Being one of the world’s greatest names when it comes to economic development, the United Arab Emirates has become a haven to budding SMEs and startups who are looking into building a strong presence in the global market. Millions of businesses and companies have come to the country to experience the numerous benefits the UAE has to offer.
Now that you’re on the most essential part in jumpstarting your career as an investor in the UAE, here are some tips on how you can ensure the success of your business in the UAE:
1. Find the Perfect Jurisdiction and Authority
In setting up your business in the UAE, the first thing that you should do is choose where you will set up your company. The UAE offers its three jurisdictions for company formation, which all have their own priorities and benefits:
● Mainland Business Setup is the perfect choice should you wish to conduct local economic activities and become a player amongst the ever-growing healthy competition among the established and developing businesses in the UAE. You would need to find a local partner as a basic requirement for opening in a mainland company. In the UAE, the Department of Economic Development of your chosen Emirate issues the licenses for mainland companies.
● Freezone Business Setup, on the other hand, offers 100% foreign ownership and lower setup costs compared to mainland business setup. Companies registered in the freezone are not allowed to conduct local trading activities, but they can do so with the rest of the world. The UAE has over 40 free zone authorities operating, with each having their own specialties and benefits.
● Offshore Business Setup offers low maintenance and setup fee. It is the best choice for holding companies and asset protection. Like free zones, offshore in the UAE does not permit local trading activities.
A lot of things have to be considered in order to pick the right jurisdiction and authority for your company. Package cost, visa allocation, facilities available, incorporation timeline, and overall working environment are some of the variables that you would need to look into to get a bigger picture of the available company formation in the UAE.
2. Consider the Costs
Business setup in Dubai and all other Emirates does not mean that you would need to spend a lot of money. Sometimes, you would need to think about what are the urgent expenses of the company and what you can cut down from your requirements .
For example, in setting up a free zone company, some authorities do not require a physical office, hence you do not need to lease one in the free zone. Your workforce is also something to think about, as additional visa allocation for your license will incur additional fee. Would it be safer to hire a service provider other than hiring an employee for your startup?
Cutting down your cost means a lot especially if you’re new to the playground – might as well look into all other available choices before making any move.
3. Research About the Latest Trends and Your Current Market
Before venturing on a certain business, make sure to make an in-depth research about your target market. Getting the pulse of your prospective clients is a good starting point in order to measure your business’ strengths and weaknesses.
Conducting market research also helps as present and future references, especially in creating effective marketing and promotions, risk management, accounting and budgeting, and plans of expansion. Know your product and/or service, at the same time, know your clients as well.
4. Build an Online Presence
According to the World Bank, 99% of the population in the UAE have been using the Internet in 2019. This remarkable finding made the Internet and numerous social media platforms relevant in creating an overall branding and building your clientele. As most transactions now are happening online, especially with the rise of digital payments and e-commerce, a responsive and functional website is an effective way to maximize your audience reach.
An online branding and digital content strategy also helps in making your products and services known. Your website and/or social media platforms are also potential customer service tools with prompt messages and answers to inquiries made by prospective clients.
5. Pick an All-In-One Local Agent
Setting up a business in the UAE is just one thing, keeping it running is another. The UAE has a vibrant and dynamic community, equipped with legal policies and procedures to ensure the safety of each member of the country. With this, sometimes, a little help may not be a bad thing.
Acquiring the services of a local agent ensures that all paperworks and additional services will be taken care of, giving you more time to work on what truly matters – the fulfillment of your dream empire. Make sure to pick a licensed agent with the right mix of courage and practicality and who is willing to help you since day one.
How Can IBG Consulting Help You?
IBG Consulting extends its help in forming your startup here in the UAE. We are a team of consultants from all around the globe who are equipped with years of experience in knowing and giving the best advice to our clients.
We offer company formation in Dubai and the rest of the UAE, as well as corporate support services such as visa and license-related services, PRO services, accounting and bookkeeping, and digital marketing.
Let’s jumpstart your empire in the Middle East’s center for development. Contact us today.