UAE is a land of opportunity where many large and small corporations enjoy numerous business facilities. The government of UAE ensures that business people and investors are always satisfied with their policies. What makes UAE most suitable to start a business is the public diversity. It is one of the only places where more than 80% of people are foreigners. Therefore, I decided to write a business guide for those planning to start a business in UAE.
Why choose UAE?
Mohamed Dekkak Chairman and Founder of Adgeco Group says, there are countless opportunities that only UAE can provide to aid your business. It has the perfect climate that makes every day a success. Moreover, the accepting atmosphere of the UAE is capable of digesting any business idea that you come up with. There are two laws, two constitutions enforced in the UAE, one for the Muslim locals and foreigners. This policy makes a living in the UAE suitable for everyone regardless of their origin, religion, and nature.
Secondly, the business climate that UAE’s government has made through their corporate-friendly policies makes UAE heaven for startups. You can start a business of any nature in UAE as long as it complies with its business policies and doesn’t affect human health. That being said, all you need to start a business in the UAE is a shocking idea, investment, and the right contacts.
Gone are the days when the UAE was only suitable for oil and gas industries. In the starting days of UAE, the only business that bloomed in the region was either related to oil or residential buildings. However, it all changed when UAE opened its doors for foreign investments, skyscrapers, and tourism. The UAE’s economy has increased to the point that oil now contributes 5% to UAE’s annual budget.
There are many fields in which you can start up your business in the UAE. However, whatever you choose, make sure you are passionate enough and only meet with the right contacts. UAE is home to over 9.543 million foreigners. You never know which person to trust. Therefore, it is best to only invest in a field you are familiar with. In this regard, you can help business counselors in UAE to help you start a business.
UAE is a hub for people gathering from all over the world. Millions of tourists from all over the globe travel to Dubai to spend their vacations. Every individual has a taste preference. Thus it takes a large number of restaurants to satisfy so many tourists. In this regard, if you are planning to open a restaurant, the first thing you should consider is the restaurant’s theme. As the public of UAE is diverse, you can think of introducing cuisines from anywhere in the world. Your idea must be compelling enough to establish a loyal customer base and to attract more tourists.
The first thing that makes any business successful is the targeted audience. For instance, you can choose to serve Desi foods or African foods to attract tourists from those countries. On the other hand, if you have the resources, it is not bad to establish a place for the general customers. For instance, if you want to serve everyone that comes your way, your menu should include a dish for everyone. The menu cards for such places often consist of several pages dedicated to specific regions of the world; Arab, Asian, Continental, BBQ, America, European, etc. Such restaurants are often considered luxurious, and the customers are ready to pay hefty bills.
The second-largest market in the UAE is the real estate sector. People working in this market are often very rich and can buy whatever they find profitable. If you have any experience in property dealerships or construction, real estate is the best market for you. As you know, UAE earns most of its economy from tourism. There is a trend among rich foreigners to buy a vocational home in the UAE. In this regard, the real estate market is thriving with fast-growing industrial, residential, aviation, and commercial projects.
Secondly, most of the businessmen in the UAE are foreigners or expats. The general trend for such individuals is that first, they come alone from their country. They start a business and find a rental place to live. Once the business becomes successful, they buy a bigger place and call their families. The real estate sector benefits from expats by providing them with a building for their business and a residential rental apartment. Afterward, the same individual spends, even more, to buy a home for his family and a bigger building to expand his business. As a result, 86% of UAE’s wealthiest people directly or indirectly relate to the real estate market.
Mohamed Dekkak also said that the courier business is the second-largest chain in the business world after manufacturing. According to experts, courier services are bound to become the largest industry in the world. People love getting their goods delivered directly to their doorsteps. The list of deliverable goods is increasing by the day as more and more businesses are starting their online stores. Moreover, foreigners also use courier services to send parcels to their families back in their home country.
Secondly, the pandemic Covid-19 has also increased the online business by a margin of 70%. It is because only online stores were still functional even during lockdowns. The only way to deliver shopping goods from the warehouse to the customer’s doorstep is to use a courier service. Furthermore, future cities like Neom have also introduced drone courier services. It means that whatever the future brings, there will surely be a place for courier services. Therefore, if you have the money, contacts, and workforce, now is the time to start your own courier business in the UAE.
The one thing that will never become old-fashioned in the UAE is landscaping. UAE is a country with an abundance of land, but unfortunately, most of it is barren. Therefore, the people of the UAE appreciate agriculture and make full use of fertile soil. Moreover, the government of the UAE has started multiple projects to promote greenery throughout the UAE desert by using modern technology.
Secondly, most of the new housing societies in the UAE come with a home garden. The residents of these houses appreciate their garden and make sure to keep it well-maintained. However, not everyone has the time to trim, cut, and landscape their garden regularly. Therefore, most UAE citizens hire a professional landscaper to maintain their beloved garden while they are away doing business. If you have any experience in gardening, trimming, and landscaping, no business is more suitable than opening a landscaping company in UAE, Mohamed Dekkak added.
There is an increased demand for security guards and automatic security systems in the UAE. Many multinational firms are moving their headquarters to UAE, especially to Dubai, to access both the eastern and western sides of the world. As a result, they require help from professionals to keep their properties safe from all sorts of potential damage. Furthermore, there is a race among corporations about who has the most powerful security system.
A security system consists of humans and machines. Some companies have even gone to allocate special robotic guards in their buildings as well. Most of the owners of security firms in the UAE are retired army personnel from different countries. They have the experience and training to hire and educate their employees as security guards. If you have an army background, there is no better place for you than opening a security agency in the UAE.
The largest and most revenue-generating industry of the UAE is the hotel. There are numerous hotels spread throughout the UAE, with hundreds of floors and penthouses. However, many tourists still have to rent residential apartments or even sleep in camps because they can’t find a hotel room. It means that despite being such a densely populated market, there is still great potential for hoteling in Dubai, Abu Dhabi, and the rest of the UAE.
UAE is a hub for international tourists, business people, and other individuals seeking pleasure. The international Airports of Dubai are one of the busiest in the whole world. These incoming flights bring numerous homeless people to the UAE. To accommodate these individuals, you need hundreds and thousands of hotel rooms that hotels in the UAE fail to provide cumulatively.
Types of Hotel guests:
There are three kinds of people who stay at hotels. The first and most common are the tourists. These tourists fly from a thousand miles away to spend at least a fortnight in the UAE. Therefore, if you provide a hotel room to a tourist, it means it will remain booked for the rest of the week. The second type is the businessmen who travel to the UAE to attend their meetings. These individuals are wealthy and prefer to stay in luxurious hotel rooms. It means that the amount you will earn from businessmen’s two-night stay will equal the tourist’s seven-day stay. The final and least preferable type of hotel guests are the new immigrant families. These types of customers tend to stay for one or two days in the most economical room of your hotel.
The type of business that you start also depends on your goals. If you are looking for a long-term business that will stay forever, you will find yourself in the retail sector. It is an ever-growing industry that will never face a downfall anytime soon. The profits in the retail market are not as high as manufacturing, but it is more on the safe side. For instance, if the price of a product goes up, your business will not be affected at all. The whole burden of the new price will fall on the customer. You can even make a higher profit by selling previously purchased goods at a reasonable price.
There are many fields in the retail market that you can choose as your business. One such example is the electronic goods retail store. Tourists in the UAE tend to buy bulks of electronic goods as gifts for their loved ones back home. Moreover, the rise in the gaming industry and the number of tournaments organized in the UAE make perfect grounds to establish an electronic good retail store in the UAE.
Similarly, you can also go to supermarkets and grocery stores. More and more people are settling in the UAE by the day. Most of them are coming for jobs and have families. Therefore, the increasing number of residential societies calls for more supermarkets to supply the public’s ever-increasing demand. Moreover, a retail supermarket is suitable for people with little to no technical experience. In short, if you are looking for an easy to establish, long-term business, your destination is no other than retail marketing in the UAE.
UAE hosts most of the official and unofficial events of underdeveloped countries. The contracts to organize such events are given to the event management companies in the UAE. Moreover, the upcoming FIFA 2022 is also scheduled to take place in the gulf. Therefore, the number of side-events will also increase in the UAE. If you enjoy parties and organizing them, no other business can be as enjoyable as event management.