Business Set Up

The Sultanate of Oman is on a mission to diversify its economy and reduce its reliance on oil-based revenues. Over the last few years, substantial investment in infrastructure, transportation and communications as well as a slew of legal reforms and foreign investment incentives have made market entry into the sultanate easier and more attractive than ever. This article looks at the opportunities that exist for foreign investors as well as some of the key ways in which Oman is supporting economic growth and encouraging foreign investment. Read more

In order to import Medical Devices, Medical Equipment and the corresponding consumables into Dubai, Abu Dhabi and the wider UAE there are a number of requirements: The distribution and importation of Medical Devices in the UAE is controlled by the Ministry of Health (Ministry of Health and Prevention) which is a Federal body and regulates the importation and distribution of Medical Equipment and Consumables in all Emirates. Read more

The popularity and interest in offshore companies is growing in the UAE - as investors, SMEs and multinational corporations look to capitalise on the UAE’s favourable business environment. By migrating business operations to the UAE, company owners can take advantage of the Emirates’ tax incentives, strategic location and modern infrastructure. This article looks at the applications of offshore companies, their advantages and disadvantages and the jurisdictions in which they can be established. Read more

The UAE government is predicting significant growth in the industrial sector in the short term and has invested heavily in creating modern infrastructure and a world-renowned industrial hub that connects East and West. In Dubai there are approximately 18 industrial areas such as Ras Al Khor Industrial Area, Al Quoz Industrial Area, Jebel Ali Industrial Area, Al Quassia Industrial Area and Al Safa Area (specifically for the food production industry), to name a few. In just the Emirate of Dubai alone, there are multiple locations for businesses in the industrial sector to set up and thrive which has seen a huge rise in foreign investors and companies setting up their manufacturing base in the UAE. The Dubai government issues specific certificates to factories that meet the requirements for an industrial licence to allow these companies to benefit from duty exemptions on machinery, equipment, spare parts, unprocessed raw materials and packaging materials. In this article we look at the process, documentation, steps and timelines required to set up and Industrial Licence in Dubai, and the wider UAE. Read more

On 31 January 2022, the UAE Ministry of Finance announced the introduction of a new Federal Corporate Tax regime (CT) applicable to businesses and corporations from financial years beginning on or after 1 June 2023. This means that many businesses will now need to pay corporate tax on business net revenue, presenting new challenges and calling on the need for companies to fully evaluate and understand the implications on revenue streams in the UAE mainland, freezones and internationally and to employ appropriate measures to reduce the tax burden on the company. This article gives an overview of the new UAE Corporate Tax regime, the key policy drivers, and what your business needs to know to help you minimise any negative impacts. Read more

E-commerce is transforming the UAE’s retail scene. The country’s young, tech-savvy population are increasingly turning to their digital devices for their shopping needs. Reports suggest that 96% of UAE consumers now shop online, preferring the convenience and flexibility that it offers over traditional bricks and mortar retail. With this fundamental shift in shopping habits, it is becoming increasingly important for businesses to adapt and innovate to capture this market segment and thrive in the digital age. This article examines the key factors in the growth of e-commerce in the UAE and looks at some of the key considerations when setting up an e-commerce business. Read more

On 15 November 2021, the UAE cabinet approved a new labour law which represented a complete overhaul of labour relations and business practices across the emirates. The new provisions known as Federal Decree-Law No.33 came into effect on 2 February 2022 and addressed issues such as labour contracts, contract termination, gratuity settlements, maternity leave and diversity and inclusivity. Read more

Under the Commercial Companies law of the UAE, it is a requirement that all companies appoint a General Manager (GM), whether onshore or within a freezone. As per the law, the GM is a corporate officer who holds numerous legal duties and responsibilities. There are certain instances in the UAE whereby, to fully incorporate an entity, the GM would need to be in country and would need to hold or have previously held a UAE residence visa. However, it is not always possible that the chosen candidate for GM fulfils these requirements. In this instance, a nominee GM can be appointed to bridge the gap and allow the company incorporation process to proceed without delay. This article examines the role of the nominee General Manager and how Sovereign PPG can help. Read more

The publication of Federal Decree-Law no. (26) of 2020, in December 2020, which amended key provisions of the Federal Law No. (2) of 2015 on Commercial Companies, was brough in to relax the rules on local company ownership and pave the way towards the gradual loosening of foreign ownership restrictions in UAE. In a further update this month the UAE Ministry of Economy have now stated that the amendment to the Commercial Companies Law will come into effect from 1st June 2021, to allow 100 per cent foreign ownership of onshore companies in the UAE from that date. The Abu Dhabi Department of Economic Development (ADDED) has now released a list of 1029 activities that would be eligible for 100% foreign ownership. Read more

Despite its size, Qatar is one of the most powerful economies in the world. According to the International Monetary Fund (IMF), Qatar ranks in the top 5 nations for GDP per capita. While the nation owes much of its historical growth to the oil and gas industry, the Qatari government has made major strides in diversifying its economy through a wide range of industries. Read more