How to start a business in Dubai, UAE

How to Start a Business in Dubai, UAE?

Business Setup Essentials

Setting up a business in Dubai, UAE? Why not? It’s no secret that there’s a lot of information to consider when selecting the best Dubai free zone to start a company in Dubai, including location, price, type of business, Flexi-desk or office options, auditing, accounting, and share capital requirements, among others. We walk you through it step-by-step how to start a business in Dubai, steering you in the right direction, saving you money, and ultimately making the entire experience as stress-free as possible.

Comprehensive Setup Services

In Dubai and across the UAE, we offer niche services to start a company in Dubai, UAE. We assist multinational companies and SMEs to enter the UAE markets quickly. In addition to meeting the initial needs of new business setup in Dubai, we also create a broader scope for your business. When and how to start a business in Dubai, it’s vital to take into account the scope of the company, so we develop your company so you can focus on growth and attract new prospects.

Company Formation

The UAE offers investors three options for registering a business: mainland (onshore) free zones (self-regulating emirates) or offshore. Choosing where to locate your company’s presence in the UAE will be easy when you work with us.

Why Set up a Business in Dubai, UAE?

Setting up a business in Dubai, UAE has now been made easier by ongoing and ambitious reforms aimed at making it as easy as possible for entrepreneurs, entrepreneurs expanding, and service providers. Due to aggressive legal reforms such as long-term visas and introducing free zones, Dubai has been steadily ascending as a global commercial capital and simplifying business operations for foreign owners. Due to all of these factors, It’s an extremely attractive place to start a company in Dubai, especially for foreign nationals. We take a look at the top reasons for why to start business in Dubai, UAE.

In recent years, Dubai has solidified its position as a regional hub for trade and business. According to a recent survey of global business hubs, the UAE is now ranked 15th. A well-connected transportation system, the absence of business taxes, and the development of Dubai’s financial sector are cited as factors contributing to the city’s global prominence in the survey. Located between the established economies of Europe and Asia, as well as those emerging from Africa, it is a great place to start a business.

Other than oil, The emirate has been trying to diversify its economy. History shows that this strategy has mixed results, resulting in the 2008/09 debt crisis. However, it also contributed to a widespread business-friendly reputation, courtesy of the government’s encouragement of regulations across different sectors.

Foreign Direct Investment (FDI) UAE government passed foreign direct investment (FDI) law in 2018 to stimulate investment. Those changes will not only make it easier for businesses to set up shop here, but will make things so much easier for those businesses that already do so. The law allows foreign companies to own up to a 100% share of their companies, among other provisions to benefit foreign investors.

Direct foreign investments swelled by 41% last year in Dubai. The emirate achieved US$10 billion in foreign direct investments in a fiscal year for the first time. According to the state agency responsible for foreign investment promotion. There is no doubt that this economy is open and receptive to foreign investors and business owners.

Business Legal Structures in the UAE

Like any other country, the UAE offers various legal corporate structures for businesses. Selecting the appropriate structure is crucial as it affects ownership rights, liability protection, and operational capabilities in the Emirates market.

Sole Proprietorship

This type of company is 100 percent owned by one person - meaning they control the company and the profits. All nationalities are allowed to set up sole proprietorship company, but only UAE and GCC nationals are allowed to set up a commercial or industrial company.

Civil Company

Civil company businesses in UAE can perform work in certain profession such as doctors, accountants, lawyers, etc. A civil company has to have at least 51 percent of the business owned by an Emirati national.

Limited Liability Company (LLC)

A limited liability company can have between 2 and 50 shareholders, which means each shareholder is liable up to their share percentage. Profits and losses are also divided among the shareholders based on their holdings. Once again, 51 percent must be owned by a UAE national. There must be a company board of directors if there are more than seven partners with atleast three shareholders in the board.

Branch of a Foreign Company

A foreign company may establish a branch office in the UAE. In this instance, the company is 100% owned by the parent company. However, the raw materials must be imported through a domestic trading company.

Free Zone Company

Companies established in a Free Zone can have anywhere from two to five stakeholders. Although the incentives for establishing companies in the UAE Free Zones are plentiful, you will want to be aware that these companies cannot sell products to the UAE market directly. This might cause you to have different requirements to establish a business in a Free Zone.

Freelancers

It is surprising easy to establish a freelance company in the UAE. You will need to set up in a Free Zone, provide an application, CV, a bank reference and completed Registry Identification Code Form (which must be notarized). You will also be able to apply for a visa at this time.

Where to Start Business in Dubai, UAE?

In addition to the friendly conditions of the free zones, starting a company in Dubai can be accomplished in less than a week with the help of our business setup consultants in Dubai. Each step can pose complications that could derail the inexperienced applicant. That’s where we can help. In addition to guiding you through all the steps, we can also assist you with your liaison with UAE government authorities and spot potential problems before they arise.

Expo 2020

Expo 2020 will likely attract 25 million visitors over 173 days, most of them foreigners. 11 million UAE residents and 14 million foreign visitors are expected to visit Dubai during the expo, resulting in an explosion of tourism, which will boost business in the city. The expo is also expected to be a hotbed of innovation in more than a dozen sectors, which will be of great benefit to businesses in Dubai.

Long Term Visas

New long term visa laws for foreigners, especially investors, will solidify Dubai’s position as a primary destination for foreign investors. New regulations will make it easier for foreigners who own a business in the country to secure a long term visa to live there. For foreigners, the UAE will become one of the easiest financial hubs in the world to settle and start businesses.

Silk Road Strategy

Global trade is also a goal of the Silk Road Strategy. Aiming to boost air and sea freight as well as logistics, the Road to the Future is named for ancient trade routes between east and west. Several policies, laws, and regulations make Dubai a great place to do business for foreigners.

Why Choose Us

With our extensive network of contacts across government departments and free zones, we ensure your business setup journey is smooth and hassle-free.

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Frequently Asked Questions

The cost depends on various factors such as type of license, office space, and if any additional services are required. The cost of setting up a business in the UAE starts at approximately AED 20,000 depending upon the type of business, license, and other factors.

There are various sectors that have developed in terms of business in UAE. Growing business sectors include ecommerce business opportunities, digital marketing, technology and IT services, renewable energy, tourism and hospitality, and health and wellness. These are some of the best type of businesses one can start in UAE.

The LLC Company formation in UAE costs approximately AED 20,000* to AED 30,000*. But the cost may vary depending on the type of industry and services you provide.

The minimum investment to start a business in UAE relies on the business structure. This means it depends where you are starting your business – in mainland or in free zone. If you are starting your company in mainland, the minimum investment for a service based company is AED 18,000* approximately and for a trading company is AED 35,000* approximately. In case of a free zone company, your minimum investment can be as low as AED 13,000* approximately.

The cheapest place to set up a company in the UAE is considered to be Sharjah Media City (SHAMS). It provides business set up packages starting from as low as AED 5750* approximately.

Yes, all businesses including small businesses need a trading license to run their company legally.

Yes, foreigners can start a business in the UAE as the UAE law provides 100% foreign ownership to fully own their business in the UAE.

To set up a business plan, you need to start with an executive summary, company description, analysis of the market, and financial projections. It is important you outline your operations and go through all the relevant documents. Finally, keep refining your business plan according to the market analysis and feedback.

The four basic types of businesses include – sole proprietorship, partnership, Limited Liability Company (LLC), and corporation.

Starting a small business in UAE includes choosing your business activity, identifying a legal structure, selecting a trade name, applying for a license, and getting the relevant approvals.

BUSINESS SETUP IN UNITED ARAB EMIRATES (UAE)

How to Start a Business in Dubai, UAE?

Why Set up a Business in Dubai, UAE?

How to Start a Business in Dubai, UAE

Choose your business activity

Choose your company name

Finalise all incorporation paperwork

Receive your license notification

Open a bank account

Process your visa

Business Legal Structures in the UAE

Sole Proprietorship

Civil Company

Limited Liability Company (LLC)

Branch of a Foreign Company

Free Zone Company

Freelancers

Where to Start Business in Dubai, UAE?

Why Choose Us

Global Clients

Years of Experience

Team of Professional

Real Time Support

How can we help you?

Frequently Asked Questions

How much does it cost to setup a business in the UAE?

What business is best to start in UAE?

How much does a LLC cost in UAE?

What is the minimum investment to start a Business in UAE?

Where is the cheapest place to set up a company in the UAE?

Do small businesses need a license in UAE?

Can foreigners start a Business in the UAE?

How to set up a business plan?

What are the 4 basic types of business?

How do I start a small business in UAE?