Dubai Business Setup
Launching your business in Dubai will no longer be your dream; it will surely be a reality! Globally known for its openness to the world, cultural diversity, and multinationalism, Dubai stands out as one of the world’s largest business destinations.
Steps for your Business Setups in Dubai
Setting up a business in Dubai is an exciting prospect for entrepreneurs and investors alike. With its strategic location, world–class infrastructure, and attractive tax small percentage, Dubai is an ideal place to start a business. However, the process of setting up a business in Dubai can be complex and time–consuming. To help you get started, here are the steps you need to take to set up a business in Dubai:
1. Research the Market
Before starting a business in Dubai, you should research the local market and the industry you plan to enter. Familiarize yourself with the local culture, laws, regulations, and economic environment.
2. Choose Your Business Activity
Choose the type of business activity that your company will be doing in Dubai. This activity should be in line with your skills and specialization.
3. Choose Your Business Structure
Choose the right business structure according to your business needs. There are several options to choose from, such as a limited liability company, partnership, branch office, representative office, free zone company or professional, commercial, or industrial business company.
4. Set up Your Business
Once you have decided on a business structure, you will need to set up the business. This includes registering the company, obtaining trade licenses and other legal documents. You will also need to open a corporate bank account and find suitable business premises.
5. Obtain Visas and Residency
Obtaining a visa and residency in Dubai can be a tricky process, as there are a variety of different types of visas and residency permits available such as employment visa, partners/investor visa, family visa, etc.
6. Follow the Rules
Once you have started operations, you should make sure that you follow with all the regulations and laws in Dubai.
7. Make Contacts
Make connections with other business owners and local stakeholders to help your business succeed.
Types of Business Structures in Dubai
In Dubai, as well as the broader United Arab Emirates (UAE), there are several types of business structures available for individuals and companies looking to establish a presence. The choice of structure depends on various factors such as ownership, liability, capital, and the nature of business. Here are some common types of business structures in Dubai:
- Sole Proprietorship Company:
- Owned and operated by a single individual.
- The owner is personally responsible for all business debts and liabilities.
- Typically suitable for small businesses and freelancers.
- Requires a local service agent, who does not have any financial stake in the business
- Civil Company:
- Involves two or more individuals or entities joining to run a business.
- Partners share the profits, losses, and liabilities of the business.
- Types of partnerships include general partnerships and limited partnerships.
- Requires a local service agent, who does not have any financial stake in the business
- Limited Liability Company (LLC):
- A popular choice for small to medium-sized businesses.
- Owners (shareholders) have limited liability, protecting personal assets.
- A minimum of two and a maximum of 50 shareholders are allowed.
- Branch Office:
- Allows a foreign company to establish a presence in Dubai.
- The parent company retains full ownership and control over the branch office
- The activities and operations are in line with the parent company’s activities
- Representative Office:
- Allows a foreign company to have a presence in the United Arab Emirates (UAE) for specific non-commercial activities.
- Permitted for market research or promotional activities on behalf of the parent company.
- Cannot engage in profit-generating activities.
Types of Licenses in UAE
Professional License
(All other professional related activities)
Commercial Licenses
(import/export trading, and distribution of various types of goods)
Industrial Licenses
(all types of manufacturing products)
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