A growing number of investors and companies relocate to the Emirate every year to benefit from its thriving business environment. Without a doubt, every businessman dreams of living in Dubai. Because of this, businesses that offer business setup services can also greatly help businesses starting from the ground up.
The UAE government is working to make its citizens happier. As a result, Dubai now generally allows foreigners to own 100% of their business, along with a 0% tax rate, a prominent global position, and a simple incorporation process.
Dubai Has Incentives for Small Businesses
The Dubai government not only offers amenities to big investors, but it also supports small and medium-sized businesses. The government occasionally announces incentives for different kinds of businesses to help them. The Khalifa Fund for Enterprise Development was established in 2007 by the President of the United Arab Emirates and Ruler of Abu Dhabi to support and promote small- and medium-sized investments in the Emirate.
Full Profit Repatriation
Foreign companies are subject to restrictions in many nations, and they are required to keep a portion of their capital and profits inside the country where they are operating. But in Dubai, there isn’t any such requirement. All business types are permitted to repatriate their capital and profits in full to their home countries in Dubai’s mainland and in any of the city’s free zones.
Exemptions From Taxes
Income tax is absent in the UAE. Having recently implemented VAT as of 2018, it is an indirect tax, though, and companies typically pass it on to customers. Businesses can also claim VAT refunds for incurred business expenses when filing their returns. Only foreign banks and oil companies are subject to corporate taxes in the UAE. Other industries have not yet been subject to corporate taxation. As of right now, corporations registered in free zones are not subject to corporate tax.
The Emirates provide a variety of tax categories and business ownership structures. The free zones with the feature of 100% tax exemptions stand out among them. This implies that you are exempt from paying income or business taxes to the government and can keep all of your business profits.
Strategically Located Trade Hub
Due to its geographic location, Dubai serves as a trade hub for goods moving from the East to the West or vice versa. It is the ideal trade hub due to its strategic location and easy access to the Arabian Gulf. Dubai is strategically situated in the middle of three continents: Asia, Europe, and Africa. Additionally, the nation offers simple access to the markets in the Middle East.
Due to its advantageous location, Dubai is a great place to establish a trade or import/export company. On the one hand, there are China and India, which are important trading partners and sources of raw materials. The European Union, which is a significant trading partner of the UAE, is on the other side of Dubai.
Dubai Virtual Offices
Some businesses can operate remotely, so they don’t all need a physical location. It is in your best interest to have a virtual office in Dubai if that describes your situation and you want to come across as more credible to clients and other professionals. You won’t need to list your home address and landline as your company’s contact information in this manner.
To provide a physical office address without a physical office is the goal of a virtual office. As it does away with the hassles of annual commitments and the expenses of maintaining a regular office, it might make setting up your business in a Dubai business center simpler. Your correspondence will be delivered to an inner-city address as part of the best virtual office solution. Additionally, it will include a dedicated landline and full access to all services offered by the service provider so you can work remotely or while traveling.