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Things to Know About Starting an E-Commerce Business-Setup in Dubai

Starting your own e-commerce business can certainly be fun for many entrepreneurs across the globe. Who knows, your business might be closest to Amazon, eBay, or Alibaba! However, before setting up a business in Dubai, there are a few things you need to know to ensure that you are set up properly. Starting a business requires careful consideration of the factors that can make or break your business.

When it comes to e-commerce business, consider the following: the product or service you want to sell; basic business plan; market analysis; and strategies for marketing and customer acquisition. Once done, you can begin the following steps required to set up and run an e-commerce business setup in Dubai.

Select the Right Business Structure

Determining your business structure is one of the most important steps in starting a new business in Dubai. This mainly depends on your activities and preferences (e.g. if you want 100% ownership or prefer local sponsors or partners). In the case of an e-commerce business, the ideal corporate structure is a limited liability company and a free trade area. Get advice from a business setup consultant advisor to determine the right structure for your e-commerce business.

Set-Up Business in the Right Jurisdiction

You can register your business in the free zone or on the mainland. However, it depends on the type of e-commerce you have. A mainland business license gives you the freedom to trade or sell your products and services directly in the local market. However, while registering your business in a free zone requires you to work with a local dealer. In addition, there are more than 30 Free Zones in Dubai. Each with full foreign ownership and opportunities for international trade. When choosing a jurisdiction, consider the factors that will be more beneficial to your business in terms of building market share and scalability.

Remember to Register Your Business Name

Choosing your company and brand name is an important step in building your brand and corporate identity. When registering, you need to provide some alternatives, if the name is already taken, and then submit a trademark protection file. Brand registration can protect your business and protect the investment you have made in your logo and brand name. This will also prevent other companies from using your brand or company name. Trademark registration in the UAE is maintained by the UAE Ministry of Commerce, the authorized agent for trademark registration, renewal, and cancellation.

Begin Your Online Presence

The most important aspect of your e-commerce business is your website as it is the platform where you will present your products or services. Your e-commerce website will also be very important to your digital marketing strategy. To create an attractive and profitable website, you need to make sure that it is user-friendly, secure, easy to navigate, and optimized for mobile use. In a previous study, Google found that more than fifty percent of mobile website visitors leave a web page if it takes longer than 3 seconds to load.

The next step is to determine what type of online payment processing gateway you can add to your website so that your business can collect payments digitally through a merchant account. You can also introduce your customers to various payment options, such as cash on delivery (cash on delivery).

Open a Corporate Business Bank Account

After successfully applying for an e-commerce license and setting up a business in Dubai, you will need to set up a corporate bank account. It will help you to manage and track your finances. It may be tempting to just use your bank account to avoid additional fees. However, it is important to note that the income from your business combined with your finances can be much more difficult to track.

It can also create confusion in determining your company’s tax liabilities and cash flows, which can lead to inaccurate bookkeeping. Now that you have a better idea of ​​the key aspects of starting an e-commerce business setup in Dubai. The next step is to get things set so you can get started with the help of a reputable business setup company.

Benefits You Get by Setting Up a Business in Dubai

There are many reasons why thousands of entrepreneurs around the world flock to the United Arab Emirates and Dubai to do business. They include:

Support for Startup

There are many funding initiatives at Emirates designed to accelerate business growth. The Mohammed Bin Rashid Innovation Fund, for example, helps fund innovation projects with AED 2 billion. In addition, offers expert advice and support in turning business ideas into reality. Many of the UAE’s free zones also include business incubators and venture capital forums. They are designed to help small businesses grow and find funding.

The United Arab Emirates government is also legally committing to awarding at least 10% of public contracts to small businesses every year. Dubai, meanwhile, recently unveiled plans to shorten the payment cycle for SMEs to increase liquidity and spur growth.

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