Start a business in Dubai, UAE

1. Steps to Steps to Start a Business Start a Business in Dubai in Dubai

2. Start a Business in Dubai To start a company in Dubai or anywhere around the world is an important decision. It involves planning, conceptualising, research, budgeting, set- up, and decision-making among other things. It also requires guidance and assistance on selecting the right trade license for your business, especially if you are a new entrepreneur. Here, you will learn about the important steps to start a business in Dubai, UAE.

3. TO START A BUSINESS IN THE UAE, FOLLOW THE STEPS MENTIONED BELOW: Select a business activity Get your external approval Prepare your Memorandum of Association Rent an office Select the jurisdiction Finalise the company structure/legal form Get approval for your company name and activity Get the tenancy contact & ejari Get the initial approval Apply for your trade license Register your company Find a local agent (if required)

4. Select a Business Activity When selecting a business activity for your entrepreneurial venture, keep in mind the practicality of the chosen activity in relation to the UAE market. Before you open a company in Dubai, do a thorough research on the feasibility and profitability of the activity. Then decide on when to start a business in Dubai, UAE.

5. Select the Jurisdiction The UAE market is divided into different economic zones – Mainland, Free Zone, and Offshore. These economic zones are also called jurisdictions. Each jurisdiction has its own set of laws and regulations pertaining to business setup. They also cater to different business needs. Selecting a jurisdiction for your business depends on your business requirements and your business activity.

6. FINALISE THE COMPANY STRUCTURE/LEGAL FORM Choosing the legal form for your company is an important decision when starting a business in UAE. It sets the tone and structure for dealing with profits and losses and how you should organise your resources and assets. Decide the legal form or your company structure during the initial stages of planning. This will help provide a layout for your company. You cannot apply for your business license unless you decide your company’s legal form.

7. Following are some of the legal forms or company structures under which you can register your business in the UAE: Limited liability company (LLC) Sole establishment Civil company Local company branch GCC company branch Foreign company branch Free zone company branch Holding company

8. Get Approval for Your Company Name and Activity The Department of Economic Development (DED) must approve the trade name for your company before you can move ahead and start the process of your company set-up in the UAE. Along with your company name, your selected business activity also goes through an approval during this stage. Once you receive the approvals, you will have to submit documents to apply for your UAE trade license and begin the process of opening a company in Dubai.

9. Apply for your trade license There are four types of trade licenses in the UAE, also called business licenses, that you can choose from: Professional License Commercial License Tourism License Industrial License You can apply for any of these trade licenses if you plan to start a business in UAE mainland. The licensing structure in UAE free zones is different and is dependent on the business activity your company decides to undertake.

10. Register Your Company Company registration and licensing is a simultaneous process. However, the entire process of documentation and approvals goes through various stages. In this step, you will have to get all the approvals from relevant government requested by the Department of Economic Development. The documents required are different for each company type and activity. authorities as

11. Find a Local Agent (if required) Earlier, opening a business in Dubai, required to mandatorily find a local partner in the UAE. A Emirati partner/agent must be a UAE national only. As Finding a trustworthy local agent can seem tiring, especially entrepreneur looking for business startup in Dubai. A business setup consultant can connect you with companies sponsorship where documented authority and 100% ownership of your business. for an aspiring that you offer will corporate be given

12. Get Your External Approval DED may request additional approvals from other government or non- government agencies, depending on your business activity. For instance, some businesses may be asked to get approvals from specific banks, embassies, etc the municipality,

13. Prepare your Memorandum of Association It is important to understand the complexities of a Memorandum of Association (MoA) to start a business in Dubai. Therefore, before drafting the MoA, make sure to get expert advice. The MoA should be drafted in accordance with the UAE government’s mandates. It should also take into consideration your business interests before you start a company in Dubai.

14. Prepare your Memorandum of Association It is important to understand the complexities of a Memorandum of Association (MoA) to start a business in Dubai. Therefore, before drafting the MoA, make sure to get expert advice. The MoA should accordance with government’s mandates. It should also take into consideration your business interests before you start a company in Dubai. be drafted the in UAE

15. Rent an Office Depending needs, you can choose to rent an office unit or opt for a shared workspace in a business centre. An office space can also determine the number of visas you can request for from the Department of Economic Development (DED). on your business

16. GET THE TENANCY CONTACT & EJARI When you start your own business in Dubai, you might need an ejari. This tenancy contract is the agreement between you and the real estate agency whose office unit or shared workspace you intend to rent. Ejari is an online system governed by the Real Estate Regulatory Agency (RERA). It ensures fairness and transparency between both parties involved in the tenancy. You must submit your tenancy contract and a few more documents to activate your Ejari account. Ejari is very important because you need it to get or renew visas for your family members and/or employees.

17. Get the Initial Approval Before getting your business license to start a business in Dubai, you must get the initial approval from DED. This approval indicates that the UAE government does not object to you starting a business in UAE. If you do not receive this approval, you cannot proceed to the next steps in the application process.

18. Collect your trade license Memorandum of Association (MoA) External approvals (if any) Tenancy contract Trade license application Relevant government forms Ejari registration certificate To get your UAE trade license, you will have to submit the following: Trade name reservation certificate Passport copies of partners Initial approval certificate NOC for partners (if any) Other requirements by the DED (if any) All these should be submitted to the Department of Economic Development along with the necessary government fees.

19. If you need advice on how to open a company in Dubai, UAE, contact Shuraa Business Setup. We have been helping entrepreneurs form their companies in the UAE for nearly 20 years now. Book your free consultation company formation experts today! Start your business with us with our

20. Phone +971 44 081900 +971 50 7775554 Email Address info@shuraa.com Contact Website www.shuraa.com Office Contact our company to get more information Sheikh Zayed Road, Office 501, 5th floor, Aspin Commercial Tower, Dubai, UAE