Dubai, one of the seven emirates of the UAE, is regarded as a major market for business in the world today.
Although the emirate saw its fair share of problems after the 2008 financial crisis, it was still one of the first markets to emerge out of the credit squeeze. This was mainly due to its diversified economy that does not rely heavily on oil production.
In fact, Dubai relies more on its service sector, which contributes around 75% of the emirate’s annual GDP. The Dubai service sector was one of the first ones in the world to make a recovery after the crash and it has been going strong ever since.
The reason for the rapid recovery and expansion of the service sector here has mainly been attributed to business friendly laws, high quality infrastructure, proximity to other major cities of the world and tax-free environments.
While that is true, Dubai over the years has also emerged as a perfect destination for startups because of the following reasons:
Talent: There is no shortage of talent in this desert oasis. The city attracts some of the best professionals from almost every country of the world. More than 180 nationalities are present here, the visa / work permit rules are flexible, and businesses always have access to huge talent pool with varied skills and expertise to choose from.
Venture Capital Funding: The local Emiratis and GCC nationals are well known for their venture capital and business funding interests. If you’ve got an innovative idea or you have a solution to a need, there is no shortage of venture capitalists in Dubai. There are also a number of established and reputed firms in Dubai who can help you fundraise for your idea.
Business Ecosystem: Dubai is a highly receptive market with high consumer spending power. You are more than likely to find a ready audience for your offering here than in any other market in the region. Although the startup scene is competitive, a good business idea and a sound execution will go a long way in ensuring success. The city is also home to some of the biggest companies in the world and various free zones (more than twenty), which means that you are always in an ecosystem that is full of opportunities to diversify and expand.
Cost: Dubai offers some of the most cost-effective business startup packages starting from as low as $5,000. The setup is tax free and there are various free economy zones or free zones for dedicated business activities where additional support and benefits are on offer – meaning more bang for your buck. Dubai offers you a chance to setup your business in one of the most exciting cities of the world at excitingly low costs that are unheard of in other notable cities. Definitely a great proposition if you are looking to create your own startup presence.