Traditionally being recognized for pearl diving and fishing, today Dubai has become an alluring business and investment opportunity for local and foreigners alike. State of the art infrastructure facilities, zero taxes, ample availability of qualified staff and raw material have increased its commercial and economic worth to manifolds. In addition, to that negligible crime rate, political stability, flexible policies and simple process of company formation have given this territory a bold status of an investment hot spot.
From manufacturers to developers and service providers, Dubai welcomes everyone to establish their set up in the city. There are some dos everyone should consider before starting the registration process to avoid putting themselves in troubles.
Do select a local sponsor
Ample trading opportunities are available across Dubai and UAE not only in conventional neighbourhoods, but also in purposefully designated commercial areas called freezones. Local and foreigners both are eligible to start up a company in any of these areas. However, foreigners are essentially required a 51% partnership of local Emirati, if they want to earn a professional license to open up the locally registered company called LLC. Sponsorship is extremely beneficial for new startups, as it enables them to pick the best location for their establishment
Do consider a free zone
If you are seeking to open a franchise, manufacturing or distribution unit in Dubai to extend your business abroad, you will definitely don’t want to share partnership with a third person. Free zones offer the same flexibility to entrepreneurs who need quick startup, maximum profits and 100% ownership. As long as your business type is suitable to operate from these districts, there is no better choice other than free zone
Do choose an accessible location
After considering your objectives and cost, carefully pick the location to open your company. If you are seeking to establish a profit based enterprise, free zone will not be the best option. You should consider a location that is easily accessible for customers. Research the market thoroughly to identify the address that offers good profit earning opportunities. However, if you are actually intending to open your company in freezone to avail the associated benefits, consider your business type, cost, trade requirements and model first.
Do confirm Visa requirements
A visa with the permit to carry out business and live in UAE is necessary for every entrepreneur. Whether, you are a new startup or an established owner, seeking to open up a franchise in the territory, you will essentially need a business visa. State Government, issue visa for almost all kinds of businesses, however, the total number of visas issued to an individual owner are different for specific types. However, visa policies are not strict in the territory. After observing your business nature, you may apply for a visa as an investor, or an entrepreneur to establish a company in free zone. In case of sponsorship, you will also need a letter from your sponsor while submitting a visa application. While applying for a business visa, you may also apply visa for your employees if your sponsor gives you the authority to do so.
Do hire a business consultant
Irrespective of the type of industry, or the kind of company you are planning to establish, consider working with a business consultant to get the complete guidance throughout the registration process. These consultants offer reliable services throughout the whole process of setting up the business. From sponsor selection to location choices, they lead throughout the visa procedure.
Summary: Are you seeking for a small company opening in Dubai, or you want to open a mega business facility in the freezone don’t forget to follow these five dos for ultimate success.
Credit: Dubai Science park – www.dsp.ae