Why European investors should choose the UAE?

 

UAE has developed into a popular destination for foreign investors, particularly those from Europe. The UAE is a popular choice for investors for a variety of reasons. The free zones in the United Arab Emirates provide investors with streamlined company formation packages along with a variety of incentives. The 30 Free Zones' 100% foreign ownership is a major draw for foreign investors to the UAE. This blog explains why the UAE is the ideal destination for European investors, and how Legalraasta consultancy can assist you with company formation in Dubai.

What is Attracting Foreign Investment in UAE?

Ø  Ease of doing business: The main benefit of starting a business in Dubai is the ease of doing business. The UAE government supports business and trade promotion. Depending on the type of license, getting a business license in the UAE is simple and could take less than an hour. As a result, the Department of Economic Development and the free zones in the UAE provide a quick and trustworthy ecosystem and platform for company formation.

Ø  Infrastructure and Transportation Facilities: The UAE's robust business ecosystem and infrastructure make it possible to launch any type of business with success. The UAE offers great networking opportunities, and the free zones also provide a variety of technological infrastructure to support business there.

Ø  Banking Support: The UAE is home to some of the best local and international banks in the world. Incentives and a wide range of business bank accounts are provided to investors based on their needs. It is relatively simple to open a corporate bank account in the UAE. By providing numerous investment options and advantages to corporate account holders, the Bank significantly supports the business ecosystem in the United Arab Emirates.

Ø  Tax Schemes: The United Arab Emirates has a vast network of international tax treaties. More than 115 Double Taxation Agreements (DTAs) between the UAE and other nations are currently in effect and will aid in business setup in the UAE. It will make sure that the exchange of goods and services is not taxed twice between businesses and residences.

Ø  Diverse Business Sectors and Huge Growth Prospects: The UAE's businesses cover a wide range of industries. Emerging opportunities have arisen across numerous industry sectors as a result of business diversity. The UAE government has launched numerous initiatives, such as long-term visas, foreign investments, infrastructure support, etc., to quicken growth in certain particular sectors.

Ø  Economic Stability: The UAE has a strong economy and a stable political environment.UAE is a hotbed for investment because of its advantageous location, substantial financial resources, positive international relations, business infrastructure, etc. You may want to consider establishing a new company in Dubai.

Ø  Variety of Options: The UAE's business-friendly environment and vast selection of free zones, industrial hubs, and retail spaces set it apart from other nations in the world.

Ø  Talent and Labor Supply: The UAE has access to a sizable talent pool. A new long-term residence visa has been introduced by the UAE government for professionals in the medical, scientific, and technological fields, among others. The UAE is also making strides in the adoption of cutting-edge technology, sustainable energy, etc. For planning business setup in the UAE, there is a lot of initiative in the fields of research, cutting-edge technology, artificial intelligence, smart transportation, etc.

Ø  Political Stability: The UAE has a strong foreign policy that is characterized by long-term political stability. Foreign investors are looking at UAE as a potential location to set up business in Dubai as trade disputes and security concerns persist elsewhere in the world.

How Can the UAE's Low Tax Rates Be Used?

In comparison to Europe, the US, and the majority of other global business hubs, the tax rates in the UAE are extremely low. Businesses based in the UAE will therefore benefit from low or no taxes. The VAT (5%) on services and goods sold in the UAE market is the only tax applicable to businesses and individuals here. For the majority of investors from European and other high tax countries, company formation is therefore a profitable investment and a way to reduce taxes. Foreign investors can choose from a variety of business setup options in the UAE to take advantage of the country's low tax rates.

Ø  Fly in and out once every six months after obtaining a residence visa.

Ø  Expand your business in the UAE by conducting generating trading through a local distributor or agent.

Ø  Create a local LLC company on Dubai's mainland.

Ø  Create a free zone company in the UAE.

Ø  Buy and restructure a failing company in the UAE.

Read Also This - Business Ideas for Women Entrepreneurs in Dubai

Conclusion

 Now we can wrap in short that there are so many benefits to start any business in Dubai for investors from Europe. Some of them are list above and some more can be Foreigners can easily set up business establishments in the Free Zones of UAE. It offers a wide range of investor benefits such as 100% ownership, profit repatriation, you can apply for a residence visa, no double taxation or personal or corporate tax in Dubai and World-class business infrastructure with Easy business setup and no custom duty for imports into free zones of UAE.

We hope that reading our blog will provide you with some useful information and dispel any doubts you may have about company registration in Dubai. If you still have questions, contact our legal team at Legalraasta.