A proper way for investors to start a business in Dubai
Due to its strategic geographical location, the UAE serves the high growth markets in the Middle East, Africa, and South Asia. It makes the country a perfect global business hub and encourages foreign investors to set up new businesses across diverse sectors. Dubai is the most important commercial center in the UAE that attracts business people from all over the world. The emirate has transformed itself as the center point for different business opportunities in various sectors by investing heavily in its transport, energy telecommunications, and industrial infrastructure.
With relaxed trade opportunities, taxation policies, and ease of doing business, Dubai is constantly bringing new business investors every year. Although the UAE government makes sure that business or company setup in Dubai can be done easily and quickly, you will still need an experienced professional and business set up experts to register a new business in the country.
This means you need a business setup consultant to take you through the company registration process by following all the rules and regulations to avoid common problems related to company formation. Here’s how you should follow the process of starting a business in Dubai:
Business opportunities in Dubai
You can avail of different business opportunities in Dubai and you need to determine how you want to operate your business activities in the country. This is the biggest dilemma that foreign investors face while looking for business opportunities in Dubai – whether to set up a free zone company or opt for a mainland corporation (LLC business) to exploit the true potential.
Free zone companies in different free zones in Dubai can avail of different benefits with some restrictions on operating trading activities within the country. If you are mainly into export-import business, international trading, or manufacturing business, Dubai free zone company is your best option for maximum returns. It gives you 100% ownership of your business and corporate & personal tax exemption along with many other benefits. All you need to select the right free zone in Dubai based on your business activities to exploit the true potential.
As a mainland company in Dubai, your company should be locally registered as an LLC business with the backing of a local sponsor with a 51% partnership in your business. With an LLC company, you can choose your choice of location in Dubai for setting up your business and operate your business activities freely within the country with no restriction. For LLC company formation, you will need a local sponsor or you can ask for local sponsor services from your business setup partner.
Select an appropriate location
Based on the business activities you are going to operate, you should select the best location for your company incorporation. Your business location will determine the costs of running your business, convenience of operating your business activities, and suitability to get the most out of your investment. If you can’t reach to an appropriate market for your business or your clients can’t reach you easily then there is no need of expecting any good from your business.
Choose your company name
You should choose a company name that best describes your business activities and what are you going to offer. You need to follow some rules while selecting a name for your business as there are some strict naming conventions. Any names that refer to Allah or any religious group or offensive language are strictly forbidden in the country.
Apply for the appropriate trading license
You should apply for an appropriate trading license for your business depending on the activities you are going to operate. You can apply for the following business licenses:
General Trading License
Industrial License
Trading License
Service License
Innovation License
Offshore Registration
Confirm your visa eligibility and other requirements
To successfully setup and operate your business in Dubai, you will need a visa permits you and your employees to live in the UAE. The number of visas that you can apply for depends on many factors including the nature of the business, the size of the office, and the category of the employee or the investor. For a mainland company formation, you will need a letter containing your personal information and the reason for the visa application from your local sponsor. Business visa application in Dubai is not that strict and you can easily get your visas depending on your business structure.
Company setup in Dubai might appear challenging but with the help of a professional business consultant, you can start your business easily and quickly. Whether you are looking for the right company structure for your free zone company or local sponsor services for your mainland business in Dubai, your business setup consultant will help you understand the policies, regulations, and legalities to make it easier. Post navigation