UAE- A POPULAR START UP HUB
UAE is best known for its business friendly environment.If you have planned to visit UAE or already are considering a start up in Dubai, we bring you 4 Points that you need to look at before starting-up!
The pro-business Legal, regulatory and taxation regime made the UAE a popular business venue among the top companies around the world; however, it is equally popular start up destination too. A more lenient regulatory framework, possible low taxation, strong government support for the training of entrepreneurs and investment solutions had turned start up companies like Souq.com, Dubizzle and Zawya into huge success. The most important facets that attract the entrepreneurs to UAE from around the world are enumerated below.
1. Financial and Investment Solutions for a Start Up in Dubai
Soon after conceiving a business idea the first challenge the entrepreneurs face is the investment for its execution. Easy financial and investment solution is the first and most crucial reason why start-ups are flocking from across the globe to UAE. UAE is the home of Venture capital &private equity giants from across the world and, providing the financial & investment solutions to Start-ups. Low risk angel investment, private equity from public and private sector lending with relatively lenient conditions provide the Start-ups with the fundamental building block.
2. Regulatory Framework for Start Up in Dubai
Regulatory framework of UAE provides for the different business models, with the different features designed to cater the diversified needs of a Start up in Dubai i.e. Mainland LLC or some Free-zone companies. Based on the needs, business activities and financial resources a Start-up in Dubai or anywhere within UAE can opt for the most suitable option.Going for any type of business establishment is further facilitated in terms of minimal documentary requirements; procedural steps and cost effectiveness within minimal possible time. Hence, for a Start-up in Dubai, that require more concentration on the juvenile business activities can effectively meet the requirements of regulatory framework without exhausting much time and resources.
3.Start up with a Low Taxation rate
At the very inception when the Start-ups is face the scarcity of finance, tax breaks and the Low taxation incentive attracts the Start Ups most to the UAE and make it a popular Start Up hub.As the current tax regime of UAE does not impose anyincome tax on the income of companies, levy no with-holding tax or VAT.
4.Strong Government Support
The strong government support to any start up in Dubai and the entire UAE is another reason for the popularity of UAE as a Start-up venture destination. At the beginning, when there is scarcity of resources, the co-working spaces cuts the initial cost of leasing a place, hiring staff and arranging all the necessities in UAE. UAE government facilitates the Start Ups with the wide range of the co-working spaces with the different amenities, most advanced incubators and accelerators focused on the provision of the suitable conditions for the growth. Certain programs under the patronage of UAE government are available for the Training programs of entrepreneurs to equip them with the skill necessary for the success.
In addition to all the foregone start- ups attractions UAE is a hub of the various regional and International networking events providing a great opportunity to connect with the like-minded, easy visa processing, cost effective logistic and operational cost, ease in opening business bank accounts and International outlook contributes towards making UAE a popular destination among the Start-up ventures and helps entrepreneurs to realize their dream of building a successful start-up.
The protection of Trademark is a very diverse topic and still many new start-ups often tend to oversee the importance of protecting intellectual property rights. From the many types of protection , it is only wiser and recommended to choose a legal expert who can help you with all the procedures. Don’t forget to read my next blog on the Protection of Trademarks under the UAE Law!
About the Author;
Sana is an Aviation, Corporate & IP Consultant.
Being a legal expert, she understands the needs of a start up in Dubai. She is always willing to go an extra mile in transforming a start-up into a successful business model.
With high level expertise she has been providing Intellectual Property and Legal advisory services to many clients. To learn how your start-up can benefit from protecting your ideas, brand and trade name to licensing and government approvals.
To contact Sana Faiz, drop her email on firstname.lastname@example.org.