In Dubai, e-commerce has become quite popular with most people choosing to purchase online products. In addition, SMEs working as stores in Dubai are urged to build internet presences to boost their earnings.
In relation to the increasing use of smartphones, the easy availability of the Internet facility has helped boost the development of the e-commerce sector. Clothing, furniture and other accessories shopping online is a trend these days.
It should not come as a surprise that in every corner of the globe the e-commerce industry is booming. E-commerce makes things simpler for a person as it’s not time consuming, and with an internet access, one can shop anything online with a simple click of a button. Your business can reach a wider crowd with it. For instance, if you set up a store in your country’s local market, the target audience for your company is restricted, but in case of e-commerce, the organization can reach an extended pool of users due to broader target market with no barriers.
Key benefits of e-commerce in Dubai
Entrepreneurs, starting an online business in one of the free zones of Dubai, UAE gets some pleasing benefits:
- There are no taxes and fees (except for VAT of 5%);
- There are no restrictions on the withdrawal of capital and no currency restrictions;
- The possibility of 100% ownership of a foreign company in one of the free zones;
- Operating expenses are lower than in other jurisdictions.
- No import/export duties with e-commerce license.
- The possibility of obtaining a resident visa of the UAE for three years with the possibility of renewal.
How to Obtain an E-Commerce License in Dubai?
1) To form a web-based company, you will need a License from the Department of Economic Development (DED).
2) If you are looking to setup within a free zone, the license will have to be acquired from the relevant free zone authority.
3) The type of license issued will depend on the nature of your online business.
Requirements to set up an online store in Dubai
Up to this point, there are no specific requirements to create an online shop in Dubai. Foreign entrepreneurs can set up businesses on Dubai’s mainland or one of the free zones where they can sell different kinds of products or services. One thing should not be forgotten: the registration procedure with the Department of Economic Development of Dubai must be finalized.
Registering a domain name
1) You will need to choose and register a domain name.
2) This is the name or address you use for your website (often the company’s name).
3) A number of companies in the UAE offer domain name registration services. In order to acquire you can search it out on Google which is the best one available.