Each year, thousands of American-based businesses decide to expand their operation internationally. Properly planning this expansion is important when trying to avoid mistakes. For most business owners, international expansion allows them to spread the word about their brand to a new audience.
Dubai is one of the richest and most popular cities on the planet. This city, located on the southern coast of the Persian Gulf, boasts the largest population in the United Arab Emirates (UAE). Moving your business to this large and luxurious city can help you grow your bottom line substantially.
Here are some of the things you need to consider when attempting to successfully expand your business abroad.
1. Find a UAE National to Help With the Business Setup Process
The first step in expanding your operation into Dubai is getting a locally registered LLC. The only way to accomplish this is by partnering with a UAE national. If you set up your business as a local LLC, you will be able to set up shop anywhere in the city of Dubai.
Once you find a local to be your sponsor, then negotiating their yearly fee is the next logical step. Developing a relationship with your local sponsor can help you sort out any problems that may arise during the business setup in uae process.
2. You Need a Free Zone if You Want to Avoid a Partnership With a UAE National
Do you want to avoid setting up a partnership with a UAE national to start a business in Dubai? If you answered yes, then setting up shop in a Free Zone is a good idea. If you are trying to open a retail store or a restaurant, these Free Zones may not be a feasible option. Typically, these zones are located outside of the city, which can be disastrous for a business that relies on foot traffic.
Another factor you need to consider when weighing this option is the price of rent in these zones. Often times, rent in Free Trade Zone districts will be extremely high. However, if you have the budget to accommodate these high costs, then it may be worth it. Setting up shop in a Free Zone will allow you to own 100 percent of your new venture.
3. Assess Visa Requirements and Visibility
Securing Visas for both you and your employees is vital when trying to set up a new business in Dubai. There are a number of factors that will be considered before these Visas are granted. Things like the nature of your business and the size of your office are looked at before these documents are approved.
In most cases, having a local sponsor is the best way to get a favorable outcome from the Visa application process. While applying for Visas will be time-consuming, it is an essential part of getting your business going in Dubai.
4. Working With a Registration Agent is a Smart Move
Most entrepreneurs know very little about the UAE business registration process. Instead of making mistakes that will delay your expansion, you need to think about hiring a third-party to assist you.
Hiring a business advisory firm will help you get your business registered quickly and correctly. They will also do things like help with business license renewals and even the opening of a Dubai-based bank account. With this professional help, you can get your new business up and running in no time.
Don’t Get in a Hurry
Rushing through the international business expansion process is a recipe for disaster. This is why hiring professionals and being thorough is crucial.