If there is any country where retail business is flourishing then it is the United Arab Emirates. Business analysis is showing that the retail business in the United Arab Emirates will witness nearly 5% growth in the next five years. Which is a huge opportunity for retail businessmen.You can also visit this page for best Dubai retail recruiting.
If you are someone who wants to utilize this opportunity, then in this article I’ll tell you how you can start a retail business in the United Arab Emirates and become successful. Or else, you can visit this page for best Dubai retail recruiting.
First, let us see what are the different options available in UAE for retail businesses.
There are mainly two options available in the UAE for retail business.
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Retain shop in non acquired places:
There are plenty of free places available in the UAE. Dubai govt offers these free places to business visitors to create shops for retailing. Hence, you can purchase these free lands and establish your retail shop in your desired location.
These non acquired places are very high in demand as several investors show interest in purchasing them and creating industries to facilitate their international trade. That’s why these places give assurance of footfall.
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Retail shop in the mainland:
The mainland in Dubai is considered the ideal place to open a retail shop. Try to build your retail shop in the mainland as they are the most lucrative place to start a retail business.
After finding the ideal location for your retail shop, some steps need to be followed chronologically to create a successful retail business in the United Arab Emirates.
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Find local sponsorship and register your business:
As there are huge demands of land, the prices are usually very high. So try to find sponsors or investors for the retail shop as this is also a type of business. But make sure you hold at least 51% of the share or else you will lose ownership. And the second task is to get your retail business registered by all the authorities to avoid any future inquiries.
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Document submission and trade license approval:
To open a retail shop from scratch there are many strict rules that you need to maintain. You need to prepare some documents regarding your retail shop and submit them in time to the relevant government authorities.
After registering your business in DED, you will get approval from your Ejari. If everything goes right, you will get clearance from the ministry of economy UAE and other govt authorities.
Make sure the type of license matches your business products and activities. DED offers a list of more than 2100 activities from where you can choose.
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Completion of trade license and other registrations:
Before starting the retail business make sure your trade license is approved. Also, complete obtaining required certificates from their respective authorities. In the end, the DED or Department of Economic Development issues the permission of setting up a retail shop/business. Make sure you visit this page for best Dubai retail recruiting for more information.
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Completely aware of the jurisdiction:
Dubai is one of the most strict countries for regulating business activities. There are many jurisdictions that you need to follow to set up a new retail shop. Policies and regulations change depending upon the jurisdiction. So make sure you have a complete understanding of the overall process. Because you may require to explain your shareholding arrangements to the higher authorities.
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Permission for getting the shop:
You will require different sets of permission from the Dubai municipality and other associated authorities to take shops on lease or purchase in the Dubai mainland. Make sure you have that as well before starting your retail shop.
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Laws of Hiring employees:
It depends on your license type and visa quota on how many employees you can hire. As per your retail license, you can hire an operations manager who will supervise your shop and take care of different business operations.
There are some areas that you need to focus on before starting your retail shop. They are discussed below.
- A solid and accurate business plan is very necessary before starting a retail shop.
- If you are starting your retail business on loan, then it is better to overestimate the expenses. Because any sudden requirement of funds can rise anytime. So, it is better to be prepared in advance.
Different categories of a retail shop have no fixed amount. Like rent of the store, equipment, and other technologies, interior designing, advertisement, the cost of these things vary.
Final thoughts:
Starting a retail business in the United Arab Emirates may seem costly in the beginning but it is a profitable business. The target audience of these retail businesses is business visitors, tourists, travelers, local customers, etc. If you manage to get their attention, then nothing can stop your retail shop from growing. You can also visit this page for best Dubai retail recruiting.