The UAE presents the ideal business working environment to build a business.
The economic stability, and ease of setting up a business here, along with the various investment incentives provided by the government, make the UAE an alluring prospect for business owners, especially small-scale ones. Moreover, the welcoming multicultural environment further boosts morale and drives more investments in the cosmopolitan.
In this article, we will further look into why the UAE is a great place to build your small-medium business.
Ease of connecting rest of the world
The strategic infrastructure of the county further enhances its economic stability thanks to its 10 airports, 12 seaports, a sprawling network of roads and bridges, and 6 national carriers flying to over 200 cities globally. 33% of the world’s population can reach the UAE within merely 4 hours, and 66% can access the country within 8 hours. Cheap flights to the country are easily found online.
Moreover, as an active hub for hosting various mega-level global events, exhibitions and conferences, the country attracts powerful investors and like-minded people from all over the globe to convene here in Dubai, allowing you to gain more exposure and expand your reach.
A stable and solid economy
Economic stability is first and foremost, one of the most important criteria to look into while starting a small business. According to the Global Competitiveness Report 2019, the UAE has been ranked the 25th most competitive economy globally. Despite the pandemic, the UAE is one of the foremost countries successfully wading away from the losses caused due to COVID-19, actively working to enhance its status by diversifying its national income.
Government incentives to facilitate business
According to the Smart Services Index, the UAE government now ranks first in the Middle East and 8th internationally. The government has always been supportive of small and medium businesses in the country and over the years, has actively announced many schemes and agreements, such as the following:
No income or corporate tax- Over 135 double tax agreements have been signed between the UAE and several nations, enabling countries across five continents to avoid international double taxation of income earned in the UAE.
Investment protection- So far, over 101 agreements have been signed by the UAE to protect investments from non-commercial risks. This includes risks such as expropriation, nationalisation, sequestration and freezing.
Visa and residency schemes- To facilitate business owners to commit toward long-term settlement and investment in the UAE, the government has announced a slew of visas such as the Golden Visa, Green Visa, Business Entry Visa and more residency options along with many incentives.
- Up to 100 % foreign ownership in free zones
- 100 % foreign ownership in 122 economic activities across 13 sectors
- 100 % profit repatriation
- High liquidity and a dependable banking system
- No foreign exchange controls
- Strong appreciation and fully convertible currency
- Low inflation
- Customs tariffs that range around 0 and 5 per cent for almost all items.
Set up businesses in minutes
As the UAE continues to go fully digital, especially in issuing permits and other documents, any business owner can establish their businesses here in just 15 minutes through the UAE Basher platform. In collaboration with both federal and local governments, you can quickly get:
- a trade licence
- membership in the specified emirate’s Chamber of Commerce
- an establishment card number from Federal Authority for Identity and Citizenship
- a membership number from the Ministry of Human Resources and Emiratisation
- a quota for three work permits
- renewal of commercial licence for more than 1200 commercial activities.