A business owner or an investor can attain information about setting up a business in Dubai from various online sources. There are a lot of websites that offer information about company formation and related legalities. But attaining the basic knowledge about business formalities cannot replace the practical wisdom and experience in getting the job done. Yes, the practical wisdom, updated knowledge, understanding of the prevailing market scenario, political scenario, economic scenario etc cannot be attained just with a mouse click. Here is the relevance of an experienced and knowledgeable business consultant. An experienced and reliable business set up consultant in UAE can effectively assist you through the intricate company formation procedures in Dubai and UAE.
Before going through the reasons, let us have a brief understanding of the various business entities that operate in Dubai and UAE.
Mainland company in UAE
Mainland company is a business entity authorized to perform business transactions both in the local market and outside the country. There is no restriction of any kind as far as business operations are concerned. The government authority in charge of license issuance is the Department of Economic Development (DED). When it comes to company ownership, 100% foreign ownership is not possible for a mainland company. The ownership should be shared among the foreign partner and a UAE national.
Freezone company in UAE
Freezone companies are allowed to operate and perform business transactions within certain predefined jurisdictions of the Emirate or outside the country. Around 40 Freezone regions operate in the Emirate. The company operations and license issuance is governed by the Free Zone Authority. 100% Foreign ownership is possible for Freezone companies. There is no necessity of a UAE national involvement.
Offshore company in UAE
An offshore company is a business entity that operates outside of the original location of registration. You may set up an Offshore company in two different jurisdictions –Jebel Ali and Ras Al Khaimah. Offshore companies are set up for different or multiple reasons like business expansion, enhanced regulations etc. 100% ownership is possible in the case of Offshore company formation in UAE.
We have formulated the reasons for which you need to entrust the company set up tasks to a reliable business consultant. Here are they:
1. Save money, time and energy
Yes, time, money and resources are the building blocks of any business venture. It takes a specified time or duration to get a particular job done or in business terms accomplish a business formality. Time is money in the real sense and every entrepreneur values the worth of time. All businesses in UAE are required to comply with certain rules and regulations depending upon the type and legal structure of the venture. And yes, the company formation rules and regulations in the UAE are stringent. A lack of in-depth knowledge, inadequate consideration or understanding of the legal formalities can unfavourably affect your time and money. An experienced business consultant shall help you make the right decision at the most appropriate time.
2. A to Z guidance
A professional business consultant guarantees the necessary consultancy guidance right from the start to finish of company formation. Real-time knowledge of the market, associated legalities and the most updated knowledge about business sectors are very essential to offer complete guidance.
3. Legal and financial aspects of company formation
It’s advisable to leave the legal and financial related aspects of company formation to an expert. The legalities associated with company formation like the legal structure of the company, attaining of license etc are strictly mandatory and therefore the companies should adhere to these without fault. A mismatch or non-compliance may invite serious consequences like heavy fines or penalties. And this may seriously affect your business plans or even business as a whole. You may seek the services of an expert financial consultant to deal with investment and funding related aspects.
Where to start a business in Dubai?
“Where to start a business in Dubai or UAE” is a crucial question. And almost every investor might have asked this question at some point in time. As already mentioned in the article – Mainland business, Freezone business and Offshore business are the three major business entities that operate in the UAE. The type of business endeavor that you engage in generally determines the type of business entity. And an experienced business consultant is the most appropriate authority to answer this “crucial question”. The consultant gives you valuable advice on where to start a business in Dubai and helps with all the company formation formalities. Business consultants can also assist you with other related formalities like opening of Corporate bank account, trade license issuance and a whole lot of other intricate formalities.
The reasons that are listed above give the very basic insight about the formalities connected with company formation in the UAE. It requires effective communication, coordination and business relations with the top UAE authorities and officials to carry out the formalities smoothly. Hope now you are aware of the role of a business consultant in implementing your business plans in Dubai and UAE.