Has investing in Dubai crossed your mind lately? What an excellent thought! While many people see this Emirate as a land of skyscrapers, luxury, and constant sunshine, they should not overlook the fact that it is a melting pot for entrepreneurs and investors from all over the world. You may be just starting in the world of business, or you may be a seasoned serial investor, whoever you are, Dubai is a great place to set up a business. It is far easier and more exciting than you may think!
Invest in Dubai – How to Set Up Your Business
In this SetHub guide, we will break down investing in Dubai in a manner that isn’t just business and bureaucratic jargon, so keep reading this ultimate guide to investing and setting up a business in the City of Gold.
Why Choose Dubai?
So why would you even want to consider putting your money in Dubai? There are many reasons, as we have outlined below:
Dubai’s location is ideal because it is right in the middle of the earth (not literally) Given that it is a transit point for the east and west, you can access billions of consumers within a few short hours.
You may have already heard about the attractive tax policies in Dubai, there is no personal income tax and corporate taxes too are very competitive compared to the rest of the world.
The economy here is as diverse as its expat population. From small businesses to luxury goods and so much in between, every industry is welcome and has a place in Dubai.
Dubai is also home to infrastructure that is unmatched. From its lightning-fast internet speeds to offices from the future, Dubai has it all.
So, How Do You Start?
The first step is to decide what you want to do in Dubai. Is it a retail store, a consultancy firm, or an e-commerce platform? If you visit the Dubai Department of Economic Development (DED) website, you will be able to access a list of all the possible business activities that you can engage in. Also, take a look at the Invest in Dubai DED platform, we’ll get into detail about this shortly.
The next step is to think about your business structure. Dubai offers several so here is a breakdown of the more popular options:
- A Mainland Company will give you access to the local market and the ability to trade inside Dubai.
- A Free Zone Company is better if you want to conduct international trade and require 100% foreign ownership
It is now time for you to think about the location of your business. For retail shops, look at spaces in downtown Dubai or Dubai Marina. If you are a tech company, free zones that cater to your industry are your best bet. If a great office location to wow your clients is what you are after, then Business Bay might be a great choice for you. If you refer to Invest in Dubai, you will be able to compare locations. Allowing you to narrow down your choice.
When deciding on your business name, try to get as creative as you can because your name must stand out. However, keep in mind that it must be compliant with the naming guidelines in Dubai. Once decided, reservation of the name can also be done through the Invest in Dubai login portal.
To make things official, you will need to secure a license from the DED or free zone authority. You can secure one under one of three categories:
- Trading businesses should obtain a commercial license
- Industrial licenses are more suited to manufacturing or production-based activities.
- Professional Licenses are better suited for service-based businesses like consultancies.
Visit the Invest in Dubai DED platform and you will realise that this process is so streamlined! You can get this done from anywhere as long as you have a mobile device.
If you have a business in Dubai, then residency visas are very easy to secure for both yourself and your employees. The number of visas that you are entitled to entirely depends on your office space and the structure of your business. Don’t stress too much about the visa process. It is quite easy to handle on your own
Now comes the task of opening a bank account. It is essential to conduct business in Dubai. When deciding on who to bank with, go online and look for one that best suits the needs of your business. You will also want to work with a bank that guarantees seamless international transactions.
You will also need to build your presence online. This is non-negotiable! You will need a website, social media presence, and possibly an app depending on your business. This is just the tip of the iceberg as in today’s world, your online presence is everything! Go the extra mile and integrate your online systems with government platforms like Invest in Dubai, making things like tax filings and updates simple.
The rest is in your hands now that the groundwork has been taken care of. You must network for success! Never miss an event, no matter where it may be. From trendy events at the Burj Khalifa to casual meetups in JLT cafes, opportunities to connect with fellow entrepreneurs are everywhere. Also, consider joining industry-specific groups, attend expos, and don’t forget to bring your best elevator pitch. Dubai loves bold ideas above all else!
The Final Step
Being in business does not stop there, you have to be on the ball regarding compliance! The basics of this are:
- Renewing your trade license annually
- Maintaining proper financial records
- Complying with VAT and other tax requirements.
Final Thoughts
So, whether you’re eyeing the free zones, the mainland, or even taking a dip into the Dubai market, this guide has hopefully made the journey seem a little less intimidating, and maybe even a bit fun. Remember, with the right planning, a touch of creativity, and tools like Invest in Dubai DED, you’re already halfway to success.
