5 mistakes to avoid when setting up a business in Dubai free zone!!

The Free Zone in Dubai is the government organization that handles all the registration processes and issues business licenses to foreign companies or non-resident businesses for Dubai Free Zone Business Setup. Company formation in Dubai free zone brings with it a plethora of positive opportunities for collaborating, networking, and tremendous growth in the business. The many incentives and tax regime offered by the free zone authorities make Dubai one of the most approved and suitable nations by an entrepreneur for a business set up.

But, to ensure you avail all the possible benefits of Dubai Free Zone Business Setup, there are certain things you need to take care of very wisely-there are certain mistakes you really need to avoid.

Listed below are a few things to keep in mind and avoid when setting up your business in the Dubai Free zone.

1.      You must never make any business plans based solely on advertised information:

Before you plan anything for your company formation, it is very important that you first confirm the validity of the published details. Since the rules and regulations change frequently in the free zones and also in the local Department of Economic Development, it is advised not to go ahead with your business plan until you have confirmed the assumptions through a professional business set up consultant, or the relevant authority.

2.      Do not register your business without considering the office sizes and their conditions:

Often entrepreneurs intending to set up their business in Dubai free zone get overwhelmed with a wide variety of office spaces. However, always remember that the published information about a particular office space keeps on changing, and it’s quite possible that when you actually go-ahead for the registration of your business, you may find that only specific office sizes are available. Or it may also happen that certain offices allow only a single visa and that too only for the investors and not for the employees. So, remember not to proceed with the company formation process until all the aspects of office spaces are clear and confirmed.

3.      Never open your bank account until the bank charges are confirmed:

Banks in the free zones levy varying charges, and for a company formation, these can amount to a significant sum for a bank operation. Thus, you must always confirm the charges and requirements to open a business bank account beforehand. Furthermore, also remember not to choose a bank based on its reputation, instead, consider other factors too.

4.      Don’t pick a license type without confirming if that allows your business model:

When it comes to your business license, make sure you confirm whether your license category allows you all the activities and facilities that will be allowed in the type of business you are planning to set up. Never choose a license category particularly for some services, instead, consider your business type and choose the one that fits all the possibilities.

5.      Make sure you don’t sign your sponsorship with the local sponsors without getting everything in writing:

Your company formation may need plenty of vital support and assistance, and for this, a local sponsor may want to charge you separately for some specific services. So make sure you agree to the deal when you and the sponsor, both have agreed on what to expect from each other, and a written contract is drawn up and attested with the relevant authority.

The freedom of running a business, tax savings, and co-operative government policies-all these lead potential businessmen and investors to set up their company in Dubai free zone. And with these points to avoid, I am certain you’ll be able to set up a successful company in the free zone area.

Planning to start a business in Dubai: Go Ahead with Shared office!!

Being the developed economy amongst all the countries, Dubai is the major attraction for businessmen to invest. The initial investment in the business includes getting an astounding office space so that it influences the perspective of the visitors and the clients. A working space might attract the people but at the initial stage, it requires huge capital for the entrepreneurs to get a private office in the big country. Renting or purchasing a private office includes arranging the office furniture, equipment, internet connection and many more which is an addition to the investment. To avoid all such problems in setting up the business, the shared offices have become a trendy option amongst the people. It is beneficial for both the employer and employees. The concept of a shared office is not only suitable for the startups but also for the established company who is ready to open a new branch or for the freelancers.  It is a sort of mix match with the other companies running on the same floor but mostly suitable due to the available facilities. The one who is ready to explore will acquire the following advantages from the shared office space in Dubai:

  • Helps in reducing the overall expense

The hiring of private office burdens the people with many fundamental expenses like arranging the systems and office furniture, getting access to Wi-Fi, hiring additional office staff members other than designated employees, printing facilities, furnishing the office and so on. The shared office comes with all these arrangements and facilities which expels the maximum expenditure and gives peace of mind.

  • Easy management of the IT infrastructure

It is challenging for startups to offer facilities and budgets like an established company with a separate IT room or conference room. It becomes challenging to handle and manage employees in the small budget so keeping aside one expense through the shared office, entrepreneurs try to manage the other. The IT department is the headache of the shared office management which helps the people to concentrate on other daily tasks.

  • Safe and secure environment

A shared office is a perfect choice for entrepreneurs because of the safe and secure environment. The company management does not have to worry about company employees due to the availability of the 24/7 security system. People get delicate, highly developed and styled shared offices at low cost with the latest safety technique of keycard access. The day and night working in the office premises is completely safe.

  • Benefits to save expenditure and time

Shared office space is the perfect solution to open an immediate business without any prior preparations. Once the plan or thought comes in the mind of the people with an arrangement of capitals, they can start a new setup in the well-furnished area. There is no need for any prior arrangements which saves a lot of time and money.

  • Increase in networking

Shared office space brings many companies at one place to work which increases the chances of networking. The startups are mostly in need of connections in the corporate field to expand their business and make their presence in the market. It becomes a perfect step for their growth.

The term shared office might be hesitant for many people thinking that it will be impossible to work in a huge crowd and with companies from different industries. It is just a thought or the misconception that people have because the arrangement of the shared space is such that none of the company or people disturb the work of others. It’s like an individual working experience.

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