Can I do business in Dubai
Can foreigners do business in Dubai
A person interested in investing it’s a yes to them for doing a business in Dubai. There could never be a better place than Dubai for expanding and exploring business.
There are various reasons as to why people choose entrepreneurship over so many other promising professions. It’s the capability of every successful entrepreneur to make his/ her dream come true.
In Dubai we are given an option to choose the right place of business. We could start up the company in any of the below mentioned areas.
1. Mainland
2. Free zone
3. Offshore
Let’s look into the brief of the above 3 segments.
Mainland
Any person who is looking to do business in the Local market or any of the 7 Emirates or internationally than they can choose to set up the company in the mainland. By registering the company in the mainland you get exposed to all the local markets, Government authorities and expand your business internationally as well.
In mainland you can choose to have a professional, commercial or an Industrial license, Professional licenses refers to activities of any service industries and wherein the shareholders could be 100% owners and the UAE National becomes the local service agent. Talking about Commercial licenses the activities refer to any kind of trading and the company needs to have a UAE national as the 51% shareholder in the company. The important note here is though the UAE Nationals do not hold any shares or the profits in the company its mandatory to have them in the license.
Industrial license refers to activities of manufacturing where the shareholder needs to have a warehouse for this kind of license and the shareholding structure remains as 51% being the UAE National and the 49% being the expat. In the cases of GCC National having either of the above licenses could be 100% owners for these licenses.
Free Zone
Moving on to the Free zone license the advantage here the owners could be 100% shareholders without any involvement of the UAE National. And this kind of licenses is taken by those people who are looking for a cost effective option and want to do business internationally. If interested in doing the business in the mainland you cannot raise the invoices directly however you can deal with the third party distributor or a Local agent for raising the invoices.
The main free zones located in Dubai are DMCC, JAFZA, DIC, Dubai South/ DWC, DMC, Dubai silicon Oasis, DAFZA, etc..,
Offshore
Finally moving on to the offshore companies, people looking for holding any kind of properties in UAE or having business internationally then this is the best option for them. An offshore company is opened mainly to have structured form of business and take the benefit of the tax implications. Offshore companies are not for obtaining any kind of residence visas. But it’s mandatory to have 2 directors and one secretary for this kind of license. Here there is no involvement of the UAE national the expat can be the 100% shareholder.
The confidentiality of the shareholders are maintained in the case of offshore company as this will the UAE Jurisdiction maintains a closed registry.
In conclusion, Dubai is the best place for company formation and the registrations here is an extensive process. Never the less you can make it cost effective and quick by avoiding any hassle by choosing a Flyingcolour business setup services.This blog post is written by Ms. Florine. Feel free to call today for a more detail on long term visa related queries. Please send inquiry to info[at]flyingcolour[dot]com or call +971 4 4542366.
