The process of establishing a business in the United Arab Emirates is relatively straightforward, with just a few steps to follow in all seven of the Emirates. You can submit your application in person at the Department of Economics. One of the main advantages of company formation in Dubai is that the company doesn't need to pay taxes. There are no corporate or personal taxes applicable in Dubai.
However, some companies may be required to pay GCC VAT of as little as 5% on certain commercial activities. The main regulatory body for company formation in Dubai is the Companies Register. This is where new business registration applications are filed and companies must submit their compliance and records. Dubai Economy, along with other government entities in Dubai, has launched the Dubai Virtual Commercial City (VCC) program, which allows entrepreneurs and freelancers from all over the world to create a virtual company in the United Arab Emirates, even if they don't live there.
There are many options available for international companies and the benefits of having a presence in the Middle East are considerable. Free Zone companies are located in a free zone where there are special laws related to customs, taxes, property, etc. Companies choose the United Arab Emirates for business creation because of its reputation as a global business center, offering international trade solutions and a well-regulated and business-friendly environment. It is allowed to perform limited functions, such as collecting information for projects completed by the company and acting as Dubai's administrative and marketing center.
The registration of a trust company in the United Arab Emirates is authorized by the Commercial Registry Office. If you're looking to set up a business in Dubai, here's a comprehensive guide on how to do it:
Step 1: Select Your Business ActivityThe first step is to decide what type of business activity you want to pursue. This will determine which government agency you need to contact for registration.
Step 2: Pick Your Company NameOnce you've decided on your business activity, you'll need to choose a name for your company. This should be unique and not already registered with any other company.
Step 3: Register Your CompanyOnce you've chosen your business name, you'll need to register it with the relevant government agency.
This will involve submitting an application form and providing all necessary documents.
Step 4: Obtain Licenses and PermitsDepending on your business activity, you may need to obtain certain licenses or permits from the relevant government agency. This could include an import/export license or a professional license.
Step 5: Open a Bank AccountOnce your company is registered and you have obtained all necessary licenses and permits, you'll need to open a bank account for your business. This will allow you to receive payments from customers and make payments for goods or services.
Step 6: Hire EmployeesIf you plan on hiring employees for your business, you'll need to obtain work permits for them from the relevant government agency. You'll also need to register them with the local social security office.
Step 7: Abide by Local LawsFinally, it's important that you comply with all local laws and regulations related to your business activity.
This includes filing taxes on time and keeping accurate records of all transactions.