Business Setup in Dubai
Dubai is a popular business destination for investors around the world. The attractive business setup packages from the Free Zones and the Dubai Economy are driving new business registrations in the region. Business Setup in Dubai is beneficial for foreign investors in many ways. There is a robust business infrastructure support the Free Zones offer the expatriate investors for easily setting up a company.
The 100 % company ownership by foreigners, absence of income tax and corporate tax, provision for full profit repatriation, availability of a wide range of business activities, growing networking opportunities, and more make business setup in Dubai a lucrative business investment for foreign investors. The introduction of long-term visas, easy company bank account opening, and a series of business-friendly company laws have made Dubai the first choice among many business owners to establish their dream company.
Business Setup Options in Dubai
Dubai is known as the Land of Free Zones, the City has almost 15 Free Trade Zones that offer specialized business license packages ranging from services, consultancy, media, eCommerce, commercial, and more. There are various Business Setup options in Dubai and setting up a business in the Free Zones of Dubai is the preferred choice among foreign investors due to a host of benefits.
Business Setup in UAE Mainland is also a popular option among business investors. Especially, the 100% expatriate ownership in Mainland Companies make Business Setup in Dubai Mainland a prospective choice for foreign entrepreneurs.
1. Dubai Free Zones
The Free Zones in Dubai can be categorized as Established Free Zones and newly formed Free Zones. Each of the categories has its benefits and offers custom-made business setup packages and facilities for the investors based on their business activities and business requirements.
In Dubai, there are well established Free Zones that are in operation for a decade and more such as the Jebel Ali Free Zone, Dubai Airport Free Zone, Dubai Multi-Commodities Centre, and a host of new and dynamic Free Trade Zones such as Dubai Silicon Oasis -IFZA, China Centre, Dubai CommerCity, Dubai South, etc.
1.1 Setting Up a Company in Established Free Zones of Dubai
Setting up a business in an established Free Zone in Dubai has its core advantages. The well-established Free Zones of Dubai have a large area available as office spaces, business centers, large warehouses, manufacturing units, lease land. etc.
The Established Free Zones in Dubai are located in key business areas and trade points such as adjacent to Airports, Sea Ports, and Business Districts.
For example, the Jebel Ali Free Zone is located adjacent to one of the largest Man-Made Sea Ports in the world, the Jebel Ali Port. The Port handles an enormous volume of import-export yearly. The Free Zone also offers a series of support services to the investors such as in-house customs registration, logistics, and transport services.
Also, the Free Zone has a complementary solution for meeting the company's storage, packaging, and distribution service requirements. The power and water consumption for large warehouses, office spaces, etc., are covered as part of yearly rentals.
The Free Zone offers numerous business benefits such as VAT exemption for selected transactions, no corporate tax, full profit repatriation, 100% foreign ownership, world-class office facilities, and more.
The established Free Zones will have a prestigious Dubai Address and upscale facilities and company formation packages. The price premium will be reflected on the cost of the business setup in Established Free Zones such as DAFZA. JAFZA, and DMCC.
It is a perfect place for establishing company Head-Quarters of large and small companies who offer their services at a premium and wants to have a prestigious Dubai Address for their business establishments.
1.2 Setting Up a Company in New Free Zones of Dubai
The new and dynamic Free Zones in Dubai is a hub for start-ups, freelancers, and entrepreneurs to establish their dream business ventures more cost-effectively. The new Free Zones of Dubai offer a wide range of business licenses and business activities for entrepreneurs.
Business Setup in Dubai Free Zones starts from AED 11,900 for a Zero Visa Quota business license without an office space. Investors choose the low-cost option to easily scale up their business in their field of interest and keep the initial setup and operation cost at an all-time low rate.
The new Free Trade Zones in Dubai offer competitive business setup packages with attractive offers for easily setting up your dream company in Dubai without any hassle. Investors get benefits from registering their company in Dubai in many ways.
The strategic location of the Free Zones, the well-connected transport network, robust technology, business infrastructure, warehousing support, etc., drive the business setup in Dubai. Businesses can easily achieve productivity and scale-up in business activities by leveraging the Free Zone’s Business infrastructure and services.
when compared to the Established Free Zones in Dubai, the newly formed Free Zone offer much competitive and low-cost pricing packages that are ideal for start-ups and new businesses in Dubai. Depending on the specific business requirement the investor can choose between the available options.
Our team of expert professional Consultants will assist you with the right Free Zone selection and end-to-end business setup process at the lowest cost by studying your precise business requirements and budgets.
2. Dubai Mainland
Business Setup in Dubai Mainland is governed by the Dubai Economy (Department of Economic Development). Dubai Economy is the licensing authority that issues the business license in Dubai depending on the chosen business activity. Dubai Economy offers a range of cost-effective business license packages for foreign investors to easily establish a company in Dubai. All required business support and infrastructural requirements can be availed by the investors while setting up their company in the Dubai Mainland.
Ranging from co-working spaces to large industrial units the Dubai Economy offers 3000+ business activities for business setup in Dubai. Limited Liability Company is the most common type of company structure that is registered in the Dubai Mainland.
The 100% expatriated ownership in the company shares, full profit repatriation, significant tax savings, easy scalability of business, flexibility to expand office by adding new branches and hiring more staff, etc., makes LLC Company setup a favorable choice for the business investors in Dubai. To know more about the latest business setup package details for Free Zone and the mainland of Dubai, talk to our expert team of Business Consultants right away!
Business Setup Process in Dubai Mainland
Business Setup in Dubai Mainland is becoming a popular choice with the 100% expatriate ownership and elimination of the Local Sponsor/Agent requirement. There are numerous advantages for investors in setting up their company in the Dubai Mainland. There is immense flexibility for the entrepreneur in taking an office space, expanding the office space, hiring additional staff, and more. The business setup in Dubai Mainland follows a step-by-step process. Our Expert Business Consultants will guide the Investors across the business setup process and beyond.
Following are the key steps involved in setting up a business in the Dubai Mainland:
1. Getting the Name Approval for the Company
The name of the company must follow certain guidelines mentioned in the Name Policy Manual from DED. We will assist you in choosing the right name for your business.
It is a key step as the chosen name of the company will appear across all official documents, marketing, and all communications made by the company.
2. Choosing the Right Business Activity and Business Jurisdiction
The company is entitled to conduct trade in the specified activities in the trade license only. Any trade activities conducted outside the scope of the trade license are liable for penalty and license cancellation.
Hence the right business activities must be chosen by the investors when the company is established. AURION will assist the investors with choosing the exact business activity for the investors. Similarly, choosing the right business jurisdiction is also an important aspect of business setup for the smooth functioning of the company in the future.
3. Submitting the Documents of the Shareholder(s)
The shareholder documents, company registration application form, must be submitted to the Department of Economic Development (DED), Dubai for initial approval and processing of the Trade license for the company.
4. Getting the Initial Approval and Paying the Fee for the Business License
The required fee for the business license must be paid to the authorities and obtain the initial approval for the processing of the trade license for the company. All supporting documents, office tenancy contract, etc. must be submitted to the authority for obtaining the trade license.
5. Obtaining the trade license for the company and applying for the UAE residence Visa for the investor(s)
Obtain the trade license for the company and start operating the business legally. The investors can apply for UAE Residence Visa and sponsor their dependents, hire employees, buy property, get a driving license, and more.
6. Proceed to open a business bank account with the company documents
Once the Trade License is in place, the company can apply for a Corporate Bank Account. The Shareholders must provide their details for KYC Compliance. The Corporate Bank Account will enable the Company to send and receive trade payments and obtain loans, credit cards, etc. for the company expenses and operations.
The business setup process in Dubai is best executed with the help of an experienced business consultant such as AURION. The business setup process in Dubai must be executed the right way to avoid further complications during the business. The business consultants will guide you to the right choice considering all the available options.
