Dubai, being strategically located, is home to many business sectors. Many investors look to Dubai to invest their money in various business opportunities. Starting a business in Dubai is now very easy. It is not as complex as it seems. Entrepreneurs with innovative ideas can identify the hidden opportunities in Dubai and make their dream of business a big reality.
Entrepreneurs and investors looking to start an industrial company in Dubai can get their procedures sorted easily by getting assistance from professionals like CDA, who can get the business afloat effortlessly. Being aware of the landscape of Dubai, CDA’s professionals can guide you in selecting the best area and resources to start the industrial company. In this blog, we will enlighten you on the simple processes required to start an industrial company in Dubai.
The business environment in Dubai is favourable to the success of Industrial companies, the Ministry of Industry and Advanced Technology (MoIAT) has launched a 10-year strategy that aims to increase the industrial sector’s contribution in GDP to AED 300 billion by 2031. Along with that the Dubai Industrial strategy 2030 policy has also targeted to add AED 160 billion to the emirates GDP by 2030.
There are various reasons why Dubai has become the epicentre for industrial companies, making it a highly competitive and prosperous market. The factors that contribute to this prosperity include the following:
The demographic location of Dubai enables it to connect with other major countries easily. Along with that, it has easy access to the global market due to the world-class transport facilities like airports, shipyards, and roadways. These factors make Dubai the best location for industrial companies.
The UAE as a whole provides various tax benefits to businesses as well as individuals. Till now, there are two main tax regimes prevailing: VAT and corporate tax, which have minimum rates, enabling businesses to flourish easily.
Dubai has some of the most premium infrastructure facilities and amenities, including a great transport system, premium health centres, quality education, etc., which increases the customer perspective, resulting in the boom of industrial companies.
Dubai is home to many skilled individuals, like creative thinkers, professional engineers, innovative investors, skilled technologists, etc. These kinds of individuals, with their great vision and ideas, build a nation that provides various scopes for businesses.
Dubai is the biggest attraction for potential investors from all over the globe. Every businessman looks up to investing in Dubai, making it easily accessible to foreign direct investments. The industrial companies can also easily acquire foreign investments.
Dubai is also known for its political stability, which provides investors and entrepreneurs with a sense of confidence and trust, which allows them to take huge risks and start innovative industrial businesses in Dubai, UAE
Dubai has a diverse target market, which provides level fields to all the entrepreneurs who are planning to start industrial companies in Dubai. Due to its vast diversity, every product and service can grab a major market share in Dubai.
All the entrepreneurs wishing to start their industrial companies in Dubai can easily get started due to the easy set-up formalities laid out by the authorities. Even professional business set-up firms like CDA assist entrepreneurs in getting the procedures done easily.
Entrepreneurs and investors planning to set up an industrial company in Dubai must be aware of the below-stated general procedures, which can guide them in the startup process. Starting an industrial company for a new entrepreneur may seem intimidating, but in fact, it is not as complicated as it seems. Below are the general steps to be followed:
Carry out a deep market study and feasibility study in Dubai to identify the hidden opportunities and potential investment areas for industrial businesses. By doing so, the investor can get a clear insight into their objectives and the products or services they will have to design for the market.
The next step may include the selection of the industry based on the market research conducted. Investors who have past experience setting up an industrial company may find it less intimidating, whereas, for new investors, business set-up service providers can assist in selecting the most optimal and viable industry for setting up.
The next step that investors must keep in mind is the selection of a type of business structure based on its viability. Investors can opt for various business structures in Dubai, which include limited liability companies, free zone companies, establishments, branches, foreign companies, etc. It also includes the development of the business plan, which might include the nature of the industrial company, the target market, objectives and goals, financial targets, short-term plans, etc.
The next main step includes the registration of the industrial company that the entrepreneur has decided to set up. The entrepreneur must approach the concerned authority to get it registered, along with the submission of all the relevant documents. DED (Department of Economic Development) is the authority responsible for issuing the licenses and permits for business setups in Dubai. For the free zone companies, the concerned authorities must be approached.
As a part of sustainable development, Dubai has a stringent framework for industrial setups that might pose hazards to the environment and humans. Investors and entrepreneurs planning to start industrial companies that involve the generation of certain hazardous wastes must get approval from the concerned departments before getting trade licenses to avoid future consequences.
All the documents for the setting up of the industrial company are issued under the company’s name, which must be registered with the DED along with the required documents. The selection of names must follow the regulations laid down by the authorities.
The next process is the creation of the MOA, which includes all the details for the company, which must then be duly notarized by an authorized public notary and then submitted to DED.
The next step that the investors have to follow is gaining the NOC from the Ministry of Economy and Commerce by providing all the required documents as per the instructions.
The industrial company will require its commercial space for conducting industrial operations, for which the investors can either get the area or warehouse for rent or lease it. The investors must ensure that they have the correct tenancy contract, which must be registered at RERA.
The investors are also required to get approval from the Dubai municipality before they set up their industrial company, along with the NOC from the civil defence.
The above-listed are some of the key steps that investors must follow before setting up their industrial company in Dubai. These are the general steps. The procedure is subject to changes as per the changes in the regulations of the authorities.
There are some further aspects that entrepreneurs and investors must keep in mind while starting an industrial company in Dubai. These include:
These are general factors that every investor who is planning to start a business in the UAE must keep in mind, irrespective of the type of business. These factors are crucial to avoid future mishaps. Investors can approach professionals to get the process of setting up a business in Dubai simplified and sorted effortlessly to ensure their prosperity in the future.
Get your industrial company in Dubai started without any hassle with the professional business setup service provider at CDA. Starting an industrial company in Dubai offers many advantages that attract investors around the globe. The formalities of starting a business might seem complicated. CDA’s team of experts simplifies these complexities by providing you with all the assistance you need to set up an industrial business. We can help you prepare all the required documents, get the licenses approved, get approvals from the authorities, and select strategic locations. Ensuring compliance, etc. Consider CDA as your business setup partner. To learn more about our varied business setup services in Dubai, click here
