Aspiring entrepreneurs are increasingly looking to set up their businesses in Dubai. Figures released by the Business Registration and Licensing sector at the Emirate’s Department of Economy and Tourism (DET) suggest that 45,653 new business licenses were issued in the Emirate in just the first half of 2022.
If you are considering starting a business in Dubai, it is essential to separate fact from fiction. Unfortunately, many myths exist about new business setup in Dubai and doing business in this dynamic and exciting city. Here are six of the most common myths, together with the facts.
1- Myth: You should know Arabic to start a business in Dubai
Fact: Although Dubai is part of the United Arab Emirates, English is widely spoken and accepted as one of the official languages. Most government documents and forms are also available in English, so you do not need to know Arabic to set up a business.
2- Myth: It is impossible to get a business license if your company is not based in the UAE
Fact: There are several options available for setting up a business outside the UAE but with operations inside the country. A foreign branch office allows multinationals to operate within Dubai using their existing brand and corporate structure. Companies can also establish representative offices to promote their brand within the UAE while managing operations from outside the country.
3- Myth: It is difficult to find suitable premises for a business in Dubai
Fact: There are numerous options for businesses looking for premises in Dubai, ranging from small offices to sizeable multi-floor office blocks. There are also several free zones in and around the city that offer attractive incentives for companies considering business formation in Dubai, such as tax benefits and relaxed regulations.
4- Myth: Doing business in Dubai is expensive
Fact: While it is true that costs can add up quickly if you are not careful, there are ways of keeping costs down when setting up a business in Dubai. For example, many free zones offer affordable office space, so you do not need to rent a large, expensive prime location. Additionally, there are also financial incentives available for businesses looking to start up in the UAE, such as tax breaks and import duty exemptions.
5- Myth: It is difficult to find reliable staff in Dubai
Fact: As with any other city, finding good quality staff is an important consideration when setting up a business in Dubai. However, the city is home to a highly skilled and well-educated workforce that can provide valuable expertise and knowledge to businesses of all sizes. Additionally, numerous recruitment agencies operating in Dubai can help you find the right employees for your company quickly and efficiently.
6- Myth: It takes a long time to set up a business in Dubai
Fact: Actually, the process of setting up a business in Dubai is relatively straightforward and can be completed in as little as 48 hours. The authorities have streamlined the process, meaning companies can start trading within days. Additionally, many of the free zones offer fast-track services for businesses looking to set up quickly and efficiently.
So there you have it – six myths about setting up a business in Dubai debunked. The city offers an exciting opportunity for entrepreneurs and businesses alike, so do not let these myths put you off exploring the possibilities. With careful planning and preparation, you can easily set up shop here and take advantage of all this dynamic city offers.
As company formation consultants in Dubai, we at Smart Zone, have extensive experience helping businesses set up and operate successfully in the UAE. Contact us today to find out more about doing business in Dubai. We look forward to hearing from you!
