Do You Want to Plan Business Setup in Dubai, UAE?

You can register a company in the UAE with a very limited starting capital. This goes to say that people with varying levels of budget can start their own company in the UAE. This is because there are various factors that go into starting a business here.

And each of these factors will differ from one company to the next. As a result, the actual cost to register a company in the UAE will differ from business to business.

Here are the three main areas where your cost will differ when you want to register a company in the UAE:

License Fee

First and foremost, depending on the business activities you want to perform, you need to obtain a business trade license for your company. This is because the license ensures that you can perform your business activities legally in the UAE. However, there are different types of business trade licenses in different economic zones in the country.

Additionally, the cost of these licenses differs as well. This is why the cost of obtaining the business trade license will depend on the economic jurisdiction and the business activities of your company.

Office Cost

All businesses in the UAE need to obtain office space for their operations before they can register their company in the country. This is because it is a mandatory step from the government of the UAE.

However, there are various options when it comes to obtaining office space in the UAE. Besides the different types of office space in the UAE, you will also need to decide whether you want to rent or lease office space.

Starting Capital

Last but not the least, after the successful registration of your company in the UAE, you need to start performing your business activities. However, as different businesses perform different activities, the starting capital requirement to kick off your business operations will differ from other businesses.

As a foreigner, you can set up a company in Dubai. To do so, you can contact Company Setup experts, who will set up your company in Dubai with ease. Additionally, starting a company in Dubai is getting easier by the day for foreigners. This is because of the long-term plans made by the authorities of the UAE to shift away from the oil and gas industry.

As a result, foreigners will continue to get various benefits for starting their business in the UAE. So, you can easily capitalize on this opportunity as a foreigner and start your company in Dubai.

The Department of Economic Development in Dubai is responsible for handling the registration of new businesses in the city. However, with the help of Company Setup Consultants, you do not need to worry about the registration process of starting a company in Dubai.

All you need to do is provide the necessary information and documents required to start your company in Dubai. Additionally, we will help you if you have trouble providing any of the required documents like the Memorandum of Association (MOA).

Before the changes, if a foreigner wanted to start a business on the mainland, they had to find a local sponsor. After that, the local sponsor would own 51% of the company and the foreigner would own the rest 49%.

However, after some changes were made to the existing rules and regulations related to foreign ownership laws. Now, foreigners can own 100% of their businesses on the mainland.

Additionally, this applies to all types of businesses except for a few like the oil and gas industry which is a strategically important sector for the government of the UAE.

The cost of starting a company in Dubai will depend on a lot of factors starting from your choice of location to the size of your business. For example, there are economic jurisdictions in Dubai where you can start your business.

They are the mainland, the free zones, and the offshore companies. To clarify, the cost of starting a business in Dubai will vary depending on which of these economic jurisdictions you choose for your company.

Generally, starting a business in a free zone is cheaper than starting a business on the mainland. If you have any questions regarding the economic jurisdictions, you can contact the Company Setup experts.

To give you a general idea of the cost of starting a company in Dubai, the cost of setting up a Limited Liability Company in Dubai is approximately AED 22,000 which translates to around USD 6,000.

Additionally, it is mandatory to get an office space when starting a business in Dubai. However, if you want to start an online business and do not need a physical space for your business operations, then you can opt for a virtual office which is significantly cheaper than any physical office space.

Most business owners choose to live in Dubai with a residency visa because of the high quality of life here. However, it is not mandatory to have a permanent residency visa to find success in Dubai. This means that you can easily open a company in Dubai without a residence visa. To do this, you can contact Company Setup experts, who will start your company in Dubai for you. As a result, you do not need to move to Dubai permanently to open a business here. However, there are certain factors that you need to be aware of if you do not plan to move to Dubai permanently.

For starters, you need to work with a local sponsor to start your business if you do not want to move to the UAE. However, they will not be involved in the decision-making process of your company and will require a small fee for their services. Additionally, you can easily start a company in one of the free zones in Dubai without a residency visa. Whichever route you choose to start your company in Dubai without a residency visa, you can contact the Company Setup Consultant to make your life easier.

Anyone who is a responsible adult can register a company in Dubai. Even though there are restrictions on the residents of a few countries around the world, you can still register a company in Dubai even if you are a resident of those countries. However, you might have to provide some additional information and documents in such cases. But anyone of age can start a company in Dubai and seek permanent residency in the country for themselves and their family members. You can contact the Company Setup experts to register your company in Dubai.

There are two ways you can register a company in Dubai. You can either start a company here as an investor, or you can start your own firm as a professional. To clarify, the professional trade license in Dubai allows service providers like doctors, engineers, various consultants, etc. to start their own companies in Dubai and provide their services. Additionally, the commercial trade license, the industrial trade license, and the tourism trade license allow the rest of the business activities that you would want to perform in Dubai.

There are quite a few sectors where your business can be profitable in Dubai. Currently, the import and export businesses in Dubai are doing really well. This is because of the limited or non-existent trade restrictions in the country. For example, you can easily start a business in free zones like the Dubai Airport Free Zone (DAFZ), where you can easily import and export goods to and from anywhere in the world. As a result, import and export businesses are profitable in Dubai.

Another profitable sector is the healthcare sector in Dubai. This is because people from all over the world come to Dubai to get quality treatment. However, if you want to start a healthcare business in Dubai, then you will need to provide the necessary proof of education and experience to show that you know what you are doing. As a result, you need to be an expert and a professional to profit from the healthcare sector in Dubai.

Last but not the least, the real estate sector is also very profitable in Dubai. However, to start a real estate business in Dubai, you need to be an investor and have a respectable starting capital. And if you meet these criteria then you can easily turn a big profit in Dubai.

The documents required to set up a company in Dubai will depend on the type of business you want to start in the city. This means that the documents you will require will depend on the company structure you select and the business activities you want to perform.

However, most of these documents required will be very easy to procure if you have the necessary means of running the business you want to start. For example, if you want to provide healthcare services in Dubai, then you will be required to provide the necessary educational certificates.

Here are the documents that you can expect to provide regardless of the type of business you want to start in Dubai:</p

• Two passport-sized colored pictures of all the shareholders in the business.
• Copy of the passport of all the shareholders in the business.
• Copy of the visa pages of all the shareholders in the business.
• A Memorandum of Association (MoA).
• The trade name registration certificate.
• The tenancy contract and EJARI.
• The completed application form.

You can easily start a business in Dubai with the help of Company Setup Consultants. This is because we have the necessary experience and connections required to set up your business in any corner of the UAE.

If this is your first time starting a business in Dubai, then it is highly recommended that you seek the assistance of Company Setup experts. Even corporations and conglomerates can easily launch their operations and projects in the UAE with the help of Company Setup Consultants.

Here are the steps you need to follow in order to start a business in Dubai:

1. Determine your business activities

The first step is to choose the business activities you want to perform in the UAE. This is because the activities you choose will determine the business trade license you need to apply for from the Department of Economic Development in Dubai.

2. Determine your company structure

You need to select a legal structure for your company. However, it is suggested that you take your time to select one carefully. This is because the company structure will determine the rules and regulations your business needs to abide by in the future.

Some of the most popular company structures in Dubai are Sole Proprietorship, General Partnership, Civil Company, and Limited Liability Company.

3. Obtain an office space

You need to obtain office space for your company in Dubai. This is because the tenancy contract and EJARI are mandatory documents required by the Department of Economic Development in Dubai. However, if you do not require a physical base of operation for your business then you can opt for a virtual office.

4. Provide the necessary documents and payment

Last but not the least, you need to provide all the required documents to the Department of Economic Development in Dubai or the relevant free zone authority. After that, you need to complete the payment and they will provide the business trade license to you within a few days.

It is prime time to set up a business in Dubai right now. The UAE has been in the process of changing its economic focus from the oil and gas industry for the past decade. They have established the necessary infrastructure needed to house countless new businesses so that other industries in the country can flourish.

Now, to attract businessmen and entrepreneurs from all over the world, they are providing a lot of benefits and perks for new and existing businesses.

Besides these benefits, the registration process for new businesses in Dubai is relatively easier than in the rest of the world. It is made even easier thanks to the numerous business consultants in Dubai.

As a result, Dubai currently ranks 16th in the world in the index for ease of doing business. In terms of getting electricity, it ranks 1st. And in terms of getting construction permits, it ranks 3rd. So, you know that the infrastructure your business will have will be the best in the world.

Here are some of the advantages of setting up a business in Dubai:

• 100% exemption from corporate and personal taxes.
• 100% exemption from import and export duties.
• 100% repatriation of capital and profits.
• No limitations or restrictions regarding minimum starting capital.
• No limitations when recruiting.
• No requirement for annual audits.
• Visa sponsorship opportunities based on office size.
• Available and flexible office spaces

Besides these, there are countless benefits of starting your business in one of the free zones in Dubai. Different free zones provide different benefits and cater to the needs of different businesses, so do your own research before selecting an economic zone for your business.

Strictly speaking, a free zone company is allowed to do business within its own boundaries only. However, there are several ways a free zone company can do business in mainland Dubai, or even internationally.

There are certain business activities that are allowed. That means if you provide certain services from a free zone, you can also provide those services on the mainland without any restrictions. In cases of business activities that are not allowed for free zone businesses, they can still provide those through a middleman, also known as a local service provider.

Another way is to acquire specific licenses and documentation from the Department of Economic Development in Dubai that allows you to perform those business activities in the mainland. You can establish a branch office or limited liability company on the mainland and perform your business activities as well.

Alternatively, you can sell your products through a DED-licensed distributor on the mainland from the free zone you are in. These distributors can operate on the mainland on your behalf for a small fee.

The exact cost of starting your company in one of Dubai’s various free zones will vary depending on a lot of factors. For example, it will depend on the free zone you select, the type and size of the office space you choose, the company structure you choose, etc. Many free zones have a minimum starting capital requirement that you need to meet in order to set up a company there.

Here are some of the biggest costs related to starting a business in Dubai:

Company Registration Fee:

The registration free will depend on the free zone you select for your business. However, it does not vary too much. The range of the fee for registering your company in one of Dubai’s free zones is around AED 9,000 to AED 10,000.

Trade License Fee:

The trade license fee is a recurring cost, and you need to pay it again when you renew your trade license. The amount of the trade license fee will depend on the type of trade license and business activities you mean to pursue. It will range anywhere between AED 10,000 to AED 50,000 per year.

Office Space Rent:

The rent of the office spaces varies vastly depending on the type and size of the space you get. You can rent serviced desk spaces in Dubai which cost around AED 15,000 to AED 20,000.

Minimum Capital:

The minimum capital requirement will also depend on the free zone you choose for your business. Many free zones do not have a minimum capital requirement, while some have a requirement of AED 50,000.

In the past, you had to have a sponsor to own a business on the mainland. Only free zones allowed foreigners to own 100% of a business in the UAE. But the free zones were catered to the needs of certain businesses only. And there were certain restrictions and limitations in the free zones that made them unattractive to many foreign entrepreneurs.

If you wanted to own a business on the mainland of UAE then you could only own 49% of the business, even if you were the founder of the business. The rest of the 51% had to be owned by a local sponsor. This was a big red flag for businessmen and entrepreneurs from other countries who were interested in the UAE.

However, the government of the UAE had made some amendments to their previous laws. Now, most of the sectors allow 100% of ownership to foreigners all throughout the UAE. That means, you no longer need a local sponsor to start a business in the UAE.

The only sectors where 100% ownership is still not available for foreigners are the sectors that are strategically important to the UAE. For example, 100% ownership for foreigners is not possible in the oil and gas sector, the transportation sector, weapons manufacturing sector, etc. You can only own 49% of a company in these sectors as a foreigner in the UAE.

You do not need to form your own company in the UAE though. You can easily invest in any of the public companies in the UAE. The UAE recently announced the golden visa that allows long-term residency for foreigners.

Acquiring the business trade license is the main step in the process of company formation in Dubai. The cost of the business license will depend on the types of business licenses you are opting for.

The type of business license you will require will depend on the business activities you are going for. For example, if you are a doctor looking to provide your healthcare services in Dubai then you will need to go for a professional business trade license.

A standard business license in Dubai will cost you around the range of AED 8,000 and AED 10,000. However, there are several other expenses of legally starting a business in the UAE. Some of these expenses are acquiring office space, drafting official documents, getting around Dubai for acquiring initial and external approvals, etc.

The easiest way of acquiring a business trade license in the UAE is with the assistance of an expert business consultant. They have years of experience setting up companies in the UAE. They can tackle all these steps very easily.

Over the years, they have developed the necessary connections and networks that allow them to streamline the processes. If you are looking for such an expert, then Company Setup Consultants are here at your service. Our experts will kickstart your business so that you can hit the ground running.