The Economic Substance Regulation (ESR) is the legal framework for companies' involvement in specific activities. These entities must file economic substance notifications with regulators, about their operations. Providing this notification is a prerequisite for submitting an economic substance report. The cost depends on the company's revenue.
If your company does business 
in any of these areas, you need to deal with these reports:
- Banking Businesses
 - Insurance Businesses
 - Investment Fund Management Businesses
 - Lease-Finance Businesses
 - Headquarter Businesses
 - Shipping Businesses
 - Holding Company Businesses
 - Intellectual Property Businesses
 - Distribution and Service center Businesses
 
Penalties for failing to file reports can range from 
AED 20,000 to AED 50,000.