Dubai has emerged as a highly sought-after financial destination for business entities across the globe. Given its centralised location, it plays a pivotal role in the growth of companies in the MENA region. It also provides unfettered access to countries in Europe and Asia. The federal laws of the United Arab Emirates are designed specifically to be conducive to business setup in Dubai and the rest of the UAE. This is why Dubai is the best option for people dreaming of starting their company in the UAE.
The emirate of Dubai is already being viewed as futuristic and well-developed. It has an exceptional infrastructure that defies belief and investor-friendly policies that promote a welcoming environment for business setup in UAE. Its regulations are such that they guarantee profitable returns and cause businesses to prosper. Hence, it has led to a steady influx of business owners establishing their base of operations in Dubai.
Once the decision has been made to start your company in Dubai, the next step is to figure out the jurisdiction of your company. The UAE offers business setup in Mainland, any of its 40+ free zones as well as offshore company formation. Depending on which business activities you wish to conduct in the UAE, investors can choose the location that best suits them.
Mainland businesses in the UAE fall under the direct supervision of the Department of Economic Development and have the economic freedom to conduct business anywhere within and outside of the country. On the other hand, free zones are industry specific economic zones that act as autonomous entities. In the UAE, both Mainland and Free Zone companies enjoy 100% business ownership by expats.
With the implementation of Corporate Tax in UAE, companies are gravitating more towards free zones as they are exempt from paying Corporate Tax. However, free zone entities are still required to register for Corporate Tax in UAE.
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