Starting up a company in one of the wealthiest nations in the world can be intimidating, especially when you are not aware of the process of company set-up in Dubai. But with expert guidance, it is not impossible to set-up and run your business here.
According to leading business consultancies, the following are some of the key points fora successful company set-up in Dubai:
Mainland vs Free Zone
One of the important questions to ask is this;what kind of company set-up in Dubai should you choose? This will affect the operating jurisdiction of your future business. Do you opt for Mainland Limited Liability or Free Zone company? Basically, the right choice will depend on the business’ nature and the kind of activities it will carry out. Here’s what experts recommend;if you are planning to conduct business within and outside Dubai or UAE, then opt for Mainland. But if you are operating outside the UAE and prefer to have 100% ownership, go for Free Zone.
You have to clearly determine the business activity to know the right license you should apply for. Keep in mind that certain activities require approvals from government bodies. These include road and transport services, oil-related services, and telecommunications.
Whether you plan to have a Mainland or Free Zone type of company setup in Dubai, you need approval from government authorities. The only difference is that starting a Free Zone company requires less bureaucratic licensing procedures despite each Free Zone having its own rules and regulations. Mainland company requires approval from different authorities like DED (Department of Economic Development), DM (Dubai Municipality), Ministry of Labor (MOL), and more.
Selecting the right location for your business in Dubai can be tricky. You have to make sure that you are in a strategic place where your clients and customers can reach you easily. Partnering with expert business consultants who are knowledgeable about the UAE market will be advantageous. Not only will they assist with the selection of the perfect location, but they can also help with other things such as getting the proper licenses, finding local sponsors, and providing legal support.