What Is It Like To Do Business In Dubai? (TOP 5 Tips)

  • With a flourishing business landscape helped by government incentives and an ease of setting up new enterprises, the city of Dubai is an appealing challenge for the business-minded dreamer. Here we find many of the best talents in the world benefiting from this safe, tax-free haven with its socially and culturally vibrant lifestyle.

Is doing business in Dubai Good?

Dubai is investor friendly and starting a business in Dubai is not very difficult. Moreover, when compared to the rest of the world, Dubai is safe, both for residents and investors, which makes it one of the favorite places for investment.

Is it hard to do business in Dubai?

Yes, it’s possible, but Dubai is a melting pot of networkers and most likely your first job will be making yourself known. The business culture here in Dubai is very much about personalities– people want to know about you on a personal level before they form a business relationship.

Is it safe to do business in Dubai?

It is always safe to start a business in Dubai with the help of an expert. Shuraa Business Setup a leading business setup consultancy offers a safe path to register business in Dubai.

Is business easy in Dubai?

The procedure to start a business in Dubai is unfussy, aimed at easy setting up. Anyone can form a company in the emirate without facing any difficulty. The investor-friendly policies in the country have been lauded by ex-pat and resident entrepreneurs.

Why should I do business in Dubai?

FINANCIAL STABILITY Moreover, Dubai ranks third in the world for attracting high-net-worth individuals. One of the major contributing factors for Dubai’s strong economy, is its resilience to outside turbulent economic factors. Also, its ability to constantly innovate and create new channels for growth and development.

Why do people do business in Dubai?

1. Strategic Location. Being located strategically between Europe, Asia and Africa, Dubai is an ideal place for doing many business activities including international trading, import, export, logistics, tourism, hospitality, event management and so on. Dubai is located in the middle of the U.A.E.

What are the disadvantages of doing business in Dubai?

Disadvantages Of Doing Business In Dubai

  • UAE Company Possession.
  • Home-Grown Sponsor.
  • Taxation And Project Subsidy.
  • Cultural And Traditional Tenants.
  • Statements Style.
  • Trade And Business Marketplace.
  • Handling Profits.
  • Business Particulars.

Is Dubai good for startups?

As the leading city in the UAE, Dubai has grown to become a global business hub over the last four decades. Out of 198 global economies, the UAE ranked 11th in ease of doing business and 25th in starting a business on World Bank’s 2019 ease of doing business report.

What is the major problem in UAE?

Invasive species, carbon footprints, limited water resources, overfishing, waste generation, air pollution and land degradation and desertification are posing an environmental threat to the UAE.

What are the benefits of doing business in UAE?

11 Best Advantages Of Doing Business In Dubai

  • 1: Best safety and security.
  • 2: 10-year residence visa for investors.
  • 3: Events and exhibitions around the year.
  • 4: Large number of Free zones.
  • 5: Incentives for all types of businesses.
  • 6: Wealthy residents.
  • 7: Large number of tourists.
  • 8: Latest technology.

Do business do in Dubai?

Learn about new business setup packages in Dubai Multi Commodities Centre (DMCC). Existing local and foreign companies may set up a branch of their company in free zones. There is no minimum capital requirement at twofour54 Abu Dhabi. In Dubai Airport Free Zone, you can form an FZ Co.

Why is it easy to do business in UAE?

The Ease of doing business index ranks countries against each other based on how the regulatory environment is conducive to business operationstronger protections of property rights. Economies with a high rank (1 to 20) have simpler and more friendly regulations for businesses.

How can I make money in Dubai?

19 ways to make money online in Dubai, UAE

  1. Online Tuitions. Taking online tuitions is one of the best ways to make money.
  2. Blogging. Blogging is the current trend on the internet.
  3. Photography.
  4. Freelancer.
  5. Fitness Instructor.
  6. Mobile applications.
  7. Arts and Crafts.
  8. Ebooks.

How can I be successful in Dubai?

10 Top Tips To Living A Successful Life In Dubai

  1. Create Your Own Future. SUBSCRIBE.
  2. Be Emotionally Intelligent.
  3. Focus on things you can control.
  4. Live within your means.
  5. Stay Healthy.
  6. Forgive Others.
  7. Be Both an Extrovert and an Introvert.
  8. Leave Your Comfort Zone.

Which business is profitable in Dubai?

1. Import & Export. Import and export business in Dubai is such a lucrative sector and is, of course, #1 on our list. Given Dubai’s central location and economic diversity, starting an international trading business in Dubai can be rewarding in terms of expansion opportunities and profitability.

The Do’s And Don’t’s Of Doing Business In Dubai

Entrepreneurcontributors express their own opinions, which are not necessarily those of Entrepreneur. Entrepreneur Middle East is an international franchise of Entrepreneur Media, and you are now reading it. What does the city of Dubai represent to you? Shutterstock This is for everyone who lives in the UAE, or who plans to relocate here in the near future, or who is simply sitting in their office thousands of miles away from the UAE, staring out at the rain and thinking about a country that will appreciate your drive and enthusiasm, rather than dismiss it.

Dubai, like Paris or Los Angeles, is a place that lives only in your mind before you ever step foot on an aircraft to get there.

Yes, it even has a Minister of Happiness, which is somewhat unique.

Each and every person has an opinion about Dubai, but the most important thing is to acquire the appropriate business counsel from individuals who spend their whole day assisting businesses in making that transition.

It only seems right that, as the entry point to 1.5 billion customers in countries spanning the Middle East, Africa, and Asia, we should take a time to consider some of the preventable hazards of conducting business in this complicated, multicultural, and fast-moving environment.

DO: Dress right, play nice and smile

Yes, Dubai inhabitants are passionate about their brands, but before we fall into the trap of the “bigger, better, flashier” image, it should be recognized that individuals in this city have also developed a keen sense of delicacy and refinement. While Dubai is quite Western in certain aspects, it has significant Islamic origins in others as well. When you take all of these aspects into consideration, it becomes evident that dressing in a manner that is clever, attractive, and modest is essential, regardless of gender.

  • As a fundamental aspect of social, entrepreneurial, and even corporate trends in the United Arab Emirates, happy, good energy is very prevalent.
  • So put a smile on your face to finish your look.
  • Being aware of proper etiquette when it comes to addressing individuals and social interaction in a conference room is essential since you may not instantly recognize the ranks of those in the room.
  • Finally, avoid getting too involved with company problems too soon.
  • In addition, when the favor is returned, you may find yourself feeling a little lighter and more optimistic as well.

Small conversation is more than just politeness; it’s also a non-intrusive technique of determining whether or not someone would make an appropriate business associate.

DON’T: Boast about your achievements

Yes, Dubai inhabitants are passionate about their brands, but before we fall into the trap of the “bigger, better, flashier” image, it should be recognized that individuals in this city have also developed a keen sense of nuance and refinement throughout the course of their lives. While Dubai is quite Western in certain aspects, it has deep Islamic origins as well. When you consider all of these aspects, it becomes evident that dressing in a manner that is clever, attractive, and modest is essential, regardless of gender.

  1. As a fundamental aspect of social, entrepreneurial, and even corporate trends in the United Arab Emirates, joyful, cheerful energy is very prevalent.
  2. Put a smile on your face to complete your look.
  3. Being aware of proper etiquette when it comes to addressing individuals and social interaction in a conference room is essential since you may not instantly recognize their positions in the group.
  4. Finally, avoid getting overly involved with commercial problems too early on in your career.
  5. Surprise!
  6. In order to avoid any European corporate bluntness, it is best to wait for the other side to initiate the commercial discussion.

DO: Get out there

With email introductions and internet transactions, you will not get very far in your career. In-person networking events and meet-and-greets are quite popular in Dubai. Go to them, take advantage of the complimentary beverages, mingle with anybody in the room, and keep in touch later. Because it is a tiny network within each specific business, it is essential to maintain tight personal relationships. Here, too, word of mouth is quite powerful, and building as many favorable contacts as possible is critical to developing both your talents and your customer base in this field.

DON’T: Expect meetings and negotiations to go as planned

When it comes to virtues, patience is the most useful trait you can develop during your life and career in the region. Long group meetings may become a bit hectic at times: participants will frequently check their phones during talks, will arrive unexpectedly and continue to disrupt the discourse, or will simply be late to the meeting. While this may be difficult if you’re coming from a corporate environment in Europe or North America, being patient (and noting that timeliness is still demanded of most expatriates) can serve you well in this situation.

Not to mention the fact that in this country, keeping business in the family is a way of life, which may affect both the dynamics of your contacts with firms, as well as the speed and manner with which they make decisions.

Relevant: Making Meetings Matter: 11 Tips for Conducting More Productive Meetings at Work (PDF).

DO: Explore the culture and immerse yourself in new traditions

Get used to the heat, learn to live with it, and appreciate all of its many beneficial characteristics. No one benefits from complaining about the heat (which can get quite oppressive around 45 degrees Celsius in the summer). After all, it is a desert. but that does not preclude you from enjoying breezy nights in breathtaking settings, oasis seeking, dune bashing, and a plethora of other activities. Acquaint yourself with the location, express an interest in the well-being of the local community, and make an effort to acquire a few Arabic words–it is usually appreciated.

DO: Research, research, and then research some more

This is a requirement: before you launch your creative new company endeavor in the United Arab Emirates, you must first have a thorough understanding of the region. Extensive study, either conducted by oneself or by a consulting firm, may be quite beneficial in understanding the business circumstances present in each industry.

DON’T: Forget your manners

Emiratis and other Middle Eastern business professionals who work in Dubai enjoy a good joke just as much as anybody else, and they can be hysterically amusing themselves. However, profanity is strictly prohibited in the Muslim professional world, so refrain from using R-rated language or making derogatory remarks about Islamic culture, since doing so might result in a fine, imprisonment, or deportation.

DON’T: Forget to take it easy

As a result, you have found yourself in the midst of the fast lane, unhindered by anything other than your own lack of self-confidence. You’re reclaiming the competition with some of the most active entrepreneurs on the planet, taking advantage of the fact that you’re playing in a vast pond where the top players are, for the first time in history, all still acquainted with one another. As a result, be courteous. Take a deep breath in and out. Concentrate on achieving your objectives. New markets provide a unique set of advantages: there isn’t any repetition or limitation, and a large number of individuals have confidence in their potential to succeed.

Welcome to Dubai

A vibrant business landscape, aided by government incentives, as well as the simplicity with which new businesses may be established, make the city of Dubai an intriguing challenge for the entrepreneurially inclined dreamer. Among those who profit from this secure, tax-free refuge, as well as its socially and culturally lively lifestyle, are many of the world’s most promising young people. Yes, Dubai has its share of inconsistencies and relatively new societal paradigms, but the country’s hospitality and modern forward-thinking initiatives reward those who strive to achieve their goals in the city.

Last but not least, Dubai is a metropolis that exudes an unrivaled “you can do it” mentality. So, with that in mind, the ball is in your court. Related:Five Things You Must Do to Make Your Business Successful in the United Arab Emirates.

Guide to business culture in the United Arab Emirates

The business culture in the United Arab Emirates is most likely different from what you are accustomed to in your native country. It is, on the other hand, quite simple to browse, as this excellent tutorial demonstrates. The most essential thing to know about business etiquette in the United Arab Emirates is that it is based on respect. In addition, views about business are shifting in the United States. For example, corporate social responsibility (CSR) is becoming increasingly important. In addition, the government is taking steps to increase the number of women in the workforce and to deter corporate criminal activity.

  • Business in the United Arab Emirates
  • Business culture in the United Arab Emirates
  • Working hours and conditions
  • Business etiquette in the United Arab Emirates
  • In the United Arab Emirates, organizational structure and hierarchy are important. The United Arab Emirates’ business strategy, planning, and decision-making
  • Meetings and talks are taking place. Networking in the United Arab Emirates
  • Workplace socialization in the United Arab Emirates
  • Women in business in the United Arab Emirates
  • Businesses in the community in the United Arab Emirates
  • In the United Arab Emirates, corporations provide social services. Corruption and fraud in the business world in the United Arab Emirates
  • Useful resources

Business in the UAE

In the United Arab Emirates, business is thriving. In actuality, as of 2017, the country has 131,000 officially registered firms, many of which were owned or controlled by foreigners. In addition, the United Arab Emirates received US$10.3 billion in international direct investment in 2018. Together with the fact that there was a 16% rise in Greenfield Investments between 2017 and 2018, it is apparent that international corporations see tremendous potential in the country. In addition, the government is laying the groundwork for future foreign investment by opening up new avenues.

  1. The oil and gas sectors of the United Arab Emirates are among the most important in the world.
  2. Other industries, on the other hand, are poised for expansion.
  3. In a similar vein, the automobile and aerospace sectors are at the forefront of technological advancement.
  4. It is essential that you be familiar with the right business etiquette in the United Arab Emirates if you intend to make a profit in the country.

Business culture in the UAE

It is critical to remember that the United Arab Emirates is an Islamic country. As a result, the corporate culture in the country is more conservative than that seen in Europe or the United States. In addition, weekends are held on Friday and Saturday rather than Saturday and Sunday as in the past. However, you will discover that the business sector in the UAE is a unique fusion of two distinct cultural traditions. Apart from that, the majority of Emiratis are tolerant of foreign business colleagues since they recognize that the western world has a far more flexible attitude toward business.

In the United Arab Emirates, personal contacts are essential for doing business. It is as a result of this that the local business culture expects you to pay attention to small conversation and socializing even during professional sessions. In a same vein, loyalty is highly regarded.

Working hours and conditions

In general, the UAE workday is eight hours long, from 9 a.m. to 5 p.m., Monday through Friday. Aside from that, the working week is from Sunday to Thursday. During the holy month of Ramadan, on the other hand, the majority of individuals only work six hours every day. Despite the fact that timekeeping is not a priority, Emirates values timeliness. Consequently, it is critical that you arrive at work and for meetings on time every time. In addition, the UAE boasts a favorable work-life balance.

  • In addition, they are entitled to up to 90 days of sick leave.
  • Furthermore, when they return to work, they are accorded additional considerations.
  • Things, on the other hand, might soon alter.
  • The part-time working resolution is intended to assist firms in filling labor shortfalls, particularly during off-peak hours.

Business etiquette in the UAE

Having effective communication skills is essential for maintaining proper business etiquette in the United Arab Emirates. In this country, communication is more formal due to the more conservative culture that exists. People should be addressed as “Mr.” or “Ms.” when you first meet them, to name a few examples. And while males can exchange a light handshake when meeting with other guys, while meeting with women, you should always wait for them to extend their hand. Furthermore, you should always greet the person who is the oldest first, and work your way down the line of seniority.

Given the importance of relationship-building in the culture, it is customary to praise your hosts and the institution they represent.

A nice method to get to know someone is to talk about their relatives, the country, and local food, for example.

Dress code

In business contexts, the majority of the population dresses in traditional attire. That implies a dishdasha (the long white shift) for males and an abaya (the long black gown) for ladies (a floor-length robe). While expats should refrain from dressing in the manner of the host country, they should dress in formal clothes that is modest and not exposing. Suits and formal shoes should be worn by gentlemen. Women, on the other hand, should pay particular attention to the clothes they wear. Always keep your shoulders, chest, upper arms, and knees covered when you’re out in public.

Long skirts and dresses are an excellent choice for this occasion. Over loose-fitting, flowing pants, you may put a light jacket and shirt for a more formal look. However, it is better to avoid wearing dazzling jewelry and a strong scent in any situation.

Gifts

When meeting new clients for the first time, it is a polite gesture to provide them with a small sign of your appreciation. In a similar vein, giving a present at the conclusion of a transaction is always appropriate. The giving of gifts is also suitable during religious festivals of importance, such as Ramadan. If you can get it from a foreign source, that is even better. The locals are grateful for presents from people of diverse cultures. Snacks such as high-quality dates or chocolates are a nice choice for a first encounter.

  • Coffee table books that have been thoughtfully picked may also make excellent gifts.
  • It is recommended to avoid exchanging presents with people of different genders.
  • At the absolute least, you might claim that it came from a female relative of mine.
  • Aside from that, there are several products that should not be given as presents since they may be offensive to Muslim friends and family.

Business cards

In the United Arab Emirates, attitudes about business cards are rather permissive. Because of the country’s international reputation, this is the effect of the situation. Typically, at the beginning of a meeting, you will exchange business cards. Giving your card should always be done with your right hand, since doing it with your left is considered disrespectful in most cultures. Every employee of the company should be provided with a business card. Your business card should have your company’s name, your name, your designation, your phone number, your e-mail address, and your website.

Organizational structure and hierarchy in the UAE

When it comes to business cards, attitudes in the United Arab Emirates are quite laid- back. Because of the country’s international reputation, this is the case in this instance. It is customary at the start of a meeting to exchange business cards. Giving your card should always be done with your right hand, since doing it with your left is considered disrespectful in this situation. Everyone who works for the firm should be provided with a company-issued ID card.

In addition to the firm name, your name, your designation, phone number, e-mail address, and website should be included on your business card. The card should also be in both Arabic (the UAE’s official local language) and English, if at all possible (the local business language).

Business strategy, planning, and decision-making in the UAE

Despite the fact that the corporate culture in the United Arab Emirates appears to be relatively laid-back, this does not imply that Emiratis are not strategic thinkers. Planning necessitates extensive study, and it is typical practice to develop numerous alternatives and iterate back and forth between them until you arrive at a solution that works. Because the decision-making process is typically lengthy, it is crucial to be patient during the process. While numerous employees might be involved in research and planning, the final choices are made by the most senior members of the organization.

At the lowest levels, it is typical to hold regular meetings to review progress and choose the next steps.

Meetings and negotiations

The fact that the corporate culture in the United Arab Emirates appears to be relatively laid-back does not imply that Emiratis aren’t capable of thinking strategically. Planning necessitates extensive study, and it is typical practice to develop numerous alternatives and iterate back and forth between them until you arrive at a solution that is satisfactory. Because the decision-making process is typically lengthy, it is critical to maintain patience during the procedure. Senior players make the final decisions, despite the fact that numerous employees might be involved in study and preparation.

For example, frequent meetings to review progress and determine future steps are usual at the lower levels of management.

Networking in the UAE

Social media platforms play an important role in the corporate culture of the United Arab Emirates. As a result, you may encounter a plethora of business chances through people you meet through social activities. You never know who could be able to put you in touch with a high-ranking executive at a large corporation. In addition, the UAE conducts a plethora of other networking events. If you are a newcomer to the nation, start by attending some of these events to expand your business networking opportunities.

Socializing is an important element of doing business in the United Arab Emirates, and you will be invited to many lunches and dinners by your business contacts.

Furthermore, you will most likely engage in small chat and discussion throughout a meal; therefore, keep the business speak until thereafter.

Women in business in the UAE

Women are becoming increasingly active in business in the United Arab Emirates. This is due to the fact that many Emirati women are becoming more well educated and opting to work rather than marry at an earlier age. In reality, women accounted for 71% of university graduates in the United Arab Emirates in 2018. In addition, many expat women go to the UAE for employment or to establish a company there. Women in the workforce are supported by the UAE government, which has implemented part-time and flexi-work policies, as well as providing paid maternity leave.

  • It approved an equal wage law in 2018 to begin decreasing the salary disparity between men and women.
  • Women are prohibited from working between the hours of 10 p.m.
  • Women, on the other hand, are not permitted to work in dangerous conditions and are entitled to maternity benefits.
  • The government, on the other hand, looks to be more inclusive.
  • Furthermore, 30 percent of those are in decision-making positions, with a further 27 percent serving in the UAE cabinet of ministers.
  • This is especially true for women from the western world.
  • In the United Arab Emirates, corporate social responsibility (CSR) is becoming an increasingly important aspect of the business culture of the country.

In a similar vein, financial perks and exemptions are granted to businesses who exhibit exceptional corporate social responsibility.

Many businesses use a variety of techniques to meet their corporate social responsibility obligations.

Some employers even encourage employees to volunteer in their communities by providing them with paid time off.

The business culture in the United Arab Emirates is mostly family, and as a result, corporations are more concerned with the well-being of their employees.

Each overall 26 percent contribution to a pension fund is required by law; 15 percent comes from an employee’s income, 5 percent comes from the employer, and the remaining 5 percent comes from the government.

Social security, in a similar vein, is included in the benefits package.

Expats, on the other hand, are not required to contribute to social security. Companies are also required to provide health insurance coverage for all of their employees. Frequently, these benefits are extended to the employees’ spouses and children as well.

Business corruption and fraud in the UAE

Bribery, embezzlement, and abuse of position are all prohibited under the UAE penal code. As a result, these sorts of corporate crimes do not occur on a regular basis. In reality, according to Transparency International, the United Arab Emirates is the least corrupt country in the Middle East and North Africa. Money laundering, on the other hand, can be a problem. Transparency International observed in the same study that millions of dollars’ worth of real estate may be purchased in Dubai in return for cash, and that very few questions are ever asked about the transactions.

This might manifest itself in the form of contract substitutes and incorrect visa information.

If you see any inconsistencies, you should contact your local UAE embassy or the Ministry of Human Rights and Equality.

Useful resources

  • Working hours in the UAE government The UAE’s campaign against bribery and corruption is being handled by DLA Piper. Gender equality in the workplace is a priority for the UAE government. UAE Government provides advice on how to avoid labor and visa fraud.

Starting a Business

In the United Arab Emirates, federal and emirate governments share responsibility for regulating the creation and conduct of enterprises. With effect from June 1, 2021, the UAE will no longer need corporations to be sponsored by a local entity, allowing international investors and entrepreneurs to form and wholly own onshore enterprises in the vast majority of industry sectors. According to the government of the United Arab Emirates, the modified ownership legislation is part of attempts to promote the ease of doing business and to strengthen the country’s appeal to international investors, entrepreneurs, and talent.

As reported by the World Economic Forum (WEF), the United Arab Emirates (UAE) is the most competitive economy in the Middle East and North Africa (MENA) region according to the Global Competitiveness Index Report 2019.

  • There are no limits on the transfer of profits or the return of money. There are no business or personal income taxes. A currency, the Dirham, that is stable, safe, and tied to the United States dollar
  • And Import tariffs are extremely low, if not non-existent. Labor expenses that are competitive
  • The majority of industries allow onshore enterprises to be owned entirely by foreign investors.

These elements, together with the UAE’s strategic geographic position, developing infrastructure, and very secure environment, combine to make the country an excellent area to conduct commercial activities. All enterprises are required to get a license, and the licensing procedures differ from one Emirate to the next. Individual Chambers of Commerce can provide further information on licensing requirements. Please send an email to [email protected] if you require more specific contact information for these offices.

Free Zones

For international investors and enterprises, establishing a business entity in one of the various Free Trade Zones (FTZs) in the United Arab Emirates (UAE) might be an attractive alternative.

Such economic zones exist or are being developed in each of the seven Emirati states. The following are the primary benefits of conducting business in a free zone:

  • 100 percent exemption from import and export taxes
  • 100 percent repatriation of capital and earnings
  • 100 percent exemption from corporate income taxes No corporation taxes for the first 15 years, with the option to renew for a further 15 years. There are no personal income taxes. Documentation that is less time-consuming and is largely in English
  • Assistance with labor recruiting as well as extra support services like as sponsorship and lodging are available.

In the United Arab Emirates, there are more than 20,000 firms in Free Zones. The following are the biggest Free Zones:

  • TwoFour54/Abu Dhabi Media Zone
  • Jebel Ali Free Zone
  • Sharjah Airport International Free Zone
  • Dubai Airport Free Zone
  • Dubai Media City
  • Dubai Internet City
  • TwoFour54/Abu Dhabi Media Zone
  • TwoFour54/Abu Dhabi Media

Procedures

In each free zone, an autonomous Free Zone Authority (FZA) is in charge of governing the area and is in charge of awarding FTZ operating permits and supporting enterprises in establishing their operations in the FTZ. A Free Zone Establishment (FZE) is a limited liability company that is governed by the rules and regulations of the Free Zone in which it is established. Alternatively, investors can establish a branch or representative office of their existing company based in the United Arab Emirates (UAE) or another country (outside of the UAE).

Individual Free Zones may have special regulations, however the following are the common procedures:

  • Questionnaire from the applicable Free Zone Authority, which will aid in determining the requirements of a firm
  • An application for a license, planning papers, and a request for electricity from a consumer
  • Obtaining preliminary permission and signing a leasing deal
  • Meetings with the project’s authority to finalize the project’s specifics

Licenses

It will be necessary for a business to lease space or land within the Free Zone and get an operational license from the FZA after it has established a legal presence within the zone. Permits are required for different sorts of free zones, and the types of licenses vary accordingly. When it’s not a good idea to use a free zone It is possible that a potential firm will not wish to opt to conduct business in a Free Zone under a few specific circumstances. If a business is involved in any of the following:

  • Practices a regulated profession
  • Requires a large number of visas or a large amount of warehouse/office space
  • Plans to have a long-term presence in the UAE and to reach a larger percentage of the country’s market
  • Has identified a specific UAE firm or individual with whom to collaborate

Key Industries

The following industries have the most demand and opportunity:

  • Specialized construction services
  • Materials and supplies
  • Defense – aerospace
  • Energy – alternative energy
  • Professional services
  • Specialized tourist goods and services Brands of high-end hotels
  • Products that are both creative and profitable in the arts and culture
  • Medical service companies with great brand recognition and cutting-edge products at the top of the market

The United Arab Emirates is a great export market because of its open and thriving economy, its diversification programs, one of the highest GPD per capita in the world, and a population that is both global and diversified. Exporting to the United Arab Emirates is a rather simple process. Some of the advantages of exporting to the United Arab Emirates are as follows:

  • The UAE is a great export market because of its open and thriving economy, its diversification programs, one of the highest GPD per capita in the world, and a population that is both global and diversified. Importing goods into the United Arab Emirates is a very straightforward procedure. In the United Arab Emirates, you can benefit from a number of factors, including:

If you want further information, please contact [email protected]

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[email protected] can be contacted for further information.

Doing Business in Dubai: Dos and Don’ts

DON’T DRESS TO SURFACE. In Dubai, whether it’s hot or not (the weather, not you), a suit and tie are required for anybody who is linked with a resort. Due to the fact that the whole emirate is more or less a resort, the dress code extends to everyone else in the vicinity. Women traveling for business in Dubai should dress modestly. While Dubai is a fairly cosmopolitan city, it is important to remember that it has its origins in Islamic culture. DO TREAT EVERYONE AS IF THEY WERE SHEIK When a guy dons a dishdasha — the long, flowing robes that may be worn as work suits, weekend attire, and everything in between — you never know who is the assistant and who is the boss.

  • DON’T GET INTO BUSINESS WITH ANYONE Your initial contact with a Sheik or high-ranking Emirati official may consist of a broad, non-specific conversation or perhaps a stroll through the garden.
  • It’s possible that it won’t happen until the second meeting – if you get one.
  • Given the uncertainty of knowing who will and who won’t be there (their clothes, whether traditional or western, can be a signal, but it may not be a 100 percent dependable predictor), it may be advisable to let her first extend her hand to shake your hand.
  • DO NOT FORGET TO SHAKE YOUR COFFEE CUP It’s the polite method of indicating that you’re finished.
  • This is especially true of “Arabic coffee,” which is served to you by your host in a little cup rather than the conventional cup of Joe you are accustomed to.
  • There are no street numbers, on the other hand.
  • Don’t bother using Google Maps since new buildings are being constructed at such a rapid pace that your destination may not be included.
  • TAKE A FLIGHT IN ON SATURDAY.

Do not travel during the months of July and August. Most of the decision-makers are on vacation at that time of year since it is so hot and humid. “Wind chill” is the polar opposite of Dubai’s climate.

Start Your Business in Dubai

Dubai is a hyper-connected pro-business center that provides efficiency, security, and a forward-looking environment to help businesses expand faster and more efficiently. Discover the places where entrepreneurs, investors, event organizers, and innovative people come together to collaborate on an ambitious future. Start a business in Dubai and get the benefits. Start a business in Dubai and get the benefits.

Discover why Dubai is the future centre of excellence for your business

Dubai is a hyper-connected pro-business center that provides efficiency, security, and a forward-looking ecosystem to help businesses expand faster and more effectively. Discover the places where entrepreneurs, investors, event organizers, and innovative professionals come together to construct an ambitious future together in the Greater Toronto Area. Dubai is a great place to start your business! Dubai is a great place to start your business!

Dubai ranks top globally for business

According to the Ease of Doing Business Report 2020, the UAE was placed first in the Middle East and North Africa and 16th overall for ease of doing business. This ranking is based on how friendly the regulatory environment is to the establishment and operation of a local enterprise. World Bank is the source of this information.

Commercial services exports

According to the World Competitiveness Ranking 2021, the UAE is the world’s leading exporter of commercial services. IMD is the source of this information.

Trade to GDP ratio

According to the World Competitiveness Ranking 2021, the United Arab Emirates is the world’s leading exporter of commercial services. Information from the Institute of Management Development.

Start-up funding

According to the World Competitiveness Ranking 2021, the UAE is rated first in the world for exports of commercial services. IMD is the source for this information.

Global Cities of the Future

The United Arab Emirates was placed first in the world for exports of commercial services in the World Competitiveness Ranking 2021. IMD (Institute of Management Development)

Best city

According to the World’s Greatest Cities 2021 Report, Dubai is one of the world’s best cities with a population of more than a million people and is one of the most desired for residents, visitors, and business people alike. Resonance is the source of this information.

Open your eyes to the future of business

We collaborate with prominent public and private organizations in order to assist businesses and investors in establishing operations in Dubai. Contact us if you want to make new contacts and receive specialized assistance on expanding your business in Dubai.

Dubai for events

Everything you need to know about organizing business and leisure events in Dubai is in this guidebook.

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With a focus on safety and the delegate experience, Dubai has solidified its place as a premier corporate events destination over the past decade.

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Dubai is well-known for attracting world-class leisure, cultural, and entertainment events, ranging from concerts and festivals to athletic competitions and other activities of varying levels of difficulty.

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Dubai is well-known for attracting world-class leisure, cultural, and entertainment events, ranging from concerts and festivals to athletic competitions and other events of varying levels of sophistication.

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Check out our accredited Professional Congress Organisers (PCOs) and Destination Management Companies (DMCs) to see who can assist you with your next event planning needs.

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Doing Business in the United Arab Emirates

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Author

Keith Warburton, the creator of the cultural awareness training agency Global Business Culture, produced this country-specific business culture profile for the United Kingdom. Worldwide Business Culture is a prominent source of training in the areas of cross-cultural communication and global virtual team working, among other things. We deliver training to worldwide organizations in a variety of modalities, including live classroom-based sessions, webinars, and our cultural awareness digital learning portal, Global Business Compass, among others.

Top 10 challenges of doing business in the United Arab Emirates

The seven emirates that make up the United Arab Emirates each have their own set of rules and regulations, making doing business in the country at times difficult. There are seven emirates that make up the United Arab Emirates (UAE): Dubai, Abu Dhabi, Sharjah, Fujairah, Ras Al-Khaimah, Umm Al-Quwain, and Ajman. Dubai is the capital of the UAE, while Abu Dhabi is the largest city. Due to the fact that they each have their own set of laws and regulations, conducting business may sometimes be tough.

  • It is estimated that the UAE’s economic performance would improve significantly during 2021 as a result of the normalization of post-Covid conditions.
  • The performance of oil prices during the year 2021 will also be critical to the recovery of the UAE.
  • Recent regulatory amendments, which will take effect in 2021, will also permit foreign ownership of 100 percent of certain corporate activity on the UAE mainland.
  • Dubai is considered to be the regional center and commercial capital for the Middle East, North Africa, and beyond.
  • According to the TMF Group’s Global Business Complexity Index 2021, the United Arab Emirates is one of the world’s least complicated countries in which to conduct business.
  • Over the course of the past year, this change reflects a decrease in the relative complexity of the situation.

Here are 10 of the most significant obstacles to conducting business in the United Arab Emirates that you are likely to face.

1. Getting set up

Companies wishing to conduct business in or from the United Arab Emirates, as well as those with personnel residing in the country, must register as legal entities. Every corporation conducting business in the nation is required to get a company license, which is tied to the entity’s registered activity. When it comes to establishing an operating entity, there are generally two options:

  • Free Trade Zone – Free trade zone firms are not obliged to have any UAE native shareholders or split ownership, which means that a foreign corporation or individual can control 100 percent of a business in a free trade zone. Each emirate has at least two free zones, with Dubai boasting more than 20 total, according to the World Bank. Each zone is governed by its own set of rules and regulations. There are also some Common Law Free Zone jurisdictions with their own regulators and judicial systems that are distinct from the rest of the world. Firms operating in free zones are restricted to doing business only inside their own free zone, with other free zones, or with foreign countries, and they are restricted in what they may do on the UAE’s mainland. For the purposes of this section, “onshore jurisdiction” refers to any places that are not located inside a particular Free Zone
  • These areas are subject to federal rules and regulations, with regulatory agencies under the Ministry of Economy in each Emirate. Representative offices, branch offices, and limited liability corporations are the most frequent forms of businesses in the onshore jurisdiction (LLC). Depending on the nature of the business, a firm or branch may be 100 percent controlled by foreign investors. In addition to the allowed activities, an LLC is required to have a 51 percent local shareholder from the United Arab Emirates. A local service agent is required by a branch or representative office in order to serve as their point of contact with local authorities. Because you are headquartered onshore, you have the ability to conduct business anywhere in the UAE.

Do you require assistance in establishing yourself in the United Arab Emirates? Make a request with us right away.

2. Finding office space

In the United Arab Emirates, an entity is always a combination of a license, a legal entity, and a facility. The United Arab Emirates has a real estate-driven economy, and it is required by law that a firm license be tied to a physical office space at all times. Numerous free zones provide flexible desk solutions, as well as business centers, in order to give firms with cheap alternatives for office space. The requirements for a minimum office space vary from one jurisdiction to another, and the size of the office space will be determined by the company’s visa quota/visa limit.

3. Speaking the language

Although Arabic is the official language of the United Arab Emirates, English is extensively utilized in business meetings and transactions. All employment records, including contracts and other papers, such as instructions provided to employees, should, on the other hand, be written entirely in Arabic. When there is discrepancy between words in English papers, it is the language that is used to resolve the inconsistency.

4. Adhering to the culture

It is customary for the local culture to adhere to Islamic customs. Communication in business is conducted in a highly formal manner, and civility is highly regarded. The people of the United Arab Emirates is typically warm and kind, and the country is regarded as one of the safest in the world. Foreigners are allowed to follow their own religious beliefs, but they are expected to exhibit the same amount of respect for their hosts as they do for themselves.

5. Watching the time

The task of keeping time is undertaken with a more laid-back attitude. Meetings will frequently start late, end late, or be cancelled at the last minute without any prior notice or explanation. Also unusual from most other nations is the working week, which runs from Sunday to Thursday, with the “weekend” covering the Friday prayer, known in Islam as “congregational prayer,” which is held on Saturday and Sunday alone. Some businesses, such as service providers and banks, are open on Saturdays as well.

6. Getting credit

Managing cashflow is crucial in any jurisdiction, and this is no exception. In the United Arab Emirates, there are several banks and financial organizations that may contact you and offer you a variety of loans or financing solutions. In order to effectively manage start-up expenses and continuing capital requirements, it is necessary to collaborate with a local partner.

7. Understanding the tax environment

The United Arab Emirates is well-known for being a tax-free haven, although it implemented VAT for the first time in January 2018. The VAT rate in the country is modest, at only 5 percent, and has had little influence on the cost of conducting business in the country. It has been indicated by the Federal Tax Authority (FTA) that it would take strong measures against businesses that are required to register for VAT but fail to do so. Penalties include a Dh20,000 fee for late registration, as well as other fines for late payment and conducting business without a valid VAT registration certificate.

TMF Group can perform the VAT registration and quarterly returns for any firm in the United Arab Emirates and the wider Middle East and North Africa.

8. Work permits and visas

The United Arab Emirates (UAE) is a young country with a varied population. To live and work in the United Arab Emirates, all international employees must get a work permit or a residence permit. This implies that you must pay close attention to guarantee that you are in compliance with all requirements established by the General Directorate of Residence and Foreigners Affairs, as well as the Ministry of Human Resources and Emiratisation. TMF Group is capable of processing all visas and work permits, as well as ensuring that renewals are completed in a timely manner.

9. Paying employees

In an almost tax-free environment, the payroll procedure is not as straightforward as you might expect. Local payroll is a complicated issue because of the wide range of expatriate nationalities and the constantly changing local rules. Following the adoption of the Wage Protection System (WPS), which was required by the Ministry of Human Resources and Emiratisation, a fully documented payroll process has become mandatory for all enterprises doing business in the United Arab Emirates. In order to get end-of-service gratuity payments in place of pension benefits, it is necessary to use specialized calculations and meticulous processing.

10. International relations

The United Arab Emirates, together with Saudi Arabia, Egypt, and Bahrain, broke diplomatic, economic, and commercial ties with Qatar in June of this year. The UAE, on the other hand, signed the AlUla Agreement on January 5, 2021, clearing the way for the re-establishment of diplomatic ties with the region and putting an end to the dispute with the region. In addition, the UAE has more than 100 double taxation treaties in existence, which allow businesses to optimize trade with certain nations.

Talk to us

Through its offices in Dubai and Abu Dhabi, TMF UAE can meet all of your compliance requirements in the United Arab Emirates in a single location. The services we provide range from suggesting the most appropriate form of company and jurisdictions for your start-up to providing continuing management accounting, corporate governance, and even payroll services to our clients. Make contact with us immediately if you are interested in establishing a new enterprise in the UAE or streamlining your existing operations.

The Ease of Doing Business in Dubai

What is it about conducting business in Dubai that makes it such a desirable location for company development and entrepreneurial endeavors? One of this jurisdiction’s distinguishing characteristics is the ease with which business may be conducted in Dubai. For those who are curious about why they should select Dubai above any other location, we’ve outlined some of the advantages as well as provided some insight into the options that are accessible to you.

Why do business in Dubai?

Located in the Middle East, Dubai is a cosmopolitan metropolis with two-thirds of the world’s population within reach on flights of eight hours or less, making it an ideal nexus for trade and commerce between East and West, as well as the geographic center of the Africa, Middle East, and Asia triangle. As a result of Dubai’s quick expansion and strategic position, as well as its favorable business culture, it has earned the reputation of being a convenient destination to conduct business. What evidence do you have to back up your theory?

When the World Bank conducted its investigation of the United Arab Emirates, it selected Dubai as a case study.

According to the study’s criteria, the UAE was the easiest nation in which to obtain electricity, the third-easiest country in which to obtain building permits, the ninth-easiest country in which to enforce contracts, and the tenth-easiest country in which to register property.

A large number of governmental operations are being automated using blockchain technology, as part of the Emirates Blockchain 2021 Initiative, among other things.

The ease with which businesses may be established in the United Arab Emirates is one of the trademarks of the country’s entrepreneurial culture, and it is one of the reasons why our customers come to us at Europe Emirates Group to establish themselves in the emirate.

The advantages of doing business in Dubai

The abundance of alternatives for corporate structure, as well as the incentives that come with them, are only a few of the advantages of doing business in Dubai because of its ease of doing business. Companies in Dubai benefit from the following advantages, regardless of the format in which they operate:

  • A zero-tax regime, which means that neither personal nor corporate income taxes are levied
  • Governance that is safe and reliable
  • A financial center of international renown
  • The availability of a highly educated pool of human capital with a varied range of professional expertise originating from all parts of the world
  • There are no limits on capital repatriation. There are no restrictions for share capital. There are no prerequisites for a physical office
  • When compared to other onshore countries, there are lower start-up expenses.

If you’re aware with the business climate in Dubai, you’ll know that there are three sorts of corporate structures in the United Arab Emirates: free zones, Mainland entities, and offshore entities. What is the relationship between the ease of doing business and the sort of company? Here’s all you need to know about the situation.

Doing business in a Dubai Free Zone or on the mainland

Is it possible for a corporation based in a Free Zone to conduct business in Dubai? Free Zone firms are normally restricted to operating exclusively within their own Free Zones and overseas, and are not permitted to conduct business on the Mainland. Although revisions to the UAE’s Commercial Firms Law were recently published, they removed the need that a local agent be the primary owner of onshore, or Mainland, companies. This makes doing business on the Mainland more enticing, particularly in industries such as retail.

You’ll need to decide where you’re going to base your operations.

If you wish to provide services to Emiratis, a company based on the Mainland would be a better choice.

What is the cost of doing business in Dubai?

In order to find up how much a Dubai business would cost based on your demands, speak with a member of the Europe Emirates Group’s company formation team in Dubai. We also recommend that you have a look at our free downloaded guide on company setup in the United Arab Emirates for even more information as you begin your entrepreneurial adventure. Please do not hesitate to contact us to organize a consultation with our staff. Written byAdrian Oton, CEO of the Emirates Group in Europe.

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