Your search ends here if you want to know how to start a small business in Dubai. Setting up a small business in various industries in Dubai can be a win-win for potential investors.
Dubai is considered a global economic hub and a center of commerce and trade providing a promising future for investors from different countries including UK, India, and more. Apart from its highly emerging economy, Dubai also has an elite infrastructure, corporate-friendly policies, and a high-quality lifestyle for foreigners looking to relocate to a new place.
Without further ado, delve into the article to learn how you can start a small business in Dubai, the costs of a small business license in Dubai, the documents required, and more.
Starting a Small Business in Dubai
Starting a small business in Dubai is easy as long as you work with a trusted and experienced business setup specialist in Dubai – like Avyanco. Team Avyanco is an expert in all areas of company formation and has hands-on experience. Avyanco will guide you throughout the company formation in Dubai assisting you regarding the Dubai environment, laws, corporate policies, tax policies, and more to help you set up and run your businesses properly.
How to Open a Small Business in Dubai?
Potential investors will have to follow certain processes and meet requirements in order to open a small business in Dubai. Although the process is pretty simple; however, there might be some legal considerations that you must keep in mind including obtaining certain permits and more.
Steps of Setting up a Small Business in Dubai
Setting up a small business in Dubai is pretty simple that follows a few steps including:
- Decide Your Business Activities
Making a decision about your business's activities is the first step of opening a small company in Dubai, UAE. There are tens of thousands of possible activities, therefore it's crucial that you identify any that you plan to engage in on your license application.
- Choose a Company Name
Choose a name for your business once you are done with the initial procedure. There are a few things to think about when it comes to naming a business in Dubai. You must adhere to a strict yet straightforward set of naming conventions. You must avoid using foul or offensive language. Additionally, confirm that the name you want to get for your business is not already registered for another business.
- Choose a Location
Choosing whether to locate your business in a free zone or on the mainland is one of the crucial steps before submitting your license application. Both the Free Zone and the Mainland have different pros and cons to offer to investors depending on the type, structure, and size of the business.
A few benefits that free zones offer include a quick and easy incorporation process, ongoing business support, and financial incentives including tax breaks and no currency restrictions. While doing business on the mainland, you can transact with the UAE market directly and apply for potentially lucrative government contracts. Therefore, choose a business location depending on the requirements of your startup. It is highly recommended to consult with a company formation specialist in Dubai for further assistance.
Documents Required to Open a Small Business in Dubai
To open a small business in Dubai, potential investors will have to submit essential documents to the concerned authority including:
- Business plan documentation
- Passport copy of the owner and shareholder.
- Visa copy of the owner and shareholder
- Few name Choices for the company reservation.
- Lease Agreement – Actual office or Virtual office
An experienced company formation specialist like Avyanco can help you arrange and submit your documents along with a license application to the concerned department. Avyanco has a team of expert business setup consultants who are always there to assist foreign investors with their queries and business opening processes. Consult Avyanco to start a small business in Dubai effortlessly.
Cost of Starting a Small Business in Dubai
Want to know the cost of starting a small business in Dubai Mainland? The cost of starting a small business in Dubai may range anywhere from AED 20,000 to AED 30,000 approximately with additional fees including yearly gov’t fees of AED 12,600. However, the cost may vary depending on multiple factors including the structure, location, jurisdiction, and the size of your business as well as the type of license you want to obtain to run your business.
The Cost of a Small Business License in Dubai
Want to know the cost of a small business license in Dubai? Getting a small license trade license in Dubai costs anywhere from AED 5500 to AED 15000 approximately. However, the cost may vary depending on multiple factors including the structure, location, jurisdiction, and the size of your business as well as the type of license you want to obtain to run your business.
Cost of Starting a Small Business in UAE Free Zones
Want to know the cost of starting a small business in the UAE Free Zone? Starting a small business in UAE Freezones costs anywhere from AED 5,500 to AED 12,900 approximately. However, the cost may vary depending on multiple factors including the structure, location, jurisdiction, and the size of your business as well as the type of license you want to obtain to run your business.
Small Business License Cost in Dubai Mainland
In order to start a small trading business in Dubai mainland, you will need to obtain a mainland license from the concerned DED. The cost of a small business license in Dubai mainland ranges between AED 13,000 to 16,000. The license will permit you to successfully run your business in and across Dubai. Consulting with a trusted business setup advisory like Avyanco can help you obtain your business trade license in no time.
Small Businesses You Can Setup in Dubai and UAE
Options are endless when it comes to a small business setup in Dubai. Whether you want to open your business in the construction sector, hospitality, tourism, logistics, or any other industry, you can do without any barriers. Moreover, below is a list of a few but not limited small business options that you may consider in Dubai:
- IT solutions
- Digital printing
- Tourism services
- Logistics business
- Consultancy service
- E-commerce business
- Manufacturing business
- Digital marketing and e-commerce
Benefits of Starting a Small Business in Dubai
Dubai holds global significance when it comes to business and trade making it one of the most attractive and lucrative investments for foreign investors. Dubai offers countless benefits to investors and business owners including zero to minimum tax policies, business-centric policies and regulations, elite infrastructure, a constantly emerging economy, and more. If you want to start a company in Dubai or the UAE, then now is the best time. Get expert assistance from a trusted company formation specialist and mark your presence in one of the highly emerging and growing economies like the UAE.
Ease of Business Setup Process
Business setup in Dubai is a straightforward procedure that requires minimal paperwork. You may always get assistance from a trusted and experienced company formation consultant like Avyanco in Dubai, who can guide you through the process to make it even more effortless.
One of the major and prominent benefits of starting a business in Dubai is that you will not have to pay any additional taxes. Dubai’s government made it easy for investors to generate profits and maximize their wealth. The city offers minimal or total exemptions to some businesses and companies located in Free zones. However, certain companies under some conditions might have to pay a 5% VAT and 9% Corporate Tax. You can always talk to an expert regarding taxation and other related matters who can help you comply with the rules.
Advantageous Strategic Location
Dubai acts as a vital hub between international suppliers, producers, and manufacturers of essential commodities thanks to its advantageous location at the crossroads of the East, West, North, and South. Dubai’s strategic location offers countless benefits for investors who want to expand their businesses in and across UAE. The country has seaports and airports which further simplify logistics and business as well as encourage the expansion of the tourism and import and export of products.
Dubai also offers other hundreds of benefits as well to investors including recruiting expatriate employees, more than 20 free zones, technological advancements, top-notch infrastructure, an easy visa-obtaining process, exceptional government support, and more.
How Avyanco Can Help You Setup a Small Business in Dubai?
Are you all set to start a small business in Dubai? Avyanco is an all-in-one company formation consultant that aspires to assist overseas investors and entrepreneurs in setting up small businesses in the best possible jurisdictions in Dubai.
With vast industry experience and hands-on expertise, team Avyanco offers full-fledged company formation, relocation, business license and visa approvals, PRO, accounting, bookkeeping, auditing, and tax compliance services to its customers. We provide professional, up-to-date, and success-oriented assistance to help you stay ahead in the leading economy and grow your business. Contact us for any queries today!
Jashvant Prajapati, founder and CEO of Avyanco Group of Companies; Business Setup Consultancy, Avyanco Tax and Accounting LLC, and Avyanco Auditing LLC. He keeps a varied portfolio with core expertise in investment management, corporate structuring, commercial law, business consultancy, lead management, business planning and market research. Aspire to help potential entrepreneurs and investors to come ahead and form their companies in highly emerging economies like UAE.