Growing a business and taking it on the global platform is the dream of entrepreneurs. By catering to consumers beyond domestic boundaries, you can improve the monetary value, and also it helps to build a strong brand value.
To start your international journey, you must establish branches in foreign locations to work hyperlocal and enhance performance. Can you think of any better place to begin with other than the UAE or the fast-growing Dubai City? Take a look at things to do before you step into your new branch office with full ownership.
A Step-Wise Guide To Set Up Your Branch Office:
Branch Offices in Dubai could be of two main kinds:
- Branches set in the mainland
- Free-zone branch offices
The difference between the two lies in their license procurement process and office set up regulations. Consulting with an efficient business set up agency will help you indulge in a hassle free branch office se tup process.
There are several legal procedures that you must go through to establish your branch office in Dubai. This includes proper documentation, approvals from statutory bodies, registering your business with government ministries and hundreds of tasks that may get difficult to keep track of.
Thus, the best way to go about it would be by contacting a local consultant well-aware of all the processing so that you can have a smooth journey. Now let’s see some of the crucial procedures involved in setting up a branch office in Dubai:
- Approvals from the Ministry of Economics
The procedure begins with getting the consent of the local jurisdiction. Further, you must obtain permission from the Ministry of Economics and Commerce. At this stage, you must disclose your fundamental business operations, other important details of your business establishment.
- Application for Business License
Based on the type of your business, you will need to get a commercial license for trading:
- A business license if you are into manufacturing and production
- A professional license for extending services such as accounting, consulting and taxation.
Only on successfully completing registration under the local Economic Department (DED) you can go ahead to apply for a business license. Once you get your license, you can renew it periodically through simple modes of payment in the future.
Finally, you need to register with the Ministry of Commerce and Industries to commence the functioning of your international business establishment.
Tax Regulations and Benefits
Starting your branch offices in Dubai account under non-resident companies. Thus your business is entitled to pay taxes only on the revenue generated within the UAE. The taxation system is very flexible, and you can avail the benefit of 0% Corporate tax.
However, it is crucial to be well versed with the tax regimes depending on your finances and accounts. You may also be required to register for VAT. The tax rebates offer an added benefit that can be very helpful to cut down on overhead spending.
Advantages Of Setting Branch Offices In Dubai
The question of why you should choose Dubai as a starting point is answered by all the advantages the city has to offer! Here’s a look at a few:
- Dubai offers great opportunities for growth owing to its multicultural population
- Cost-Effective business set up for small to medium-sized business enterprises helps in better finances
- Get 100% Ownership of your business with minimum hassle
- Easy taxation and documentation allow you to focus better on core operations
Making Your Business Bigger and Better
Exploring foreign markets can be very challenging. But in places like Dubai or the UAE, the prospects for growth are enormous. Thus, you can be assured to improve your sales and gradually scale up your business. Besides, the exciting and constantly evolving markets in the UAE are sure to make your business stronger and boost your creativity.
If you are stepping into Dubai for business and require any assistance in the journey, feel free to reach out to us at Marque Way. Our experience and local knowledge can help you build your base for long-term growth.