The Benefits of Holding an ICV Certificate for Local and International Companies in the UAE

ICV certification is a set approach towards local economic development in the UAE. It plays a pivotal role in business marketing while allowing firms and organizations to maximize their profits at the same time. The process of obtaining ICV certification acts as a useful means to utilize opportunities to create new jobs and promote economic growth as well as quality of life within the UAE. 

What is an ICV Certificate? 

The government of the United Arab Emirates issues In-Country Value (ICV) certificates in an effort to strengthen the regional economy.  It encourages companies that operate in the UAE to prioritize local resources for a strengthened economy. 

How To Get ICV Certificate In UAE?

Obtaining an ICV certificate in Dubai requires a few steps. Companies must be aware of the requirements  that are to be met and to have an understanding of the ICV score. Furthermore they must prepare the documentation, select their approval body and undergo the certification process. 

Pre-requisites to Achieve the ICV Certificate

Some important documents are required to obtain an ICV certificate. The authorities instruct these documents to submit actual identification and financial data. Below is a list of primary documents companies must attach to the ICV form.

• Updated financial audit reports
• Contract and investor details 
• Company license
• Financial statements 
• Employee details
• Company assets

After ensuring the availability of all these documents, it is important to have a high ICV score. 

All You Need to Know About High ICV Score

ICV score is related to the firm’s adherence to the requirements of the ICV certification process. More contribution and accountability refer to a high ICV score. Below are some suggestions that can help companies maximize their ICV score.

• Include local suppliers and businesses.
• Invest to boost the local economy.
• Participate in the initiatives, collaborations, and activities.
• Consult local businesses to know more about services and products.
• Consult with ICV auditors who offer expert help to identify discrepancies and ultimately maximize your ICV score.
• Hire UAE citizens who are at high ranks or influential positions to help you increase the local workforce.

Benefits of ICV Certification for Local and International Companies in the UAE

High Revenue 

ICV certification is beneficial for businesses when it comes to making high revenue with higher profits while minimizing business costs.

Business Growth

Companies with ICV certificates ensure high business and community growth. This is possible by collaborating with other business entities and obtaining investments. Networking allows you to expand your business and play a major part in the economy. Moreover, it improves the brand value.

Economic Growth

With ICV certificates, businesses can save money on taxes and reduce overall costs by utilizing incentives which include grants and tax credits. Saving money from these areas ultimately helps businesses maximize their profits and help the local economy grow. 

Increased Brand Reputation

With the help of ICV certification, businesses can maximize their financial incentives which save cost and improve the overall company’s value in the market. High incentives boost growth and therefore play a vital role in the brand’s reputation. 

High ICV Scoring

If your company has secured a high ICV score, it increases the number of opportunities for business growth. Government bodies benefit the companies and partners who have a high ICV score and ultimately bring more business.

Investor Confidence

Companies with a high ICV record have a greater chance of attracting investors and earning their confidence. It demonstrates the company’s dedication to goals beyond profit-making, since investors value businesses that support the social and economic development of the United Arab Emirates. 

Long-Term Benefits

ICV certifications are successful in the long run in helping companies establish their reputation and brand awareness internationally. By obtaining an ICV certificate, companies position themselves as leaders in the global market. Similar to Qatar, which is using similar tactics to establish itself as a corporate hub. 

Smooth Operations

Companies having an ICV certificate are considered trustworthy by the government. Thus allowing them to conduct smooth operations when it comes to matters that need government’s clearance or approval. Like renewal of permit or any investment approval. This allows companies a better opportunity to concentrate solely on growth. 

Hiring Local Talent

Employing local talent is crucial for success in the UAE as they have a higher understanding of the culture, local market, values, and work conditions. Certified companies prioritize hiring local personnel to gain more favorable ICV scores. This improves their ICV scores while also lowering unemployment, which is crucial for strengthening the economy. 

Securing Government Contracts

Getting government contracts is a major step toward greater corporate success. Nonetheless, the government only grants contracts to reputable companies with happy customers and investors. Having an ICV accreditation is very beneficial to companies pursuing government contracts. They have more recent investment, a satisfied clientele, and they are vital to strengthening the country’s economy. Businesses holding ICV certificates have a higher chance of winning government contracts and tenders as they meet all the standards. 

However there are some common errors which must be avoided while applying for ICV certification if a company intends to benefit from all the aforementioned advantages. 

Some Common ICV Errors

While applying for ICV certificate Dubai, companies can make the following errors:

1. Providing erroneous or deficient financial records 
2. Misclassifying expenses or underreporting employee salaries
3. Leaving out  important data, containing but not limited; to training expenses or investments in local businesses
4. Lack of adequate proof, such as missing invoices or contracts to back up  company’s claims
5. Failing to hire enough local workers, misinterpreting what a local purchase is, and not complying with the ICV requirements
6. Being delayed in the process by either submitting documents past the deadline or undergoing the process too late
7. Another factor that can cause an inflated ICV score is overestimating the local content of products
8. Failure to stay informed about modifications to the ICV program resulting in noncompliance with the system 

An ICV certification is crucial for a company’s  success however non compliance with the regulations and committing common errors can reap a company of the numerous ICV advantages.