Dubai is fast becoming the choice of both domestic and foreign investors for setting up a business in the city. There are several reasons behind this decision. Firstly, Dubai attracts maximum foreign investment because of its astro-economic strategic location and pro-business government policies. Secondly, Dubai makes an excellent platform for business houses and other entrepreneurs from around the globe to establish their businesses.
One important requirement for starting a business in Dubai is the availability of a business license. A business license is issued by the Dubai government to any individual who wishes to start a company or set up a new trade. The business license is valid for five years and can be renewed if the applicant so chooses. This makes Dubai a popular choice for setting up a business due to the ease with which an entrepreneur can get a license and operate his business without seeking the help of any government officials. As soon as the company formation process is completed and the license is obtained, the individual can start operating his business immediately.
Many entrepreneurs have said that they feel much more comfortable working in Dubai than in any other part of the world because there are no taxes or other legal requirements to worry about. This is one of the main reasons why entrepreneurs prefer to set up a business in Dubai. There are several reasons for this view.
In addition to the business license, there are other very important legal requirements that are required if you wish to set up a business in Dubai. The most important requirement is the payment of the necessary fees and charges for registration, permits and other related transactions. In some areas, such as Dubai free zones, the required fee is less than half of what is required to operate a business in another area of the country. The free zones are called “emirates” because the area is made up of free zones, and all business owners have to pay these fees in order to start their operations in the free zones.
Another advantage of the free zones in Dubai is that the personal expenditure tax is considerably lower than the personal income tax. Furthermore, entrepreneurs from all over the world have the option of setting up a business in Dubai, even though doing so requires them to invest a sizeable amount of money in equipment and property. However, the most significant advantage of setting up a business in Dubai is the ability to save a significant amount of money, mainly due to the presence of various special benefits. These benefits allow the entrepreneur to be able to save a huge sum of money, mainly due to the absence of the necessity of paying the necessary taxes and other charges. Moreover, entrepreneurs have access to a number of governmental programs, such as the “Oceansarium” and “The Green Deal”, which effectively contribute to reducing the burden of taxation.
On the other hand, if one wants to have an established business in Dubai, it is important that he/she has contacts in the right sector and follows the right steps. This can be achieved by contacting the right manpower and getting information about the available jobs. A new business owner can either set up his own office or hire an office space from a commercial property company in Dubai. The latter option is more preferred if an entrepreneur does not have contacts in the target sector or if he/she is unable to find an office in free zones that are suitable for establishing a business. A commercial property company in Dubai offers a wide range of options for entrepreneurs, such as offices, shops, restaurants, accommodation and warehouses.
For many entrepreneurs, the most important thing in setting up a business in Dubai is final approval of the purchase of the office space. There are certain clear guidelines that need to be followed in order to obtain the final approval. These include acquisition of property, the installation of essential equipment, maintenance, and operation of the office space. Besides, an entrepreneur should also submit the necessary documents in respect of the legal ownership of the land and the names of the original owners. Submission of the relevant business registration papers, bank statements, and income tax returns is also required to ensure final approval. Although Dubai offers a lot of opportunities for establishing a business in Dubai, it may not be easy for foreigners coming from the mainland to set up a business in Dubai. This is because most companies from the mainland are required to register their company in the emirate first, before going ahead with business transactions. This requirement may make it difficult for an aspiring entrepreneur to obtain the required registration and permits. However, on the condition that the foreign company pays the required sum for registration in Dubai, it will be able to open an office in the free zone. This has further resulted in increasing numbers of foreign businessmen coming to Dubai to set up a business.