When choosing an ideal location for business setup, Dubai is often the top choice for many entrepreneurs and companies that want to expand overseas. While Dubai is literally one of the best business hubs around the world, there are several things that you should be familiar with before you actually start forming your company in Dubai.

• The Difference between Mainland, Freezone, and Offshore

Dubai offers three jurisdictions that come with their own benefits and limitations.

• Mainland
• Free Zone
• Offshore

While free zones are special economic zones (SEZs) that offer significant tax concessions and customs duty benefits to expat investors, mainland is the region that is outside of a free zone within Dubai emirate.

On the other hand, offshore jurisdiction is mainly for non-resident “paper” companies that don’t need to own office space in the UAE and wish to conduct international business (not in Dubai and the rest of the UAE), enjoy relaxed regulations, and avoid taxes while keeping their records confidential.

 If you set up a free zone company, you can do business within that free zone and outside the UAE. To carry out your business in Dubai mainland, you will need to obtain a permit from the DED (the requirement of opening another office or appointing a locally appointed distributor has lifted now).

However, if you set up a mainland company, you can do your business locally as well as internationally.

To attract more foreign companies, investors, and entrepreneurs, the Dubai government is making its business more liberal and flexible. So, be sure to get the latest information on what permits you need, the scope of your business, and the area where you can trade.

• Know the Legalities, Paperwork, Incorporation Process, and Licensing

In the UAE, authorities are strict about completing and fulfilling legalities, paperwork, agreements, and documentation. Mistakes can be costly. So, it will be much better if you know at least what obligations you are required to fulfill so that you don’t step on the wrong foot of the authorities. 

Even if you have all the documents in English, you will need to translate them from a qualified and approved translator into the Arabic language.

Besides, research on the market and the practicability of your business in that market will help you go the long way. Knowing new currency, places, and trends will also put you in a position to understand your market better.

Obtaining the right business license on your own can be hectic. Many companies end up acquiring trade licenses that don’t cover all of their business activities in the region.

Apart from that, you must know about the cultural difference. Like any other country, all business entities in Dubai and the rest of the UAE must recognize and respect the cultural boundaries.

By working along with the best business consultant company in Dubai, you can make your business setup process a breeze in Dubai. It will not only help you obtain license, permits, visas, and do all the paperwork required, but also help understand the cultural beliefs, business policies, latest trends, and more.