Whether you currently reside in the UAE, are hoping to come here shortly, or are sitting in a distant office pondering a place that will embrace your drive and passion rather than shrug them off… There’s a reasonable probability that you already have a vivid mental image of Dubai.
Entrepreneurs and international investors can find a wealth of profitable opportunities in Dubai, making it one of the world’s most significant business hubs. Dubai is a popular choice for new businesses because of its favorable business climate and plenty of resources (including a skilled labor force, cheap goods and services, and low taxes).
Dubai is home to several skyscrapers, a seemingly limitless number of workers, year-round sunshine, and a wealth of opportunities. Yes, there is even a Minister of Happiness. Even though you have likely heard all this before, what about the details of living and doing business here?
Everyone has their own opinion about Dubai, but the most important thing is to get proper business advice from people who spend every day helping with business setup in Dubai.
Learn about the legal necessities for starting a business, such as registering your company, obtaining necessary licenses, and hiring employees. Here is a checklist of things you should and should not do as you prepare to launch your business in Dubai.
What You Should Do to Starting a Business in Dubai
1. Explore Potential Business Structures before Forming a Company
Evaluate all company formation structures or legal structures, including Mainland, Free Zone, and Offshore, before establishing a company in Dubai. Each organizational structure has its advantages and disadvantages, as well as specific requirements like location, ownership, and visas, which may or may not be suitable for your company. Consequently, you must thoroughly consider all available possibilities and select the business structure that best fits your needs.
2. Choose a Location that Strives for the Best Mix of Necessity, Value, and Costs
The selection of the optimal location for the new venture is an added significant phase involved in the planning stages of starting a business in Dubai. Even though the city’s economy is thriving, establishing a business, there wouldn’t make much sense if your target audience couldn’t find you.
To start a small business, you must consider telecommunications, storage, and space inside the building. Fear not; the ExpressPRO team will take care of everything.
3. Choose a Business License Carefully.
In Dubai, you can choose from a professional, commercial, or industrial license. Your business strategy may or may not be conducive to the many types, each requiring its unique paperwork and licensing fees. As a result, you should pick a license that allows the things you want to do with your company.
4. Setup Your Business in the Free Zone
The Free Zones are ideal for starting a professional business since they offer quick incorporation, full company ownership, and a duty-free customs boundary. Still, they need more benefits from the Mainland. For this reason, it is highly recommended that you establish a professional company in a Free Zone if this is your business.
5. Conduct Thorough Research
You must be well-versed in the UAE and its culture before launching a groundbreaking new business endeavor there. The business situations in various sectors can be better understood with the help of in-depth studies conducted by you or a consulting firm.
6. Hire a Business Setup Consultant to Simplify the Procedures
One viable solution is to hire a business setup consultancy service to help you set up a business effectively. ExpresssPRO’s business setup consultants will guide you through establishing your company and file the necessary documentation with the appropriate authorities on your behalf. And help you set up a bank account, hire an auditor, renew your licenses, and provide related support services.
What Should You Not Do When Starting a Business in Dubai?
1. Don’t Try to Manage Your Company’s Registration on Your Own
You can save money by handling your business’s licensing and registration. In most cases, it would be best to hire a professional business consulting firm like ExpressPRO to help you. While it’s true that the Dubai Government and the DED have made it easy and fast to set up a business in Dubai, many of the details of the process may still seem unusual and overwhelming to a foreign business owner. Hiring a consultant to assist you through the registration process can help you save time and money and give you much-needed peace of mind.
2. Don’t Start a Company Until You Have Sufficient Funding
In general, startup businesses in Dubai need access to financing options. Take your time establishing a company in Dubai if you have the capital to cover the initial expenditures.
3. Don’t Believe Everything You Read
Only commit to a course of action once you have verified the accuracy of the information published by conducting more research or consulting with a professional business setup consultant, such as ExpressPRO. See whether any amendments have been made to the Free Zone regulations, if any additional approvals are required, or if any exemptions are now being offered.
4. Avoid Opening a Bank Account without Doing Your Research
Only open a bank account after you have verified both the requirements and fees associated with opening the account.
5. Not Having Any Written Agreements
Remember to consider the significance of a legally binding agreement for any business. When starting a business with friends, many people need to pay more attention to the need for formal agreements and wind up in a tangled web of miscommunication and misunderstanding. A well-thought-out company plan and an agreement between collaborators and partners can help avoid misunderstandings and conflicts.
Everything in writing makes verifying binding agreements between partners and settling any lingering disputes easier. Having everything related to the running of the business (and the status of your relationship with your partners) documented in writing is essential.
6. Not Selecting the Suitable Free Zone
The United Arab Emirates (UAE) is home to around fifty free zones, making it challenging to pick the right one. It can be difficult to narrow down one free zone ideal for your organization due to the overwhelming amount of information available when looking at the options. Remember that once you join a free zone in the UAE, your company is restricted to operating solely within that free zone. Therefore, before deciding on a free zone for your company, you must do your homework and make an informed selection.
Setup Your Business in Dubai, UAE, with ExpressPRO
Businesses in Dubai thrive thanks to government incentives, and new businesses can be set up quickly and easily, making the city an alluring challenge for entrepreneurs. Many of the world’s brightest minds make their way to this peaceful, tax-free sanctuary to take advantage of its thriving economy, diverse culture, and friendly atmosphere. While the city of Dubai certainly has its share of paradoxes and emerging societal paradigms, it also rewards the ambitious with its welcoming culture and forward-thinking policies.
ExpressPRO is one of the most extensive business setup and support firms in Dubai; therefore, if you want to establish a business there, you should hire a skilled business startup consultant. Our professional consultants will direct you in the right direction and handle your company setup requirements.