UAE is home to many large and small companies from around the world. Many foreign companies have made UAE their Head Quarters. It is a perfect destination for foreigners to live, work, start a company, and settle down.
Starting a Company in UAE is a prospective business investment for investors. The Country has a stable government, top-class infrastructure, and favorable taxation policies. Additionally, the Free Zone infrastructure, improved lifestyle, and security make it investor-friendly.
Step by step procedures to start a Company in UAE Free Trade Zones
The Free Trade Zones play a vital role in supporting foreign investors with their business requirements. There are more than 45 Free Trade Zones in UAE. Often, it is a challenge for investors to choose the right one for their business.
AURION will assist the investors with the right Free Zone and company formation package. Here are a few tips for foreign investors to start a company in UAE in the most comfortable way. Starting a company in UAE is best conducted through a Business Consultant like AURION.
The team will handle all the specific tasks related to company formation. subsequently, the Agents will register the company in the desired business jurisdiction in UAE. However, there are certain parameters the investor must consider while starting a company in UAE and they are the following.
1. Choose the Right Free Trade Zone
Select the Free Zone depending on the nature of the business activity. Businesses involved in global trading operations would be ideally located in a Free Zone that is close to the Airport or Seaport. It will help in easy transfer of goods.
Similarly, for an IT Consultancy, being in a Free Zone Community with startups and IT companies is an ideal choice. It helps to easily grow the business through networking and collaboration.
Also, there are multiple factors involved in choosing the Free Zones. It could be the location of the Free Zone, budget constraints, office space facilities, availability of desired business activity, etc.
2. Select the Right Business Activity
Selecting the right business activity for the trade license is an important step in starting a company in UAE. Business activities selected are listed in the Trade License of the company.
The company is legally entitled to conduct trade as per the selected business activities. Hence, the company owners must choose the business activities based on their exact requirements. it will avoid the occurrence of any challenges at a later stage.
Depending on the various business operations indulged by the entrepreneur, they must choose the right business activities for the company. Aurion will assist in selecting the required business activities based on the entrepreneur business category.
3. Obtain Special Clearance ( if any)
For certain business activities, there is a requirement for special clearance from the authorities. They are mainly, from the Free Zone Authority, Municipality, and the specific Government Department.
The investors must be aware of the business activities that require additional approvals. AURION will assist in obtaining the special approvals from the required authorities.
Special Approvals for certain businesses are mandatory to process the trade license in UAE. It will help in the smooth functioning of the business at a later stage.
4. Take an Office Space
Taking an office space along with the trade license is beneficial for the investor for many reasons. The opening of a corporate bank account in the UAE will be easy. Having a physical office space and tenancy contract ready will be an add-on for quick KYC clearance for banks.
Also, having an office space will add up to the credibility. Additionally, it enables to hire more staff and operate the business efficiently from the selected Free Zones. The Free Zones have a wide variety of office spaces in varying sizes.
Warehouses are available for investors to choose from depending on their business requirements. The investors can lease the right office space and warehouse facility at affordable rates in UAE. It varies based on the budget, requirement, nature of the business activities, etc.
5. Get all the Company Documents
Ensure all the process of setting up a company is followed the right way. Deliver the company documents to the investors soon after the issuance of the Trade License. It includes – Trade License, Memorandum of Association, Company Stamp, and Special Clearances (if any)
Our dedicated PRO Agents will ensure the investors receive all the company documents at the earliest. It will enable them to start operating the business legally in UAE immediately.
Company Documents are important for the smooth functioning of the business. In many instances, the Investors will require to produce them in front of various Government Authorities, suppliers, business partners, etc.
6. Apply for UAE Residence Visa & Corporate Bank Account
Once the investor receives the Trade License, they can proceed to apply for the UAE Residence visa for themselves under the company.
They are also eligible for sponsoring dependents and staff depending on the visa quota available for the company. The investors can also open a corporate bank account in UAE for the company with the obtained company documents.
In conclusion, there are a few essential components to consider while setting up a company in the UAE for entrepreneurs. There are numerous choices available for setting up a company in UAE. Hence, investors must make informed decisions by consulting with an expert Business Consultant for choosing the right option for their company.
Contact Us: Aurion Business Consultants