The new investment law in the UAE

Invest in Dubai. In this article, we will review for you everything related to the new investment law in the Emirates. We will learn about the new investment law in the Emirates and discuss its implications and various aspects. The Emirates has recently become among the countries that attract investors through… Full support for them in all economic fields, and also through the enactment of new laws that provide foreign and Arab investors, as well as local investors, with all powers to make successful investments.

What is the importance of the new investment law in the UAE?

The new law offers many advantages that help in investing in Dubai by providing all sources of attraction to foreign and Arab investors, as well as local investors. The importance of the new law is due to several important points that it provides in a different way to support the economy, which are:

• The new law supports ownership rights for foreign investors.
• The project is fully supported by investment companies in the United Arab Emirates in some sectors of the economy.
• The new law allows the founder of the company to own 100 percent of it, which contributes to solving many of the problems facing investors that cause a disturbance in the company’s balance due to the lack of an ownership law.
• Lack of ownership of assets in companies at the end of 2019 reached 49 percent.
• The new law applies only to strategic sectors so far until further details emerge.

Consequences of implementing the new investment law in the UAE :

The new law, if fully implemented, will produce many results, which are the results that all investors aspire to when thinking about the obstacles they may face when thinking about how to invest in Dubai. Here are some of those effective results:

In many of the free zones that greatly support investment in Dubai and are also one of the largest economic pillars that the UAE in general and Dubai in particular rely on for investment pillars, the new law provides the right to own property in those free zones that include thousands of companies operating in various fields. Economy.

The free zone in Dubai is considered a role model in stimulating the economy and also greatly supporting investors through its high ability to adapt to the new law and the ability to give the greatest opportunities to investors in accordance with what is approved by the new investment law and facilitating the establishment of a commercial license in Dubai.

The role of the new investment law in attracting investments :

The new investment law has been postponed for long periods, and the time has come for it to be launched on an expanded basis in order to contribute to the significant progress of foreign investment, as it prepares the country for a new phase of economic prosperity and rising economic growth.

In order to support foreign investments, the state has decided to pump more than 20 billion dollars in the coming period, which is an amount much greater than what was provided in the previous period, as it previously reached a maximum of 11 billion dollars, which makes the UAE now among the countries that are heading… Investors come from everywhere.

Although the UAE occupies a high position among the economically developed countries in the world, the UAE is seeking further progress as it is now included in the list of the 10 most attractive countries for investment in the world as it is a fertile environment for foreign direct investment.

According to the new law, the state facilitates the conditions for establishing a company in the Gulf through the Joint Gulf States Law.

Foreigners owning companies in the Emirates is legalized, which makes it easier for investors to conduct all stages of investment in Dubai smoothly without the complications they faced in the past, which helps attract foreign investors from various countries of the world, and also works to benefit from the UAE’s distinctive geographical location, which makes The UAE is the first destination for investment in the Middle East and the Arab world.

Investment costs in Dubai

Investment costs in Dubai are calculated by conducting a study of any specific project, depending on the activity or field that you have chosen. The value of investment costs in Dubai is determined, and also according to the extent of expansion in the field, as the costs differ whether they are small projects, for shops, etc. Likewise, indicate whether the investment idea is to establish a factory or a company. Also, you can establish a company in Dubai at the lowest costs by contributing to already established companies.

Conditions for establishing a company in Dubai

The UAE is working to facilitate all ways of investing in Dubai through the new investment law, as it makes the conditions for establishing a company in Dubai simple and uncomplicated, so invest in Dubai through several important steps that must be followed to fulfill the conditions for establishing a company in the free zone in particular or in Dubai. in general:

Determine the activity:

• The first step to start investing in Dubai is to determine your activity, and it also depends on you choosing the activity that is appropriate for the location and also that the activity is within the needs of the population consuming the product in the location you have chosen and the activity that has been identified.

commercial register:

• It is the second step, where in this step you can determine the trade name of the company that you are establishing and based on that you begin to start it, as you must fulfill all the requirements of the Department of Economic Development in order to be able to obtain approval to register your company, and there are some conditions in order to obtain the approval of the Department of Economic Development. On commercial registration, they are:

1. The trade name you have chosen must not violate public taste and must not contain inappropriate phrases or words.
2. The legal form of the company must be linked to the trade name.
3. The company name must not be registered by another company.
4. Also, the trade name must reflect the product or activity it offers.
5. The trade name must be free of the word “God” or “the Lord” or any of the beautiful names of God.
6. The trade name must not include any name of government institutions or political slogans.

Initial approval:

• You must initially obtain approval from the General Administration of Residency and Foreigners Affairs, and then we will move to initial approval from the rest of the relevant bodies.

Locate the company:

• It is necessary for a company to be established in Dubai for foreigners to have a fixed location and a legal headquarters in Dubai in particular or in the Emirates in general, as this requires you to obtain a documented lease contract from the Dubai Real Estate Regulatory Authority.
• Approval of the relevant authorities in the company: such as transportation authorities, as well as the authorities responsible for insurance in the company, as well as legal consultations.
• Pay the cost of a business license in the Dubai Free Zone.

Advantages of investing in the Emirates

Investing in the United Arab Emirates has many advantages. Here are some:

1. Advanced business environment: The UAE has a modern and advanced business environment, as there are many free zones and economic cities that provide advanced infrastructure and high-quality facilities. There are also simple procedures for establishing companies and facilitating business.
2. Political and economic stability: The UAE enjoys a high level of political and economic stability, making it a preferred destination for investors. The government adopts favorable investment policies and seeks to encourage foreign investment by providing incentives, tax exemptions, and protecting intellectual property rights.
3. Strategic location: The UAE occupies a strategic location as it is an intersection between East and West. It has a developed transportation network and excellent logistical facilities, which facilitates access to global markets and distributes products efficiently.
4. Economic Diversity: The UAE is characterized by wide economic diversity, as there are investment opportunities in various sectors such as oil and gas, tourism, real estate, trade, technology and innovation, education, and financial services. This provides multiple options for investors to take advantage of the available economic opportunities.
5. Educated Workforce: The UAE provides an educated, multinational workforce, with access to global talent. Workers have skills and experience in various fields, which supports business continuity and innovation in companies.
6. Financial incentives and benefits: The UAE government provides financial incentives and benefits to investors, such as tax exemptions, financial aid, concessional financing, credit insurance, and government support to finance investment projects.
7. Social and cultural stability: The UAE is considered one of the places that enjoy social and cultural stability. Diverse communities of different cultures and nationalities coexist in peace and respect. This provides a multicultural environment and opportunities for cooperation, commercial and educational exchange.

In the end, we have reviewed for you everything related to the new investment law in the Emirates, how to establish a company in Dubai, and also the costs of investing in Dubai.