If you want flexible and extensive control over your company with minimal interference or restrictions, consider setting up a Mainland company in Dubai. These mainland companies can conduct business activities in and outside the United States Emirates. Several business activities do not need a local resident to be the owner or partner. Expats can participate in government projects with an easygoing process. There are more than 2000 activities that you may consider your mainland company to be, and the ownership will be 100% yours!
Since Dubai is one of the top tourist locations in the world, it can be an excellent option to skyrocket your international business. Thanks to its vibrant environment and supportive government, people from all countries set up mainland companies in Dubai to scale their business growth. Here are the top advantages of a mainland company setup in Dubai :
- Prime Location
Dubai is the gateway between Asia, Africa, and Europe; people from all these places go to Dubai to shop or take vacations. Its popularity has grown multiple times in the last few years, and more than 88% of the population of Dubai are expats now. People live there for business or personal reasons, making it the best place for an international company to set up. According to global tourism data, Dubai is the fourth most preferred location for people in all regions.
- Business Friendly Approach
The city’s government clearly understands international business’s role in boosting the economy. They are working their best to motivate more and more enterprises to set up mainland companies in Dubai. The process is hassle-free, and the government strongly supports innovators and entrepreneurs. As per the official data, more than 652,885 companies have already set up their offices in Dubai. Many companies from the U.S.A, China, India and other global companies are also setting up their headquarters in Dubai.
- Tax-Free Businesses
If your company earns a revenue of up to AED 375,000, then the tax you pay is zero per cent in Dubai. This is the reason many companies are preferring Dubai than other locations. There are many tax benefits, and it also offers a range of tax exemptions to attract businesses to set up a mainland company in Dubai. The Dubai tax regime gives VAT waivers for businesses to grow their profits and invest in expansions, ultimately boosting the economy of the place.
- Untapped Local Market
As mentioned above, Dubai has many expats worldwide, and they have enormous purchasing power. Having a local company in Dubai can help you to tap this untapped market. The competition is still lower than many other popular destinations, and people trust local companies more. Also, having a physical setup in Dubai allows you to understand the local needs and demands, and you may accordingly cater to this growing demand.
- Networking
As you find people from all countries in Dubai, it is the best way to meet new people and network for mutual growth. The government organises several events to promote synergy. This includes conferences, seminars, trade shows and exhibitions. These events provide immense networking opportunities and a platform to exhibit your products and services.
- Dubai Investor Visa
If you set up a mainland company in Dubai with 12,500 to AED 25,500, you are eligible for a 2-year Dubai Investor visa.
- Time-SavingÂ
Setting up a mainland company in Dubai takes 1-2 business days. The process is so smooth and has minimal paper requirements. You need not run here and there for approvals; everything gets sorted independently. You may also hire an agency to do all this for you at a nominal cost.
Mainland Company Setup Dubai Cost
Though setting up a mainland company in Dubai is flexible, everything comes with a cost. And this cost depends on many other things. The general rule says the complete set-up process costs around AED 15,000 to AED 50,000. Let’s have a look at the variables that are important factors to any business type :
- LICENCEÂ
A company may be commercial, professional, industrial or educational. Depending on the nature of your business, you would need to apply for a license, and the cost will vary accordingly.
- SIZE OF THE BUSINESS
The wider your business, the higher the cost. More funds will be required to hire more people to do things so it would take more funds out of your pocket. Also, the compliances for larger businesses are more than those for ambler ones.
- ENTITY TYPE
The ownership type also affects the cost. It may be a sole proprietor, a partnership form, Pvt Ltd, or an LLP. The last one would cost the most in comparison to the rest.
- LOCAL AGENT
As you are new to the place, you might need to learn more about setting up a mainland company in Dubai. Hence, hiring a local agency for specific businesses is mandatory, which adds to the set-up cost.
- SECURITY DEPOSIT
While applying for a trade license, you may be required to give an amount as a security deposit to avoid any unfavourable conditions for the government and locals. This deposit is directly linked to the nature and size of your business.
- NAME OF THE FIRM
It may sound strange to some, but when in Rome, do what the Romans do. So, if your company name is not in Arabic, you must pay an extra AED 2000 fee. So, if you are on a budget, consider choosing an Arabic name. But if you already have a business and are opening a branch in Dubai, then the name will cost you extra.
As it may seem quite lucrative to set up a mainland company in Dubai, you should consider the costs included so there are no last-minute discrepancies.
