For many years, Dubai ruled the media company incorporation landscape. A lot of countries across the globe are attempting to replicate the success of the emirate, hoping to attract big businesses to their jurisdiction.
Issuance of a variety of business licenses
Dubai Media City, in particular, issues different kinds of licenses for businesses, allowing them to perform several different economic activities such as the following:
- Media Services
- Communication and Advertising
- Event Organization and Management
- Event Support
- Non-Profit Associations
- Media Consultancy
Licenses offered by the internationally famous media free zone in Dubai include Business and Information, Consultancy and trade, Mass Media Support and Development, Freelance, Marketing and Mass Media, and Entertainment and Arrangement of Events.
There is a high chance you have already read about the UAE’s excellent educational system, as well as the high scores that students have received on international comparative standards. The students become the assets of the workforce in the country and in Dubai particular, bringing similar excellent onto their respective workplace.
In addition, the liberal immigration policy of the UAE brings global talent onto the country. UAE makes it very easy for foreign professionals in obtaining and maintaining work permits or residency status. As a matter of fact, the majority of the workforce of the country is from overseas.
Attractive tax frameworks
The local government in Dubai and throughout UAE offers an attractive corporate tax structure, which is one of the best in the entire world. Dubai, UAE’s progressive tax framework is attractive for entrepreneurs to start their businesses.
There is no personal income tax in UAE and corporate profits aren’t taxed even when they are passed onto shareholders in the form of dividends. What’s more, UAE charges the lowest VAT rate in the world.
Double taxation avoidance
UAE boasts of agreements with foreign countries for double taxation avoidance. The agreements are designed in making sure economic transactions between treaty countries and the UAE don’t suffer from being taxed double in relation to VAT.
No currency controls and 100% foreign ownership
Dubai Media City allows foreigners to own 100% of stocks of media companies incorporated in the free zone authority’s jurisdiction. There is no need for local shareholders or partners. This enables entrepreneurs and investors in starting a media company with the kind of capital structure they desire then distribute the ownership as to how it suits their investment needs. There aren’t any restrictions on the amount of capital that can be brought to the UAE from foreigners’ home countries for investing in a Dubai media company.
UAE also doesn’t impose any restrictions on profit repatriation. There are no taxes that are imposed on the capital gains with a business’ sale. No tax is also levied on the dividends that are paid to company shareholders as mentioned earlier.
As UAE doesn’t impose restrictions on the movement of any foreign currency out or into the country, the frictionless funds movement across borders provides extreme flexibility in doing business.
UAE has a very well-developed economy based on trade, manufacturing, and finance. The services account for the majority of the GDP of the country and employ as well the majority of its workforce. UAE has an incredibly low unemployment rate all the while maintaining low inflation.
Dubai, in particular, makes judicious use for its present good financial condition, funding education, healthcare, transport, and housing programs. This contributes to UAE’s well-managed and robust economy. A small state such as Dubai with very limited natural resources has achieved a robust economy. This is a testament to the wisdom, as well as the strategic planning of its leaders.
For more information related to business setup in Dubai, call us here in FAR Consulting Middle East today!
Read also: How to Get a Professional License in Dubai
What are the requirements for business setup in Dubai?
Foreign investors and entrepreneurs are allowed to perform business setup in Dubai, regardless of whether they’re a legal business entity or a natural person. For a natural person to incorporate in Dubai, the following are required:
- Passport of the applicant
- Passport of the manager of the Dubai business
- Passport of the appointed director
- Proposed business plan
- Duly completed application form for a business license
- Information regarding the company’s legal representative
If the business will have a corporate shareholder, then the following documents are required:
- Application form duly completed for business licensing
- Certificate of incorporation of the foreign business
- Business plan
- Information related to the company’s legal representative, directors, and managers
Can there be licensing amendments made for Dubai businesses?
Business owners can make amendments to their licenses including a manager name change, change of business activities, removal of existing segments, adding new publishing segments, removal of activities within a segment, adding new channels, and address on license change.