Dubai, the current commercial capital of the United Arab Emirates (UAE) is not just a great tourist destination but also an attractive location for business. Over the past thirty years, this city has transformed remarkably from a small desert town into the enviable business city that it is today. From entertainment to banking and leisure, business is booming in Dubai and if you have been planning to start a new company in Dubai, then it is the best time now.
Starting a new company in Dubai involves 5 main steps that you can easily complete in a short time as long as you follow the legal procedures carefully.
Here’s how to start a new company in Dubai.
1. Choose your business activity
The first thing you will need to do is to choose the business activity you will be involved in because your business type will determine the kind of license you will require.
You can either get a commercial, industrial, or professional license. The nature of your business will also determine the free zones you can set up in. This is because some free zones have restrictions and only certain types of business activities are allowed there. Do your research and find out everything you need to know before settling on business activity.
2. Choose your company name
One thing you should know before choosing a business name is that the UAE has very strict naming guidelines and they must be followed if you want your company to be registered. Names that include offensive language or are linked to the Mafia or the FBI are not allowed in Dubai. If you choose to name your company after a person or after yourself, ensure that you use the full name, as abbreviations are not allowed.
3. Finalize your incorporation paperwork
Be sure to complete your application for your preferred business name and activity by providing all the documents required to finalize the incorporation paperwork. Ideally, you will be required to bring the shareholders passports, colored passport-sized photos, a business plan and in some free zones, you may be required to provide a letter from a sponsor confirming that you are authorized to set up a business in Dubai. Once you are done with the formalities, you can apply for your trade license.
4. Open a bank account
Once your documents have been returned to you, you will now be able to open a corporate bank account. There are several banks in Dubai both local and international for banking things. You may also talk to a financial advisor to help you choose the best option.
5. Process your Visa
The final step in the process of opening a new company in Dubai is applying for your own Visa and those of your staff members or dependants if you have any. Many free zones will allow you to apply for Visas for your staff and dependants but it is always a good idea to seek expert advice so that you are sure that your entire team has met the entry criteria.
With these 5 steps completed, you will be on your way to establishing a successful business in the beautiful city of Dubai.