Opening a new business is a very thrilling experience that can sometimes overwhelm you with the things that need to get done. Even starting a new branch of your company in Dubai can be daunting with never-ending steps and regulations that are involved. However, company formation in the Free Zones has been made easier with less paperwork, single window clearance and investor friendly regulations.
Here is a list of the procedures that have to be carried out as part of company setup in Dubai.
Choosing the type of business and activities.
Your first step is to correctly identify the type of business and the different business activities that will be required for the effective running of your company. Businesses in the UAE Free Zones fall into three categories:
- Professional – This type of business involves personal services such as public relations and management consultancy.
- Commercial – This type of business involves trading of goods and services such as retail sales.
- Industrial – This type of business involves manufacturing, processing or packaging goods for sale.
Choosing the type of company you wish to register.
Your company can be a proprietorship, partnership, branches of foreign companies or many others. When registering your business, you have to take into account the type of business, number of owners, nationality of owners and other legal issues.
Choosing the location.
Dubai has more than 20 Free Zones, including Media City, Dubai International Financial Centre, Dubai Airport Free Zone and Jebel Ali Free Zone. Each Free Zone offers a variety of services and advantages that are suited to different types of businesses. You will have to find out the ones suitable for your specific business needs and activities.
Confirming the registration and start-up costs.
When you consider starting a business in the Free Zone, you need to consider the cost of first time registration along with the yearly renewal cost. Don’t opt for the cheapest option at the first glance, since you might end up paying more in the long run.
Submission of application form.
You will need to submit the Free Zone Application Form along with documents that include passport copies, visa copies, business plan, bank statements and No-Objection certificate from current sponsor.
Procure approvals from regulatory bodies.
Some Free Zones require prior approval from departments such as the Irrigation Department, Environment Department and Ministry of Health before processing your application.
Make payments and sign the agreements.
You will be required to pay the initial registration fee. Some Free Zones allow you to pay in instalment basis, but be sure that you don’t end up paying a lot more in the end. Once you have made the payments, you will receive the relevant legal documents to be signed in the presence of a Free Zone authority. Then you will receive your Free Zone License and associated documents such as share certificates, certificate of incorporation etc.
Don’t hesitate to ask for help
Before you proceed with your company formation, you need to develop a business plan that sets out what you want to do and how you will accomplish it. If your require help in company formation or setup in the Free Zones, don’t hesitate to ask. There are plenty of authorized company formation agents who are experts in this field and have helped thousands of large and small business owners to set up their business in Dubai. They will ease your way towards owning and operating your company with the least amount of trouble.