Dubai has shown phenomenal development in the construction sector over the last decade. This is now second in terms of construction development, and not in the first place. So, if you looking for the steps of setup a construction business in Dubai then, the best business setup consultants at Start Any Business will guide you through all the steps and also help you in this entire process to start a construction business and make it easy and reliable. Here we mentioned a few steps that will help you to understand the requirements to start a business in Dubai.
The continued investment in travel and tourism also reflects a thriving construction sector. Tourists put the United Arab Emirates as one of the architecturally remarkable countries across the globe. Dubai has reached already the pinnacle of elegance, while others emirates are fast catching up. Hence, your construction company in Dubai has adequate possibilities to succeed.
The Process to Setup a Construction Company in Dubai
The Procedure makes a construction company in Dubai include maximum documentation. Moreover, you require to get many licenses and approvals to conduct a complete-fledged construction company in Dubai. Here is a step-by-step process that you need to follow.
- Decide the Company Structure and Location
If you wish to begin a construction business in Dubai, the first point is to determine is whether to build for a free zone company or for a mainland establishment. To build a company in the mainland, you have to partner with a UAE local sponsor who will hold 51% stakes in the company. And if you establishing a company in a free zone don’t need any local partner to hold any kind of stakes in your company. this provides you complete company ownership. You should examine all the advantages and disadvantages of both forms and select the one which is the most suitable for your business.
- Apply for the License
Free zones have their individualistic rights officials. Hence, if you are appealing for a construction business license in the free zone, you need to request the relevant authority. And if you are applying for a license in the mainland then you require to request the Department of Economic Development. The granted license for a construction company comes under the commercial kind of license.
- Obtain the Building Permit
Once you get the license for the construction business in Dubai, you require to obtain the building permit to gain allowances for different activities of the business. Although, you cannot do that on your own. Hence, you have to partner with a civil engineer and business specialists who will help in obtaining the permit. Business setup consultants in Dubai assist you to obtain this license on your behalf.
- Apply for Other Necessary Licenses and Approvals
The construction companies in UAE also requires to obtain additional approvals and certificates. For free zone setup, a G+1 permit is compulsory when mainland companies get similar permissions through a building license. Another vital license comprises the building subsistence license, iron construction contracting license, etc.
- Understand Your Provisions and Limitations
Any business establishments require to comply with the rules and regulations sustained by the UAE’s government. The UAE provides exceptional infrastructure, kind taxation laws, and supportive policies of business to empower the effective ecosystem in the nation. Although, you should understand the limits of your construction license to make sure that you do not go against any guidelines. The business specialists in Dubai assist you to understand what is good for you and what you need to avoid to operate a trouble-free construction company in Dubai.
- Manage Visas and Open a Corporate Bank Account
If you are a professional investor, you can receive an investor visa in Dubai easily. If not, you do not need to suffer. There are clear laws for the issuance of visas, and all you require to do is comply with them and file the application for your visa. You can get visas for your employees, family members, etc., based on your needs. When everything is complete, you need to open a business account for your construction company in the best banks according to your transactions and operations.
Essential Approvals Required to Setup a Construction Business in Dubai
Once you have obtained all the essential licenses, you require to obtain the following approvals from the governmental authorities to begin a construction company in Dubai.
- Dubai Electricity Authority – Approvals from these officials are needed to get the common facilities for the company.
- Drainage and Irrigation Department – This includes liquid waste management and other disposable services.
- Building Department and Dubai Civil Defense Authority – These departments keep an eye on whether the construction company is regulating according to the legal standards of construction or not.