Do’s and Don’ts of Starting a Business in the Emirates
Setting Up A Business In UAE, Entrepreneurs from all around the world are always on the lookout for new prospects and profitable opportunities for business growth. Emirates offers the ideal answer to all of the corporate concerns of entrepreneurs! Doing business in a cosmopolitan state with vast opportunities and an ever-expanding economy is indeed a dream come true in many ways.
What You Need To Know Before You Venture In!
Starting your own business may seem adventurous and exciting, but you need to make sure everything is in order so you avoid as many hurdles as possible along the way.
Check on These Possibilities First:
Consider All Possible Options:
It is extremely important to take into consideration all the business setup possibilities. Instead of being hasty in choosing what is readily available and referred by others, for setting your business up; you should prefer in taking the time out to select the right options that are suitable for you. Start by checking, if it will be good to go for a Mainland or a Free Zone Trade. Consider the business activity you wish to enlist under the license. Consider the market and competitor statistics and trade ethics. Consider geography, finances, profits, visa limitations, consumer requirements, etc. When you have it all set in front of you, choose accordingly, and plan the next step.
Choose an Emirati Sponsor for Mainland Business:
If you choose a Mainland Business Setup, the first step would be to choose a local sponsor for your business. A local sponsor has 51% of the company shares and he/she is not directly involved in the business daily activities unless they are your working business partners as well. With Mainland Business, you can choose the location of your business and start with minimum startup finances. Make sure to be on good terms with your sponsor as you may need them to face the authorities during registration and once the business is up and running.
Select Free Zone Trade for 100% Ownership:
If you are looking for 100% business ownership and 0% in corporation tax, then Free Zone Trade is what you should consider investing in. You don’t even need to set up a physical office for this kind of trade; you can work virtually and that is going to save you a lot of cash too. Nevertheless, if you do plan to rent an office, make sure you visit the authorized offices available in the Free Zone areas of the country. Another benefit of this type of business is that their registration and setup process is far easier than Mainland businesses.
Consider the Best Location Available: Now this is a bit tricky; make sure you select the premises of your business based on how convenient it is for the customers to reach you. Consider the cost, distance, business activity, product, or services you offer, and above all, consider your clients. Do your research and find the perfect area. Make sure your business is getting fulfilled in that location.
- Check Your Visa Eligibility: You need a residence permit to live in the UAE, so does the staff you will hire once your registration setup is complete. The number of visas to a particular business varies, depending upon the size of the office, business activity, and your trade license. For Mainland business, your local sponsor will provide you with the Investors Visas and Residence Visas and Work Permits for Employees as well.
Ward Off These Issues Next:
Don’t Work Alone:
Instead of doing everything on your own, consult a good business consultant and let him/her aid you in making decisions and researching the market for your business. Moreover, get the help you need when it comes to attaining your trade license or registering for your company. Sometimes things may get difficult and that is when the right expert will guide you through, be it business development or financial needs.
Don’t Follow the Crowd:
Make sure you do your own research. Hire a business expert, go and search the grounds if you need to. At times, things can be misleading and it is vital to know it all before deciding the best option there is for your startup.
Don’t Forget to Get the Right License:
Doing business in another country requires the businessman to have evidence-based information and business regulations of that country. You need to consider the types of business licenses the country offers, the kind of business activities you can choose from, the number of visas that will be assigned to your setup, and so much more. Make sure you choose a bank that meets your corporate needs; take help from a business consultant in this matter. Lastly, keep in mind the culture and norms of the country. This may seem unimportant but will be helpful in the end.
Don’t Be Too Hard on Yourself:
Setting up a business in UAE is not easy, especially when it comes to such a competitive business hub as the UAE. Make sure you concentrate on the right things and don’t overwork yourself. Discipline and Fortitude is the key once your business is up and about. Overwhelming and burdening yourself with the unnecessary is eventually going to take a toll on your business too.
Keep yourself calm and focused. Good Luck!