The Import-Export Industry in the UAE
Owning and operating an import export business in Dubai can be incredibly lucrative for investors. So much that entrepreneurs from all around the world travel to the region to conduct business. In fact, it brought in roughly AED 1.2 trillion in 2020 alone.
Aside from Dubai’s well-developed market, the UAE has developed a robust business market with regulations and tax incentives that can significantly improve profits for new businesses. And you, too, can take advantage of this region’s incredible possibilities.
If you’re interested in setting up your own import export business in Dubai, we can help you navigate the application process! Take a look below at some great information about how to form your new import export business.
Why the Import Export Industry is Growing
Believe it or not, tax benefits aren’t the only reason many investors choose to form their import export business in Dubai. There are several reasons this region is showing consistent growth. For one, international trade has been a tentpole of the UAE economy since its inception. The area has a long history of maintaining enduring relationships with numerous countries and trading hubs.
Another important factor leading to Dubai’s position as one of the largest global trade hubs comes down to business-focused regulations, with initiatives and reforms specifically aimed at helping new and existing business owners operate their companies in a more efficient, straightforward way.
Finally, Dubai shares an advanced infrastructure that’s allowed the constantly evolving e-commerce market to flourish. With high-speed fiber networks, well-designed web platforms, and more, these businesses are able to work quicker and more effectively.
What Businesses Export from Dubai
Trading is a significant aspect of the UAE economy. So much that government authorities have spent a considerable amount of time developing rules and regulations that allow businesses to operate more concisely and profitably. As such, many companies export their goods and services to other nations.
The largest exported commodities from this region are crude oil and natural gas supplies. But coming up shortly behind those are stones and minerals like gold, diamonds, and copper, to name a few.
What Do Citizens Import to Dubai
Being located along the Persian Gulf, Dubai has a well-developed port system that has driven a significant portion of the economy for many years. Citizens of this city often import food supplies, building materials, vehicles, machinery, heavy equipment, and chemicals.
Additionally, Dubai conducts business with major traders in the US, Japan, and Germany, to name a few. You’ll also see a large market for other precious metals, clothing, electronics, and more.
Essential Steps to Follow for Setting up Your Import Export Business in Dubai
The Department of Economic Development (DED) has created a streamlined system for applying for a business license. Despite its straightforward nature, navigating it as a foreign investor can sometimes be a challenge. That’s why many entrepreneurs hire third-party business consultant experts to help them handle this aspect of business setup. Below, we’ve listed crucial steps for setting up your export business.
1. Choose Your Company Name
You’ll need to submit a trade name request with the DED, ensuring that your chosen business name has not been previously used and does not include profanity.
2. Pick a Business Location
Dubai has numerous business jurisdictions that cater to many different activities. You’ll be able to form your company in Dubai’s Mainland, Offshore, or in one of the many Free Zone jurisdictions.
3. Gather Documentation
The application process will require you to submit several important documents.
4. Submit Visa Applications
The next step will require you to apply for visas for yourself, employees, and any staff or family members you’d like to include.
5. Pay Fees
At this point, you’ll want to pay the necessary fees for your business license. After this is complete, license processing should only take a few business days.
6. Receive License and Open Business Accounts
Once you receive your business license, you’ll want to open a corporate business account for your business. This will allow you to exchange your goods for payment in numerous currencies.
Documents Required for Forming an Import Export Company in the UAE
When you submit your application for an import export business license, you’ll want to have several documents ready. These include:
• Color copy of your passport, as well as passports for all involved parties
• Proof of UAE Residence
• Memorandum of Association (MoA) and Articles of Association (AOA)
• Copy of Emirates ID (If applicable)
The Cost of Starting an Import Export Business in Dubai
In most cases, the cost for securing an import export business license is between AED 15,000 and AED 17,000. However, costs and fees may vary depending on the number of shareholders you might have. You’ll also need to remember that additional fees and taxes may apply. For more information on the total costs of forming businesses in Dubai, you may want to contact a professional business consultant.
MSZ Consultancy is Proud to Be Your Business Setup Consultants
If you’ve been thinking about starting your next business journey in the UAE, you’ve come to the right place. And we can help! MSZ Consultancy has years of experience helping entrepreneurs, investors, and business owners get the most out of their investments. From applying for a trade license in Dubai to securing visas for your family and colleagues, we do it all!
And it doesn’t matter whether you’re a single investor that’s new to the region or the owner of an established corporation; our business consultants can help you navigate the terrain of foreign business practices. In turn, you’ll be able to maximize your investments, reduce expenses, and handle many day-to-day tasks that take up so much time.
So, if you’re ready to supercharge your business or invest in a new one, give us a call at +971 52 544 1248 for a free consultation!