22 Nov How to Start an Online Business in Dubai?
The internet is now an integral part of everyone’s lives. You can order products, buy groceries, and avail services – thanks to the advancements in the online business sector. Therefore, launching an online business in Dubai is the right choice.
In addition, it’s a booming industry with a tonne of potential. Indian investors, be it business owners looking for expansion or aspirants looking to enter Dubai’s marketplace shouldn’t miss out on the opportunity to set up their online business in the UAE.
What is an Online Business in Dubai?
Online business ventures in the UAE enjoy an increased surplus, thanks to the massive surge in online commodities and e-commerce. Moreover, you can sell your product online, or even provide e-services like teaching, training, yoga, etc.
More than 90% of Dubai’s population has access to the internet. Therefore, you have an enormous audience pool to target and establish your business in Dubai. The best part is that you don’t need to acquire physical office space to set up such a company.
Indian investors can apply for the desired online selling license based on their business activities. Therefore, you can get started with your operations once you have the government’s legal permit.
What are the Steps to Launch an Online Business in Dubai?
The process to open an online business in the Emirates is straightforward. Here’s all you need to do to launch such a company in Dubai:
- Finalize your Business Activities
- Book a Trading Name
- Decide the Location for Office / Virtual Office
- Apply for an Online Business License
- Host an Optimized Website
- Open a Bank Account
All these steps are discussed in detail below to make it easier for you:
1. Finalize your Business Activities
The first step to commencing business in Dubai is finalizing the business activities you wish to carry out. The Indian business owners should analyze their products and services and accordingly list down the activities.
Always double-check the list before sending it to the concerned department for approval to avoid any hiccups in the future. Furthermore, you can apply for external approvals to gain permission to carry out other business activities too.
2. Book a Trading Name
What should be the name of your online venture in the UAE? Do you have a list ready for the same, or do you need to create one? It’s imperative to have the trade name reservation payment receipt for starting an online business in Dubai.
Moreover, ensure that you abide by all the naming convention protocols maintained by the UAE’s government. Never use derogatory terms or words that are insulting or defaming in any sense. Remember that an additional fee is charged for foreign trading names.
3. Decide the Location
Where do you wish to open your online company in the Emirates? You have the option to set up your company in the mainland region to get access to the local market. Furthermore, you can also enjoy a free zone establishment with an independent and lenient jurisdiction. However, You can directly setup the company on Virtual Office.
The location you choose has a significant role to play in your company’s growth. Therefore, you should always consult with the legal advisors at Shuraa Business Setup before finalizing the company establishment location.
4. Apply for an Online Business License
The next step is to obtain an online business license in Dubai for your e-venture. In addition, it’s the legal permit that empowers you to carry out all the permissible business activities in your concerned business zone.
There are several online business licenses you can obtain to establish your dream venture in Dubai. They include:
- E-trader License: the e-trader license is a convenient online business license for the UAE and GCC nationals staying in Dubai. Moreover, you don’t have to secure physical space for this license, and you’re free to sell your products and services digitally.
- Portal License: non-UAE nationals can apply for a portal license to launch their online business. Just like an e-trader license, you can offer your products and services via an approved online medium.
- Virtual Company License: Indian investors and other expatriates looking to launch their company remotely in the UAE can apply for this license. Note that a virtual company license only covers business activities related to designing, programming, and advertising.
5. Host a Website
You need to maintain a credible online presence to make a name for your brand in the marketplace. Therefore, hosting an optimized business website should be a top priority for starting an online business in Dubai.
Offering flexible payment options increases the chances of scoring a sale. Moreover, always choose a trusted hosting partner for your website and implement easy-to-use navigation. Don’t forget to keep an eye on the website loading speed too.
6. Open a Bank Account
You can open a corporate bank account in any of the reliable local and international banks in the UAE once you’re done with all steps discussed above. In addition, ensure that the selected bank offers A-grade banking facilities and long-term benefits.
Indian business aspirants looking to start an online business in the UAE can connect with Shuraa Business Setup business experts. We help you find the best banks for your e-venture and provide end-to-end business assistance.
What is the Cost of Starting an Online Business in Dubai?
The cost of opening an online business in the UAE depends on the types of business activities, location, approvals, and much more. However, you can acquire a general portal license for around AED 12,000.
You need to pay an additional fee in case you require exclusive business privileges, or if you wish to use a foreign trading name. The business consultants at Shuraa Business Setup help you obtain the desired online business license in Dubai without any hidden charges.
Benefits of Forming an Online Business in the UAE?
- Low Barrier to Entry: an online business venture doesn’t require hefty sums of investment, unlike other businesses. In addition, you can get started with a reasonable budget and expand as you generate more revenue.
- Complete Ownership: it’s very easy to launch an online company without having any external shareholding in your company. Therefore, all the Indian investors and expatriates don’t need to hire a local sponsor for their company’s establishment.
- Tax-Free Regime: you don’t need to pay any taxes, be it personal or corporate, when you form an online trading company. The best part is that you can repatriate 100% of your profits as well.
Online Business Ideas in Dubai
A few online business ideas in Dubai include:
- Online Tutoring
- E-Commerce Store
- Digital Branding Solutions
- Online Bakery
- Online Consultancy Services
Documents Required to Launch an Online Business in Dubai
Here’s a curated list of documents you must submit to the concerned governing body to form your online business:
- Trade Name (At least 3 name choices)
- Passport copy of the shareholders.
- Entry stamp or Visa page.
- Passport size photograph.
Launch your Online Business in Dubai!
Setting up an online business in the Emirates is cost-effective, easy to manage, and a highly lucrative venture. In addition, all you need to do is apply for the relevant business license and get started with your activities.
You can connect with the company formation experts at Shuraa, and we’ll handle the rest. Be it related to documentation, banking, approvals, or anything else – we do it all at highly competitive prices!