Think of Business and UAE is your answer. With its ever-blooming economy, UAE attracts business throughout the year. Setting up a business in UAEwould be highly beneficial because of its zero-tax regime. In addition to that, there are several other benefits like top-notch government support and security, free zones to set up a business, and geographical location. UAE is open to businesses of all kinds, whether it may be physical or not. It has a constant supply of top-shelf talent from all over the world. Along with this, it’s a place with top-notch infrastructure and amenities such as public transportation, road networks, and accommodation amenities.
Here is a simple guide to setting up a business in UAE
Come up with a business plan
Know what’s your niche and in what location you’d like to set up your business. Choose a name for your business. When picking a name, make sure to adhere to guidelines provided by the government. Study the market and your competitors and form a solid business plan before moving forward. A good business plan and proper documentation will make the process of acquiring your license easy.
Choose a legal entity
Before launching your business in the UAE, make sure to choose a legal entity. There are 4 primary businesses you can register for: Companies, Partnerships, Branch offices, and Free zone enterprises. In Freezone enterprises, you are allowed to set up either Free Zone Limited Liability Company (FZ LLC) or Free Zone Company (FZ Co.) or Free Zone Establishment (FZE).
Choose whether you want to set up a business in the Mainland area, Offshores or Freezones
Businesses set up on Mainland are given the liberty to do business and trade within UAE Boundaries and Internationally. Offshore setup businesses are not permitted to do business with UAE. Another downside to offshore businesses is that the owners don’t receive residence visas. Free zones are highly beneficial as they are cost-effective and allow business and trade within and outside UAE.
Apply for pre-approvals
An initial application needs to be submitted to Dubai’s Department of Economic Development (DED) to ensure that there are no disapprovals of setting up a business in UAE. Documents required for the same are a Business registration and licensing form copy of your passport or ID, a copy of your residence permit/ visa, the company’s articles of association, and your business plan.
Apply for a License
UAE offers three types of trade licenses, namely, Commercial license, Professional license, and Industrial license. If you’re venturing into businesses that deal with tourism, export, import, sales, and real estate, it would be best to get a Commercial License. If you’re considering setting up a business that manufactures products, its best advised to get an Industrial License. A professional license is best suitable for service providers.
Open a business bank account.
To manage finance, you will require an official corporate bank account. You can apply for the same after you’ve received your Trade License. A bank letter is usually granted to help open an account in UAE banks.
Check for a location suitable to set up your business
One benefit of setting up your business in the free zone would be that it allows you to easily find a place to set up your business in. Find a location that’s easily accessible to you, your employees, and your customers.
Apply for a Visa
Usually, free zone areas offer visa packages where the process is much quicker. The visa gets processed as soon as the license is approved. If you haven’t opted for a free zone package, you will need to independently apply for a visa right after receiving your trade license.
Get in touch with a consulting agency
If the process still seems a little too hard. Help yourself out by getting in touch with consulting agencies. Since they have a bit of experience, they will give you detailed guidance and help you through your journey of setting up a business. This can be beneficial, especially to foreigners and freshers.
Why set up a business in Abu Dhabi’s free zone areas?
If budget is a concern for you and you’re looking out for a way to set up a business in Abu Dhabi cost-effectively, it is best suggested to set up your business in free zone areas. It is highly beneficial. Free zones are areas that don’t have strict regulations. In free zones, you are offered license packages that include visa eligibility and condoning facilities. Along with this, you may also receive a fully furnished office to build your business in. There are full ownership rights of your business. This benefits the owners as there is strict confidentiality and privacy given to them. Owners also have the benefit of tax benefits; they are exempted from personal and commercial taxes. In some cases, even VAT is exempted. However, even if VAT is present, it is comparatively low. There are no currency restrictions, and the repatriation of profits is fully provided. You can send the complete 100% of profits back to your home country. Besides free zones being cost-effective, they also aid in making the visa and license process easier. They offer packages that include several benefits. This makes setting up a business here a simple task. Hence it can be highly beneficial to freshers and foreigners looking to set up a business in Dubai. Free zones are located in prime areas within reach of ports which boost trade, export, and import activities. If you’re considering venturing into that area of business, setting up a business in the free zone would be highly suggested. One such area you can look at is Jebal Ali Free Zone.
UAE is always welcoming to those who want to set up their business. It is a flourishing commercial hub that is connected to all important commercial hubs of the world. Whether it’s your first time entering the business world or whether you’re experienced, UAE is set to cater to all your business needs.
To open your business compliantly and run it with right reliable partners, connect with TASC Corporate Services now.