Dubai is the enterprise capital of the United Arab Emirates and is known as the “City Of Gold.” If you considered setting up your company here, then you are on the right track as you are guaranteed to enjoy considerable returns if you play your cards right. Also, this location is open to companies from around the globe to start or expand their businesses. This is not only for big companies but also small businesses can set up and generate a handsome profit. Before you set up shop, there are some things to keep in mind. Here are some tips on what is required to start your business successfully in Dubai:
1) Hire A Business Startup Consultant
A consultant will help to register your company and secure a commercial license as required by the region’s law. Ideally, this firm would have an understanding of your goals and objectives and would guide you to achieving them. A good firm will not only help you to set up your company in Dubai but will also conduct a prior analysis of what your business is all about. This will help in categorizing the business correctly and help establish the most relevant licenses you may need to meet the legal obligations of the country.
2) Have Knowledge Of The Region
Conduct extensive research on the region before setting up. This is because Dubai has changing trends in regulations and policies. This way you can create an appropriate business plan with the studied market conditions. Furthermore, look for the best location and investment plan suitable for your budget and needs. This is important since some policies require you giving up ownership to run a company in Dubai.
3) Find A Local Partner
If you go for the Mainland Company, you will be regulated by the Dubai Economics and Department (DED). You cannot own a business in Dubai under this department, and you will be mandated to have local support to act as a liaison. The partner has to be a resident. He or she will hold the majority shares, which is a minimum of 51%.
The local partner (company or an individual) does not need to fund your company or participate in any processes. Also, you will have to pay a yearly fee to retain their service: therefore, you need to negotiate a reasonable fee. Also, ensure the agreement you reach with the sponsor is written and attested in a local court to be safe.
4) Set Up In A Free Zone
If you want to own 100% of your startup, consider going for free zones. These zones are regulated by the Dubai Free Zone Authority and are not subjected to the laws of the region. There are many free zones. You do not need a sponsor to operate here. The other advantage of this zone is you will get a speedy startup process since minimum paperwork is required. Also, your business confidentiality is maintained. You will not be restricted to the number of activities to do. This site offers tax-free and duty customs but ensure you visit the site to see the office size and conditions before agreeing.