Business Formation Basics: Getting It Right from the Start
The current era is at its heyday of business development. Every day we see a new growth giving birth to newer verticals and ideas previously undreamt of. Behind the inspiring figures that bring about a change is a list of simple steps commonly-followed by them all.
Let us take a look at 10 of the company formation basics that will thrust you into entrepreneurship, and make you a consummate businessperson:
Develop a business Idea
This step is harder than it actually sounds, because overseeing the entire development of a business idea and implementing requires extensive market research and resources. The research will involve analyzing relevant markets and identifying target audiences. Developing a business plan will also entail a great deal of brainstorming to shape the future of your business.
Write a business plan
Once you have solidified your business idea, you’ll have to indite it into the form of a business plan. This is a crucial step in your company formation in Dubai as it will be the first thing in your company that that will be formally manifested into a document.
The business plan of your company covers all the aspects of your company, such as what your company is about, the company’s mission and vision, services, business functions, products, revenue sources, customer service standards, etc.
Find funding
The next important part is deducing how much pecuniary resources you would need for your business, and how much you can gather. You can start by enumerating all financial resources you have, and collate them with the shortcomings. Once you deduce a ballpark figure of how much more would be needed, you can start looking into ways to finance your project by procuring funds from financing institutions, special funds, banks, and partnerships.
Adumbrating the marketing plan
At this stage, you might not really have to hire a digital marketing expert but will have to establish an online presence and develop a marketing strategy. You’d need to define your target audience and classify by age, gender, income level, educational level, etc. You must ask yourself the questions, “Who are they?” and “How would they benefit from my services?”
Decide on the marketing platforms and channels that you’d like to invest time and money on.
Deciding the legal structure
A Limited Liability Company (LLC) is one of the most common legal structures in the UAE that is adopted by small businesses and SMEs.
LLC companies are permitted to trade across the UAE and the GCC countries. They also have many advantages like no restrictions on real estate ownership, no minimum capital, etc.
Some of the other legal structures include civil companies, public sharing companies, sole proprietorships, branch and representative offices, shareholder companies, and free zone establishments.
Register your company name
Registering your company name is the first legal step in your business setup. In the UAE, there are many naming conventions that you must abide by, while selecting your company name. Some of those conventions forbid one from choosing a name that contains offensive words, criminal references, or blasphemous elements.
It would be greatly beneficial if your company name aligns with your company’s profile. You will then have to register the name at the Department of Economic Development (DED). Doing so reserves your company name and confers ownership rights to it.
Gather the paperwork
Company formation in Dubai is never a straightforward procedure, as each company has its unique company formation journey. Ensuring that you have all your documents in one file will make your job much more easier.
Find a business location
Selecting your company location is of paramount importance when setting up your business. Not only does your business location represent your brand, but it also defines your company’s accessibility, activities, and connectivity.
Mainland companies, in addition to flexible visa items, are permitted to not just trade locally, but also regionally.
Obtain a business license
If you’re setting up your business in Dubai, then you will need to get your business license from DED. If you’re carrying out business setup in Dubai free zone, then you will get the business license from the relevant free zone authority. After receiving your license, your business will become live.
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There couldn’t be a better time to establish your company in the prosperous Emirates than now! Start your business with our help today!
Cross Link International is one of the best business setup consultants in Dubai and will assist you in Trade Licenses, company formation, Business License renewal, PRO Services, Visa Services, free zone company formation, Golden Visa Procural, LLC company formation, Dubai Business Setup, 100% company mainland setup, and many more services that go into business setup. You can reach out to us through + 971 4321 6631 / + 971 55 744 6445 or fill-in this form to get a free consultation from us.
*Subject to company structure
