15 September, 2020
6 Most Popular Types of Businesses in UAE
One of the most difficult decisions to be taken by entrepreneurs and businessmen pertains to the perennial question – which business is popular in my market?
Just like any other free economy, the UAE has also shown both extremes – there have been extremely favorable economic conditions almost all through, and challenging crises such as the economic recession of 2008 or the Covid-19 pandemic in 2020. The right businesses that succeed in challenging conditions adopt strategic decisions to ensure business continuity in 2020. Others take a larger approach to crisis management and follow one of many prescribed methods to implement a successful business setup that survives current economic conditions.
So what type of business leads to what is termed as successful business setup in UAE?
Trading Business – Product Registration in Dubai
A good way to get through a successful business setup in Dubai is by utilizing the diversification strategy across your portfolio and to foray into a trading business.
In order to venture into general trading, you need to necessarily have your product registration in Dubai, as per mandated requirements of the Dubai Municipality. Some points to consider in this process are:-
- Conduct Market Research and identify the potential of your products;
- Get the right distribution partner for your products;
- Determine if a commercial agent would suit your business needs;
- Gauge if additional trade support services are required.
Dubai-based Business: Complete your Business Setup in Dubai
The right city/town/geography within a target market is extremely important to determine upfront. While UAE boasts of multiple jurisdictions and Emirates such as Abu Dhabi, Sharjah, Ajman, or Ras Al Khaimah, the most successful businesses in UAE are the ones that have completed their business setup in Dubai.
Dubai is among the highest-ranked cities on key indices such as global competitiveness and ease of doing business. Recently, Dubai was ranked #5 in the world in cities that are most equipped to handle a post-COVID economy.
We have already highlighted the 14 steps to successful business setup in Dubai in our earlier blog column here.
Free Zone Business: Successful Business Setup
When it comes to deciding on the right jurisdiction for setting up a business in Dubai, the key question is – freezone or mainland?
We have already elaborated on the major advantages of a freezone business setup in Dubai. To give a quick recap, many successful businesses have taken the freezone route for their business setup due to the following reasons:-
- Tax exemption
- Less expensive
- Longer validity of visas
- Single window administrative services
Setup is done by Business Consultancy Services in Dubai
One critical aspect to note for entrepreneurs and businessmen is the fact that time is money. While the process of business setup in Dubai is quite easy, it still requires at least one physical visit to the license issuing authorities and multiple document requirements. In fact, companies that are successful utilize business consultancy services in Dubai for their successful business setup in Dubai.
Utilize the solution present right here for a successful business setup in Dubai.
Some advantages of deploying business consultancy services in Dubai are:
- More experienced, as they handle many processes every day;
- Ability to plan documents and processes;
- Gives more leeway to focus on business instead of paperwork;
- Efficient outsourcing mechanism
Business with Smart Investments for Business Growth
In our earlier column here, we had highlighted the need for prudent investments for business growth, in order to successfully drive your business to growth and expansion.
It is extremely critical that you follow the tips provided below:-
- Research all investment opportunities that are available and select the one that suits your risk appetite the best;
- Find smart and viable investments for business growth. Forward and backward integration may be the key here;
- Business Consultancy Services in Dubai may work out as a smart investment for business growth
Limited Liability Business Setup in Dubai
One of the most common legal structures for setting up a business is the Limited Liability Company or LLC format. While in a sole proprietorship structure, the business and the owner are treated as inseparable, the LLC method allows the individual business owners to have separate assets and liabilities than the company itself.
Naturally, the LLC provides a firm sense of individual insulation during tough business conditions, as it helps one to differentiate from the business. Every business is a going concern and that helps in liabilities planning.
The most successful businesses have a limited liability format, allowing them to be accountable only to the investors in the company.
It, therefore, comes as no surprise that whether you follow business setup in Dubai, or engage business consultancy services in Dubai there is a strong need to be pragmatic about the investment decisions you make. Every business needs to be smart about their investments for business growth, including having a successful business setup.
- What is the best way to have smart investments for business growth?
The most important step is to identify and research key business opportunities available. For further details, do read our earlier blog columns.
- How can a successful business setup be achieved?
In order to effect a successful business setup, one must follow some basic guidelines such as:-
- Be smart about office space, and go for a shared workspace where possible and where available;
- Achieve efficiency by utilizing business consultancy services in Dubai;
- Maximize your benefits from a local business partner;
- Choose the right jurisdiction