11 Dos and Don'ts of Doing New Company Formation in Dubai
Business formation is no easy feat. There are tactics and strategies to build a brand and do business rightfully. Dubai offshore company setup has its own set of challenges. With the ever-changing policies and laws, companies and businesses need to be on the right foot; to adapt and optimize their strategy. But what are these strategies? While it may vary from company to company, here are some dos and don’ts while doing business setup in Dubai mainland.
Doing the research
Understanding the difference between Mainland, Freezone, and Offshore and the acquiring of the licenses for respectives businesses. Do the research and find out what business type suits best for your brand. Read and familiarise yourself with your competitors and most importantly go through the restrictions that comes with each type of new company formation in Dubai.
Selecting the right business license
Select the appropriate business license for your business. At present Dubai offers three types of business license namely: Commercial, Industrial, and Professional License. Choose according to your requirements as there are various stipulations that are required for various licenses such as, approval from concerned authority, documentation and fee, etc.
Getting a service agent
Getting a service agent/local sponsor is mandatory for Dubai free zone as they own 51% of the total share of the company. Your service agent acts as an intermediary that manages your communication with concerned authorities and various other issues and formalities.
Opting for mainland business
While starting a business in Dubai mainland business has its perks as it allows companies to do business anywhere in the UAE. Companies under this business type enjoy great opportunity and exposure. However, under mainland company setup in Dubai companies enjoy 100% ownership but are not allowed the advantage to carry out their business through out the UAE.
Meeting Visa eligibility requirements
Visa eligibility requirements can be easily met as the company setup in UAE is quite efficient if the documents are at hand. Once completed, checking the validity of the visa and other documents should be kept in mind as well.
Maintaining a legal contract with the service agent
Having a written document with beneficiaries provides a safe pathway for your business. Make your UAE business setup hassle free by maintaining legally acknowledged documents and contracts.
Familarizing with banking prerequisites
Understanding the banking policies is a major step to having a successful Dubai offshore company setup as it directly affects your capital. Familiarizing yourself with these banking jurisdictions can be helpful in the long term.
Socializing and participating
Socializing in various business events gives your brand a boost and helps in networking with local and international allies, also giving your brand an edge simultaneously.
Being respectful to the local culture and traditions
UAE is a diverse country with people from all over the world. Accordingly, companies from all over the world are not uncommon in the UAE. Being courteous and empathic towards their culture and tradition is important and should always be kept in mind.
Engaging with the right business consultants
Get the right assistance and guidance for your Dubai business setup from an accredited and reliable business setup consultant. Go through the various banking, and company formation with experts and find the suitable options for a successful business venture.
Communicating with other business owners
Communicating with other business owners who have been on the same spot can be helpful as you can get extensive knowledge from a person with experience.
Following these 11 dos and don’ts accordingly can be fruitful for your business. But most importantly always do your research on what you want to pursue as it can be efficient, save you time and be overall productive for your company formation.