Establishing a Business Setup in UAE can be both rewarding and complex. As a business owner, you need to comply with all legal requirements of the UAE before beginning this endeavor. Otherwise, failure may result in fines, penalties, or legal issues which impede its expansion. Here is a complete checklist to guide your efforts when starting up in UAE.
Establish a Legal Structure
The first step of Business Setup Services in Dubai UAE is choosing an appropriate legal structure. There are various options available such as limited liability company (LLC), sole proprietorship, partnership and branch office; each offers unique benefits and drawbacks that should best fit your business requirements.
Determine Business Activities
Before establishing a company in Dubai, it is necessary to clearly outline your intended business activities. Since different activities require different licenses and permits, you should possess an in-depth knowledge of any activities planned by your firm.
Register Your Business Name
Once You Have Established a Legal Structure and Established Business Activities, It Is Essential To Register with DED. Now is the time to register your business name with DED, provided it is unique and has not already been used by another business entity.
Obtain Initial Approval
Once your business name has been registered with the DED, initial approval must be secured from them to begin company formation proceedings. You will need to provide details about its business activities, legal structure and shareholders to achieve initial approval from them.
Reserve an Office Space
As part of the business setup services in Dubai, you must reserve office space for your company. You have two options when setting up shop; either free zone or mainland locations will work fine. In either case, however, to acquire a license it is necessary to present either a tenancy contract or lease agreement and submit documents such as these to obtain one.
How to Acquire a Trade License
To conduct business activities in the UAE, you need to secure a trade license. The type of license depends upon your business activities; options include commercial licenses, industrial licenses or professional permits.
Register for Value Added Tax (VAT)
Value-added tax (VAT) applies to nearly all goods and services in the UAE. As a business owner, if your annual turnover surpasses AED 375,000 you are required to register for VAT registration or face fines and penalties for failing to do so.
Establish Labor and Immigration Cards
Before employing staff in the UAE, you must acquire labour and immigration cards. For this, a labour contract and other necessary documents must be provided, in addition to visas for your employees.
Register with the Chamber of Commerce
After receiving your trade license, it is necessary to register with the Chamber of Commerce so that your business may conduct transactions with government entities and participate in tenders.
Register With the Federal Tax Authority (FTA)
If you intend on importing or exporting goods into or out of the UAE, registration with the Federal Tax Authority is mandatory. Specifically, an importer/exporter code and customs registration should be obtained before proceeding.
ConclusionEmirates Advocates and Legal Consultants provides comprehensive legal support services for Setting Up A Company In Dubai, such as legal structuring, license/permit applications, labour/immigration card applications and much more. With 42+ years of experience and knowledge under our belts, we can guide you through the entire process to ensure compliance with all legal requirements for setting up a business in UAE. Contact us now to discover how we can assist with this endeavor and set up your new venture!