Dubai is developing into a major business destination for business people. The textile industry is one of the fastest-growing industries and has contributed specifically to large-scale employment opportunities as well. If you are an entrepreneur and want to know how to start a textile business setup in Dubai then you need to take a simple step is to consult with the Start Any Business consultants who will suggest you right path and provide you guidance on every step and make it easy and successful. Here we mentioned some important factors that you will have to understand for the textile business establishment.
The textile field is a flourishing industry that is growing rapidly and is highly beneficial. This has played an active role in setting up the economy of the country by permitting it to differentiate from an oil-based economy into a non-oil diversified economy. In addition, this has built massive employment possibilities for the masses. If you are a business person who is interested in or specializing in the textile industry, then you can choose a business establishment in its manufacturing department.
The Process for Textile Business Setup in Dubai
1. Decide Your Trade Name
You will have to choose an attractive name for your company, a name that directly presents the connection of your services or products, this is crucial to comply with the rules and regulations of a trading name specified by the government of the United Arab Emirates. The very crucial rule is that do not to utilize any controversial word in your business name. You cannot utilize any religious name. In case you decide to hold your company after the name of an individual, ensure that to utilize the full name, as specified in your passport. When you decided the name of your business, you need to register it in a legal manner.
2. Choose a Suitable Location
Choose a spot where you can allure the right public that may not assist you to capture the market right from the. If you select a location where your objective public can’t locate your warehouse or shop easily, this would backfire. Ensure that the location completes all the needs for your business. Once you decided on the location, remember to register it with the DLD.
3. Choose the Structure of your business
Each business has to choose a special structure or framework for its company. The next move is to how you wish to conduct your business and its legal unit. It would point you ahead with the right and necessary legal structure. You can establish your textile business as a Limited Liability Company with a single stakeholder or many partners. With the application of rules about overseas ownership, you no longer need a local sponsor. Now you can be 100% proprietor of your business in Dubai.
4. Submit Documents for Initial Approval
Once you have decided on the legal framework of your business, no you need to present all the required documents to the relevant legal department and authorities. They would inspect all the paperwork and if all looks well, you would receive the initial approval for establishing a textile business in Dubai. Then you can obtain your business license to run your business activity in a legal manner.
5. Obtain Your Business License
Getting a business license for your textile business in Dubai is the last step. Once the respective authorities sanction your license application and all the documents, the Dubai DED would issue your trade license. Department of Economic Development is the only agency hired by the government of the UAE to issue trade licenses.
Documents Required for Textile Business Setup in Dubai
The necessary documents required for textile business setup are given below:
• Copies of passport and visa of the owners and stakeholders
• Personal ID card of every stakeholder
• Trade name reservation proof
• Initial approval proof
• Memorandum of Association and Article of Association
• Lease contract
• Paid-up capital
Benefits of Textile Business Setup in Dubai
The major benefits of textile business setup in Dubai are:
1. Mass population
As we know that Dubai is the hotbed for international or national tourists. This is a home for overseas expatriates of over 200 nationalities with varying tastes. It serves as an advantage for the business people to target various markets and grow the business turnover.
2. Tax Benefit
When it comes to tax payment, business people feel a sense of relaxation by establishing their business in Dubai as it has a full tax exemption. Currently, the government has implemented VAT action that requires to be borne by the business units and is fixed at 5%. So, by setting up a textile business in Dubai, many tax advantages can delight you.
3. Full Repatriation
Multiple times the business people get stressed about the pay taxes and extra charges after the company’s liquidation. Well, Dubai permits the flexibility to run the required procedure with ease as the businessman can withdraw the complete profit earned and capital invested.