UAE has quickly climbed the ranks to become the top in the world for a stable economy with Dubai leading business in the Middle East. Dubai’s liberal economic policy, low corporate taxes, easy trade accessibility, and an excellent infrastructure are just a few of the reasons people in business and entrepreneurs find Dubai the best choice to start a new location.
Dubai has three areas for setting up your business. Dubai’s Mainland is a popular spot for soon-to-be business owners. Real estate, tourism, and finance-related firms are among the most popular and successful business. Dubai’s Free Zones are another big draw for entrepreneurs.
The Free Zones provide 100 percent ownership to international trade, zero percent personal or business tax benefits, exemption from import and sales tax, and complete repatriation of profits. Then there is the Dubai Offshore. This area is perfect for business owners that want to conduct international trade.
Do you think setting up a business in UAE would be right for you?
The full process of setting up a company is pretty straightforward in Dubai. If you have all the legal documents ready and approvals you need, you could have your new business setup in about a week!
Before learning about the steps and processes involved in setting up a business in Dubai, It is essential to understand the three main zones present in Dubai and their difference. The main internal business zones available in Dubai, UAE are Freezones, Mainland, LLC, and Offshore.
All complete business setup process in Dubai, UAE, is divided into these three internal zones, based on the business activities, taxation, feasibility, business requirements, and other commercial actions of a company. A thorough understanding of these internal zones is crucial for setting up a company in Dubai or the other seven emirates.
Practical and Important Tips to Consider Before Entering UAE Business Market-
- Create a Basic and Initial Plan
- Do an In-depth Research of UAE Business Market.
- Create a Business Plan Accordingly
- Understand the investment Involved in Setting Up a Business in the UAE market
- Determine the Most Suitable Internal Zone for Doing Business
- Get a Good Understanding About the Business Laws and Regulations Of UAE
- find Reliable Local Partners
- Get a Good Understand About the Local Culture of Dubai
- Most important, hire a Business Setup Consultant for Running a Successful and Hassle-Free Business In Dubai.
How to Setup Your Dream Business In Dubai, UAE?
Here is a step by step procedure/ Tips that will guide you through the complete process of business setup in Dubai , UAE.
Step 1: Determine the Type of Business
First, make sure what type of business you want to setup because this will pave the way for many deciding factors like your business license. You can get three types of business licenses in Dubai – professional, commercial, and industrial. You should also be sure about the type of business you will be operating in case you need any further approvals from the government like food and jewellery trading, legal consultancy, etc. Knowing your business type will also help you determine where your company will be located because Dubai’s Free Zones, Mainland, and Offshore will require certain business operations with various regulations, rules, and approvals.
Step 2: Finalize the Name of Business / Company
The trade name is the most crucial step in setting up a business in Dubai. The trade name should match the type of operations and services your company will offer or represent the business nature. There are specific fees for trade name registration and renewal. You can read about all the rules regarding trade name registration on the Dubai Economic Departments’ official website.
Step 3: Get Your Legal Work Done
After finalizing the name and type of business, the next step is to submit this information to the relevant government body with all the required documents. If your company is operating in any of the Free Zones, it will require additional paperwork like the business plan documents and NOC letter. The legal paperwork will depend upon the type of business and location. Since each Free Zone has a different set of rules and regulations, you can check on that particular official website before going for legal work.
Step 4: Finalize the Office Premises
Once you are done with the legal formalities, it would be great to start looking at office premises and make a list based on the cost, atmosphere, internet services, and other amenities. There are some zones where you will get complete assistance in selecting the right office premises for your business.
Step 5: Get Your License
Your business license will be relying on the type of business you will have. You can apply three types of licenses for – commercial license (for LLC’s), professional license, and industrial license. Your business license will be granted as soon as your application is approved.
Step 6: Opening a Bank Account
After all, the legal and licensing work is complete, and you are all set to start a business in Dubai, the next step is to open a corporate bank account. UAE is host to various local banks and foreign banks to make a choice. You can select a bank on your own or get a local sponsor or agent to help you find the right bank for your business.
Step 7: Getting Your Visa
The last and the final step for setting up a business in Dubai is to get your Visa. Apart from filing your Visa, you can also apply for the Visa of your family members, workers, etc.
Different areas have rules for Visas, like in Dubai’s Free Zones, so be sure to read about the various terms and regulations for getting Visas in the area you plan to do business.
While these steps give you an overview of the procedures and steps it takes to set up a Dubai company, it is recommended that you hire a business setup consultant to guide you through the business setup process.