Why Start Your IT or Tech-based Company in a Dubai Free Zone?
Dubai is infamously known for its impressive take on digitalisation and technology in business over the last few decades. Supportive infrastructure and interactive consultancy services have been infiltrated by new innovations in technology whilst Dubai’s population is continually demanding digital services and products that would sweep the market. According to a study by Tech Behemoths, Dubai had invested a whopping $20 bn in IT and innovation in the year 2021, indicating that UAE plans to be an abode to business activities that focus on utilising technology.
Luxurious hotels, modern technologies and extravagant architecture are only the surface of the facilities you are bound to see in Dubai. The benefits of setting up your tech start-up in Dubai are plenty. For instance, if you choose a jurisdiction like Meydan Free Zone, it would be easier to access creative talent and lower business costs to jump-start your business.
Read on to find out how and why you could thrive in information technology in Dubai, including;
An Overview: Dubai for Your Tech Start-up Business
Dubai attracts a large pool of entrepreneurs each year for a number of reasons, including the ease of doing business and countless opportunities afforded. With a drive to always improve their futuristic pathways and abilities, businesses across many different sectors can learn to integrate Information Technology (IT) into their processes, right here in Dubai.
Depending on which economic jurisdiction you choose, the products offered, requirements and benefits that befall you can be different. For instance, setting up your tech business in Dubai mainland requires a physical office presence to operate, whilst a free zone doesn’t. In this case, a free zone is better suited for your tech-based business, as you may be involved in activities like e-commerce trading or instances which require remote working.
As a part of a technology-infused industry operating in a free zone, your business will be able to reap numerous benefits, with UAE being a leading pacemaker of digital landscapes in the Middle East.
IT and Tech-based Activities You Can Pursue in UAE
If you are a technology enthusiast, starting a tech business in Dubai would be the right opportunity for you. With the Internet of Things (IoT) technology overtaking most of what the consumer market wants and needs, and different industries integrating technology into their products and services—the IT sector is abundant with employment opportunities and innovative ideas to pursue in the UAE.
Here are a few tech-related business activities you can potentially venture into.
- IT Consulting
This involves the maximisation of your digital skills to help out clients during a technological project. Primarily, other organisations and businesses may require your expertise when it comes to operating their plans and objectives using technology. Updates about new software, cybersecurity and analytics would be some of the areas you need to be vigilant about.
With the relevant experience and business registration guidance, starting an IT consulting firm in Meydan Free Zone will be a seamless process.
You can trade a variety of goods and services online with an expertly designed e-commerce website, great project management skills, and good technical skills. Dubai is home to a vast online market with customer segments that enjoy novel products that enhance the quality of life, hence, it would be a great idea to get your firm registered in Meydan Free Zone so that you could start trading right away.
- Software Development
Many businesses and organisations are codependent on programs that run their daily business processes. The software development industry will continue to thrive with emerging talent and innovation that is surpassed every day. All you need is the relevant knowledge, passion for coding and IT and good business management skills to get started on it.
- Selling Technological Equipment
The first step would be to engage in buying and selling technological equipment like smartphone collections, laptops, tabs, specialised computer software and other tech goods. When located in a free zone like Meydan Free Zone, access to suppliers and transport links are plenty and business operations will be smooth.
What Are the Steps for Business Registration?
The steps to setting up a tech business in Dubai are quite simple. Deciding your business activity and area of activity is the first order of business because the tech industry is extremely vast. Whether it be software development, creative designing, digital marketing or IT consulting—deciding your primary business activities and getting approval from the Department of Economic Development (DED) is vital.
By following these few steps, you can receive your business license and be a tech entrepreneur in no time.
- Decide Your Company Name
Avoid titles that involve blasphemous language and any acronyms. Ponder carefully about whether the name of your business suits UAE regulations, and if it showcases the message of your business and entrepreneurial spirit.
- Choose a Jurisdiction
You can opt for either mainland or free zone, depending on your business’s structure and objectives. Operating in a free zone like Meydan provides the benefit of better tax regimes and tech-related facilities to further improve the engineering of your start-up. Most of all, an IT business generally involves hefty costs, but a free zone such as Meydan Free Zone can prove to aid a more affordable start-up due to lower business costs.
- Apply for a Business License
You can only conduct business with the use of a business or trading license. The process involves contacting several authorities within the free zone or mainland and filling out applications whilst dealing with paperwork. At Meydan Free Zone, our expert group of consultants are more than ready to assist you with the paperwork and formalities to make sure that you receive your business license on time.
As a tech business, all registering processes can be conducted online with the help of Meydan Pay, Meydan Commerce and other digital services provided to ease you into the start-up journey.
- Apply for Visa
If you are planning to operate from the UAE, it’s important that you apply for a residence visa concerning your employees, family, and yourself. After this process is over, you will have to go through a medical exam to make sure you can operate the tech business without any hassle.
- Open Your Bank Account
Visit banks and financial institutions to formulate payment plans and open up a bank account to track your expenses, assets and liabilities.
Benefits of Starting a Tech-based Company in UAE Free Zone
- Lenient Regulatory Environment
Usually, a free zone allows 100% tax concessions and cost-abiding transport links that inevitably reduce your business costs. You can make use of full ownership whilst avoiding the payments of personal and corporate tax, allowing plenty of time to strategize and plan ahead with your tech business. Being involved with technology introduces a large sum of research and development costs, so registering your business to suit a more affordable structure may be beneficial in the long run.
- Room For Innovation
Dubai is surrounded by the latest technology that can aid your business in its growth. From the use of blockchain technology and quantum computing to artificial intelligence—UAE facilitates all. Applying these to your business can help sustainable growth and collaboration of businesses in the free zone.
- Good Infrastructure
Operating in a free zone like Meydan Free Zone will introduce you to some of the best amenities that will benefit your business in the long run. Well-equipped office spaces, strategic transport links and airports nearby can greatly help the logistics of your tech business. Moreover, it’s highly likely that you’d be surrounded by similar competition that will drive growth in your business.
- Easy Set-Up Procedure
Meydan Free Zone is fixated on helping your start-up launch successfully. The team of experts at Meydan Free Zone, for instance, helps business owners with registration, licensing, documentation, paperwork, legal advice and consultation on tax, all to make sure that the set-up procedure is a seamless one.
Costs of Starting a Tech-based Company in UAE Free Zone
Regardless of the size of the operation, starting a tech-based business in a UAE free zone would be affordable. Meydan Free Zone offers a variety of packages that tailor to all your needs and visa requirements. For instance, a low-cost business license will cost AED 12,500, which includes a general trade license, a lease agreement, and a choice of up to three business activities.
However, the cost of starting a tech business will depend on multiple factors. Since your business is IT-based, various costs that pertain to software development, research, and error are shared; hence the estimated cost may be understated if calculated without specifics.
Why Meydan Free Zone?
Meydan Free Zone is located in the midst of skyscrapers with everything you need to achieve your entrepreneurial ambitions. Facilities ranging from vast office space, an educated panel of consultants, and a strategic location to luxurious hotel infrastructure—Meydan Free Zone helps you unlock all the core elements to boost your start-up journey.
As a business specialised in tech, Meydan’s services of digital payment schemes, a variety of licenses and company formation services will be extremely useful.
Contact us for further information today!