Moving to Dubai to Start a Business: What You Need to Know

What makes Dubai a great place to do business is that, compared to much of the world, it's easy to register a property, get construction permits, and enforce contracts. The free zones also make it simpler to set up a company with the intention of moving it to the mainland at a later date. Dubai's location is also ideal for businesses looking to expand their reach into the Middle East, Asia, Europe, and Africa. The UAE government is also supportive of businesses, making it one of the easiest places to do business. Whether you're starting a business or moving to an established one, Dubai is a great choice. Before anything else, there are some things that you need to know before you move to Dubai to start a business. To help you out, we thought it would be useful to put together a brief article on this subject. If this is something that you’re interested in learning more about, read on as we break down what you need to know before moving to Dubai to start a business.

Sponsors and Freezones

Before taking the plunge, be sure to have secured a sponsor or service agent. Your sponsor should be a UAE citizen or any UAE-owned company that is willing and able to help you relocate to Dubai as an investor, tourist or employee. In order to take advantage of trade-in Dubai, you must have a business that is registered as an LLC (Limited Liability Company) locally. This is the most common type of business and can be formed with anywhere between 2 to 50 shareholders whose liability remains with the shares in the business capital. Your business will need to be 51% financed by a sponsor, who does not take dividends from your monthly profit but may require an annual fee or a percentage of your revenue in return.

Alternatively, situating your business in one of Dubai's many free zones, such as the Airport or Healthcare City, will allow you to take 100% ownership of your company. If your business is located in one of the 30+ free zones, the zone will act as your sponsor.

Visa Eligibility

You'll need to acquire the right visas for you and your employees from your sponsor to run a startup business in the UAE. The number of visas you'll need depends on certain factors, such as the size of your office, the type of business you're running, and the category of the investor.

Business Location

When starting a business in Dubai, it's key to choose a strategic location for your organization. You should pick a spot that's accessible to your target market. If you're thinking of setting up shop in a free zone, weigh the distance from your customer base, how well your industry would do there, and the costs.

Registration Agents

It's crucial that you seek out a Registration Agent. They can help you with everything you need to know about starting a business and can handle legal matters on your behalf. This includes registering your company, opening a company bank account, and arranging an auditor. However, we strongly advise that you do your research before investing in trade in Dubai. Make sure you understand all the charges, terms and conditions, and don't proceed with any agreements without legal agreements in place.

Conclusion

We hope this article proves to be useful when it comes to helping you gain a better understanding of how to start a business in Dubai. While it may seem complicated at first, the information that we’ve laid out here should help make things infinitely easier. Be sure to keep everything you’ve learned here in mind so that you can make the most informed decisions for your business.

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