How to Start an Industrial Company in Dubai?

Over the years UAE has emerged as one of the top choices to start and operate an industrial Company in Dubai. There are multiple reasons for the same, including the easy industrial company registration process, highly lucrative and business-friendly environment, along with tax and cost benefits.  

An Industrial Company can be a conglomerate or a small-scale manufacturing unit. Whichever type you choose, there are some specific steps you need to follow to start an industrial company in Dubai 

Why is Dubai The Best for Starting Manufacturing Companies in the UAE? 

Here are the top four reasons why Dubai can be called one of the best manufacturing hubs across the globe: 

1. Good Connectivity

Because of its strategic geographical location, it is easily accessible through two international airports. In addition to this, the advanced tech facilities make it easier for the markets in the east and west to stay connected 24*7. 

2. Home Grown Talent

Dubai is known for its exceptional talent pool. It is also recognized for the world’s most ambitious, forward-thinking, sophisticated engineers, innovators, and technologists. These budding entrepreneurs desire a rewarding career-enhancing environment to thrive, prosper, and change the world. Thereby making Dubai the best place for business in the world. 

3. Foreign Direct Investment

Abundant and pro-investment policy decisions make Dubai one of the cities in the UAE that achieve sustainable growth based on innovation and high productivity. As a result, Dubai ranks among the top ten international cities in attracting foreign investment. 

4. Diverse Consumer Base

Dubai has a proven track record of being the launchpad to test and expand operations across the broader Middle East, Africa, and South Asia. 

What are The Advantages of Starting an Industrial Company in Dubai? 

Following are the top 7 advantages you can consider before starting an industrial company in Dubai. 

  • Taxes – There are no taxes for factories operating in the UAE Free Zones. 
  • Logistics – Dubai is one of the influential international hubs offering amazing logistics and transportation facilities for manufacturing companies in the UAE. 
  • The Low Cost of The Labor Force – The primary source of labor for manufacturing companies in UAE is from countries like India, the Philippines, Pakistan, and others whereby the trade union is prohibited in the Emirates by the government. 
  • Dubai provides the necessary infrastructure for a business like land, ready industrial premises, offices, etc. 
  • The low cost of energy sources. 
  • Favorable geographical location. 
  • Lastly, it is an actively developing region, which gives new opportunities for business. 

How to Start an Industrial Company in Dubai?

Following is a detailed process broken down in a simplified manner to start your industrial company in Dubai. 

  • Firstly, decide what product you want to manufacture.
  • After choosing the appropriate manufacturing activity, connect with a UAE national who can be your local sponsor (partner) to set up your business in Dubai easily.
  • Subsequently, you need to decide on a trading name for your company. Avoid using abbreviations in the trade name, and there should be no mention of Allah or any other religion. Furthermore, do not use offensive words, or the name won’t be approved. Also, if you are naming the company after a person, that person must be the owner or a shareholder.
  • Next, submit all the important documents and register your company with the DED (Department of Economic Development) to get the trade name approval and other initial approvals.
  • Once your application has been processed, the government of the UAE will notify you. Also, after getting the initial approval to start your industrial company, you will have to draft an MoA (Memorandum of Association) and get it signed by each of the shareholders.
  • Once the MoA is signed, you need to submit the required documents and obtain NOC from the Ministry of Economy to get clearance for your Industrial project.

Additional Requirement

  • You will also need to rent a warehouse in an appropriate location as per your manufacturing activities.
  • Next, register your company with Ejari to get the tenancy contract and your unique barcode for future references.
  • Then, take approval and permission from the Dubai Municipality’s planning department to obtain an Industrial license to start your industrial company.
  • Once you receive the approvals, complete the documentation and submit them to the environment department to get an industrial clearance.
  • Now you need to get NOC from the civil defense.
  • Under certain circumstances, like a chemicals trading license in Dubai, manufacturing companies in the UAE have to get approvals from external departments. These are for selected manufacturing units. If you are manufacturing food products then you need to get approval from food control
  • Approval from the narcotics department for chemical production,
  • If you plan to manufacture jewelry get approval from Dubai Police.
  • Once you have received all the approvals and necessary permissions to start an industrial company. You can submit the final documents to the DED (Department of Economic Development) to acquire your industrial trade license.
  • At last, pay the required fee, and your industrial license will be issued. 

Chemicals Trading License in Dubai 

As mentioned, to set up an industrial chemical trending company in Dubai, you must apply for additional permits or get the chemicals approved by the Dubai police and other relevant authorities. This is because some chemicals fall under the category of Controlled Chemicals. For instance, you must gain approval from the Ministry of environment and Water to manufacture pesticides and fertilizers. Similarly, the manufacturing of perfumes and cosmetics requires approval from Dubai Municipality’s Clinic section 

Connect to Shuraa

The procedure to start an industrial company in Dubai can be long and overwhelming. Hence, to avoid any mishaps with the documentation, it is better to get help from the business setup consultants. The expert business consultants at Shuraa can assist throughout the long procedure to start an industrial company in Dubai. All you have to do is to get in touch with us and we will take care of it all.