The seven emirates that form the UAE have grown rapidly to the current financial center with a population of 9.5million. The emirates operate in a friendly business environment that is tax-free, charges minimum import duty, and at least two-thirds of the global population can access the emirates within 8hours.
According to its strategic vision of becoming the tourism and business center, UAE has set time frames for getting a visa for expatriate investors to two days.
Friendly business environment
The 2019 World Bank’s ease of doing business listing ranked UAE 11th, mainly because of the 2018 UAE decree that relaxed existing domestic business ownership rules and permitted full foreign ownership outside free zones.
This policy of 100% ownership has attracted many foreign investors from all over the world in the past decade. The UAE has a good business infrastructure in place, making it a favorable destination for new investors. With a good agency to back you up, setting a new business can be a breeze. Emirabiz, a leading business set-up agency for Dubai, can help expatriates set up a business within 24 hours and help investors get a residency visa in two days.
Availability of workers
The UAE has a population of more than 9 million people and every day, many skilled expatriates move into the region seeking employment. The government has put in place rules that govern employee-employer relationships like the mandatory insurance cover.
It is advisable to follow the UAE labor regulations when hiring workers as some areas require strict legal obligations that employers must adhere to in terms of their duty towards their workers. Before hiring foreign workers, the employer must obtain a work permit and an immigration card. Every employee must obtain a letter of a job offer that details the work position, payment, and a summary of UAE labor laws.
UAE Free Zones
The mainland business environment favors local owners against foreign owners regarding legal structures though this is destined to change in a few years. Investments in free zones enjoy full foreign ownership and each zone is run under its set rules different from another free zone.
Businesses operating within the free zones also have freedom of trading within the zone and beyond UAE, which is advantageous to foreign investors. There is a difference in each free zone in terms of the industries that operate there. For example, DMCC, the world’s number one free zone, favors commodity trading while DIFC free zone favors offshore trading.
At least a third of the world’s population can access the UAE within an 8-hour flight, making it easy to trade in and out of the emirates zone. The emirates have a 1,300-kilometer coastal line, which makes it favorable for sea exportation and importation.
Beyond this, the UAE road and rail network connects most parts of the middle and far east nations, making the movement of goods and services outside the UAE jurisdiction easy. This makes the UAE an ideal place for setting up business both for the local and international markets.
Available natural resources
UAE oil production accounts for 3.3% of the total oil produced globally and 1.6% of the world’s gas production, placing it at number 8 and 7 of leading producers, respectively. The emirates also account for 3.4% of the global aluminum production and it supplies pure and foundry aluminum to over forty-five countries globally.
UAE is a leading producer of petroleum products, lime, and cement, gypsum, steel, and sulfur. The Dubai diamond exchange is a major diamond trading center globally, generating more than 26 billion dollars revenue while the Dubai gold and commodities exchange records over 250 billion dollars in annual revenue.