Are you wondering about the best way to get started with a small business in Dubai? Perhaps you are one the many people who are keen to start a private business in Dubai but you are not what kind of business to set up. Or you may want to know and understand what exactly is required to start your own business in the United Arab Emirates (UAE).
If so, you've come to the right place. If you are thinking of putting your money into a business in the UAE, you will find the process to set up your business relatively straightforward thanks to the information in this article. You will also have an understanding of the best markets in the UAE to invest in, so as to not waste your time.
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14 Best Small Scale Business Ideas
1. Building and Construction
Seemingly every day new buildings or structures are being constructed in Dubai which has opened up a wealth of opportunities when it comes to engineers as well as various other professionals in the construction industry. This growth is evident when you see the property trends on https://www.bayut.com. This means investors have enormous opportunities when setting up a business which deals with the manufacturing or selling of the raw materials utilized in the construction sector.
2. Oil and gas
When it comes to the Oil and Gas industry, this has been as the mainstay of the economy of the country for many years. Moreover, the UAE's current wealth can be largely attributed to this sector. For years, the oil and gas industry, despite its existing size, has continued to offer opportunities to new investors. Entrepreneurs who are interested in the oil and gas industry can either start from scratch, or they can partner with the number of businesses that already exist here.
3. Financial Services
Because of the presence of various large-scale businesses in Dubai, there is a high demand for professionals like accountants, auditors and bookkeepers, as well as providers of services such as sum up credit card processing. So, if you are someone with a solid background in any the previously mentioned financial services, there's a good chance that you can establish a profitable business which offers financial services to the other companies in Dubai.
4. Foods and beverages
When it comes to the food and beverage industry, businesses will thrive almost everywhere and in most situations. The UAE is no exception to this rule. The high demand for foods and beverages in the country thanks to a growing population of overseas workers and booming tourism presents many opportunities for businesses. So even with a simple business plan focused on exclusively selling fast foods and snacks you can have a highly successful enterprise.
5. Healthcare
Like the many other developed countries, the people of Dubai are conscious of their health and show a huge deal and concern when it comes to it. As the country continues to develop, so have demands for professional service providers as well as facilities in the healthcare industry. If you are a healthcare professional thinking of starting your own business in this field, Dubai could prove an ideal location to get started.
6. Security
Although there are significantly fewer security concerns in Dubai compared to many other countries, individual businesses whether big or small (when it comes to their assets) aren't taking any chances. This has led to growing demand for security personnel, services and equipment. Even if you are unable to start a business in private security services, you will still be able to make a large amount of money in this sector. For example, could supply security devices, such as alarm systems and surveillance cameras, among others.
7. Environment
Because of the rapid growth and development in Dubai, a lot of activities such as construction and industrialization have been caused damage to the environment. At the same time people are becoming more aware when it comes to the significant benefits of protecting the environment. In consequence, there have been a ton of new opportunities in Dubai for green living advocates and businesses that are offering a range of eco-conscious services, like waste recycling and environmental protection.
8. Tourism
As we all know, Dubai has become one of the most population vacation destinations in the world, as seen in the number of five-star hotels now operating in the UAE. Dubai hosts millions of new visitors each year. This in turn has created a ton of opportunities for people to get started with private businesses that involve catering to these visitors and tourists in one way or another.
9. Energy
When it comes to the energy sector in the UAE, while they have got enough players there are still many opportunities for private businesses which are willing to help in maintaining the various existing energy facilities. If you are someone who is looking to start a business of their own in the UAE, the sector of energy facility maintenance could be one option that you might want to consider if you have relevant skills or expertise.
10. Trading
Dubai is a hub for businesses across many sectors to meet and trade products or services. The phrase called " exports and imports " is one you will frequently hear in the context of Dubai. There are a wealth of opportunities in the export or import of many products; for example, fashion materials, dried fruits, textiles, accessories, plastic goods, vehicles and many more.
11. Business Franchises
Business franchising is a new but growing concept in the UAE. Due to its large expat population, along with the variety of preferences of the people living here, the concept of business franchising has been very successful over the last few years. The fast food industry is one of Dubai's fastest growing sectors, opening up more and more business franchise opportunities.
12. Job Agencies
When it comes to Dubai, another amazing business opportunity relates to job agencies that are specifically created for skilled laborers. With the country's rapid economic growth, many skilled employees and laborers are in demand to keep the UAE's various industries running. Additionally, there has been a crushing need for IT experts, accountants, nurses, engineers, as well as construction workers, among others, in this country.
13. Night Clubs, Bars, and Entertainment
Dubai is one of those cities where people are always busy. When the bell rings to mark the end of their working day, the people here want to let off some steam. They often go out for a drink or two and spend some time with friends and colleagues to get rid of the stress that tires them in their everyday grind. For anyone who is thinking of setting a private business in the country a good option is to set up a nightclub or entertainment business specifically for expats. Investing in night clubs, bar or entertainment business is a good way for you to get started.
14. Travel Agency
Being one in the major vacation destinations in the world, there are great opportunities for travel agencies in the UAE. Millions of tourists and visitors plan to go to and from Dubai every year. Moreover, the entire population of the country is heavily packed with expatriates from various other countries, all with travel needs. This makes a travel agency business in the UAE an investment worth considering.
Setting up a business in Dubai is relative straightforward, however being prepared and arming yourself with certain knowledge will assist to make this process as smooth as possible, and set you up for In that vein, below we have some important facts about Dubai that you should know before you get started with your business there. So, let's get into them:
Important Facts to Know Before Starting a Business in Dubai
Getting started with your own business in Dubai is considered by many to be rewarding as well as lucrative. But it might also feel like a risky venture when as a foreign investor. Additionally, to invest in a company in Dubai as a foreign investor you need to partner with a citizen of the UAE before you are permitted to start a company.
The citizen (your partner) needs to have a majority share of the business. If you want to start your own business in Dubai, make sure you play by the books or otherwise you will lose your investment.
There is about no place in Dubai for shady businesses. Beyond that, following the proper channels will mean more returns and profit when you set up your own business. Below are some steps that you will need to take if you wish to start your own business in Dubai.
1. Conduct Feasibility Studies
There is no doubt that the business environment in Dubai is open to people of various cultures, but it is crucial to follow certain processes before you set up a business. One of these is conducting thorough feasibility studies. This ensures that you have a fair knowledge of Dubai, market conditions, target audiences, regulations, logistics and other factors which will impact on the success of your business. You can determine this information through market research, consulting with experts and industry peers, or through competitor analysis. Studying your competitors in particular can yield valuable information: you will see what works well and what does not work so well, therefore learning from their successes as well as their mistakes.
2. Look out for a Local Business Partner
Before you establish a business as a foreign investor in Dubai, by law you will need a local partner. They could either be a citizen of the UAE, or from a local company. Moreover, according to the law, the local business partner should own a major company share of the company. There are various ways you could manage this situation: your business partner could be someone who is equally involved in the business, taking a share of the decisions and working with you every step of the way. Alternatively, you may look for a "sleeping partner", someone who is investing financially or perhaps only in name, and is largely hands-off while you are responsible for the day-to-day management of the business. The latter is a relatively common set up for foreigners who invest in a business in the UAE.
3. Check Options Which Don't Require a Local Partner
If you are not able to find a local partner you trust and would be happy going into business with, there may still be options available to you. Although in most cases the Dubai government requires foreign investors to work with a local partner, they have recently introduced legislation which allows foreigner nationals to own 100% of certain types of businesses. Another option could be to base your business in one of the country's free-trade zones, where these regulations do not apply. In either case, you would be well advised to seek the advice of a local lawyer to see what options may be available to you.
4. Raise the Necessary Funds (Startup Capital)
Startup capital is of course required when establishing any kind of enterprise. When starting a business in Dubai there are also specific requirements in this respect. Before you are permitted to invest and start a business of your own in Dubai, you will be asked to show the regional government that you have a minimum required amount of funds. The required investment usually ranges between $10,000 and $50,000. This can vary if you are operating within one of Dubai's free zones.
5. Registration of Your Business
Before you approach the Ministry of Commerce, you must meet certain requirements in order to complete the process of your business registration. And if you are unsure what you should be doing, you should consult an attorney in Dubai that specializes in helping foreign investors to complete their business registration.
In the end, starting your own business in Dubai could turn into a highly successful venture, if you follow the ideas and tips mentioned here. Moreover, keep yourself up to date by always improving your business skills.
