While it may seem strange to go to Dubai if you are a business owner, it is the choice of many entrepreneurs. Dubai and the UAE in general is losing its old image of being the stereotypical oil rich nation that is full of deserts and men and women wearing long, flowing white and black gowns. Dubai is fast emerging as the destination of choice for business owners. If you are interested in starting a business in Dubai, you need to read this article for a basic understanding of company formation in Dubai.
Pros of starting a business in Dubai
Company formation in Dubai has many advantages, some of which are listed below:
- The company will not pay taxes
- Unlimited recruiting and visa processing potential
- Low import duty
- The ability to set up a business with very little capital
The company will not pay taxes
If you set up a company, be it a sole proprietorship, a limited liability company, or a corporation, it will not pay any corporate income taxes. This is because Dubai is a tax free city. However, your business must be registered in Dubai and have a branch office located there for you to take advantage of this benefit.
Unlimited recruiting and visa processing potential
Now that Dubai’s economy is growing fast, finding talent in this city state is easy. This is especially true of middle and top managerial positions. Currently, there are more of these positions available than there are workers to fill them. Dubai’s government is attracting businesses to invest in the city state and set up businesses/branch offices there by streamlining visa processing. The government no longer makes it a policy to seize the passports of foreign workers.
Low import duty
Dubai’s government is trying to attract businesses to its city by creating many free zones which do not levy special taxes (known as duties) on imported goods. You will have the choice of importing your products by land, sea, or air. You can import sports equipment, baby strollers, and wheelchairs duty free. Refer to Dubai’s official website for more information about goods that can be imported duty free.
The ability to set up a business with very little capital
You do not need to provide proof that you can furnish lots of capital to start your business when you apply for a corporate license.
Setting up a business in Dubai is enticing
Now that you know about some of the many advantages to setting up a business in Dubai, don’t you want to set up a business today?
