Undeniably, the UK and the US businessmen, entrepreneurs, and investors have a greater appetite for international business expansion. Currently, 5000+ British companies are operating across the UAE and many have already planned to start a new company, expand their existing business, and invest in Dubai businesses in 2021.

Besides, US entrepreneurs are also finding Dubai a more attractive business destination to follow their passion and live a lifestyle that oozes luxury, extravagance, and exotic feeling that is entirely different from that of the US or anywhere in the world.

If you are also one of the UK or US companies expanding overseas or entrepreneurs following a new idea, here is why Dubai makes a perfect business destination.

1. 100% Foreign Ownership for All – A Big Reform Recently Introduced by the UAE Government

Sheikh Khalifa bin Zayed Al Nahyan, president of the UAE, recently issued the decree that replaced the Commercial Companies Law No. 2 passed in 2015. According to the previous UAE law, foreign shareholders could own only up to 49% of a locally registered company, with a local partner owning the majority of ownership.  

On the other hand, as per the New UAE LAW, the UAE allows 100% ownership of businesses for foreign nationals from 1 December 2020. This means 2021 is going to be the more promising year for the UK and the US entrepreneurs to invest in Dubai as now they are not required to have a UAE citizen as a sponsor.

2. Dubai is a Gateway to Various World Markets for Entrepreneurs

Dubai is a center of the world for visionary entrepreneurs from around the world, especially the UK. Since the announcement of Brexit, DMCC (Dubai Multi Commodities Center) reported an increase of 29% in the number of UK-based companies setting up in its free zone, which exceeds the growth rate of other European-based companies.

To the surprise of many entrepreneurs and businessmen, the UK’s interest in setting up businesses in Dubai (through DMCC’s website) increased by 192 percent between 2015 and 2018.

It is a strong indication that Dubai offers the right environment in which British entrepreneurs can set up a new business and enjoy access to the African, Middle Eastern, Central, and South Asian markets.

The same benefits apply to US entrepreneurs. This increased access to the world’s major markets is a plus point for US companies with overseas expansion strategy planning.

3. Dubai is a Hotbed of Opportunities for Visionary Entrepreneurs

The most common types of businesses set up by ex-pats include opening a restaurant, a tech startup, and an import/export business.

Various other sectors, such as massage spa, real estate, packers & movers, tourism & hospitality, organic farming, medical tourism, logistics, finance advisory, and many more are also booming in Dubai where entrepreneurs and businessmen can invest, grow, and expand.

With artificial intelligence gaining the spotlight and blockchain making a noticeable appearance in Dubai, digital entrepreneurs of both super economies will find Dubai a huge opportunity to establish a strong presence in these emerging sectors. 

What’s more, Dubai ranks highly in terms of foreign direct investments (FDIs), and the leading sources of capital are Canada, the UK, France, Spain, and the USA. The top five sectors that attract FDI Capital are non-residential building construction; accommodation; food services; scientific research & development services; and real estate, retail, and wholesale trade.  

4. Dubai Boasts a Business-Friendly Regime and Landscape for Entrepreneurs and Investors.

Dubai is the most promising destinations for entrepreneurs and investors from the UK and the US due to various reasons:

• Local economy’s strength
• Ease of governmental regulations for businesses
• Diversified economy
• World-class infrastructure
• Excellent transportation network
• Presence of various international airports and seaports
• Frequently hosted international events, trade shows, conferences, and tourism

Apart from this, entrepreneurs and businessmen get to enjoy various advantages while setting up a business in Dubai, for instance:

• Individuals and corporations are exempted from tax
• Full repatriation of capital and profits
• No import or export tax
• No customs duty rates for more than 700 items (for other items, custom duty rate is only 5%)
• Full ownership of the business
• Political and economic stability

The best part is that foreign investors and professionals in medical, scientific, research and technical fields are eligible for residency permits with a validity of up to ten years through the Golden Visa scheme.

What’s making 2021 the most favorable year for the UK and the US companies expanding overseas is that Dubai will get an incentivized push by 2021’s World Expo which is expected to draw in millions of visitors throughout the year and boost private consumption and services export.