Dubai is considered to be one of the most secured and user friendly destinations to start up a new business. The Government of Dubai promises to give new business starters complete support and advice. The Company Registration in Dubai stipulates relevant legislations pronounced by the Government Authorities and this has to be specifically pursued to incorporate a company in the territory. One would also need to select a proper place for the business. If the plan is to set up a business in cities of Dubai, one must be aware of some legal terms and rules that govern the registration of such companies. Here in Dubai, the business is classified into:
- Free Zone :-
This type of business pertains to the companies which are owned 100% by the investor who would be apparently the owners. No agent or sponsor is necessary to manage the functioning of such companies and also no rules are specifically laid among these ventures. This business has certain add on benefits too. Along with 100% ownership, this can be set up only by one person who can also open a bank account in Dubai. The secrecy levels can be 100% with no tax and low renewal charges. It also gives the benefit of liquidating the affairs anytime. Import and export can also be conducted considering the activities stipulated in the trade license. The person has the right to hold properties also in Dubai. The free zones businesses have a right to interact with legal and financial consultants, accounts officers and any other company management which is operating its business in Dubai.
- Offshore :-
Under this type of entity the company conducts operations outside Dubai. The benefits of this type of businesses are mostly to get the local tax levied and invoice can be generated. The business can be started with zero capital and no office place is required. The rules for these companies have been set as per the international standards so it is mandatory to have one director registered. These companies also have to maintain their financial books of accounts along with issuing the financial annual report after completely auditing it by the auditors periodically. These auditors must be approved by the respective free zones. The offshore companies are also liable to hold an annual general meeting. In other words, these businesses should operate like a usual registered company. The company is obliged to strictly follow the new anti-money laundering rules. These companies can also interact with legal and financial consultants, accounts officers and any other company management which is operating its business in Dubai. They are eligible to open a bank account to take care of local dealings and transactions. If the investor wants to commence any other offshore in any other territory, then they need to obtain the license for the same from the respective authorities. There are different offshore destinations available in UAE according to the choice require by the investors. Normally the capital required is zero but AED 10,000 (USD 2,700) is normally advised to be shown as a startup amount, but no physical presence of capital is required.
The business advisors play a key role in starting a new venture. They are normally aware of the rules and regulations and can also give you a proper guidance along with the step by step method of proceeding to start a new venture. They have complete expertise in these dealings. They help you with all the paper works including visas and work permit approvals from Emirates. They also help you in opening bank accounts too for new businesses.