Many friends have recently been contemplating on how to start a business in Dubai, owing to the ongoing COPID-19 economic crisis. Many expatriates who had their jobs in Dubai prior to the outbreak have done detailed research on how to start a business in Dubai, and this article will look at different facets of starting a small business in Dubai including legal requirements, fees, Opening a bank account… The laws regarding setting up a small business are strictly followed in Dubai and are considered as one of the major factors that have boosted the economy of the United Arab Emirates (UAE). Starting a business is not as easy as you may think. There are certain legal formalities to be fulfilled, which need to be done before you can be able to legally open up your business.
Before you actually start to set up your small business, you first need to get a visa for the purposes of establishing it in Dubai. In order to apply for a visa, you have to have a UAE national ID or Passport, and a visa number from the concerned department that handles immigration issues. A UAE national ID is required by all foreign nationals, and this can easily be procured from the concerned embassy of your intended country. The Passport serves as proof of identity, and this is required for all visa applications. The Passport can be used as a proof of identity for a visa and is thus a requirement if you wish to bring over family members to work in Dubai.
After getting the required documents, you can now proceed with the process of applying for a license to operate a company. Company formation experts in Dubai recommend that the companies should be registered in the Companies House, and the most common business name is the name of the company that was issued by the Department of Business and the Dubai Telecommunications Authority. In order to start the company successfully, it is recommended that the director of the company should be a resident of Dubai. This is because a company needs to be registered in Dubai in order to operate legally, and only a UAE resident can file for a company registration without any difficulty.
Once the necessary documents are in place, you can proceed with the process of how to start a business in Dubai, especially related to the issue of license. You need a license in order to trade in the free zones, and one of the easiest ways to get a license is to become a nominee of the Dubai Authority in Taking off Foreign Investors in Private Business (FAIPB). This award is granted to those who prove their capability as business managers to the satisfaction of the Dubai government. Nominees of the FAIPB are required to undertake a specified number of projects in free zones before being awarded the license.
The next step in the process of how to start a business in Dubai is to find a free agent or a company formation in Dubai that offers the services you require. You can select a company formation in Dubai that provides you with a full service including registration, company formation, business development, and administration as well as legal aid. Be sure to choose a company formation in Dubai that is located in the free zones in order to avoid paying hefty service charges. Choosing a company formation in Dubai that is located outside the free zones could prove to be a good idea if you do not want to pay anything in order to set up a company. But, if you require more service then it would be advisable to select a company formation in Dubai that is located within the free zones.
Once you have zeroed in on a company formation in Dubai that meets all your requirements, you will need to submit a request for a license application. You will be required to present information such as your name, business activities, office locations, contact details, and financial and legal references. You will be required to submit this request before your deadline for submitting the business permit.
After receiving your license application, you can now proceed with the company formation expert in Dubai to open your new company. Before letting the company official conduct the opening procedure, you are advised to check the legal requirements in terms of fees and taxes. On the nature of your business, you are required to state if you are engaging in a regular type of operation or if you are engaged in some kind of service that has become quite specialized. In the case of a regular type of operation, it is important to state the number of employees you have and the number of employees that you intend to hire during the first two years of your operation.
Also read: Company Formation in Dubai – Offshore Or Onshore System?
If you are starting out your business with just one employee, you are not required to obtain any company formation permit. This means that even if you are a non-UAE resident who is just planning to establish an offshore company, you do not need to obtain a small business visa. The only requirement is that you have to follow all the laws of your home country when doing business inside the UAE. This includes paying taxes and obeying other rules of the law. You can do so by consulting a UAE visa consultant who will assist you in obtaining the necessary forms and documentation for a small business visa.