Low Cost Business Setup in Dubai

Business Setup in Dubai

As the countdown for EXPO 2020 has begun, the entrepreneurs have started to make plans to establish their ideas in this land of Arabian Nights. The big bosses, the medium to small entrepreneurs, the newborns are all prepared to leave a positive mark in the mind of the uncountable visitors from all the corners of the world having only one question in mind – How to keep the budget low to fulfill their business setup in Dubai dreams, the hub of business? As they start thinking about different options they can keep in mind the points as mentioned below to make out a direction of the new low cost business setup in Dubai.

Top tips to begin your business at low cost in Dubai

Several tips can help you to reduce the overall cost of starting your business in Dubai. By following these tips, you can save a lot of money while starting your company in this city. The following is the list of top tips that can help you with Low-Cost Business Setup In Dubai:

1. Hire Business Experts

The best thing you can do is to hire a business expert, like Flyingcolour Business Setup Services, to establish your company at a low cost. You must take benefit of reasonably priced packages by business experts like us to launch your business in Dubai. However, you should select the all-inclusive plan, including assistance with licensing, visa, paperwork, and more. As a result, you can take a comprehensive approach that is less expensive than taking care of everything yourself separately.

2. Analyze business requirements

Analyzing your business requirements can also help you to save costs on setting up your business in Dubai. It would be helpful for you to understand your company's needs and match them with the Mainland or Free Zone in this city. When you align these factors, you can reduce the cost of extra resources. It can lead you to enormous long-term savings.

3. Use Shared or Virtual Space

The use of shared or virtual office space can also help you save on the process of setting up a business in Dubai. You could either use a virtual or shared office space for your business. When using a shared space for your business, you only have to pay for certain facilities use, such as desk space, phone, printing service, and much more. This option is suitable for those who need a physical office presence for their business. On the other hand, you can use a virtual office. While enjoying the flexibility of working from home, you can acquire a portal address, discounted meeting room hire, and other support services.

4. Thorough paperwork

You can also do Low-cost business setup by preparing essential paperwork for your business. While performing this tip, you should ensure every contract and document is properly documented. With the help of local authorities, you should notarize the Memorandum of Association (MoA) and Articles of Association (AoA). These documents will reduce expenses and make it easier to settle disputes in case of deviation.

5. Background checks

When hiring a local sponsor or local service agent, you should always conduct deep background checks. You can effectively manage legalities with these company formation services. However, selecting the wrong service can lead you to unexpected consequences in the future. Therefore, you should carefully choose a local sponsor or local service agent to set up your business in Dubai at a low cost.

What are the best business ideas for Starting in Dubai with low investment?

Countless business ideas are available to start your business at a low cost in Dubai. We have listed some of the top low-cost business ideas that might be suitable for you below:

➥ E-commerce Business

With the growth of online shopping, starting your e-commerce business can be a lucrative business opportunity in Dubai. Online fashion stores, grocery stores, and bookstores are some of the famous options for low-cost businesses in Dubai. You can also use online platforms, like Shopify or WooCommerce to set up your online store instantly and easily.

➥ Content writing and copywriting

You might be surprised to know that digital marketing agencies and businesses with online presence face a shortage of content writers and copywriters in Dubai. Therefore, you should start giving content for websites, social media posts, and blogs. After developing a reputation, you can start a group of content writers and copywriters to expand your services to companies and digital marketing agencies. With timely deliveries and creditability, you can grow your business to new heights. These businesses are considered low-risk and high-profit businesses in Dubai.

➥ Human resource outsourcing

Lastly, you can also start an HR and recruiting service because it falls under the category of low-investment businesses in Dubai. You might be delighted to know many companies need help for recruiting new candidates and often outsource them. Therefore, you should consider starting your HR and recruiting business in this Emirate to earn enough profit with low investment.

What are the steps to start your business at a low cost?

Let us look at the steps to start your business at a low investment in Dubai:

• Initially, you should select the business activities to conduct in your business. This step is crucial to determine the trade license type. If you fail to select, you can face problems in getting your trade license,
• Next, you should select the company name adhering to the UAE naming guidelines. However, you should avoid using controversial, religious beliefs, and other offensive elements in your business name.
• You should apply for the trade license with the required paperwork and documents. Here, you should submit the application if you are starting your business in the Mainland. In contrast, you should apply to the relevant Free Zone authority if you are starting your company in the Free Zone.
• Lastly, you should apply for visas for your family members, employees, and stakeholders depending on your needs.

Instant License

Instant Trade license allows to setup a business in Dubai without having a lease or location of the office or desk for the first year only at the cost of AED 3,000/-. The businessman can produce the contract for location during the renewal in the second year, hence lowering the business setup cost for the first year hugely to setup the new business in Dubai. With lowering the cost of the office it comes with another advantage, the instant license comes with the eligibility to apply for 2 Investor Visas and up to 3 employee visas which allows the entrepreneur to hire people who can work independently without an office. So, those who are thinking to setup business with a small manpower can definitely think about this option.

Sustainability Desk / Flexi Desk / Desk Space

The businessman can start with the sustainability desk option instead of taking an office or a shop in Dubai to lowering the cost of business setup in Dubai. The sustainability desk is a 24/7 hours dedicated desk for the business man in a shared area where they can avail the facility of electricity, wifi, pantry, washroom, common meeting room, a common receptionist, and all these facilities they can avail at a cost of AED 10,000-12,000/- annually. The desk space provides the eligibility to apply for 2 investor visas and 2 employment visas. So instead of paying a huge amount like AED 50,000/- or more towards office rent, investor can simply cut down the cost by keeping it low while setup the company. The desk also allows the business to have an official registered office in Dubai with meeting room facility.

Online Company Registration and RSA Token

Sometimes the businessmen can’t go to the deep level of knowing what the minimum requirement is and what they can chalk out initially while budgeting for their new establishment. It’s the duty of the consultant to provide the information to their client about the cost which they can keep aside initially to keep the budget low. If a company which needs to recruit many employees can take the option of Online Registration and RSA Token as this gives the luxury to apply the visa for the employees online without visiting AMER Service. But for the companies those who doesn’t need more than 5-10 employees initially, can visit AMER services to do the visa work or can look for same kind of service through the consultancy and can simply avoid the online registration and RSA token which can save approx AED 2,500/- to reduce the Business Setup in Dubai cost.

Business Setup in Free zone

Some entrepreneurs are very particular about setting up the business in Dubai. But business in Dubai not only limited to Dubai Mainland, but also number of Free Zones in Dubai like JAFZA, DAFZA, TECOM, DMCC, DTEC, Dubai South, Meydan etc where the initial costs could be lower depending on the entrepreneurs business activity and setup requirement. The Free zones do have a few restrictions but if the business model allow the possibility to setup business in Dubai Free Zone, will be a good for startups. The tax benefits on import/export are also favorable in Dubai Free Zone business setup.

Right selection of the consultant

It is very important to know what you require initially to maintain the budget. The busy schedule doesn’t allow the businessman the time to go through the details of the prices and procedures. Hence, it is very important to take the assistance of a professional business setup consultancy that has the experience of setting up different licenses throughout different years and in different jurisdictions. Take the detailed bifurcation of the probable cost and charges and ask for the most cost effective way for low cost business setup in Dubai for your business activity in Dubai location. To find out a reliable business setup consultant, check the online reviews about the company i.e google, facebook etc as they cannot be fabricated. The client reviews can disclose which consultancy is having an eye of detailing and the level of transparency. Also check the company’s online presence and the number of years in the industry which can give you an idea of their expertise and experience.

Final Words

As there are plenty of options to keep the budget low to setup a business in Dubai, the entrepreneurs can start with selecting the required business activities list and can approach to an experienced consultancy to check the cost effective options for different business setup in Dubai scenarios. When having 3 to 4 options with their own benefits and detailed pricing, the task becomes easier to select the best suitable option.

This blog post written by Ms. Ananya, Business advisor at Flyingcolour Business Setup in Dubai, emphasize in providing the best advisory and customer satisfaction to clients. For any help with making any decision in choosing the right activity for your business setup in dubai, you can reach us at any time.Feel free to call today for a more detail.