If you’re looking for How to start a business in dubai for foreigners?This article provides the right answers to all doubts regarding business licensing and foreign investments for those considering starting a business in Dubai.
Entrepreneurs have two options for setting up their business: mainland and free zone. To choose the right location, it’s important to understand the benefits of each.
In Dubai, non-residents can achieve 100% ownership of their businesses. However, in the mainland, a local sponsor is required. UAE nationals hold 51% of company shares, while foreigners can own up to 49%. Additionally, free zones offer lower corporate taxes compared to the mainland.
What are the advantages of starting a foreign-owned Business in Dubai?
- Strategic Location: Dubai serves as a central hub, offering access to markets in Asia, Europe, Africa, and the Middle East.
- Business-Friendly Environment: The government has created a business-friendly environment to attract foreign investments, making it easy to start and operate businesses in Dubai, UAE.
- Tax Benefits: Dubai offers various tax deductions, including zero corporate tax and personal income taxes.
- Diverse Economy: Dubai boasts several industries such as tourism, real estate, finance, logistics, and technology, providing opportunities across various sectors.
- Modern Infrastructure: Dubai has modern transportation networks, advanced communication systems, and state-of-the-art facilities, which are conducive to businesses.
- Access to Talent: With a diverse population comprising different nationalities, Dubai offers access to a skilled workforce with diverse expertise.
- Quality of Life: Entrepreneurs benefit from Dubai’s high living standards, modern amenities, and cosmopolitan culture.
How can a foreigner setup business in dubai ?
- Define Business Activity: we must understand our business nature to identify the required license. But don’t worry, our experts will help you choose your business activity.
- Choose Business Name: we must select a unique business name according to UAE standards. It’s always better to have more than one name in mind incase if it’s not available. There are few rules we must keep while naming.
- Select Business Structure: There are many business structure and you might be feeling difficult in choosing it. To know more about different structure check this article about types of business structure in dubai. Also, We will provide you a free consultation to make you clear on this matters.
- Choose Location: Choosing mainland or free zone is our next step. We have talked about it earlier about advantages of taking free zone and mainland.
- Register Business to appropriate authorities : Submit documents like business plan, passport copies, and application forms to appropriate authorities.
- Obtain Business License or trade license : Apply for the relevant license (commercial, professional, industrial, or tourism). Furthermore, Learn more about different types of licenses.
- Opening a Corporate Bank Account: Provide registration documents to open a corporate bank account.learn how to open a business bank account.
- Obtain Visas for company: Secure a visa for living and working in the UAE.
What business can foreigners/ Non-residents start in dubai?
Cafe in dubai
Starting a cafe in dubai is like an adventure, Since there are various nationalities residing in dubai And If you are able to produce some special coffee and good looking ambiance for the cafe. Also, Chances of getting customers are abundant.Learn more about starting a cafe in dubai.
Trading Company
Dubai’s strategic location makes it an ideal hub for trading businesses. So Foreigners can establish trading companies to import and export a wide range of products, taking advantage of the city’s extensive transportation networks and logistics infrastructure. Whether dealing in electronics, textiles, or luxury goods, a trading company can capitalize on Dubai’s position as a global trading center.
Travel and Tourism
Dubai is renowned for its tourism industry, attracting millions of visitors each year with its iconic landmarks, luxury resorts, and cultural attractions. Foreign entrepreneurs can capitalize on this demand by starting a travel and tourism business, offering services such as tour packages, hotel reservations, transportation arrangements, and leisure activities.Also, With the right marketing and partnerships, a travel agency can cater to the diverse needs of tourists and business travelers in Dubai.
Limousine Business
With Dubai’s reputation for luxury, a limousine business can thrive in this market. Providing chauffeur-driven limousine services for airport transfers, corporate events, weddings, and special occasions can cater to the city’s affluent clientele.Also, Offering premium vehicles, professional drivers, and personalized service can differentiate your limousine business and attract high-end customers seeking comfort and style.Learn more about starting a limousine business in dubai.
In summary, foreigners and non-residents can venture into various business opportunities in Dubai, including cafes, trading companies, travel and tourism agencies, and limousine services.Secondly, By understanding the local market, fulfilling customer needs, and delivering quality services, entrepreneurs can establish successful businesses in the dynamic and competitive landscape of Dubai.
What are the documents required start a business in dubai for foreigners?
- Passport Copy: Passport copy of business shareholders is required.
- Visa Copy: Visa copy of shareholder is required
- Business Plan: We must have a clear outlining objectives, strategies and financial projections
- Letter of Intent from Local Sponsor: Needed for mainland licenses in certain cases. But not required in free zone
- Certificate of Good Conduct: Clean criminal record certificate is required becuase dubai is a safe place and government doesn’t want to keep it as normal..
- Additional documents may be necessary depending on your business activities and other factors.
How much does it cost to set up a business in dubai as a foreigner?
The cost of setting up a business in Dubai as a foreigner can vary depending on several factors, including the type of business, its legal structure, location (mainland or free zone), required licenses, office space, visa fees, and professional services.
However average cost to setup a business in dubai as foreigner is between AED 15,000 to AED 25,000 and additionally there is a cost of 2000 dhs for Non-arabic name of company.
In conclusion, starting a business in dubai as a foreigner gives you several benefits like low taxes, business friendly environment and strategic location. But it’s hard for you to setup from a different country. Our experts from JP international Management Consultancy is ready to guide you to a successful business setup in Dubai.
