Business creation ideas in the UAE
Business in Dubai and other emirates of the UAE attracts entrepreneurs from other countries due to the absence of taxes. Here you will not have to deduct a percentage of the company's profits, personal income and dividends in favor of the state. But to start a profitable business in Dubai, you need to know not only about the absence of taxes, but also about the regional specific features.
Which direction is in demand? Where is the competition lower? In which emirate are the conditions more favorable? How much does it cost to start and maintain a business in the UAE? This is only part of the questions to be answered by an entrepreneur who is going to conquer the local market. You can't do without professional help and support here.
Which direction is in demand? Where is the competition lower? In which emirate are the conditions more favorable? How much does it cost to start and maintain a business in the UAE? This is only part of the questions to be answered by an entrepreneur who is going to conquer the local market. You can't do without professional help and support here.
What kind of business to start in Dubai?
Foreigners in the UAE have ample opportunities: cooking and delivery of food, organization of tours, personnel consulting, cleaning services, patronage, floristry, all kinds of shops, preparation of documents, etc. About three dozen destinations are available. Let's take a closer look at the most relevant ones.
E-commerce or online trade
Online shopping and online stores are in demand in the Emirates. Locals are willing to make purchases online, they’d even shop on brand new sites without reviews. This is facilitated by a steady and constantly growing purchasing power. The registration procedure depends on the type of online store. It can work as an online platform for the sale of products of its own production or purchased from third parties, or as an aggregator for other sellers.
In the first case, you will have to open a company, one of the participants of which will be a citizen of the UAE. In the second case, a company is simply registered in the free zone and it will only act as an intermediary between the buyer and sellers, demonstrating goods, accepting orders and payments; delivery will have to be entrusted to a specialized intermediary company.
The cost of registering an online trading company will cost from $4,000 in the northern emirates to $13,000 in Dubai.
In the first case, you will have to open a company, one of the participants of which will be a citizen of the UAE. In the second case, a company is simply registered in the free zone and it will only act as an intermediary between the buyer and sellers, demonstrating goods, accepting orders and payments; delivery will have to be entrusted to a specialized intermediary company.
The cost of registering an online trading company will cost from $4,000 in the northern emirates to $13,000 in Dubai.
IT business
Online marketing, online advertising and other technologies that promote business on the Internet are a very promising direction. There is no need to register a remote company in prestigious Dubai. In the Northern Emirates, it can be done several times cheaper and without an office. Just compare: registering an IT company in one of the Dubai free zones will cost at least $20,000. We will have to take care of an office with workplaces and a room for meetings with clients, as well as visas for employees. In the north, you will need about $4,000 and no mandatory office.
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Construction
Every 3rd crane in the world is located in the Emirates. The amount of public funds spent on the construction of buildings and infrastructure is estimated at billions of dollars a year. Therefore, if you have experience in the construction niche, you definitely need to consider the possibility of creating a construction business in Dubai and the Emirates.
It is important to note that construction licenses are issued only in the Departments of Economic Development. It will be impossible to obtain such a license in the free zones. It is possible only for engineering and design work.
The cost of registering a construction company in Dubai will require at least $40,840 of investment (depending on the type of license — low-rise construction, construction of skyscrapers, decoration works, etc.). It will be impossible to register such a company in the Northern Emirates.
It is important to note that construction licenses are issued only in the Departments of Economic Development. It will be impossible to obtain such a license in the free zones. It is possible only for engineering and design work.
The cost of registering a construction company in Dubai will require at least $40,840 of investment (depending on the type of license — low-rise construction, construction of skyscrapers, decoration works, etc.). It will be impossible to register such a company in the Northern Emirates.
Travel company
There will be 20 million tourists in the UAE in 2020, and 25 million tourists in 2025. Since many people choose the Emirates as a country for recreation, thanks to the cleanest sea, 360 sunny days a year and a huge number of innovations, the number of tourists coming to the Emirates for vacation is constantly growing. Naturally, they all need to somehow organize leisure time during their holidays.
Earlier, opening a travel company in the UAE required making a huge deposit (more than $1 million), getting two different licenses (for inbound and outbound tourism) and the director to take courses at the UAE Ministry of Tourism. Since 2018, the situation has changed and the requirements for opening a travel company have been significantly simplified. More and more free zones allow to obtain a license from a travel agency or a travel consultant.
If you open such a company in Dubai, you will need a local partner (a citizen of the UAE). Taking into account all licensing costs, annual payment for the services of a local partner, mandatory office rental, the registration amount will be at least 100,000 dirhams (from $25,000). In the Northern Emirates, a travel consultant's license will require an investment of at least $5,000.
Earlier, opening a travel company in the UAE required making a huge deposit (more than $1 million), getting two different licenses (for inbound and outbound tourism) and the director to take courses at the UAE Ministry of Tourism. Since 2018, the situation has changed and the requirements for opening a travel company have been significantly simplified. More and more free zones allow to obtain a license from a travel agency or a travel consultant.
If you open such a company in Dubai, you will need a local partner (a citizen of the UAE). Taking into account all licensing costs, annual payment for the services of a local partner, mandatory office rental, the registration amount will be at least 100,000 dirhams (from $25,000). In the Northern Emirates, a travel consultant's license will require an investment of at least $5,000.
Trading or general trading company
Since trade in the UAE forms the basis of the economy, where goods move to the UAE for both export and re-export, this type of activity is considered one of the most profitable and promising. Due to many seaports (in Jebel Ali, Fujairah, Ajman, Umm al-Quwain), airports (in Dubai, Abu Dhabi, Fujairah, Ras al Khaimah) and developed logistics, Dubai is considered one of the world's trade centers. To carry out such activities, you can obtain any of two licenses.
The General Trading License allows you to trade all types of goods with the exception of alcohol and tobacco. A Trading/ Commercial license is a license where the list of goods is limited to 3-5 items. At the same time, when choosing a license, you should take into account:
The cost of registering such a company in Dubai will require at least $38,000 of investment. In the Northern Emirates, the cost of the company will require from $10,270.
Whatever industry you are planning to start a business in, we can help you! Our specialists successfully open companies in the UAE, taking care of all legal issues, including interaction with banks and obtaining licenses. Rich experience allows us to do this in a period from 7 days to several weeks. Do you want to get a free consultation on starting a business?
Leave a request in the feedback form below, and our specialist will contact you within 15 minutes!
The General Trading License allows you to trade all types of goods with the exception of alcohol and tobacco. A Trading/ Commercial license is a license where the list of goods is limited to 3-5 items. At the same time, when choosing a license, you should take into account:
- A general trading license belongs to the premium license class and its cost, as a rule, exceeds the cost of trade/commercial 2-2.5 times.
- The General Trading license is a high-risk license for UAE banks, which is due to the fact that it was often used for illegal schemes.
The cost of registering such a company in Dubai will require at least $38,000 of investment. In the Northern Emirates, the cost of the company will require from $10,270.
Whatever industry you are planning to start a business in, we can help you! Our specialists successfully open companies in the UAE, taking care of all legal issues, including interaction with banks and obtaining licenses. Rich experience allows us to do this in a period from 7 days to several weeks. Do you want to get a free consultation on starting a business?
Leave a request in the feedback form below, and our specialist will contact you within 15 minutes!
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