Do you plan to open your own business in Dubai? The city is a hub of entrepreneurial activity, especially since the government introduced incentives to encourage foreign investment. To optimise efficiency, the business landscape is subjected to numerous regulations and it’s well worth the effort to familiarise yourself with them before setting up a business anywhere in the UAE.
Below are five things to remember when you are planning on setting up a business in Dubai:
1) Research your niche in the market:
Before starting your business in Dubai, research the market thoroughly. Study your niche and focus your business plan on how your company can tackle a pain point neglected by other businesses. Through your marketing, emphasise to your prospective clients that you will fulfil that need for them. Without strategic brand differentiation, it will be very difficult to survive in today’s intensely competitive market.
2) Choose your company location wisely
Many new entrants gravitate towards Dubai’s free zones due to their attractive tax policies and smooth set-up processes. While these benefits are valuable, it’s also important to be aware of the fact that free zone authorities also impose several limitations on business activities.
For instance, most Dubai free zone businesses can only engage customers within their vicinity and are issued a limited number of employee visas. Therefore, despite its advantages, a free zone does not necessarily provide a growing ground for all kinds of small businesses.
3) Hire a Public Relations Officer
While the process of setting up a business in Dubai is streamlined, well-organised and accessible, many first-time business owners feel overwhelmed by the paperwork required by government departments or free zone authorities. For this reason, many find it extremely valuable to hire a public relations officer (PRO), or a professional business startup agency to assist them in setting up their company.
PROs typically offer a full range of business set-up services in the UAE. They coordinate with the authorities on the business owner’s behalf, ensuring that their business is correctly set up according to their specific requirements. This saves owners from a lot of hassle and keeps them from making time-consuming and costly mistakes.
4) Ensure your company name complies with regulations
When brainstorming names for your business, it’s important to keep government regulations in mind. Businesses cannot be named after a family, tribe or individual (unless it is the licensee), and they cannot share the same name as an established brand. Names of countries are also prohibited unless approval is obtained from the respective embassies.
5) Research a bank thoroughly before opening a corporate account
Dubai is home to as many as 45 corporate banks and it will serve new business owners well to carefully study their choices before deciding which bank to give their business. Corporate banks tend to have strict policies and high fees, which can significantly impact your company’s operations and profits. Make sure the regulations of your bank of choice favour your business instead of hampering it.
Do you have more questions about business set-ups in Dubai? Our experts at Decisive Zone have all the answers. Contact us now to book an appointment.
Decisive Zone is a business setup company helping you find the best-suited solution when establishing a company in UAE. Decisive Zone will advise you on the corporate structure and jurisdiction to choose from, while covering all technical, administrative and financial aspects of UAE business setup.