An entrepreneur or a business owner stands to gain from a company formation in Dubai. The city has an open market due to its non-aligned economic policy. Hence, Dubai has remained inviting for the last two decades and has the highest number of expats dominating foreign owned companies. The economic policies have worked in favour of this city, which makes almost all the countries willing to do Trade and setup their offices in this magnificent city.
The companies which set up their offices in Dubai get the benefit of a large local market and the Saudi Arabian Emirates. When it comes to legal matters, Dubai has upfront rules and regulation in the case of company formation. It also offers foreign investors incentives in the form of tax exemptions, visa relation for workers, etc. These factors lead a business owner to invest in Dubai in the shape of company formation.
Process of Company Formation in Dubai
The process of company formation is a simple step of applying for a business license. Depending on the nature of the activity the business license is divided into three broad categories that include the industrial, trade and the professional license. The application process is a notification to the authorities for expression of interest to setup a business. The following are the details of the specific grants:
Industrial License: This license is primarily requested for manufacturing products. The licensee has the right to convert raw materials into semi finished goods in the location by use of power or any other energy legalized by the state. Assembling and packaging also are done on the same premises.
Trade License: This type of license is issued to a business owner or investor to engage in retail or wholesale trade in the country. Investment areas which call for trade license are transport, hotels and general contractors. The license issued in this case is of two kinds: General Trading or Specific Trading. The specific trade license limits the scope of the business.
Professional License: If the dependency is more on the skills rather than capital investment, then a professional license is what a business owner should seek. Companies such as educational providers, engineering services, financial planners, medical practitioners, and consultants come under the purview of professional license.
It is advisable to connect with Business Setup Worldwide to know further on the type of license an investor needs to acquire for setting up the business. The application process and the type of government departments to approach are crucial for the purpose authorisation.
Is it mandatory to have a bank account in Dubai for a JAFZA offshore company?
Though UAE offshore companies are typically incorporated to benefit from local banking services and no tax, it is possible to have a bank account elsewhere in the world.
What are the advantages of setting up an offshore company in Dubai?
An offshore company in Dubai allows for 100% foreign ownership, is exempt from corporate and personal taxes, and imposes no restrictions on repatriation of capital.
How many shareholders are required to set up a JAFZA offshore company?
To form a JAFZA offshore company, it requires merely 1 shareholder, who need not be present there in person.
Are there other benefits apart from cost savings?
Fast Track Process
Professional Market Experience
It can include almost everything an in-house accounting department does or as little as you would want, and provide more effective financial information that can benefit the growth of your company.
Do I lose control if the accounts are handled by an outside agency?
Owners do not lose control because they will have more time to make informed decisions on all the financial aspects post accounting bookkeeping are done. As an investor you will be able to focus and plan instead of reacting to business events.