Dubai is a member of the World Trade Organization (WTO), and a globally famed endorser of open trade. It upholds an extremely pro-industrial stance through the visionary policies of its government. This, naturally, has led to the development of a cult appeal for Dubai amongst investors, as a destination capable of rapidly bolstering their profits.
How to Start a Business in Dubai?
The establishment of a Business setup in Dubai involves the following procedures:
Obtaining a License: To set up a business organization, it is mandatory to obtain a License from the Department of Economic Development (DED). The nature of the business determines the type of license required. If the establishment is sought to be set up within a Freezone, the license should be procured from the concerned Freezone Regulatory Authority.
Finding an Office Space: A business based in Dubai is also required to possess its own office space.
Developing a Website: Whether you provide products or services, your business website will provide an alternative location to sell them.
Domain Name Registration: A domain name is an address which a business setup uses for its website.
If the business venture is an Internet portal for selling products, an Online Payment Gateway is also required to be set up to facilitate the same.
Paying Duties for Imports/Exports: Products imported, for sale in the UAE market, require the business establishment to possess an importer’s code from the concerned ports and customs authorities; also, entailing a 5% customs duty. However, businesses set up within a Freezone, who sell their products within the Freezone or outside the UAE, are exempted from customs duties.
Requisites for a Mainland Business Setup in Dubai
Despite the emergence of Freezones which impose even more relaxed degrees of regulation on entrepreneurs, Dubai Mainland registrations are still prized amongst investors, as the most lucrative sources of revenue within the Middle Eastern trade market.
- The Department of Economic Development (DED), a subsidiary of the Dubai Emirate, is the regulatory authority charged with the responsibilities of, business establishment registration, Mainland licensing, industrial co-operation, and safeguarding consumers.
- Categorization of the organization’s primary Business Activity; a maximum of ten related secondary activities allowed within a single Mainland License.
- Approval of the Mainland Setup’s name.
- For a Mainland Business License, a native sponsor is mandatorily required to be appointed. Nevertheless, the sponsor enters into an agreement, relinquishing all forms of involvement in the business setup’s operations and revenues.
- Even for a professional license, it is mandated for a native service agent to be involved. The agent has no influence on the matters of operation, merely acting as a representative to facilitate documentation.
- An application for preliminary Approval, from the DED.
- Preparation of a Memorandum of Agreement (MOA), and its notarization by the Court.
- Consent from the Dubai Municipality’s Planning Department, to obtain a tenancy for the Mainland Setup’s operational space.
- A second application to the DED, seeking Final Approval.
At Goldman Consultancy, we extend our earnest endeavors through a range of services, in securing the foundations of your new Dubai Mainland business venture and overseeing its rise. Our expertise has crafted many success stories throughout the course of our history.