Dubai has emerged as one of the most popular places for Indian Entrepreneurs to start their businesses. Because of its low tax rates and business-friendly regulations, Dubai is an attractive destination for investors and entrepreneurs. Starting a business in Dubai involves planning, research, budgeting, and other key decisions for international company formation. With the right guidance, it becomes easier for you to understand how to do a company formation in Dubai. To that end, Dhanguard will help you set up your company in Dubai. So, if you are one of those with an innovative idea for starting your own business in Dubai, this blog is for you!

Why Start a Business in Dubai?

Dubai, with its numerous growth opportunities and strategic advantages, has become a popular destination for company formation across the UAE. The city serves as a gateway between east and west, providing access to markets across the Middle East. Below are some of the reasons for your company's formation in Dubai:

• Taxation Policies: Dubai offers attractive opportunities for Indian Entrepreneurs, with no personal income tax and a 9% corporate tax on income above AED 3,75,000. Dubai not only offers a base for such depositors but also builds up tax savings. 
• Location: Dubai, due to its strategic position, serves as an entry point for setting up a business across the Middle East. From India, Dubai is a 3-hour flight, making it a convenient option for Indian entrepreneurs to monitor their businesses. 
• Government Policies: The Dubai Government offers a range of opportunities, including connectivity and infrastructure, to ensure seamless business operations. Further, safety and a high quality of life further enhance Dubai’s appeal as a business destination.

Benefits of Company Formation in Dubai

If the above pointers have excited you or you are also planning to start a business in Dubai, then you must refer to the points below for the benefits of company formation in Dubai:

• Repatriation of Profit: Businesses can repatriate 100% of their capital and profits to their home countries without any restrictions.
• Ease of doing business: The registration process for any company in Dubai is fast and streamlined.
• VAT and customs: VAT is maintained at 5% rate, and many free zones offer complete exemptions from import and export duties.
• Multiple Jurisdictions: Entrepreneurs can choose between mainland, offshore, and free zone based on their business activity and requirements.
• Residency benefits: Business owners can qualify for residency through the Golden visa or standard visa for themselves and their families.

For a smooth company formation in Dubai, contact Dhanguard. We offer a range of services to startups and businesses across the UAE.

Types of Business Jurisdiction in Dubai 

Dubai typically has three jurisdictions for company formation. Each Jurisdiction offers unique features and benefits to your business requirements. The following points define the business jurisdiction in Dubai:

• Mainland: Mainland companies can operate in the UAE market, offering greater flexibility for entrepreneurs targeting local markets. Mainland companies are ideal for those looking to enter the UAE market, as they can trade freely and lease or own property across the UAE.
• Freezone: Freezone companies operate within designated areas that offer 100% ownership, tax exemptions, and full repatriation of profits. These zones are ideal for international business operations and play a crucial role in supporting them by providing regulatory advantages and industry-wide infrastructure.
• Offshore: Offshore companies are set up for international business operations outside the UAE. They offer various tax benefits and asset protection, but are not permitted to conduct business in the UAE. These companies are commonly used as holding entities and for international trading activities.

Company Formation in Dubai for Indian Entrepreneurs

Establishing a business is a relatively straightforward process with the right guidance. The Dhanguard team is here to assist you with company registration in Dubai, making the process smoother. We will also handle all the necessary paperwork. To start a business in Dubai, you need to follow these steps:

• Selecting a business activity and Jurisdiction: Before starting a company in Dubai, it is essential to conduct thorough research into profitability across each jurisdiction. Each jurisdiction has its own laws and regulations for business setup. After that, decide when to form a company in Dubai, UAE. 
• Finalizing the company structure: It is an important step when starting a business in Dubai, UAE, as it establishes the framework for managing profits and losses and organizing resources. It will provide a layout of your company and apply for the license accordingly. 
• Approval from the authority: The Department of Economic Development (DED), at this stage, approves your company’s trade name and the business activity. After getting the DED approval, you can set up your company in Dubai and submit documents to apply for the license.  
• Applying for the Trade License: After getting approval from the higher authority, you need to apply for the trade license to operate your business in your chosen jurisdiction. The licensing structure in the UAE’s free zones varies by business activity. 
• Obtaining external approval and registering your company: Depending on your business activity, the DED may request additional approvals from government or non-government agencies. After which, you need to register your company and submit the documents, as each company type and activity requires different documents. 
• Choosing an office space: Depending on your business needs, you can rent an office unit or a co-working space in a business centre. An office space can also determine the number of visas that you can request from the DED. 
• Getting your Ejari and Tenancy contract: Ejari is a tenancy contract between you and the real estate agency whose office unit you intend to rent. Ejari is very important because it is required to obtain or renew employee visas. 
• Applying for visas: After obtaining your trade license, you need to apply for the visas required for your employees. Once a person holds a visa, others can be sponsored after that. 
• Opening a Bank Account: After completing all required paperwork, you need to open a business bank account in the UAE, which is essential for conducting financial transactions in Dubai.

For a smooth company formation in Dubai, contact Dhanguard. We offer a range of services to startups and businesses across the UAE. 

Cost for Starting a Company in Dubai

The cost of company formation in Dubai varies significantly based on the business setup type, chosen jurisdiction, and business activities. Free zone companies typically require an investment for basic setup, which includes trade license fees, visa services allocation, and registration charges. Mainland company formation generally costs more, due to additional requirements and the flexibility it offers.

For an accurate estimate, contact Dhanguard for business setup in Dubai or across the UAE, and receive expert advice and assistance. 

Company Formation in Dubai with Dhanguard 

If you need any advice or assistance with company formation in Dubai, contact Dhanguard, which specializes in supporting Indian entrepreneurs throughout the process. We will offer services such as jurisdiction selection, documentation assistance, visa processing, and more.

Working with Dhanguard can streamline the process and help entrepreneurs avoid common pitfalls.

Conclusion

Dubai continues to attract ambitious Indian entrepreneurs due to its business-friendly environment. By understanding the various setup options and associated costs, you can establish your presence in this dynamic UAE market. Dhanguard, with the right guidance and preparation, will help you with your company formation in Dubai, making the process smoother by following the proper procedures and opening doors to growth opportunities for Indian business owners in the global marketplace.

For more Information, you can visit our website, Dhanguard, or contact us at +971-152 288 2376 or on WhatsApp +91-5856988187.