Dubai is an ideal location to start your business because of its status as one of the world’s premium business hubs. It has come a long way from being a small fishing village, and into becoming one of the biggest attractions for tourism and business. The world class infrastructure and business opportunities are enough to attract companies from all over the globe, and there several things that need to be done for a successful business setup in the mainland, and several factors that influence the pace of the setup. One of those factors is what legal form that you are going to take:
- Branch Office
- Professional Service
The Department of Economic Development Dubai is the authority in charge of the business setup in Dubai. It oversees everything from business registration, mainland license, commercial compliance, and consumer protection to mention a few.
In order for you to get your business setup in Dubai, you will have to find a proper local agent, who will be your local sponsor and will own 51% of the share of your company. Now, this might seem like an inherent disadvantage, because you would not want a stranger to meddling in the affairs of your business. Therefore, it is possible for you to get complete control of your business.
When you need to create a business in the mainland, then you will need to have an office address that is verified by the Dubai Municipality. Although this criterion can be optional in some cases, mostly it’s not so, and it is the responsibility of the ones who want to setup to have a tenancy contract ready before registering a license.
There are certain companies and business types which will have to acquire special approval from the authorities to get their business to be setup. These industries are travel & tourism, engineering consultancy, educational services, monetary exchange companies, healthcare, RTA.
The case for most companies wanting business setup in Dubai involves going through six distinct steps which can be surmised as:
- Selecting Business Activity and Finalizing the Trade Name
- The choosing of the local partner
- To apply for the initial approval
- Memorandum of Association and Court Notarization
- Tenancy Contract and Office Space
- The Final Submission
There are plenty of advantages to being gained if you choose to setup your business in Dubai:
- Complete Exemption from Corporate Tax
- Possible to operate from the UAE
- No Capital Requirements
- No Currency Restriction
- Employment Visa processing made simple
- Repatriation of Profits and Capital
- No Audit Requirements