Start a Successful Building Contracting Business in Dubai

by Zaara 21, Oct 2021

Start a Successful Building Contracting Business in Dubai

Do you know that contracting businesses and construction businesses are the highest-grossing businesses in Dubai leading up to Expo 2020?

The Contracting business is one of the most essential sectors in Dubai, leading up to Dubai expo 2020. The contracting industry in the United Arab Emirates runs with full potential due to a number of large Dubai expo 2020 projects and the growth of the social infrastructure in preparation for the Dubai Expo 2020.

The United Arab Emirates recorded the highest construction project value, i.e., approximately USD 319.1 billion, considering for 51.1% of the total construction project value in the top 100 projects in the Gulf Cooperation Council region. UAE offers ecstatic opportunities for businesses such as a tax-free environment, a stable economy, investment protection, and no corruption.

Dubai is considered an international investment hub. Hence, it has pushed forward major construction projects in infrastructure and residential/non-residential segments. Each contracting party in any project, either local or foreign contractor must be licensed to continue their activities. Therefore, it is perfect to start a business in Dubai.

Opportunities in the Contracting and Construction Business in Dubai

The Contracting and construction businesses are one of the highest-grossing businesses in the UAE. Dubai has the world's tallest building(the Burj-al-Khalifa) and the world’s tallest residential building(Marina 101). There are many other notable structures in Dubai expo 2020 location.

The government of Dubai has approved USD 7.8 billion for the extension of the Dubai International Airport and a remodeling project, worth USD 6.8 billion, of the Abu Dhabi International Airport. You should not forget that Dubai will be hosting the World Expo 2020, providing innumerable opportunities in the construction and contracting sector.

There are also many other projects which are in progress, like the Dubailand, Arabian Canal, etc. Therefore, it's the perfect time to start a successful contracting business in Dubai leading up to Expo Dubai.

Contracting License in Dubai

Our experts in the Middle East can help you with the registration process. You have to prepare an application form and arrange all your necessary documents and file them at the Department of Economic Development (DED) in the UAE.

You must get a commercial license that provides you official permission to start the formation of your contracting company in Dubai expo 2020 location. After having obtained this license, you require a building permit that will permit you to start construction activities. Then, it will be the consultant's job to evaluate the soil of the construction site and determine the soil properties.

Another license that you need to obtain is a building license, which is provided by the Dubai Municipality. In the case of Free Zone Company, it is called a G+1 permit. Furthermore, you must also obtain an environmental license and civil works permit.

Department of Economic Development (DED) issues the permits in association with the municipality of each emirate. Licenses are branched into commercial and professional.

  • Commercial license (LLC): Gives the right to execute physical construction activities.
  • Professional License: Gives you the right to carry out engineering works, design and project management

License Activity Description

Constructions of all types for different uses like residential, farms, industrial, commercial,  airports, schools, hospitals, public and agricultural buildings, general maintenance, building adjusting, interior decoration, landscaping, and electrical fitting and sanitary plumbing.

Special Approval from Government Authorities

After having obtained the above-mentioned license, you need to acquire special approvals from following government authorities:

  • Dubai Water and Electricity Authority: It is must to obtain clearance from this department as it will give basic amenities to occupants
  • Drainage and Irrigation Department: This department deals with liquid waste management and other disposable services.
  • Building Department and Dubai Civil Defense Authority: Both these departments will keep a check on whether the construction company in Dubai obeys the construction norms or not.

 

Why Us?

We, at Commitbiz, have been one of the business consultant players in the UAE region. We provide services for companies and business people interested in establishing their progress in the UAE. If you have any questions related to starting a contracting company in Dubai, you can contact us. We will be delighted to assist you.

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