Why Should You Start a Business in the United Arab Emirates?
It doesn't get much better than the United Arab Emirates if you want to establish a
new
business in a flourishing economy. The country is regarded as one of the most important
economic
hubs in the Middle East. The United Arab Emirates is well-known for its strategic
location
and
easy company establishment.
There are seven emirates in the UAE, each with its own set of advantages for setting up a
business on the mainland, in a free zone, or offshore.
Dubai
Dubai is regarded as the UAE's financial capital. The Emirate's main sectors
include
real
estate, trade, tourism, and financial services. In addition, the emirate has
approximately
30
Free Zones, each of which offers tax exemptions and property ownership incentives.
Sharjah
Sharjah is a fantastic place to start a business in the United Arab Emirates. You'll
receive
all of the benefits of a big city without the hefty price tag. Over the last few years,
the
area
has seen enormous expansion in terms of technology, arts, and culture.
Abu Dhabi
The capital of the United Arab Emirates is Abu Dhabi. The city is noted for its opulence
and
is
one of the wealthiest in the UAE. This area's main industries are real estate,
industrial
development, and tourism.
Ajman
Ajman lies at a fantastic location, just at the Arabian Gulf's entrance. Business
owners
may
access major cities, four ports, and two international airports from this area.
Manufacturing,
retail, and service industries are all popular in this Emirate.
Fujairah
Fujairah is the country's fifth-largest emirate. Because it possesses both a seaport
and
an
airport, it is a hotspot for import and export enterprises. It is also the only Emirate
on
the
Arabian Gulf, making it well-connected to other important cities such as Dubai, Sharjah,
and
Abu
Dhabi.
Ras Al Khaimah
Ras Al Khaimah (RAK) is only 45 minutes from Dubai. Its Free Zones are the closest to
China,
India, Iran, Pakistan, and the Commonwealth of Independent States in the Far East.
Umm Al Quwain
This up-and-coming state is close to Dubai and Sharjah, making it ideal for international
travel.
Umm Al Quwain is regarded as one of the most cost-effective Emirates for establishing a
business
in the UAE, with a simple registration process.
Not only are there seven growing places in the UAE to choose from for business setup, but
there
is also a long list of advantages to doing business here.
Here are just a few of the many reasons why entrepreneurs from all over the world choose
to
set
up shop in the UAE:
- No personal or corporate taxes
- Growing economy
- No foreign exchange controls
- Access to a diversified economy
- Modern facilities and infrastructure
- Free zone benefits
- Low import duty
- Flexible government regulations
How to Start a Business in the United Arab Emirates?
Foreign investors who want to set up businesses in UAE must adhere to the following
guidelines:
- Choose the company's organisational structure.
- submit an application for a residence permit (if applicable).
- The company name will be held in reserve.
- submit an application for a business licence
- Obtain the company's legal address.
- obtain work licences for international workers (if required).
It's good to know that the free zone authority where the business will operate will
handle
all visa applications and company registration procedures in a hurry.
Our experts can help you prepare the documentation you'll need to start a free zone
business
in the UAE.
In order to register a corporation in the Dubai free zones, the following
requirements
must be met:
- Most free zones allow for single or multiple owners, and the number of shareholders
determines the free zone company's corporate form.
- The Memorandum and Articles of Association are the documents that must be completed
in
order
to register a free zone corporation.
- The amount of money required to start a free zone firm is determined by the Dubai
free
zone
authorities (each free zone has its own regulations in this sense).
- Regardless of whatever Dubai free zone a company chooses, it must apply for a
licence
based
on the activities it plans to do.
- In the case of foreigners, appointing a local agent is required to complete the
Dubai
free
zone company registration process.
Types of businesses that can be established in Dubai's free zones
Foreign entrepreneurs can form free-zone limited liability firms or function as sole
traders,
while foreign corporations can form free-zone corporations with corporate shareholders
or
open
branch offices. Alternatively, investors can act as sole proprietors if they apply for
one
of
the free zone authorities' professional licences.
The following licences are available regardless of the sort of firm that is established
in
one of
Dubai's free zones:
General trading licences, trading licences, industrial licences, national industrial
licences,
and service licences are all examples of general trading licences.
Minimum share capital requirements apply to specific sorts of activity, depending on the
free
zone where the company will be formed.
Dubai's free zones have their own taxation system
The UAE's taxation structure, which mostly applies to enterprises in the oil and
financial
industries, is one of the most compelling reasons for international investors to
establish
businesses there. It's worth noting that each Emirate has its unique set of tax
rules.
Dubai
has one of the most favourable tax schemes among them. In addition, Dubai includes a
large
number of free zones that are self-governing and have their own taxation regimes.
