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Moving Your UK Business to Dubai
The UAE remains one of the most enduring regions for enterprise in the world. It’s home to many international companies and full of opportunities for savvy investors and entrepreneurs. And many UK companies realize just how lucrative operating in the UAE can be.
UK businesses looking to expand their activities into international markets have found the UAE especially promising. Between minimal tax responsibilities, relaxed immigration policies, and a straightforward licensing process, business setup in Dubai is easy and rewarding.
So, if you're thinking of moving to Dubai from UK and are interested in a business setup in Dubai, we have all the information you'll need. Below, we'll cover why the region is a great place to form your company and crucial things you'll need to keep in mind during the process.
The Key Benefits of Business Relocation to Dubai
Whether you’re forming a new company in the UAE or simply expanding one already present in the UAE, the region has plenty to offer. So let's break down some of the most significant advantages of business relocation to Dubai.
- The UAE economy is recovering well from the effects of the pandemic. Far better than the UK presently.
- The UAE is home to one of the UK’s largest export markets.
- The UAE ranks 4th as the largest export partner with the UK.
- Business owners in the UAE do not pay individual or corporate taxes.
- The UAE permits 100% repatriation of funds, allowing you to return your profits to your nation of origin.
- Dubai and the UAE are conveniently located in the gulf, providing businesses with easy access to ports, airports, and other transportation routes.
- The UAE is home to a stable political environment, a robust banking system, and well-developed business regulations.
- The region features modern infrastructure, with well-cared-for highways, transportation, and high-speed internet access.
Important Things to Consider When Moving Your UK Business to Dubai
If you’re planning a business move to Dubai, there are plenty of things you’ll need to know. For many foreign investors, seeking the assistance of consultants and relocation companies in the UAE can be incredibly helpful. But if you’re determined to handle business setup in Dubai on your own, you’ll need to keep these details in mind.
1. Obeying Rules and Regulations
While the UAE government has made considerable strides to ensure operating a business in the UAE is easy, you’ll still be expected to know, understand, and abide by all rules and regulations surrounding commerce. This will require you to perform ample research to stay current on regulatory changes and reforms.
2. Budget
Every business will need a well-crafted budget. This will allow you to handle overhead costs, licensing fees, and logistics while being prepared for any extra expenses you may incur.
3. Banking
The UAE is home to many internationally recognized banking institutions, which give you ample access to move, use, and safeguard your finances.
4. Business Activities
Investors entering Dubai to conduct business will have access to thousands of different business activities, giving you an endless array of opportunities to choose from. Open a retail storefront, hospitality business, E-commerce business, or medical practice- the choice is yours!
5. Visa Issuance
If you intend to stay in the UAE for over 30 days, you'll need to secure a visa. The most common visa type will be connected to your business. If you're working for another company, your employer will likely handle this process. But if you're forming a business in the UAE on your own, you'll be responsible for obtaining your visa.
6. Business Location
The location of your business will play a massive role in how much exposure you have, your profit margins, and the overall chances of success. This is why it’s so critical to choose both the right business activity and the most suitable location for it.
In most cases, you'll have the choice between establishing your business in Dubai's Mainland or in one of the city's many Free Zones. These jurisdictions each have their own rules, benefits, and restrictions regarding business activities.
Free Zone or Mainland Company Formation? Which One Is Better for You?
As mentioned, there are numerous jurisdictions in the UAE for your business. So let's take a closer look at them.
1. Free Zone Companies
Dubai's Free Zones are a fantastic place to form a company. The city is home to dozens of Free Zone jurisdictions, each dedicated to various business sectors. Here, your business will be able to enjoy the following:
- 100% business ownership with no need for local sponsors
- Advanced infrastructure that makes travel, export and import activities, and communication easy
- Straightforward business formation
- Easy licensing processes
- Full repatriation of profits
- Relaxed visa requirements
2. Mainland Companies
Companies operating in Dubai’s Mainland jurisdiction are legally permitted to house businesses that operate in other regions. Here, businesses will be allowed:
- Easy, unrestricted access to global markets
- Full repatriation of profits
- The best location for corporate branches
- Unlimited visa issuances based on employees and shareholders
- Exemption from personal and corporate taxes
The Documents Required to Move Your UK Business to Dubai
When moving your business from the UK to the UAE, there are several documents you must present. These include:
- A bank reference for each company shareholder
- A well-formulated business plan
- Copies of Ultimate Beneficial Ownership (UBO) for shareholders, directors, and managers
- Copies of utility bills
- Copies of current UK business documents
- Completed business application form
Steps for Business Setup in Dubai
To form your business in the UAE, you’ll be required to complete several steps.
1. Choose a Business Activity
If you haven’t picked a business avenue, now is the time. This will require you to perform ample research on your product or service, the market surrounding it, and your immediate competition.
2. Create a Business Plan
The next step will be analyzing your finances and crafting a business plan around your financial capabilities. In doing this, you'll be far better prepared for any extra expenses that may come your way.
3. Submit a Trade Name Request
After developing your budget and choosing your activity, you'll need to submit a trade name request to the appropriate governing authority. This name may not have been used previously and may not contain profanity.
4. Gather Documentation
As mentioned earlier, you'll need to submit several crucial documents to UAE authorities to complete your business setup in Dubai. Failure to provide these can result in delays or outright rejection of your application.
5. Submit Application and Pay Fees
Once you have the necessary documentation and you’ve completed your application, you’ll need to submit it and pay any required fees.
6. Receive License
After allowing enough time for processing, you'll receive your trade license and copies of your documentation. This license gives you the ability to conduct business in the UAE!
7. Open a Bank Account
In order to operate your business, you’ll need to establish a bank account for your company. The UAE is home to a wide selection of nationally recognized banking institutions, giving you plenty of choices for your business needs.
Frequently Asked Questions About Moving Your UK Business to the UAE
For foreign investors, operating a business in another nation can be difficult. And throughout your journey, you’re bound to have a pick up a few questions along the way. So, to ensure you get the most out of your business setup in the UAE, we’ve put together some frequently asked questions on the subject.
1. Can a British National start a business in Dubai?
Yes! British citizens are welcome to live in Dubai and conduct business in the region. However, you’ll need to secure a long-term residence visa for this.
2. Can I move my UK business to Dubai?
Yes! The UAE allows investors from many different nations to travel to and invest in business opportunities in the region.
3. How can I move my business to Dubai?
You’ll be required to gather the appropriate documentation and submit a business formation application. In many cases, it’s advised to seek the assistance of third-party business consultant experts to help you with this process.
4. How do I register a company from the UK in Dubai?
To register your company in Dubai, you’ll need to submit an application to Dubai’s Department of Economic Development (DED), gather the appropriate documentation, and pay any necessary fees that may arise.
5. Can a foreigner set up a business in Dubai?
Yes! The UAE permits investors from many nations to conduct business in the Emirates.
6. Which is the best Free Zone in the UAE?
It depends on your chosen business activity. Each Free Zone is created to assist certain business types, and you’ll want to choose the right one based on your career interests.
How MSZ Consultancy Can Help Your Business
Whether you're forming a retail business in one of Dubai's Free Zones or setting up a company in the Mainland, MSZ Consultancy wants to help. We have years of experience assisting investors and entrepreneurs in company formation in the UAE, and we can do the same for you!
From small singer investor enterprises to large-scale corporate branches, our consultant experts can help you navigate the ins and outs of conducting business in the UAE. We help entrepreneurs with business setup, visa applications, PRO services, and more!
So, if you're ready to let the experts help your business find the success it deserves, give MSZ Consultancy a call at +971 52 544 1248! We'll be happy to provide you with a free quote on how we can help you streamline your business and maximize its potential!
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