Over the year’s technology and the pace of urbanization globally has accelerated and continues to affect infrastructure, social, economic and environmental structures.
Technology’s impact on today’s landscape continues to evolve. Technology and IT services influence how we work, live and play in this cosmopolitan country. Dubai and Abu Dhabi are the fastest growing cities globally.
Dubai prides itself as being one step ahead of the competition and looking for the next big technology revolution and smart city initiative. UAE government departments, Ministry offices, Ministry of Finance and Ministry of Foreign Affairs, Agencies and Municipalities are now adopting technology and IT services where possible, making all their systems and processes fully digitally integrated.
There are many opportunities for both start-ups and established businesses to expand or start an IT / technology company in Dubai and the UAE. Therefore, how can a company stand out from the crowd and how to get your Dubai company up and running in the quickest possible time? Here is our guide to starting an IT consultancy in Dubai and the UAE.
If you decide to setup an IT company in Dubai, you will need to establish the type of services your company will provide. Will your IT / technology company provide generalized services or specialized services?
Specialized service IT company
There are many opportunities to offer clients and companies specializing in IT services. Some areas of specialties may include but not limited to are:
Pros – If you decide to be specialized in an IT field, you can become well known as the expert and market leader for a certain technology or service. Therefore, you may be able to charge more per the hour, due to the demand for your services and have a thriving business.
Cons – being so specialized you could miss an opportunity to provide complementary services and revenue streams. Therefore, this may have an effect and slow down the growth and expansion of your business.
General IT service company
On the other hand, setting up a generalized IT service company with several service offerings, you will have a variety of clients.
Pro – providing generalized services will result in a wider client base. Nearly every business or person requires technical and IT services and support. Since you will be providing generalized services your business will need to remain updated on the latest industry changes and could learn more, seek opportunities and improve your business operations, resources and performance overall.
Cons – operating as a generalized technology / IT company you are competing with others in the market and often competing on price. Therefore, you may not be able to charge as much as a specialized IT company. Furthermore, it is essential that you keep up to date on the latest, technology and trends which can be time consuming, but will keep you in business.
Technology is the driving force when establishing an IT company in Dubai. Equally important is having the right staff as they are your most critical business asset. You need to ensure you have the right skilled team in place to do the job that is required. Employees need to have the required expertise and be able to cover all your business offerings to provide a good job servicing your clients.
It is recommended to choose a company name that completely describes what your business does. Your company name needs to be simple, straight to the point and easily searchable, which is essential in today’s digital landscape and search websites.
Deciding on the right type of business structure is essential. Selecting the right company structure will place the company in the best position operationally and financially. Not seeking the correct advice on the company structure and getting it wrong can be costly and restricting to the business overall.
At Creation we provide a holistic approach and evaluate the business entirely. We take into consideration all market entry requirements such as:
Once we have completed our detailed approach, we devise a detailed UAE and Dubai company setup structure. The main options are:
If a company provides IT/technology services and their clients are based in the mainland, the business is required to register as a mainland company. Company registration is completed with Dubai Economic Department. Most IT consulting type services are considered as a professional license and a local National Service Agent (NSA) is required.
7 steps for registering your mainland / onshore license
Benefits of a professional IT mainland / onshore license company
FREE ZONE LICENSE
Whereas, if a company provides IT/technology services and their clients are based outside of the UAE and the company has no desire to expand its client base to the UAE, the company has the option to register as a free zone IT consultancy firm. Company registration is complete with the selected free zone. There are over 50 free zone in the UAE, and some are specific to certain industries. The main IT/technology free zones located in Dubai are Dubai Internet City and Dubai Silicon Oasis. The industry specific IT/technology free zones are considerably more expensive than the general free zones located in the North Emirates.
7 steps for registering your free zone IT license company
Benefits of a professional mainland / onshore license
Creation ensures clients receive a seamless, cost effective and proficient entry to the GCC market. We provide clients with the foundations and best practices empowering them to build and control a successful business.
We continuously strive to exceed client’s expectations whilst making certain they are protected from undue risk at all times. Creation Business Consultants is the preferred and truly trusted business partners for the GCC.