Business set up is always encouraged in Dubai, offering business people an operating environment amongst the most liberal and attractive in Middle East region. The Infrastructure has drastically increased and suits best for commercial activities. Added to that Dubai continues to develop its vast economy in a dynamic rather than linear fashion, which is among one of the reasons for the diversity of companies and businesses which have established themselves, and growing. Dubai is starting to attract the eye of business investors since it started to show its economic stability to the international market. The legal framework is modified for interested parties looking towards investing in businesses in Dubai. Laws and regulations promote such investors by aiding their paperwork, processing their documentation on an urgent basis and providing help that they may require. The accessibility of manpower resolves a great issue that companies face after establishing their foundations, which is recruiting suitable individuals within their ranks. Dubai has firm trade relation ties around the globe and being a member of World Trade Organization; It promotes open trading and is a hub for commercial activities. Dubai itself functions as an international junction for bridging the trade between the East and West.
- Type of Business:
Understanding the type of business you want to start is first and foremost to be very clear, as to get through the legal procedures. Your type of business will determine the kind of license you require. Whether it is commercial, professional or industrial license, these will define the basis of your operations. However, while selecting, remember that certain activities require further approvals from other governmental departments.
• Ownership You Want for Your Business:
There are two major and most opted options for business ownership.
1. Finding local sponsor for LLC (Limited Liability Company). First you need to find a local sponsor / UAE national. A UAE national must be taken as a 51% partner who is called a local ‘sponsor’. A local company provides the freedom to locate the business anywhere in the city. For a business start-up in Dubai this is a boon because it affords the best choice of locations to suit your budget. Although the sponsor takes 51% of partnership it cuts down numerous other overburdening costs when establishing a business set up, while opening doors to several affordable locations in Dubai.
2. 100% ownership opting FREE ZONE.
The only way for a business start-up in UAE to start without taking a UAE national acting as your partner is to locate your business in one of the Free Zones. This is not suitable for a business that must be within markets like retailers and restaurants. And it also excludes the businesses which work with government, as it needs a local sponsor. The rentals and purchase in Free Zone district might be high for your budget.
• Legal Aspects & Financial Viability
Depending on your location and type of business, there are rules regarding the make-up of firm. Trade name is very important part of the legal procedure. The company should indicate the nature of business unless it is a branch of other company. Minimum share capital should be set out in Memorandum of Association, although in most cases you do not need to pay the initial share capital. Once your business is registered, the Ministry of Commerce will require owners to show proof of financial investment. If you are new to the region and have no track record, you must be prepared to find your own financial resources.
The site where you establish your business is a deciding factor in how well your business will perform. Even if your products and services are top tier, your business centre in Dubai will fail to achieve its mark if the customers are unable to access the location from which you supply them. Consider the type of business your company indulges in and then select your location accordingly. Profit and customer convenience are the two factors to keep in mind. In case you choose a Free Zone, there are certain restrictions such as budget and customer convenience on which you will have to compromise on. When dealing with intercity locations, having a contract with a local sponsor is necessary. Also, look for furnished offices in Business Bay to mitigate furniture and interior costs.
• Going for self-registration:
You can opt to go for starting up self but even though set-up process is financially lucrative and straight forward, you may end up spending more than your budgets, if you are unaware of your local resources, the environment of business around you. The locations may play the most costly if you go in the wrong hands.
• Opting Business Setup Services:
Business set up services can play a major role in saving your time and money. Since the right Business set up service providers have great experience and understand your business needs better than you do regarding the rules, regulations, locations, etc.
Ascendris business centre is a premium provider of fully serviced offices, virtual offices, conference room and meeting room facilities. We are situated in the heart of Dubai’s luxurious location in Business. We are equipped to accelerate your business launch, through state-of-the-art serviced offices with flexible packages, virtual offices with multiple levels of support and business set up solutions to suit your needs. We provide an unique business environment to optimize client’s level of productivity in an inspiring and sophisticated atmosphere. With five star hospitality, top notch technology and lots of value added services, setting new standards in the serviced office industry.