Dubai: A Global Business Hub
With its touristic attractions, state-of-the-art technological innovations, favorable laws, and promising provisions, Dubai has become a popular trade hub for business leaders across the world.
As such, businessmen and women are looking to expand their operations in this booming city to gain improved brand recognition and customer reach. Among the many types of businesses that can be run, a general trading company, which operates in a wide range of fields and centers on business investment, is the most common. Examples of these businesses are supermarkets, stores at malls, furniture shops, and many others. Setting up this type of business, specifically in Dubai, comes with many perks, and a few of which are highlighted in this blog.
Tourism On the Rise
First, General Trading Business in Dubai is considered a low-risk endeavor because the economy revenue is always boosted by the high rate of tourism in the country. A large customer base, which is mostly comprised of tourists, means a higher chance of profit generation for business owners, and this is important not only to cover the costs and expenditures of the business but also to fuel expansion ideas.Second, gaining a trade license per se grants you several benefits, and the most prominent of which is that it allows business owners access to visa sponsorships for themselves and their team members, fellow investors, friends, and family. Any dependent can gain a residence visa in Dubai to the limit of 20 individuals per trading license, which makes it even easier to run a business in the city. The visa application process is simple and can be done quickly with the help of business setup consultants in Dubai
International Expansion
Once a general trade license in Dubai is obtained, investors and owners can consider growing their revenue further by selling their products and services online through e-commerce websites and social media platforms, such as Instagram, Facebook, TikTok, and others. The option of international expansion under the same general trading license is also available. If a business is importing goods or manufacturing its products in the country, it can also ship or fly them to international destinations for distribution and sale.Another beneficial aspect of running a General Trading Business in Dubai is the reduced tax rates on goods. (Value Added Tax) applies to goods, with no other additional customs, duties, corporation fees, or taxes charged to any general trading business. In addition, a 100% profit and capital repatriation are allowed, which means that once the revenue has been collected in the bank, business owners can choose to transfer their funds to an international bank of their choosing, without having to pay any additional bank fees. There are also many other privileges provided by the government that allow more money to be saved from the beginning stages of the business development.
Finally, the most important benefit is the ease of starting such a business, which is especially desirable for those who are newly turned entrepreneurs or are making their first international expansion. The Department of Economic Development (DED) simplifies this process by allowing business owners to complete part of the setup online or have a local agent, such as a business setup consultancy, complete it for them and guide them through the entire company setup. This includes applying for all required approvals, getting the company name trademark registered, completing paperwork, and even recommending banks to partner with and open a corporate account in.
