United Arab Emirates are well known for the very attractive business environment, its legal framework and favorable tax system. However the UAE, like any other country in the world, has its certain particulars which may potentially result in some challenges when opening a business here. This article highlights the most common possible problems which may be faced when starting the business in Dubai or other emirate of the UAE.
The first one is the Knowledge on all business particulars - corporate regulations, licensing, visa regulations, markets, regional specifics, etc. This would save you from potential problems with you may face if you do not make such research in advance. You need to put together all the points which you need to know for your particular case and get them clarified whether by visiting various authorities and checking this one by one or getting in touch with one of the consulting companies in the UAE.
The second one of the top challenges is Time Planning - you may think that you complete all your points of your plan within the very short time. However, some steps may take much more then you expect. For example, just opening a bank account in Dubai can take one month or longer. Thus, if you do not start the procedure of its opening in advance, you may face some difficulties with your overall UAE project time plan.
The other one is Costs Planning - you can have the overview of all the major costs and expenses, however, if you want to open the local business, you may need extra approvals and permits which can increase the initial costs of your project calculations. Moreover, it can require certain additional time, and such time can also cost you extra money - for example, you rent some business premises and start paying the rent, however, cannot start your operations until all your permits are obtained.
Particulars of the UAE Job Market - in case you need to hire some employees for your business, you need to know that the UAE market has some certain specifics. These include such as the obligation of a company to provide visas to its employees, the fact that employees are not permitted to start to work until such permit is received, etc. Once you know core points, which, in comparisons with other countries, are rather modest, you have no problems with this point at all.
Difficulties to obtain Project Funding - if your company is just in the starting phase, it would be tremendously difficult to obtain any funding from UAE banks. The main requirement for any application for business loans is the provision of at least three years of audited balances with positive figures and growth indicators.
The other vital point to know to omit potential difficulties when opening your business in Dubai is the knowledge of certain Business Specifics in the region. Each region has its certain particulars regarding business habits and lifestyle. UAE, unquestionably, has its specifics, and for not getting into any problems you need to be aware of such.
Summing all the above - in general, the UAE is the very business-friendly and attractive country for doing business. However, is in any other country, you have to be aware of certain points. Once you know them - your business in the UAE can flourish!