As stated by Ralph Waldo Emerson, “The desire of gold is not for gold. It is for the means of freedom and benefit”. The demand for gold has been continually working every year that makes the UAE market a thriving one transforming it to be an international gold hub, attracting millions of foreign visitors to have a glance. In Dubai, the gold industry turns out to be a booming business platform as it involves different departments like Gold Mining, Source and Trading, Refining, Finance and Investment options.
If you are a budding entrepreneur or an experienced businessman who wants to start a business in Dubai, then you can go ahead with the gold industry. Now you must be wondering why gold? Well, this guide holds the complete answer to your query. Do read below.
1. Gold Led Economy
Dubai is titled as the City of Gold as one can find the purest gold bars ever manufactured in the Middle Eastern Region. Tourists visiting UAE is that they are keen to buy gold in the form of biscuits, bars, jewellery etc. The Gold industry in Dubai turns out to be a thriving one, wherein you name it, and Dubai has it. Dubai Gold Souk is the most significant player in the gold market, providing a home to more than 300 retailers, which also have turned into a favourite tourist spot. A surge of supply is expected to hit Dubai by the end of 2020.
2. One of the Precious Metals
There are numerous precious metals available in the market like a diamond, platinum etc. which turns out to be higher priced than gold. However, the gold hasn’t lost its value, and there always exist high demand for the product. The players in the gold market find it to be too competitive that has given rise to millions of gold traders in Dubai.
3. Tangible Asset
Another factor that turns out to be feasible for a business investor to invest in Dubai’s Gold business is that it is a tangible asset. While dealing with the gold traders for your business, you will be able to get a clear check on the purity of the gold and can get several variations for the same.
4. Mass Market
The demand for gold is not only experienced in the Middle Eastern Market but has got a broad scope in the other parts of the world as well. When it comes to the international market, many countries are seeking to import gold aggressively. In 2018, the following countries topped the list of gold importers:
|Countries||Value of Gold Imported in US$|
|Hong Kong||23.6 billion|
5. Gives a Different Dimension to Investment Portfolio
Multiple investors have been investing in various industries, but investing in the gold industry uplifts the investment portfolio and builds a positive inclination towards business. If you are an investor and is looking for out the possible options to invest in, you can go ahead with gold.
6. Stands as a Liquid Asset
The flexibility of starting a gold business in Dubai is that it stands as a liquid asset, and can be monetized at any point of time in the business cycle. This turns out to be an excellent option for business investors, as they can go for this option in times of emergency. This is one of the factors that even provokes the worldwide population to buy gold and convert it into a liquid currency in terms of need.
7. Complete Ownership
While establishing a gold business, you can opt for free zones, which provides you with complete ownership, unlike Mainland. Under the law of Dubai Free Zones, an individual possesses the complete ownership of the business he starts and is free from the burden of opting a local sponsor.
8. 100% Tax Exemption
When it comes to any business, tax payment turns out to be a big concern. Well, you don’t have to worry about the same if you deal with gold business in Dubai. The region provides a complete exemption of tax to the business owners and investors who deal with gold business.
9. 100% Repatriation of Capitals and Profits
Moving a step forward, if you want to wind up your business at any point in time, you have the flexibility of taking back the total capital invested and the profits earned. This protects an investor from the fear of leaving the entire investment and incurring losses regarding the established business during company liquidation.
10. Easy Retail Centre Availability
The next thing you might wonder where to get a physical space to start a business in Dubai. Well, Dubai provides a plethora of options to the business owners and investors to come ahead and open a retail centre in Dubai Gold Souk market, located at the Deira district. The locations that you can target to start a gold business in Dubai are stated below:
- The Dubai Multi Commodities Centre (DMCC), serves to be a dedicated free zone to the Gold industry ranging from trading to refining and manufacturing of gold, holding a count of more than 13,000 companies in its premises.
- Dubai Gold and Diamond Park, another dedicated free zone that allows business investors to occupy office space regarding their gold business
- The third option turns out to be Dubai Mainland, where you can look forward to setting up a gold business. By establishing a company here, you can operate your business in any part of the country.
The UAE has been taking all the necessary measures to grab more attention from business freaks and international investors who are interested in starting a gold business in Dubai. Proceeding alone in an unknown path might be troublesome at the initial stage, and to avoid the same business investors plan to go ahead with the guidance provided by business experts as they are well aware of the legal proceedings and business establishment process. Commitbiz Consultants, a premier business consultant in Dubai, serves to provide dedicated business incorporation services. Since inception, we have helped multiple business investors to start their business in UAE, Qatar, Bahrain, Oman. Our experienced business experts take the required steps of understanding your business needs and cater the services accordingly. To have a word with our business experts, do contact us-we’d be glad to assist.