We are often approached by clients who have been able to register a company on their own, but have encountered difficulties in opening a bank account or scaling up. During the audit, we often find that the type of legal entity or place of registration was chosen on the advice of acquaintances.

It is important to remember that the requirements for companies in Dubai can change. Recommendations from friends are useful if they are aware not only of the latest relevant changes but also of the nuances of the law.

We advise you to take the opinions of friends into account, but do not forget to consult professionals who can point out subtleties that are not always obvious.

Opening a company in Dubai is all about choosing the right jurisdiction. If done correctly, it will be easy to open a company bank account.

The process of opening bank accounts for foreign companies is becoming more complicated all over the world, and the UAE is no exception. Some banks now refuse to open corporate accounts for companies registered in certain jurisdictions. As a result, if a new company fails to open a bank account, it will be rendered useless.

Check everything thoroughly before you commit and make sure you have the right banking solutions for your business.

Choosing the wrong activity when applying for a business licence is another of the most common mistakes made by investors. There are more than 2,000 different business activities available in the Emirates, each of which requires an appropriate licence.

If you choose the wrong licence initially, you will have to make changes. The cost of such a mistake depends on which free zone your company is registered in, and can be significant.

Opening a business in the Emirates means having a real office for localised companies. Entrepreneurs often make the mistake of choosing cheap and poor quality offices in unattractive areas or, even more unacceptable, entering into fictitious leases.

This cost-cutting approach can have serious consequences for the investor. The lack of a clear and functional business management centre can lead to difficulties in opening bank accounts (or even the closure of existing ones), as well as problems with migration services.

Starting a business in Dubai on your own is possible, although quite difficult. Even minor mistakes and typos in filling out documents or insufficient information can lead to significant delays and additional costs. Moreover, the presence of deficiencies in the documentation may cause suspicion on the part of banks and regulatory authorities, which, in turn, may lead to additional inspections and complicate the registration process. Therefore, it is important to prepare thoroughly and, if necessary, seek help from specialists to avoid unpleasant situations and time delays, as well as to ensure a successful start of the business.

Opening a bank account in Dubai requires you to gather and provide the bank with complete information about your business, financial status and overseas assets. This information is necessary to assess the company and its owner as a reliable customer. In the UAE, KYC compliance is monitored with utmost rigor.

Some entrepreneurs try to provide inaccurate or incomplete information about themselves and their business. This may negatively affect their credibility with regulators, which in turn will limit their ability to do business.

It is also important to take into account that information on counterparties must be carefully checked. The list of counterparties should not include companies or persons who are under sanctions or who violate UAE laws. This can lead to blocking of bank accounts and stopping of transactions.

StableGrowz, the №1 business consultant in Dubai, is ready to help you! We accompany our clients at every stage: from company registration and obtaining a resident visa to opening a bank account. Book free consultation right now and we will help you start your company as fast as possible!

Contacts

United Arab Emirates, Dubai, Barsha Heights, I-Rise Tower, 29th Floor, Office 5