positively on society through their ethical business practices, philanthropy, and community engagement for company formation in UAE.

It is about going beyond profit-making and benefiting the community in a positive way through a company incorporation in UAE. The mission behind establishing this CSR fund is to make UAE a global leader in the scenario of corporate social responsibility (CSR).

Companies in the UAE are expected to demonstrate various measures under CSR and broaden their commitment by investing in education, healthcare, and community development projects. CSR initiatives will benefit your organization in return. This will foster your company’s reputation among the stakeholders. So, it can be said that CSR initiatives are a two-way process for your company as well as for the welfare of the community.


The UAE Ministerial Cabinet took the initiative of the CSR Fund in 2019, and His Highness Sheikh Mohammed bin Rashid Al Maktoum launched the CSR UAE smart platform. The CSR UAR fund is the authority responsible for awarding businesses in CSR on the country level. They reward active businesses to undertake CSR measures and contribute to the community.

Core Principles of Corporate Social Responsibility (CSR)

CSR has undertaken three core principles. Have a look at them:


Sustainability refers to using a product or service that is finite in nature. For example, oil, coal or iron are finite resources. It might not be available to the next generation. Therefore, it is said that using these finite resources smartly gives future generations access to them. Your business should also use these resources in a sense that they can be regenerated.


It simply means that the business you are doing must take responsibility for affecting nature. You must be aware of the fact that the company is accountable for its actions.


This principle refers to the functioning of the business and giving reports about its activities.

The Purpose of CSR for Business Setup in UAE

The UAE’s Vision 2021 and 2071 highlights the objectives of sustainability for a company formation in UAE. The government has covered various industries like clean energy, resource efficiency, and environmental conservation. Here are the objectives mentioned in the UAE’s CSR Fund:

  • CSR initiatives are adopted to enhance community awareness.
  • Provides awards to the companies undertaking serious responsibility for CSR.
  • Both public and private sectors must work together in order to acquire sustainable development.
  • Build some social responsibility legalities if needed to achieve social responsibility.
  • Align with the UAE’s CSR frameworks to develop the company’s projects.

It is to be mentioned here that if you are going to register company in UAE, you must align with all of these business models to achieve the national priorities of CSR.

Legal Framework and Compliance

The UAE government has initiated policies to support the CSR framework. The country has implemented the Green Agenda to extend environmental sustainability, and there is a mandatory requirement for reporting CSR. If you are starting a company, then maintaining all these compliances will fetch your company a responsible business venture.

Social Responsibility in Sharjah

Department of Social Services of the Government of Sharjah initiates projects to support social responsibility programmes in Sharjah. The department was created in the hope of building a communication and social connection between the members of the community and the company employees. It will bring a balance between social welfare and institutional work and will achieve social responsibility through community work. These adoptions of frameworks ensure the safety of the environment for company formation in UAE.


Sustainability and CSR have become two sides of a coin, and the UAE seems to be prudent about adopting it for a better future. Therefore, entrepreneurs looking forward to register a company in UAE must follow the compliance of CSR and align them with national sustainability strategies. It will bring long-term success to your business in a dynamic business environment.

All of these are not possible without forming a company in the UAE. Consulting with a professional business consultant will be of help to you. Business Setup Worldwide is one such business consultant that can assist you in company formation in UAE. Contact us and talk to our business consultant to learn more about business formation. Adopt CSR measures to gain professionalism for your business.