How to Setting Up a Business In Dubai?

Setting up a business in Dubai and anywhere in the world right from a roadside kiosk to a billion-dollar manufacturing entity involves a lot of patience, perseverance, time, hard work, monetary resources, and a fighting spirit with a never-say-die attitude to take failures in the stride and move on putting the entire focus on meeting the business objective. From the conception of a business idea to the product or service being launched to the end customer or client, the entire business development team goes through painstaking ordeals, heeds to the customer feedback, and alters and course corrects their course of action. Similarly,  setting up a business in Dubai or for that matter any other place on earth calls for a lot of consideration and planning. It is also noteworthy that gone are the days when businesses vied for market share only within their city or country.

With the advent and mass availability of high-speed internet and fewer visa formalities, the entire world has become a global village, and a business in a third-world country can operate seamlessly and cater to the needs and wants of customers across the globe. However, there are countries where setting up a company is easy and there are countries where there are huge bureaucratic hurdles.

Geopolitical disadvantages, red tape, licensing problems administrative lack of will and exorbitant income, and Corporate Taxes. All this combined makes up a very daunting task and prevents an entrepreneur or a big business enterprise from making a positive decision. On the other hand, some countries make it a priority for themselves to make setting up a business within their jurisdiction a seamless, smooth, and less time-consuming experience.

To anyone contemplating setting up a business in Dubai, Congratulations that you have made a prudent decision both in choosing Dubai as a business setup destination as well as choosing CONSULTZONE your preferred business setup partner. Setting up a business in Dubai would involve a lot of planning and strategizing and making a lot of key decisions which would have far-reaching consequences for this decision-making and forward-planning process it would be of immense help if you have a business setup partner like CONSULTZONE which specializes in the process and has successfully facilitated thousands of clients in last decades in setting up a business in Dubai.

We at CONSULTZONE have a proven track record and enjoy excellent client ratings and referrals and are consistently ranked at the top in helping our clients successfully setting up a business in Dubai.

A key question that comes to mind is why one should choose Dubai as one’s preferred destination to set up one’s business. There are quite a few compelling reasons which justify this decision.

Why Set-Up a Business in Dubai?

Strategic Location

Dubai enjoys a strategic location on the geographical landscape. It has Europe on one side and Asia and Africa on the other, thus very interestingly acting as a gateway for both the continents.

Roads, Ports and Airports

It is the most connected place in the Middle East with roads and flights connecting Dubai to the entire Globe strategically located ports and a vast road and highway network that connects Dubai to the entire Middle East thus making it a nerve centre of the Middle East Business.

The Jebel Ali Port, the ninth busiest port in the world, is the heart of Dubai’s logistic operations and connects Dubai with six continents. Dubai International Airport is the busiest airport in the world and an overnight flight from Dubai connects almost eighty percent of humanity to this thriving multi-billion-dollar business hub.

Long Term Vision

As the ruling disposition itself puts it that Dubai will never settle for anything less than the top spot in any endeavor that it undertakes clearly shows the winner’s mindset and nor settling for anything less than excellent attitude. Boasting of the best metro system in the world, the tallest building in the world and the resolve to double its economy, Dubai’s D 33 agenda as they call it says it all.

Zero Taxation

Dubai perhaps has the most liberal taxation policy and Doing business in Dubai involves almost zero taxation. The city has zero Personal Income Tax, Zero Corporate Tax and Zero Capital Gains tax. Businesses are only supposed to pay a modest amount of VAT.

Political Stability

The Emirate of Dubai has been ruled by a single family since time immemorial thus providing political stability and support and providing an enabling and stable environment to do business. In fact, it is the political stability that has brought international investments and big Multi-National Corporations from across the length and breadth of the world to Dubai shores.

Safest Place to Live and Work

One Prominent reason for settling down and setting up a business in Dubai would be its highest standards of safety. With no presence of mafias and extortionists, it is probably the safest place to live and do business major crimes almost non-existent, crime rate in the city is almost zero with incidents of kidnapping, murder, molestation, rape, burglary unheard of.

Political Stability

The Emirate of Dubai has been ruled by a single family since time immemorial thus providing political stability and support and providing an enabling and stable environment to do business. In fact, it is the political stability that has brought international investments and big Multi-National Corporations from across the length and breadth of the world to Dubai shores.

100% Ownership of Business and Full Repatriation of Profits and Capital

DUBAI Free Zones are designated tax-free areas where businesses from outside Dubai can own 100% of the business and can repatriate full capital and profits with no restrictions although businesses don’t do so as they enjoy the benefits of zero tax in Dubai.

Multicultural Ethos

As much as 90% of the population of Dubai comprise of expatriates therefore it can safely be said that Dubai attracts people from all over the world comprising diverse religions, color, culture, and races thus making it the most inclusive, diverse, tolerant, and cosmopolitan city in the world.

Business Jurisdictions Provided by The Government of UAE

For a new entrepreneur embarking on the journey of setting up a business in Dubai, it would be wise to know the kinds of business jurisdictions provided by the Government of UAE. Basically, there are three types of business jurisdictions each having their sets of unique pros and cons.

Mainland Business

Mainland businesses can engage in business activities both in and out of Dubai without any restrictions as recent Government decision has allowed 100% ownership of their companies by expatriates thus eliminating the need of having a local Emirati sponsor or agent.
Foreign investors own a vast majority of business in the Dubai Mainland and engage in various commercial activities, consulting, and e-commerce.
Setting up a business in Dubai in the form of a Mainland Business is simple and quick and has many advantages as due to the tangible presence of the business and an existing physical address makes it easier for us at CONSULTZONE to open a corporate account and easily get residency visa and sponsor employees for you.

Free Zone Company

100% foreign ownership is allowed in Free Zone Companies. Free Zone Companies are also exempted from VAT and import and export duties and enjoy Dubai’s world class manufacturing infrastructure and amenities. There is no need for a local Emirati partner or sponsor and the company’s employees and shareholders are eligible for UAE Residency visas. Free Zone companies also have no currency restrictions.

Offshore company

Offshore companies do not have a physical presence in Dubai and operate from foreign shores and they follow the rules and regulations of their parent company. Offshore companies don’t hold any office space and are not allowed resident visas. Offshore companies are also exempt from value-added taxes.

Having delved deep into the process of setting up a business in Dubai, we must have had a fair idea of the business jurisdiction and business environment that we will experience once we take a decision.

Steps and Guidelines

Setting up a business in Dubai would entail the following steps and guidelines.

Idea Generation from a Chosen Business Activity

The first step in setting up a business in Dubai is idea generation and selecting the right business activity and domain focusing primarily on one’s area of expertise. One must be passionate and highly motivated about the business. A thorough analysis of the market potential, profitability customer interest must be made, and reasoning and good sense must prevail over emotion

In-depth Market Analysis

Thorough market research and pilot study should be carried out to study the target market and gauge its present and future potential.

Business Name

A business is remembered mostly by its brand name and brand symbol called logo. Choosing a business name is an important decision as the brand name must have high recall and must be easy to remember and should identify with your product and company values and utmost care should be taken that the business name should not be obscene or indecent in nature and should not hurt any religious sentiments and should not be registered before

The Right Legal Structure of Business

Choosing the right legal structure of the business is a highly technical decision and should involve expert guidance. Every legal form has its own advantages and limitations and only an expert on the subject like CONSULTZONE would be able to analyze threadbare as to which form of business is suitable for which business activity.

Obtaining Trade License

Finally getting the trade license by paying the license fee and after completing the formalities   getting the license documentation. Securing a trade license in Dubai would make one legally eligible to engage in that business activity.

Ejari

The term Ejari means to rent in Arabic. Next step would be to enter into a contract or agreement to rent an office and kick start your business activity. Virtual offices are also in vogue these days.

We at CONSULTZONE have got specialized teams that help entrepreneurs setting up a business in Dubai by finding suitable rent spaces for offices.

Fulfilling Visa Formalities

We at CONSULTZONE would be more than pleased to help you in fulfilling your visa formalities of your business, your employees, and your family members.

A Corporate Bank Account

Stringent and complex money laundering laws in Dubai have made Corporate Banking a difficult Proposition and therefore we at CONSULTZONE provide all possible assistance to our clients in opening their corporate bank account.

Why CONSULTZONE? Get the CONSULTZONE Advantage

We at CONSULTZONE have proudly helped over fifty thousand clients, both entrepreneurs and investors, in setting up their business in Dubai through our expertise and guidance.

We at CONSULTZONE are globally acclaimed as the most reliable and trustworthy partners for business setup as mainland business for our legal advisory services and PRO services assistance.

Our experienced team of experts don’t believe one size fits all solutions. We at CONSULTZONE customize our services to address the specific needs of our clients.

Often, we come across entrepreneurs who are in a dilemma about whether to go for a Mainland company or Free Zone company without in depth knowledge and guidance. We at CONSULTZONE, after decades of research and experience, have figured out a research-based navigation process to know the exact needs of the client which enables him to make prudent and profitable decisions.

When at CONSULTZONE truly specialize in documentation and paperwork as we work closely with all UAE government authorities also provide expert guidance on the type of licenses and facilitate the license-getting process.

FAQs Of Setting Up A Business In Dubai

What are the types of business zones in Dubai based on jurisdiction?

Business Zones in Dubai can be broadly categorized into three types.

• Mainland Business: As the name suggests, these types of business can operate anywhere in Dubai after obtaining a license from the Department of Economic Development. New legislation has allowed 100% ownership for foreign businesses as well under this category.
• Free Zone Business: These types of Businesses can operate within the specific Free Zone jurisdiction and the government allows 100% foreign ownership under this category with no requirement of a local business partner. Free Zones are exempt from import and export duties, value added tax, corporate tax etc.
• Offshore Business: These businesses are not mandated to be physically present in Dubai and can operate from foreign shores.

For more in-depth know-how and understanding of the whole process, feel free to call our dedicated consultants who would be very forthcoming with advisory and support all through the process.

What reasons make setting up a business in Dubai special?This has already been discussed at length in this piece of writing. There are a multitude of reasons. Futuristic vision, a stable and facilitating political government at the helm, disruptive technological innovation, cosmopolitan environment, 100% ownership, less regulation and speedy decision making, transparent business environment, virtually no taxation, high disposable income of residents, safe and secure living conditions, and strategic location to name a few.
Does setting up a business in Dubai involve a large investment?This is a subjective query, as the cost incurred to set up a business in Dubai would depend on various factors like the scale and scope of your business, where is your business located, and the licensing fee and the office rent involved. We would love it if you allowed us to calculate your tentative cost for setting up your business.
Is setting up a business in Dubai difficult for foreigners?Setting up a business in Dubai is simple for foreigners as compared to other countries. In fact, nine out of ten businesses in Dubai are setup by foreigners.
The only thing one should take into consideration is to hire an expert consultant like CONSULTZONE to help you and guide you through the process, thereby saving you a lot of money and time.