UAE is the location known as the gateway to a corporate world in the Middle East. This city has been modiﬁed by various financial experts and industry experts as the best place to set up your business on account of the employees, equipped with world-class infrastructure, premium transportation, talented workers, and civilized workspace.
The UAE has developed substantially over time and has created tremendous opportunities for expatriates who wish to establish their business in this prosperous region.
Establishing a business or becoming a businessman is what is happening globally today. The process is like: individuals work as workers for a couple of years to acquire a handful of experience, learn the culture of the business, uplift their skill set and then slowly shift to the direction of becoming an entrepreneur. The idea of setting up a company requires us to count a variety of parameters. When it is on a global scale, the situation is a challenging one. One such factor turns out to be a preferred location to be investigated and wisely chosen to begin the building process.
According to the World Bank's report, The United Arab Emirates (UAE) rose to 11th position (up-to ten places from 21st last year) in the ease of doing business for the coming year 2019 at a global level. It is well known that the Emirates have expanded their reach to multifaceted business sectors. On the other hand, it has a simple establishment process, which has been why foreign investors have established themselves as a preferred option to set up a business in the UAE. Let's understand about UAE and look at the various aspects and advantages this business hub will offer to its people.
About the UAE
UAE is one of the world's fastest rising economies. The market has opened the door to multi-enterprise options for international investors. It has grown from a one-person enterprise across the Emirates into a multi-national company. The economy retains Dubai; the center of the UAE is one of the world's friendliest cities attracting the most significant number of expats from all over the globe. Another fascinating thing that attracts international investors is free zones in Dubai. These zones allow investors to set up business units that involve enormous networking and wide-open opportunities for growth. According to a business survey, the UAE’s economy was to rise by 4.2 percent in 2019. Now, let 's take a look at the World Bank Report describing the Emirates as the potential center of industry.
World Bank Report
The World Bank publishes the update each year and rates economies in ranges 1-190 based on doing business. The higher the rank an economy gets, the more seductive the regulatory environment becomes for business operations. The study also notes that UAE has ranked at the top because of the MENA (the Middle East and North Africa) region. In short, it is claiming UAE as an investment forum for 2019. The article includes the rankings obtained, so let's explain what Doing Business is all about before moving on to the rankings.
Doing Business in the UAE
Doing Business is a project developed in 2002 that works globally to deliver the necessary measures of business regulations and compliance through 190 countries. It covers all of the main aspects and offers subnational studies. Currently, specific variables have been considered this year when rating the economies
Factors Considered While Ranking
Ranking an economy is a critical job with many criteria involved. An enormous capital requires an investment in companies. Any businessman or investor needs to get an understanding of these conditions before making a significant investment. As described earlier, the Emirates worked hard to develop itself as a business center; let's take a look at the various factors and ranks the economy had achieved.
Thus, you can see that UAE's rankings are skewed to the higher side. So, let's focus on the rank achieved relative to its competitors.
We can see that the market has managed to top among its competitors with growth. Let's move forward and consider the benefits an investor receives from investing in UAE.
Benefits to Businesspeople
The Emirates are known to offer several advantages to business people developing their companies. It attracts international investors and encourages them to set up business units. Some of them are as follows:
- Tax deduction 100 percent
- 100 percent Capital and Benefit Repatriation
- No cash deposit
- Exclusion of duties on imports and exports
- Policy on Flexible Government
- Local Infrastructure Services
Overall, you can see that the Emirates was working hard to develop and become known as the most prominent business center in the world. Doing business in Dubai, whether it is a startup or an existing business company, helps make a profit and interacts with other international frontiers. So if you're planning to set up your business in Dubai or some other UAE city, you've just nailed it down. The easiest you can do at this point is to have a chat with one of the business lawyers who will help you deal with the legal proceedings and develop the foundations of the company.
Advantages for Establishing up a Business in UAE
No Income Tax
UAE is the country that does not place a tax on the business' profits. It's one key factor in making Dubai an attractive business choice. The UAE is excluded from individual taxes common to other countries, such as:
- No Tax on Freehold property
- No Corporate Income
- No Stamping Duty
- No National insurance contribution
Quick Government Service
The UAE’s government’s goal is to be one of the most productive service providers and, therefore, as a move in the right direction. The Government continues to take the initiatives to improve the business establishment process in the UAE. There are many government services immediately available online for users' convenience; there are also government applications that help pay taxes, fines, leases, and much more.
Security and Safety
UAE is well known for its top-notch safety and protection that ensures every citizen lives a worry-free and sheltered life. UAE is among the first to have government-provided consumer satisfaction centers. The UAE has stringent rules and regulations, and regular health checks, particularly on sanitation and employees. UAE never settles down and still finds ways to update models and improvise them for security assessment.
Ease of Doing Business in the UAE
The United Arab Emirates ranks 11 in the ease of working together across 190 economies, as per the most recent annual World Bank surveys.
UAE achieved this role -
- Reducing the expense of enterprise integration,
- Improvised the rights of minority investors,
- Constant security checks should be warned of reducing costs for business licenses.
The UAE offers easy and secures public transportation for regular office commuting as well as traveling inter-emirates. It has implemented specific rules and regulations to ensure its safety, and the same goes for city buses. Transport facilities in Dubai are easy to use and cost-efficient.
Advanced Infrastructure and Logistics
In terms of infrastructure, Dubai is one of the most developed cities in the world. In reality, Dubai is ranked very high for infrastructure investment attractiveness. UAE has globally renowned specialist free zones, a leading international airport, world-class seaports, a modern highway network, advanced telecommunications, and reliable power & amenities. Most foreign multinational firms are headquartered in Dubai.
Dubai is located between Africa and the Commonwealth of Independent States (CIS) and Europe and the Far East halfway around. It is linked to more than 130 international destinations by 85 airlines and is linked by over 120 shipping lines. From every part of the nation, it is easily accessible even so.
Pleasurable standard of living
Dubai residents lead a comfortable life in a booming area. It is the home of a vast ex-pat culture. Dubai is one of the world's developed homes, leisure facilities, and educational institutions in terms of real estate. It is also one of the secured cities, with one of the lowest crime rates.
How Can We Help You?
Commitbiz has been one of the top consultants for the company in the UAE. We've been working with multiple business customers around the world to develop their business units. Our industry consultants are well versed in company creation strategies and can adapt accordingly to your needs. Contact us today for more information. We will be pleased to assist.
How many British companies are there in UAE?
There are more than 500 British companies in the UAE.
Can a UK citizen start a business in Dubai?
Yes, Dubai allows foreigners to start businesses.
Why do British businesses prefer the UAE location?
There are various reasons for businesses choosing UAE and some are the country’s strategic location, infrastructure, diverse economy, tax benefits and many more.
Do I require a residence visa to open a company in UAE?
No, you don’t have to be a full-time resident.
Can a Foreign national own complete ownership in UAE?
Yes, there are certain activities that allow you 100% ownership.