Dubai has a population of more than three million visitors aspiring to be successful with their business. With this huge influx of expats, you can get drowned in your application for setting up a business especially if you go against bigger companies and conglomerates. Setting up a small business in Dubai can be painstaking but can be very rewarding if done properly. Startup companies tend to fail when business owners skip a few steps in setting up their business. However, here in Dubai, your business can flourish.
Starting a small business in Dubai could mean consultation based on your expertise, or opening a small coffee shop, a salon service, and the like. However small the business is, there are necessary licenses to get and startup setups to do to legally comply with Dubai’s standards and eventually succeed.
If you are still in doubt of how to set things up correctly, read through this article and find some useful and practical tips you can use in setting up your small business.
Tip1. Find A Sponsor
It is the first essential thing that you need to do before thinking about anything else. Before thinking about renting a space or getting those permits, choosing your staff, and promoting your business, you have to get a sponsor first. Most banks in Dubai mainland will not require collateral and even offer flexible payment plans with a simple documentation process.
With recent amendments of Dubai to attract foreign investors, ownership of companies can be 100% expat owned but this means that deposits are quite high. If you are a small business that is just starting up, consider finding a local sponsor that can act as your local partner and your service agent as well. There is of course an agreed annual fee.
Tip 2. Prepare Necessary Documents
Just like in any other country, there are necessary documents you need to submit to the government for your business to legally operate. The main documents required by the Department of Economic Development (DED) include the following:
- Business plan
- Filled Government FOrms
- Memorandum of Association
- Trade name reservation Certificate
- Initial Approval Certificate
- Copies of PAssports of Partners
- Copies of Visa
- Emirate ID
- Ejari ID – copy of tenant contract
There are respective requirements that other free zones will require.
Tip 3. Legal Formalities
Formal permits vary depending on the nature of your business. A restaurant will have a different trade license from a consulting firm. The Trade license will also depend on the location. The DED, DTCM, DFS are the usual departments that you need to get licenses from when establishing a business online. The legal formalities are determined by your type of business so plan your business wisely before getting the appropriate permits.
Tip 4. Choosing a Location
Location! Location! Location! It’s all about location. The address of your office or your store speaks a lot about your brand. Dubai, as a business hub, is designed to have specific areas for specific businesses. Sheikh Zayed Road is known for its premiere offices. Dubai Healthcare City boasts of specialty clinics and hospitals. Media City is home to international media companies. There are specific locations that will make your business flourish in Dubai.
You can also consider choosing a business location bearing in mind foot traffic and public transportation. The more people will pass by your office, the more chances of having your business succeed.
Tip 5.Marketing your Business
Marketing is a strategy that you should never forego. Even if you have the best employees or the most advanced equipment or the most sellable product, if you do not have the proper tools in marketing, your business might just go bankrupt in no time. Startup businesses in Dubai need as much marketing as they can get. You should consider marketing through print and digital platforms to maximize the viewership and chances of getting noticed. Ensure that your business is visible online and offline. Maybe, hiring an IT expert for your marketing can be crucial to make your business succeed in Dubai.
Get professional assistance to get ahead in the game. There are tons of small business entrepreneurs who are like you, wanting to succeed in Dubai. Knowing what to do gives you a step ahead in the game.