Positioned at the nexus between the East and the West, Dubai is a hub for both tourism and business. Not only is it one of the GCC region’s most prominent cities, it is also home to a thriving multi-cultural hub and is a global gateway for trade. This, coupled with its large and highly diverse expatriate population, has allowed Dubai to prop up its trade, financial services, and tourism industries. With approximately 2.5 billion people living within a four-hour flight of the city, and five billion within an eight-hour flight or less, the city offers unrivalled access and opportunities to some of the world’s largest emerging growth markets.
Dubai has one of the most successfully diverse economies in the world. Armed with a future-focused approach to development, the government of Dubai is a pro-business government that has long encouraged entrepreneurs to set up their businesses in the country and reap the rewards the city has to offer.
Here are a few of the benefits entrepreneurs and investors can enjoy from the Dubai government’s initiatives.
The UAE, in general, is home to a favourable tax environment, enjoyed by many entrepreneurs.
The country does not impose an income tax on investors, individuals, or companies—with the exception of oil companies and branches of foreign banks—allowing them to freely repatriate their profits.
Aside from having no corporate tax and no import or export duties, the government also allows 100% repatriation of revenues and profits and up to 50% reductions in more than 1,500 government fees, making it an attractive place for foreign investment and international business expansion.
Dubai also has over 40 freezones which allow tax exemptions. It provides investors with the flexibility to select the most appropriate zones for establishing their businesses.
Foreigners are allowed to invest in an array of sectors, including trade, health, construction, agriculture, and education, in over 2,000 licenced economic activities, with local laws excluding only a few very limited domains.
Perhaps one of the country’s most defining initiatives is its 100% foreign ownership of commercial companies. As of November 2020, commercial companies no longer need to have a major Emirati stakeholder or agent, thus enabling foreigners to have full ownership of onshore companies.
In addition, firms wishing to become joint stock companies can sell through IPOs no more than 70% of the company, after receiving government approval. This was also amended from a previous law which restricted it to 30%.
Investors of all nationalities can now establish and fully own companies in the country.
The government of Dubai has succeeded in fostering the ideal business environment for startups and multinational companies, and it continues to draw on this success by encouraging more entrepreneurs from all over the world to set up bases in Dubai.
The government offers a variety of accelerators and incubators for startups to benefit from. Some of these include: Dubai SME, the Hamdan Innovation Incubator (HI2) and its pioneering Innovation Attraction Program, Techstars Dubai, Skill-Up Academy, in5, Bedayat, and FinTech Hive.
The Seed Group, a company of the Private Office of His Highness Sheikh Saeed bin Ahmed Al Maktoum, has formed strategic partnerships with leading global companies over the past 16 years. The Group aims to create mutually beneficial partnerships with companies that are unique and strive to innovate industries by helping them accelerate their sustainable market entry into the Middle East and North Africa region and enhance their presence.
Seed Group has been a key part of many companies’ success stories in the region by helping them reach their potential, accelerate their business, and target the right customers, as well as putting them in touch with top-level decision makers.
The Group has an Accelerator Program which is designed to ensure the associated company has all the elements of success, eliminating all the risks it could face in the real world that could cripple the business or cause it to shut down due to mistakes that can be otherwise mended with the right support.
No matter what the area of concern or bottleneck for a start-up is, the Seed platform helps by providing long-term solutions to turn the venture into a profitable one. Established startups that have a product and a decent customer base but are struggling to make it big despite having a unique, innovative product and growth potential are a perfect fit for the program.
Find out if your company is eligible for the Accelerator Program by applying here: https://seedgroup.com/seed-applications/acceleration-program-application/
Seed Group also has an Investment Program. The Group is continually searching the market for the next-best promising venture in many different sectors, with the shortlist subject to the process of project identification and evaluation.
If the Group comes across a project with an innovative idea that has proven to be successful in attracting a great deal of interest and catering to a large audience or customer base, it will likely invest in the firm, especially if it has high growth potential.
Find out if you are eligible to become a royalty partner: https://seedgroup.com/seed-applications/become-a-royalty-partner/
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