Foreign investors in huge numbers are motivated to setup business in the UAE every year. Recently, this country has been listed as the World’s best place for doing business, according to World Bank.
UAE market is said to be welcoming the new entrepreneurs to take advantages of the sops that the government has been offering in various forms. This country is eager to decrease its dependence upon oil, when the country’s GDP is taken into consideration. The objective is to develop relaxed diversification measure in the business module of the country. Such factors have impacted largely the business setup avenues. However, there are few things that you need to consider before venturing into the market. This place does offer every entrepreneur the much needed platform for creating his dream entrepreneur.
Few essential things that you should know
- Huge investments: Since you are to play in a foreign market, it is definite that the learning and implementation process would take sufficient time. You need to have operational cost estimated properly besides the investments to be made. The certifications, government fees, acquiring permissions also have to be considered.
- Understanding differences between – Offshore/Freezone/Mainland: UAE’s business setup layout is divided into 3 parts, namely, Offshore, Freezone and Mainland. Such jurisdictions have been allotted according to the requirements on feasibility, ownership and taxation. It is also based on the conducted business activities.
- Understanding paperwork and legalities: When it comes to paperwork, agreements and documentation legalities, the UAE market is quite stringent. Making delay in these issues can mean your company being imposed with heavy fines.
- Knowing licensing stage and incorporation process: It is based upon the research performed on business practicality and market investigation in the UAE that you decide upon establishing a company here. Besides knowing the trends, currency and the new place, you are also to know the company’s licensing and incorporation process. It is necessary for you to know about the involved licenses and check which would suit your company perfectly. Having the trade license incorporated can be a huge process.
- Competing with the global market: Talents across the world can find the UAE to be a wonderful global platform to launch their creativity. Excellent connectivity with more than 200 countries, world class infrastructure and the booming economy is what has been luring small entrepreneurs and multinational companies to set up base here.
Knowing the above factors can help you to be well prepared to set up your business in the UAE without any hassle.