September 26, 2024

Relocating your company to Dubai: Everything you need to know

SetupCO Consultancy L.L.C
Reading time 3 minutes

Relocating a company to Dubai is becoming increasingly attractive for many entrepreneurs. Dubai has established itself as an international business hub in recent years and offers many advantages that are particularly interesting for European companies. In this article, you will learn all about the advantages, the process and the most important steps when relocating your company to Dubai. Relocate company to Dubai want. This comprehensive guide is SEO-optimized to give you all the information you need while improving your search engine rankings.

1. advantages of relocating a company to Dubai

Dubai offers a variety of Advantages for companies:

  1. Tax exemptionOne of the biggest advantages of relocating your company to Dubai is the complete tax exemption on company profits in many cases. There is no income or corporate tax for many industries. This allows companies to maximize their profits.
  2. Strategic locationDubai is conveniently located between Europe, Asia and Africa. This makes it an ideal location for international trade and facilitates access to new markets.
  3. Modern infrastructureDubai offers a first-class infrastructure with modern office buildings, fast internet connections and an efficient transportation system.
  4. Free trade zonesThere are over 30 free zones in Dubai that offer many benefits to foreign companies, such as 1001TP3 ownership and simplified regulations.
  5. Secure business environmentPolitical stability and the government's business-friendly policies make Dubai a safe location for companies.

2 Which companies benefit from the relocation to Dubai?

Not every company will automatically benefit from relocating to Dubai. It is particularly interesting for:

  • E-commerce companyDubai's international network and tax advantages make it ideal for online retailers looking to expand globally.
  • Financial service providerDubai is attracting more and more financial companies that are benefiting from the stable economic conditions.
  • Start-ups and tech companiesYoung companies from the tech sector in particular benefit from the flexible infrastructure and the numerous innovation centers in Dubai.
  • Luxury goods tradeLuxury goods such as jewelry and watches find an enormous market in Dubai, as the city has become one of the main hubs for wealthy people from all over the world.

3. steps to relocate your company to Dubai

If you have your Relocate company to Dubai there are a few important steps you should follow:

  1. Choose legal formFirst of all, you need to decide what legal form your company should take. The most common options are to set up an offshore company or a company in one of the free trade zones.
  2. Apply for a licenseDepending on the industry, you will need a specific license. There are different types of licenses in the free trade zones, such as commercial, service or industrial licenses.
  3. Visa for employeesOnce your company is registered, you can apply for work visas for your employees. Dubai offers special visas for business people and entrepreneurs.
  4. Find office spaceThere are numerous office spaces in Dubai, both in the free zones and in the city center. Rental prices vary depending on location and facilities.
  5. Open a bank accountOpening a bank account in Dubai can be a bit time consuming, but it is a necessary step for doing business.

4. costs of relocating the company to Dubai

The cost of relocating your company to Dubai depends on various factors, such as the legal form chosen, the industry and the number of employees. Here are some of the most important costs:

  • Formation costsOffshore company formation or free zone company formation usually costs between AED 10,000 and AED 25,000, depending on the zone and license type chosen.
  • Visa costsAdditional costs are incurred for each work visa. The costs vary depending on the number of visas required and the length of stay.
  • Rental costsRental costs in Dubai vary greatly depending on location. A small office in a free zone can cost around AED 15,000 to 40,000 per year, while larger offices in the city center can be more expensive.
  • Consulting costsHiring an experienced business consultant for company formation in Dubai can be a wise investment. The costs vary depending on the provider and the scope of services.

5. tax advantages in Dubai

One of the main reasons why entrepreneurs Relocate company to Dubaiare the tax advantages. Dubai offers tax exemption on income and corporate profits as long as the company operates in a free trade zone or uses certain offshore structures. There is also no capital gains tax and no VAT (except for certain categories of goods).

These tax advantages make Dubai particularly attractive for companies that generate high profits and want to use them as efficiently as possible.

6. avoid common mistakes

With the Relocation of a company to Dubai there are some mistakes that are often made and should be avoided:

  • Insufficient planningThorough planning is crucial to ensure that all legal and administrative requirements are met.
  • Choose the wrong legal formChoosing the right corporate structure can have a significant impact on the success of your company. It is best to seek advice from an expert.
  • Lack of knowledge of local lawsEven though Dubai is considered business-friendly, there are still many regulations that must be adhered to, e.g. with regard to employment contracts and visa requirements.

Conclusion

The relocation of a Company to Dubai offers numerous advantages, from tax relief to a strategic location and modern infrastructure. However, the process requires careful planning and compliance with all legal requirements. However, with the right preparation and the support of experienced advisors, moving your business to Dubai can be a very profitable decision.

If you are thinking about relocating your company to Dubai and are looking for a Professional advice our team at SetupCo is at your side. We support you from planning to implementation to ensure that your business takes off successfully in Dubai.

Contact form
Please enable JavaScript in your browser to complete this form.
Step 1 of 2
Name
E-mail address
Useful articles
Careers at SetupCo