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Opening Online Business in the UAE: solutions and prospects

All over the world, the Emirates are considered a safe and promising platform to set up your online business - from a small-scale e-commerce site targeted at the Dubaian market to one serving a worldwide marketplace.
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UAE law created highly favorable conditions to successfully set up your online business there. Protection of investors, tax exemption, well-developed IT infrastructure, cutting-edge logistics solutions, purchasing power of the populace are all factors that account for the explosive growth of internet-based services and retail. SORP Group’s specialists will assist you in getting through all the licensing procedures and provide full support for your online business in the UAE.

Types of activities that best fit your online business in the UAE

E-commerce websites
Selling wholesale and retail products via an online platform, providing order fulfilment and packing services, and engaging with delivery and logistics companies for a full service
Marketplaces and aggregators
Trading sites and catalogues that combine numerous offers from various sellers and connect them with an online audience willing to purchase their goods or services
Booking services
Platforms for booking airline tickets, for entertainment events, car hire, all types of accommodation and travel, or making medical and other appointments online
Education and training
Tutoring services, consulting and advice in various fields, business training and courses, online workshops, webinars, conferences, and coaching, online classrooms and more
Payment Service Providers
Payment Service Provider (PSPs) deal with processing card payments for third parties via merchant accounts as well as online money transfers and other mechanisms
Cloud services
Solutions based on cloud technologies that include SaaS - cloud software applications, PaaS - computing platforms, IaaS - remote servers and data storage, and many more
In accordance with UAE law, it is possible to incorporate a company in one of the Free Economic Zones, located in different emirates of the country, or in the mainland (local) territory. The choice of location is determined by your business strategy and target audience. Incorporation of a mainland company provides you with an opportunity to do business without any restrictions, while a free-zone company may carry out its activities only in the free zone territory or abroad.
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Choosing a location for setting up your online
business in the UAE

Mainland company incorporation
  • Unlimited opportunities for doing business in any field of activity in the UAE and abroad.
  • Form of ownership is determined by the type of activities.
  • In case of Sole Establishment (sole proprietorship), an agreement with a local agent is signed. The agent has no part in the company.
  • Simplified visa procedures for shareholders and employees, possibility of tax resident status, a more favorable attitude on the part of UAE banks.
Free-Zone company incorporation
  • Onshore company with the possibility of operating inside zone or in international markets.
  • Free Zone Establishment (FZE) or Free Zone Company (FZC).
  • 100% foreign ownership with no local ownership requirements, some limitations in regard to the types of activities permitted in the UAE market.
  • Restricted to operate only within the Free Zone of incorporation but is free to conduct international operations on a global basis.
  • Residency visas can be issued for shareholders and employees of the company. Obliged to confirm economic substance in the UAE.

Licenses available for doing online business
in the UAE

Any business in the UAE requires a license. Your license is a business card for banks, institutions, trading and business partners all over the world, whereas, for the government, it’s a form of control over your company’s activities.

Web portal

A unique solution for marketplaces, online publishers, web aggregators, event guides or booking platforms

Trade license

Provided for each group of products - several trading activities can be combined in a Master Trade License

Consulting license

Permission to provide advice, consulting services and expertise in specialized fields to clients via the internet

Educational license

Needed to provide online training, workshops, any educational events, as well as tutoring and coaching

IT license

For online activity in IT: cloud software development and implementation or mobile applications, website design

SMM license

Unique business activity aimed at promoting goods and services to social media networks or communities

Payment Services Provider

Ppyment processing systems, including debit/credit card transactions, via mobile phones or payment terminals

Remote service desks

Range of business activities comprising the services of call-centers, data-centers, back-offices and online support
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The absence of corporate and income taxes together with the business-friendly policies of the UAE government encourage foreign investors to set up highly-profitable online businesses. SORP Group’s specialists will assess the field of activities you are interested in . Then provide high-quality advice and support at all stages of incorporation, obtaining the required approvals, and launching operations.

SORP’s expert solutions for runing an online business in the UAE

Designing your business model
We’ll choose a suitable license and select the most appropriate type of legal entity to meet your objectives
Incorporating your company
Fast incorporation of your business due to our long-standing relations with the UAE licensing authorities
Fast incorporation of your business due to our long-standing relations with the UAE licensing authorities
Administrative, accounting, tax, PRO and legal support provided by SORP specialists tailored to your business
Dubai registered business address
An office in SORP’s Business Center as your company’s address so as to obtain the necessary licences
Opening bank accounts
Close cooperation with UAE banks, assistance for KYC procedures and banking compliance requirements
Local partner or agent
Nominee service provided by SORP Investment LLC, with surrender of rights granted by the Dubai court

Success factors for your online business
in the UAE

A UAE business license allows your business to operate not only in the Emirates but also across the other 5 countries of the Gulf
Cooperation Council. Due to GAFTA (Greater Arab Free Trade Area) this bloc operates a unified customs policy, exempt from
customs duties, taxes and levies.

The UAE is a leader in the
fast-growing online sector

Online sales volume per year

Online sales volume per year

$147.3 bn

Foreign investments in the UAE in 2019

Rank 24

Present position in the world’s welfare ranking

Average value of
an online purchase
Average value of an online purchase
Global growth of
online store sales
Global growth of online store sales
E-commerce share of
total retail sales
E-commerce share of total retail sales
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