What are the things to know before relocating your business to Dubai?

Following are the steps one must follow to set up a business in UAE: 

Choose a Business Activity 

When selecting a business activity for your firm, take into account first how viable the activity is in relation to the UAE market. Before creating a business, make sure to carefully assess the venture’s potential and profitability. Then, decide when to launch a business in Dubai, United Arab Emirates. 

Choose a Jurisdiction 

The UAE market is divided into the Mainland, Free Zone, and Offshore economic zones. These economic zones are often referred to as jurisdictions. Every jurisdiction has its own specific set of regulations and laws governing the formation of enterprises. They also offer amenities for a range of business needs. However, your requirements and the nature of your company activities will determine the jurisdiction you select for your enterprise. 

Finalize the Company Structure 

Choosing your company’s legal structure is essential when establishing a business in the UAE. It defines the guidelines and tone for managing gains and losses as well as how you should distribute your assets and resources. In the early phases of planning, decide on the organizational or legal structure of your business. 

This will help to give your company a layout. Before submitting your License application, you must decide on the legal structure for your company. You can register your business in the UAE using a variety of legal forms or business structures, including the ones listed below: 

• Limited liability company (LLC) 
• Free zone company 
• Sole Establishment 
• Civil company 

Get Approval for Your Company Name and Activity 

The Department of Economic Development (DED) must approve the trade name for your firm before you can move on and start the procedure for setting up your business in the UAE. At this step, your selected business endeavor and the name of your corporation are also authorized. After receiving the appropriate permissions, you must submit the required documentation to apply for your UAE trade License and begin the process of establishing your business in Dubai. 

Apply for Your Trade License 

Trade licenses, usually referred to as business licenses, are available in the United Arab Emirates in four main varieties. These kinds include: 

• Commercial License 
• Professional License 
• Industrial License 

You may also apply for any of these trade License s if you want to start a business on the UAE mainland. The License structure in UAE free zones varies and depends on the kind of commercial activity your business chooses to do. 

Register Your Business 

Obtaining a License and registering a business happen at the same time. However, the whole documentation and approval process entails several procedures. During this phase, you must also get the required government clearances, as outlined by the Department of Economic Development. Additionally, depending on the nature and operations of the firm, different paperwork is required. 

Find a Local Agent (If required) 

Finding a local partner may be necessary before beginning a certain business in a particular area of Dubai. A citizen of the UAE may work alone as a partner or agent for an Emirati. Finding a trustworthy local agent may be difficult, especially for an aspiring entrepreneur looking to start a firm in Dubai. An expert in business formation may connect you with companies that provide corporate sponsorship, where you’ll have complete management and formal approval of your business. 

Get External Approvals 

Depending on the nature of your firm, DED can require additional permissions from governmental or non-governmental bodies. For instance, certain firms would need to secure permits from the municipality, specific banks, embassies, etc. 

Prepare Your Memorandum of Association (MOA) 

It’s crucial to know the nuances of a Memorandum of Association to establish a firm in Dubai. (MoA). Therefore, before drafting the MOA, make sure to seek competent advice. The MoA should be written in accordance with the UAE government’s instructions. It should also take your business objectives into consideration when founding a company in Dubai. 

Rent an Office Space 

Depending on your specific requirements, you might choose a shared workplace in a business center or rent office space. Your office space affects the number of visas you may apply for from the Department of Economic Development (DED). 

Get the Ejari and Tenancy Contact 

If you wish to relocate your business to Dubai, you could need an Ejari. This Tenancy Agreement is between you and the Real Estate Company whose office space or shared workspace you desire to rent. The Ejari website is under the control of the Real Estate Regulatory Agency. (RERA). 

Additionally, it ensures that both tenants are treated equally and honestly. You also need to upload your rental agreement and a few additional documents to activate your Ejari account. Ejari is essential since you need it to apply for or renew visas for your family members and staff. 

Get Initial Approval 

You must first get initial authorization from DED to launch a business in Dubai. This certification demonstrates that the UAE government has granted you permission to open a company there. Without this permission, you cannot proceed to the next step of the application process. 

Collect Your Trade License 

You must submit the relevant paperwork to the Department of Economic Development together with the applicable government payments in order to obtain your trade License in order to move your business to Dubai.