If you are considering setting up your business in Dubai, there are many factors to consider when making the decision. If this is something that you have already started thinking about, then it might be helpful to read about some of the advantages of doing so that are discussed below in this article. By the end of it, you should have a better idea of whether Dubai is the right place for your business or not and what the process might be like if you do decide to proceed with opening it there.
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Reasons to set up your company in Dubai
Setup a company
As one of seven states that form United Arab Emirates, and located on its southeast coast, Dubai is a commercial and tourist hub and has been for years. The city’s economy grew by 4.4 percent between 2015 and 2016, making it a prime place to start or expand your business. Unlike other Middle Eastern countries such as Saudi Arabia where religion plays a larger role in daily life, Dubai is more tolerant to other faiths, cultures and ethnicities.
Getting started
When you start up a business, it can take a little while to really get going. But that doesn’t mean you should sit back and wait for your business to strike gold before making any moves. These tips will help you build your business foundation and get off on the right foot from day one.
Advantages of establishing a business here
This is one of those rare locations that comes with a host of advantages for both foreign and local entrepreneurs. Firstly, it’s fairly easy to set up a business here. Plus, there are no income or value. Added taxes here. Only import tax (1%) and trade tax (5%). Also, you’ll have access to a large market of consumers. UAE has a population of over 4 million people and its economy is growing quickly. The government also supports small businesses by providing subsidies.
Establishing a company
Expat Taxes
When you own a business, your profit is classified as passive income by the IRS. This means you are not taxed on your profit until you take that money out of your business. By setting up shop in a tax free country like Dubai. Where there are no taxes for international businesses, you don’t have to pay taxes on anything until you actually use it.
Commercial Leases
When renting a business space you will usually have to sign a lease. The duration of a lease varies from one year to 25 years. The standard period is between three and five years. During this time, you have control over what alterations you make to fit your needs.
Data Center Locations
With hundreds of companies and billions of pieces of information stored electronically, data centers are becoming an increasingly important part of our global economy. The United Arab Emirates is quickly becoming a leading destination for data center construction, but many don’t know why. Here are just some reasons why you should consider setting up your business in Dubai
