The United Arab Emirates has become a desirable location for business investments. Over the last few decades, the UAE has faced tremendous financial growth and is renowned as one of the most business-friendly countries globally.
The advantages available in the UAE can transform your business into a more profitable and affordable business. In this article, the benefits of migrating one’s business to UAE and the steps to obtaining a business visa of UAE will be discussed in detail.
UAE as a Hub for Effective Business Practices
Firstly, the country follows a zero-tax regime to several designated areas of business. UAE offers an extensive network of tax treaties with numerous countries worldwide. The infrastructure facilities are state-of-the-art too, thereby facilitating effective and efficient operations.
UAE also offers world-class connectivity with around 106 airlines operating more than 280 international connections from UAE airports, according to a 2019 survey.
The financial hubs are globally recognised. The Dubai International Finance Centre (DIFC) was ranked as the 8th Best Global Global Financial Centre and leading Financial Centre in the MEASA Region according to Global Financial Centres Index (GFCI) 2019.
UAE is the second-largest economy in the Middle East and North Africa, according to the World Bank Index 2018. There are no exchange control restrictions, and unrestrained repatriation of profits and capital are highly possible. The country is constantly trying to overcome shortcomings to provide a sustainable business arena to budding entrepreneurs.
The Legal Framework
The first UAE free zone opened in the 1980s. The laws that govern businesses in free zones are General business/commercial except the Federal Law No. 2 of 2015 regarding Commercial Companies Law.
In addition to this, the business may also be governed by specific business activities, QHSE compliance and those of the respective free zone authorities in practice.
There are more than 45 free zones across the UAE. Dubai International Financial Centre (DIFC), Jebel Ali Free Zone (JAFZA), the Dubai Multi Commodities Centre (DMCC) and Abu Dhabi Global Market (AGDM) were some of the only few free zones that had initially enacted corporate migration regulations.
At the same time, the regulatory framework applicable in the UAE mainland did not provide for corporate migration from a foreign country to the UAE (mainland).
Information Relating to Visa
UAE offers a business visa as part of the Golden Visa system. Under this system, foreigners can acquire a long-term visa for themselves and their dependents. For obtaining this visa, the foreigner must be an entrepreneur. The entrepreneur must have set up his own business at some point in his career and plans to do so again in UAE.
Further, the eligibility criteria require entrepreneurs to substantiate their experience. Some other qualifications posed by the government are:
should have been a majority shareholder for a start-up or a member of its senior leadership
be willing to relocate to UAE
be willing to establish a business in one of the seven emirates legally
have a business idea or plan to bring to life in the UAE in one of the seven emirates
Apart from fulfilling these conditions, applicants are to pass the requirements of the Federal Authority for Identity, Citizenship, Customs & Ports Security successfully. A background check and health assessment are included.
A business visa does not guarantee that the applicant will receive the visa. After a thorough review of the application and the subsidiary documents, the specialized committees will grant approval.
After the visa issuance, the applicants would enter the country for six months. They would have a multiple-entry visa to facilitate establishing the business. The applicant could nominate three of his/her business's senior staff to obtain residency.
There are consultancy services in the UAE that provide end-to-end support from company registration to tax residency in UAE. With the help of consultants, the migration of a business to the UAE should be effortless.
By Sri Madhura Srinivasa
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