The culture in Dubai is extremely diverse. What’s more? 2019 is supposedly the onset of Dubai’s year of Tolerance. Thus, currently, Dubai is becoming a leader in acceptance and is paving way for peaceful co-existence with numerous cultures and ethnicities.
So, undoubtedly if you’ve been thinking to establish a business in Dubai, now is the right time. What’s more? Dubai’s Economic stability is the best in the globe right now, so if done properly, the UAE will reward you with surplus profit.
However, the main issue is understanding the basic tips to set up a company. Now, you might have found financial consultants to aid you in your Dubai Company formation with bank account; but, there still are things you should know.
This is why today’s blog will highlight a few Do’s and Don’ts of setting up a startup in Dubai.
1. Find a Territorial Sponsor
Dubai will offer a plethora of perks to business, but these startups need to understand how to exploit the potential of Dubai. The best way to do this is to get in touch with an enumerated LLC business in the locality.
This local sponsor or partner should get to share 51% of the partnership as this can be extremely beneficial for a startup. The reason being thanks to the local business your company can be located anywhere in the country.
Now, all you need to do is negotiate with the sponsor and pay the company a monthly fee.
2. Select a Locality that Agrees with Cost, Convenience and Fittingness
The next crucial step to undertake while planning for a business startup is, deciding which location will bring you maximum profit. Now, you can select a profit-based enterprise but that might not be very beneficial to you.
Why? Well, if customers can’t reach you, what good will that be?
Thus, depending on the type of product or service you sell, find the most convenient location in Dubai, which can guarantee you, maximum customers. For example, if you’re thinking of setting up a company in a Free Zone then you need to consider things like trade requirements, costs, business models, products, etc.
Apart from this, you also need to sign a tenancy contract and ensure basic concerns like space, telecommunication, space, etc. are satisfied.
3. Get the Best Registration Agent
As mentioned above, the most crucial thing to do is to hire a business advisory. These consultants will aid you in opening your bank account, registering your company, help you with renewal procedures and even arrange for the auditor.
Additionally, the best financial business consultants have experience in dealing with Free Zone Authorities and ‘native government bureaucracy’, which assists in the negotiation of startup costs for businesses.
On that note,
1. Do not Use Published Data to Make Firm Plans
It is crucial to verify published information before you plan and finalize the business startup. As you know the rules in the native ‘Department of Economic Development’ and Free Zones are continually changing.
As a result, if these rules change, you might be required to provide certain paperwork or permissions. So, ensure to verify everything before confirming the startup.
2. Avoid Opening Bank Account without Verifying Changes
Banks assign different charges. Thus, depending on the bank, for any business, these can grow up to a substantial amount. Therefore, before you opt for your Dubai Company formation with a bank account, confirm the requirements as stated by your business consultants.
So, there you have it! The basic dos and don’ts of setting up a company in Dubai. Now, follow these diligently and give birth to your enterprise. All the best!