It’s not just tourists flocking to Dubai. The city of gold also attracts entrepreneurs, incubators, and business owners from every corner of the world. In a span of just a few years, this sleepy gulf port has transformed into a global business hub.
During the first quarter of 2024 alone, 19,056 new companies joined the Dubai Chamber of Commerce, registering year-over-year (YoY) growth of 17.6%. This recent data clearly shows Dubai continues to be a hotspot for SMEs, entrepreneurs, and start-ups.
But why does everyone want to set up their business in Dubai?
Let’s find out.
- The Location Advantage
Dubai is at the crossroads of Asia, Europe, and Africa, offering quick access to some of the most lucrative global trade routes. It’s connected to the major world markets through a state-of-the-art airport and seaport.
Dubai’s strategic location and excellent connectivity make it a haven for import-export businesses. The city has one of the busiest airports in the world, through which nearly 87 million passengers traveled last year.
Besides the city’s modern airport, its Jebel Ali Port connects businesses in Dubai with the rest of the world. It is the ninth busiest port in the world and handled more than 14.5 million TEUs (twenty-foot equivalent units) in 2023.
- Business-Friendly Environment
Another significant draw for entrepreneurs and business owners is Dubai’s business-friendly environment. UAE is one of the top 20 economies in the ease of doing business, and this achievement has been a culmination of different business-friendly policies over the years.
Some of these policies include:
- A simplified company formation process.
- 100% foreign ownership for most business activities.
- Transparent legal procedures.
- Investor-friendly laws.
- A stable environment for business growth.
Other unique benefits, like the mainland company option, allow you to operate your business anywhere in Dubai and offer more flexibility. That’s what attracts entrepreneurs and start-ups to the city.
- Favorable Tax Environment
A favorable tax environment is another benefit of setting up your business in Dubai. UAE, of which Dubai is a part, has only 5% Value Added Tax and no personal income tax.
Additionally, the UAE offers tax exemptions to businesses operating in the free zones, which attracts many export-import companies to set up shop in Dubai.
Until June 2023, UAE had 0% corporate tax. However, the recent legislative changes mean businesses with a taxable profit exceeding AED 375,000 will have to pay a 9% corporate tax, which is still one of the lowest in the world.
- Modern Infrastructure and Amenities
Dubai’s modern infrastructure and amenities are second to none. Other than a world-class airport and seaport, the city boasts a network of highways and reliable public transport, providing businesses with connectivity to the local markets and resources.
The UAE is also a leader in advanced telecommunications and digital infrastructure. In 2023, it ranked first globally in mobile internet speed while second for fixed broadband speed, which can reach nearly as high as 240 Mbps.
At the same time, Dubai has invested in other modern infrastructures like renewable energy, green buildings, and smart technologies. You can rent a serviced office or co-working space, which offers all these high-class amenities at an affordable cost. It’s a great way to get your foot in the door until you find a more permanent address for your business in Dubai.
- Increasingly Thriving and Diversified Economy
While still driven by oil, Dubai’s economy has diversified significantly over the years. Today, the city is a global hub for real estate, tourism, technology, and finance. It’s no wonder Dubai’s non-oil foreign trade hit a record-breaking AED 2 trillion target in 2023, one year ahead of its schedule.
Recently, Dubai and the rest of the UAE have witnessed a thriving tourism industry. The city welcomed 5.18 million overnight visitors in just the first three months of 2024. Likewise, the city is proactively developing innovation and entrepreneurship, attracting global leaders, start-ups, and innovators to set up businesses in Dubai.
This diversified economy gives you the flexibility to explore different business opportunities.
- High Standard of Living
Dubai offers a high standard of living, making it easier for business owners like you to attract global talent. The city is known for its reliable public transport infrastructure, well-maintained roads, luxurious lifestyle, and vibrant social life. Its low crime rate makes Dubai highly attractive for professionals and families to live and work.
Dubai has some of the world’s largest shopping malls and entertainment hubs, including famous theme parks such as IMG Worlds of Adventure and LEGOLAND. The city is home to pristine beaches like JBR, Al Mamzar, and sunset.
There is no shortage of world-class dining, which caters to different cultures and tastes from around the world. Moreover, both foreigners and residents get access to the city’s world-class healthcare and educational facilities, making Dubai a prime destination for families.
- Skilled and Diverse Workforce
Zero personal income tax, a high standard of living, and a diversified economy help attract a highly skilled workforce from almost every corner of the world. Dubai’s workforce is characterized by its varied skill levels and diverse cultural backgrounds.
Dubai has world-class educational institutes that supply raw talent for many industries, including tech, tourism, hospitality, and healthcare. Some of these renowned universities and colleges include American University, British University, Michigan State University, and London School of Business.
The Knowledge and Human Development Authority (KHDA) proactively monitors the quality of education and professional training. Whether you need experienced engineers, trained construction workers, or professional chefs and hotel staff, the city has a diverse talent pool to meet your requirements.
In addition to this, the government has set up transparent hiring practices and labor laws, protecting both employees and employers. These collective efforts have made it easy for every business in Dubai to find the required talent quickly.
- Foreign Direct Investment Hub
There is no better reason to set up your business in Dubai. The city has been one of the best global centers for Foreign Direct Investment. In 2023, the UAE attracted $30.688 billion in FDI, taking second place after the US as the world’s most popular hub for FDI. This extraordinary growth is a testament to Dubai’s business-friendly policies and thriving economy.
This FDI often attracts start-ups, incubators, and SMEs, providing you with exceptional business networking opportunities. The city hosts several events and trade shows, including the notable Gulfood 2025 and the Arab Health Exhibition, to help you connect with like-minded business owners and vendors and develop strategic partnerships.
Conclusion
Setting up a business in Dubai does offer several benefits, from a strategic location and business-friendly conditions to a skilled workforce and a steady flow of FDI. The city provides a wealth of educational, infrastructural, and financial resources for start-ups and incubators.
GAL Business Center puts you at the heart of these business opportunities. From ready-to-move-in, modern office spaces to a comprehensive range of company formation services, we are your one-stop shop for setting up a new business in Dubai. Our team of thinkers, technocrats, and management experts will get your business up and running in a few days.
Contact us today to turn your dream business into a reality.
8 Compelling Reasons Why You Should Set Up Your Business in Dubai
It’s not just tourists flocking to Dubai. The city of gold also attracts entrepreneurs, incubators, and business owners from every corner of the world. In a span of just a few years, this sleepy gulf port has transformed into a global business hub.
During the first quarter of 2024 alone, 19,056 new companies joined the Dubai Chamber of Commerce, registering year-over-year (YoY) growth of 17.6%. This recent data clearly shows Dubai continues to be a hotspot for SMEs, entrepreneurs, and start-ups.
But why does everyone want to set up their business in Dubai?
Let’s find out.
- The Location Advantage
Dubai is at the crossroads of Asia, Europe, and Africa, offering quick access to some of the most lucrative global trade routes. It’s connected to the major world markets through a state-of-the-art airport and seaport.
Dubai’s strategic location and excellent connectivity make it a haven for import-export businesses. The city has one of the busiest airports in the world, through which nearly 87 million passengers traveled last year.
Besides the city’s modern airport, its Jebel Ali Port connects businesses in Dubai with the rest of the world. It is the ninth busiest port in the world and handled more than 14.5 million TEUs (twenty-foot equivalent units) in 2023.
- Business-Friendly Environment
Another significant draw for entrepreneurs and business owners is Dubai’s business-friendly environment. UAE is one of the top 20 economies in the ease of doing business, and this achievement has been a culmination of different business-friendly policies over the years.
Some of these policies include:
- A simplified company formation process.
- 100% foreign ownership for most business activities.
- Transparent legal procedures.
- Investor-friendly laws.
- A stable environment for business growth.
Other unique benefits, like the mainland company option, allow you to operate your business anywhere in Dubai and offer more flexibility. That’s what attracts entrepreneurs and start-ups to the city.
- Favorable Tax Environment
A favorable tax environment is another benefit of setting up your business in Dubai. UAE, of which Dubai is a part, has only 5% Value Added Tax and no personal income tax.
Additionally, the UAE offers tax exemptions to businesses operating in the free zones, which attracts many export-import companies to set up shop in Dubai.
Until June 2023, UAE had 0% corporate tax. However, the recent legislative changes mean businesses with a taxable profit exceeding AED 375,000 will have to pay a 9% corporate tax, which is still one of the lowest in the world.
- Modern Infrastructure and Amenities
Dubai’s modern infrastructure and amenities are second to none. Other than a world-class airport and seaport, the city boasts a network of highways and reliable public transport, providing businesses with connectivity to the local markets and resources.
The UAE is also a leader in advanced telecommunications and digital infrastructure. In 2023, it ranked first globally in mobile internet speed while second for fixed broadband speed, which can reach nearly as high as 240 Mbps.
At the same time, Dubai has invested in other modern infrastructures like renewable energy, green buildings, and smart technologies. You can rent a serviced office or co-working space, which offers all these high-class amenities at an affordable cost. It’s a great way to get your foot in the door until you find a more permanent address for your business in Dubai.
- Increasingly Thriving and Diversified Economy
While still driven by oil, Dubai’s economy has diversified significantly over the years. Today, the city is a global hub for real estate, tourism, technology, and finance. It’s no wonder Dubai’s non-oil foreign trade hit a record-breaking AED 2 trillion target in 2023, one year ahead of its schedule.
Recently, Dubai and the rest of the UAE have witnessed a thriving tourism industry. The city welcomed 5.18 million overnight visitors in just the first three months of 2024. Likewise, the city is proactively developing innovation and entrepreneurship, attracting global leaders, start-ups, and innovators to set up businesses in Dubai.
This diversified economy gives you the flexibility to explore different business opportunities.
- High Standard of Living
Dubai offers a high standard of living, making it easier for business owners like you to attract global talent. The city is known for its reliable public transport infrastructure, well-maintained roads, luxurious lifestyle, and vibrant social life. Its low crime rate makes Dubai highly attractive for professionals and families to live and work.
Dubai has some of the world’s largest shopping malls and entertainment hubs, including famous theme parks such as IMG Worlds of Adventure and LEGOLAND. The city is home to pristine beaches like JBR, Al Mamzar, and sunset.
There is no shortage of world-class dining, which caters to different cultures and tastes from around the world. Moreover, both foreigners and residents get access to the city’s world-class healthcare and educational facilities, making Dubai a prime destination for families.
- Skilled and Diverse Workforce
Zero personal income tax, a high standard of living, and a diversified economy help attract a highly skilled workforce from almost every corner of the world. Dubai’s workforce is characterized by its varied skill levels and diverse cultural backgrounds.
Dubai has world-class educational institutes that supply raw talent for many industries, including tech, tourism, hospitality, and healthcare. Some of these renowned universities and colleges include American University, British University, Michigan State University, and London School of Business.
The Knowledge and Human Development Authority (KHDA) proactively monitors the quality of education and professional training. Whether you need experienced engineers, trained construction workers, or professional chefs and hotel staff, the city has a diverse talent pool to meet your requirements.
In addition to this, the government has set up transparent hiring practices and labor laws, protecting both employees and employers. These collective efforts have made it easy for every business in Dubai to find the required talent quickly.
- Foreign Direct Investment Hub
There is no better reason to set up your business in Dubai. The city has been one of the best global centers for Foreign Direct Investment. In 2023, the UAE attracted $30.688 billion in FDI, taking second place after the US as the world’s most popular hub for FDI. This extraordinary growth is a testament to Dubai’s business-friendly policies and thriving economy.
This FDI often attracts start-ups, incubators, and SMEs, providing you with exceptional business networking opportunities. The city hosts several events and trade shows, including the notable Gulfood 2025 and the Arab Health Exhibition, to help you connect with like-minded business owners and vendors and develop strategic partnerships.
Conclusion
Setting up a business in Dubai does offer several benefits, from a strategic location and business-friendly conditions to a skilled workforce and a steady flow of FDI. The city provides a wealth of educational, infrastructural, and financial resources for start-ups and incubators.
GAL Business Center puts you at the heart of these business opportunities. From ready-to-move-in, modern office spaces to a comprehensive range of company formation services, we are your one-stop shop for setting up a new business in Dubai. Our team of thinkers, technocrats, and management experts will get your business up and running in a few days.
Contact us today to turn your dream business into a reality.
