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5 things to know when starting a business in Dubai

May 29, 2021 Uncategorized 0 Comments

Holding the title of the UAE’s commercial capital Dubai is catering uncountable business opportunities and leading the commercial modules for investment to every different business body across the globe. International Branding and a business-friendly government are the two major key points that motivate different business entities to invest and start a business in Dubai. One hundred percent business ownership, low import duties, excellent infrastructure, numerous free zone, and less tax deduction, and many other advantages are received by new investors for Business setup Dubai as compare to neighbors countries.
However, starting a business here brings a different challenge. So, we are discussing with you 5 things that you should know before starting a business in Dubai, and then you will face fewer hurdles in your way to success.

  • Tax incentives for incorporation: The reformed taxation act of UAE provides the benefit of tax exemption on private income, company, and corporate tax. On the other side, if we understand this advantage, these tax exemption facilities help in getting 100% percent profit that you can reinvest to develop your business. This taxation feature of UAE law of tax has provided the freedom to the investors to work free-minded and gain a high success rate.
  • Ownership options are available: The UAE government provides two ownership options that are partial and full. It depends on you which one you will choose. You can go for the partial ownership(49%) option in all seven Aram Emirates or 100 percent ownership that is only allowed in free zone areas by running a free zone company. Under the partial ownership, 51% sharing will be held by a local (UAE national) partner. You should find a reliable partner before choosing a partial option.
  • Easily availability of Staff: The beneficial immigration and labor act has increased the ratio of manpower available in Dubai. You can find professionals of every field and nationality that are available to offer their services for your business or company.
  • Competition: As Dubai is the hub of many business entities across the globe, that means you are also going to face huge competition to remain in the market. So be prepared to face different competition phases. It will be better if you focus on learning different business strategies to bring down your future competitors.
  • Favorable currency exchange rate: Before starting a Dubai business setup, you should clear all your doubts about the Exchange rate of Arab Emirate Dirham. The UAE currency is stable and favorable with most of the currencies. It’s been two decades since the currency has not changed by the UAE authorities.