02 Jan 5 Things You Need to Know Before Starting Your Own Business in UAE
It’s always a charm to be your own boss, and with the glut of businesses setting up in UAE, it sounds more appealing. In UAE, with the superfluity of foreign investment, it seems that every other individual can set up a business due to its highly pro-business environment, free business zones, and liberal legal processes. However, hearing amazing stories about the fascination of entrepreneurship is not enough; because it takes a lot more than that to be an entrepreneur. Undoubtedly, setting up a business in UAE is not as difficult as in other western countries, but still, you need to have some practical knowledge and proficiencies to start-up a company in UAE. Realistically, some processes are complex, whereas some are straightforward and easy; and to have a good knowledge of some fundamental legal and business matters is vital for your own benefit. With Business Setup Consultants – a leading consultancy in UAE, you can easily set up your business along with the team of professionals always available to assist by your side. But before plunging into the business world, here are 5 important things that you need to know.
01- Choose Your Business Type, Product, Demand & Market Competition
The first thing that you need to be sure about is the type of business that you want to start up and whether the product or service that you want to launch have any scope or the industry is already saturated. To know about the product you can conduct a market research either by yourself or could hire a professional market research agency for precise and accurate results. Thinking about the business nature is crucial because the entire process of incorporation and licensing depends upon the type of business you power up.
02- Settle On Suitable Incorporation Setup
In UAE, there are various options for incorporation and are available ranging from Onshore and Offshore companies to Limited Liability Companies (LLC), Joint Liability Companies, Holding Companies, Investment Funds, Public Joint Stock Companies, LLC with a Professional License (Local Service Agent), Private Joint Stock Companies and even Virtual Setups. Relative to your business type, you need to choose the most suitable incorporation set up. Each of these set up has their unique set of costs and benefits that you must find out. It is necessary to decide on the business nature and incorporation process at the earliest because these two will determine the type of licenses you will need. Once finalized, you can initiate your application, bank and visa process.
03- Stay Strong at Finances
For starting up business in UAE, you need to meet the minimum capital and local sponsor requirement. For instance, several free zones have minimum capital requirement between AED 50,000 to AED 180,000 depending on the business type. Additionally, at some free zones and financial institutions, you might need to fulfill the requirement of having a local sponsor who is a UAE national. Thus, it is advisable to have a sound funding source before venturing out, in order to avoid eleventh-hour pains and hassles.
04- Stay Vigilant of Regulatory & Compliance Requirements
Being honest, UAE has got some very firm legal and compliance requirements that you must meet in order to sustain. UAE has a very steady legal and compliance framework which is not complex but tends to lead to serious consequences in case of violations. While starting up or conducting business in UAE, you must ensure to meet all their legal and compliance requirements both in terms of documentation and practices.
05- Opt For Suitable Office Setup to Save Funds
Last, but not the least, go to the office set up that suits your business needs the most; as this can help you save a lot of extra costs. You have virtual, flexi, permanent and communal options and you can even operate with a work desk. Each of these options has the unique set of costs and benefits too, so choose the one that gratifies your wants.
How Could Business Setup Consultant Help?
BSC is a highly professional consultant firm in UAE which has a reputation for facilitating various successful clients in setting up their businesses in UAE. Our team is extremely proficient and well-versed in the field and can guide you throughout the process. We are just a call away for service. Please take out a minute to contact us directly through +971 4 4301245 or by sending us an email at firstname.lastname@example.org. You can also leave a message by using the comment section below.