How to Alleviate Company Liquidation Process

Among the most popular destinations of the 'United Arab Emirates' in Dubai – a global a metropolis that is a melting pot of so many cultures, nationalities and traditions. Home to the world's tallest building – the BurjKhalifa, man-made islands and underwater restaurants, Dubai has some of the major attractions in the world that draws tourists to 'the popular city of the future'. A place that was primitively the dwelling place of nomadic cattle herders, Dubai has metamorphosed into a modern city that is nothing short of an oasis in the desert.

An extremely beautiful and enticing tourist destination, there are plenty of reasons to consider a visit to Dubai. Though it has a 'desert' climate, you don't expect more than a landscape of sand-dunes. A place that boasts of contemporary architecture with a fantastic, upbeat urban feel to match, Dubai is a front runner when it comes to the most preferred destination to travel, work or live. The Dubai skyline decorated with a splendid view of the sky-scrapers ranging from the sublime to the outrageous where the BurjKhalifa, stands tall at an awe-inspiring 828 meters high and offers breath-taking views of the city and the surrounding emirate.

Those who are in a search of a culinary adventure will surely love Dubai as it offers a wonderfully varied experience. Being a cauldron of expats from various countries, Dubai provides an eclectic culinary experience and there it’s highly likely that that you will find a flavor to harmonize with your taste buds at one of Dubai’s upbeat hotels and restaurants.

But over and above this gastronomic experience, Dubai offers a splendid and perpetual supply for the shopaholic. Dubai has some of the most glitzy and upscale malls like Dubai Mall, The Mall of the Emirates and many more that assure that no one goes home empty-handed. With all major brands available duty-free as well as authentic souks for stuff like gold, carpets, etc., the choice is yours for the making.

As a true metropolitan, excellent infrastructure is Dubai’s backbone and the highest attention is paid on providing the world-class infrastructure to complement the image that it has carved over the years. Catching fast with the pace of development, the flyovers, and overhead bridges, the underpasses, etc. compete with the best in the world in terms of quality and finesse as well as safety standards.

Talking of Dubai’s rapidly expanding economy, the last few years have seen Dubai transforming from a tiny city-state to a huge metropolitan city. There is no dearth of opportunities to make money in Dubai. Those who are keen to set up your own business or if you wish to seek employment that promises a good lifestyle, then Dubai is the ideal place with a huge appetite for talented people. Many professional business setup consultants in Dubai can offer you a plethora of professional services and even help you understand the business setup cost in Dubai.

You are surely going to love Dubai because this is the only place on this planet which excites people from all over the world to come here for Tourism, for work and for living.

Estimating the Business Set-up Costs in Dubai

When establishing a business, the elementary step is to determine the preliminary cost of the entire setup. Talking of Dubai and the other Emirates of the UAE, their tax-free nature is more than appealing to investors the world over. If you too are contemplating building or expanding your business in Dubai, you must consider the various costs it entails, specifically in issuing a trade license.

If your aim is to launch a venture in Dubai’s free zones, keep in mind the fact that every free zone has its own start-up procedures and costs. As a business owner, there is a minimum prerequisite of capital investment that you must possess in order to establish the company in the free zone.

Another significant cost of setting up a business in Dubai free zone is sponsoring employees for the business. This includes the provision of suitable visas and completion of paperwork for your employees in order to allow them to live in Dubai.

·         The Costs of Establishing a Business in Dubai

For those you have made up their mind to set up a business in Dubai, it becomes obligatory to apply for a Dubai business visa and bear the costs incurred. If you are going to open a limited liability company (LLC), you are not bound by the condition of minimum share capital. However, the investors who are keen to harness the potential of the free trade zones in Dubai must understand that though they will have complete ownership of their company but they will have to consider the substantial cost associated with the business start-up process in the city. No need to sulk or let your spirits weigh down as there are no taxes on profits of companies established in Dubai, with the corporate tax exemption that lasts for about 50 years.

·         Expenditure on Permits and Licenses

Dubai is a sanctuary for investors who are looking for expansion of their business. That said, establishing a flourishing business doesn’t come cheap as obtaining the company’s permissible legal documents, the business licenses and other registration procedures will be subject to various costs. Additionally, every business license or permit must be renewed once every year, for which you will again have to bear the expenses. Going further, you will need to lease office space for your start-up and hustle up the insurance, and the equipment and all this is also going to cost you some pretty penny.

·         Factors to consider when setting up a Business in Dubai

No business can be established without a few fundamentals like a bank account for various cash transactions. It is advisable for you to track down the prestigious banks in Dubai and enquire about the charges for their services. For an entrepreneur, it is imperative to draw up a thorough assessment and solicit information about all costs involved in establishing a new business in Dubai. You can also leverage the services of an experienced Business Consultant for an accurate analysis of the costs involved in setting up a company or companyliquidation in Dubai.

Challenges of Starting a Business in Dubai

Widely acknowledged for its business-friendly environment and policies, Dubai has surfaced as a magnet for businesses and entrepreneurs all over the map. Dubai offers numerous unchallenged benefits for the people who wish to live and work here as well as foreign entrepreneurs wishing to setup a business in Dubai. The rapid acceleration of the city fuelled by magnificent infrastructure, tax-free environment, exceptional strategic location for trade and availability of numerous free zones with investor-friendly policies make it a city that is booming with opportunities.

But while the upward trajectory of Dubai may seem unstoppable, this doesn’t mean that doing business in this part of the world is without its challenges. You have to be cautious about certain pitfalls and overcome a few obstacles that lie ahead of you. 

Let’s just quickly take a look at some of those challenges you need to overcome.

• Knowledge of business nitty gritties – Though it can be a bit overwhelming at first, it’s important to know everything about corporate regulations, licensing, visa regulations, markets, regional specifics, etc. This will help you avert potential problems that you may face if you are not well-prepared. In order to avoid any unwanted situation you can approach professional business consultants or a document clearing companies in Dubai.  

• Finding a Suitable UAE Partner – Broadly speaking, if you are an investor, there are three options for you to start a business in Dubai; either form Mainland Company or Free Zone Company or Offshore Company. Forming a Mainland company needs the mandatory presence of a UAE national as a local partner who will have a share of 51% in the company. In a sense, it is quite challenging to find a local sponsor who will own the majority of your business and provide you with the freedom to operate your business on your terms.

• Costs Planning – If you think that having an overview of all the major costs and expenses is enough, you are making a serious mistake. Setting up a local business may require extra approvals and permits which add to the initial Business setup cost in Dubai mainland. Moreover, it can require certain additional time, and such time can also cost you extra money.

• Details of the UAE Job Market - In case you are looking to hire some employees for your business, you must know that the UAE market has certain specifics. These include the obligation of a company to provide visas to its employees and the fact that employees cannot start work until they receive this permit. Once you are through with the core points, which are rather modest, you will not face any dilemma.

• Familiarizing with the Cultural Values – Before you commence the process of setting up business in Dubai the cultural system has to be taken into account. Dubai has a balanced dedication towards forward thinking and modernization while maintaining its strong Islamic heritage which can be challenging for foreigners who have no knowledge of local norms and traditions. It’s important to acknowledge and respect Islamic values during business interactions, whilst doing business here.  

Summing up, the UAE offers you a highly conducive environment for business and entrepreneurial activities and the Dubai workforce is dedicated, passionate, bright and hardworking. Just one of the many reasons why it is one of the greatest places in the world to do business.