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The UAE economy enjoys the vitality and diversity that makes entrepreneurs and investors eager to open their own projects in an environment of a free and open economy, and characteristics that make the state one of the most prominent centers of attracting entrepreneurs and investors to establish their companies. The UAE has made every effort to provide a business environment that is considered among the best in the world, by encouraging reforms and putting in place important laws to ensure investor protection. Here it is worth noting that the latest foreign direct investment laws allow foreigners to own a company within Dubai 100%, which reduces the need for a local partner, which was previously a mandatory condition. According to the World Bank’s classification, the UAE ranked first in the region in terms of facilitating the establishment of companies, as any company can be registered within minutes for a small fee, smooth procedures for obtaining building permits, not to mention enhanced investor protection and facilitated commercial transactions across borders through the complete digitization of the process . Moreover, the UAE has a strategic location that constitutes the link between Europe, Africa and the Far East, making it the meeting point of the world. The UAE also maintains close bilateral relations with all neighboring countries and enjoys political stability that allows commercial activities to grow and flourish. But before you start your own project, there are 5 important steps that you must take into consideration, according to Creative Zone, 5 important steps 1. Type of business Choosing the type of business you engage in is the first and most important step in your career when setting up a company in the UAE. This can determine the location you will choose to set up the company and the license you will need. For example, some free zones allow the establishment of only certain categories of commercial activities such as media, medical or transportation activities. Restrictions aside, it makes sense to establish your company close to companies operating in the same field. The Dubai Department of Economic Development offers a list of thousands of activities that you can choose from. You can choose more than one business, but be sure to include every activity you wish to conduct, whether in free zones or within Dubai. Failure to do so may hinder obtaining licenses in the future. 2. Company license Many licenses are available in the United Arab Emirates. You can select the appropriate license for you according to the commercial activities you choose to practice. If your business falls under the industry or manufacturing category, you will need an industrial license. But if you work in the commercial sector, i.e. buying and selling goods, you will need a commercial license, and this applies to the rest of the commercial activities. 3. Company name Choosing a company name is a very important step in establishing a company in the UAE, and there are some things to consider when making this decision. It is important to choose a company name that does not match the name of any other company in Dubai. Any company name that matches the name of an existing company will not be accepted. After the name is approved, the company must be registered with the Department of Economic Development. This process generally takes three days and you will get a valid license for a period of six months. |
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