A Member Firm of Andersen Global

Contact Us
IMC Logo

Blog

8 Reasons Why Companies in Bahrain Should Outsource Company Secretarial Services
  • Article, Bahrain

8 Reasons Why Companies in Bahrain Should Outsource Company Secretarial Services

Introduction

As Bahrain puts great strides to diversify and develop its non-oil economy, the government is actively pursuing various amendments to certain provisions of the Bahrain Commercial Companies Law (BCCL) as part of the country’s ongoing efforts to develop its compliance and regulatory frameworks in line with international best practices.

In the light of recent economic developments and changing business landscape in the world, the stakeholders of companies are getting overly concerned with the conduct of affairs of their companies and looking for increased control and monitoring of regulatory compliance. As Bahrain is laying out more regulatory requirements at the feet of company secretaries, their functions are becoming extremely vital for the long-term growth and sustainability of business organisations.

With the increased focus on corporate governance by the Ministry of Industry and Commerce (MOIC) Bahrain, the role of the company secretary has been expanded to include its function as the custodian of the company’s compliance with legislative requirements for avoiding legal procedures.

As soon as a new company formation in Bahrain is initiated, the government recommends the implementation of professional company secretary services in advance for streamlining bookkeeping and accounting processes for appropriate record-keeping and timely compliance of regulatory protocols.

What is the role of a company secretary?

The company secretary is responsible for ensuring compliance with company law, maintaining certain statutory registers and making the necessary filings with the Registrar of Companies including annual returns, financial statements and any changes in share capital.

In reality, the role of the company secretaries has gone much beyond the basic statutory requirements and the added responsibility of improving corporate governance through system and process development has now fallen on their lap. The chairperson and the board directors are also constantly looking up to them for skills, expertise and technology in this area. Periodic reviews of corporate governance policies with recommendations for improvements is also their responsibility.

Another critical role that the company secretary has is communicating with external stakeholders. They are also the first point of contact for investor queries.

Why outsourcing of company secretarial services is beneficial for companies?

In Bahrain, the company secretary function is one of the most vital elements in business and mandatory to address the regulatory requirements in the company’s legal, financial and corporate governance perspective.

Collaborating with professional experts facilitates achieving the ultimate organisational objective of business sustenance and growth with continued regulatory compliance on all business fronts. Following are the benefits of outsourcing company secretary services in Bahrain.

Cost Advantage

As foreign investment grows with a greater number of business establishments in Bahrain, so does the demand for skilled and professional company Secretaries. Hiring employees for company secretary functions is not only difficult but expensive too and generally involves lots of training and skill development programs that push the employee cost even higher. Besides, there are recruitment and employee retention costs as well and again increases the fixed employee overheads. Furthermore, a doubt always remains about the quality of service that the employees will deliver.

Outsourcing Company secretary services, on the other hand, is a one-time cost and saves time and other resources of setting up an in-house facility.  Professional service charges of company secretary service providers are much less than the employment and maintenance cost of the internal Corporate Secretarial Team and translate to considerable cost savings.

Savings in Time and Efforts

When a company secretarial service is outsourced, it generally cuts back huge time and efforts on recruitment, employee engagement, training and development. The time saved can be utilised more productively in other business pursuits including strategic planning, operating cost optimization etc. The responsibility of training and development of internal staff generally lies with the service provider.

Improved Investor Confidence

The external service providers ensure the most accurate and reliable financial statements of the company that improves clarity and confidence about the financial future of the business and in turn, facilitate investment decisions of potential investors. As corporate governance improves, the board takes smart and strategic decisions for value unlocking and attracts more investments.

Wide Range of Services

Company secretarial service providers generally offer packaged services with several options that can be selectively chosen by the companies as per their needs. Accounting services in Bahrain are often the most lucrative options and can help companies grow in several ways.

Earlier Access to Legal Updates

Company secretarial service providers because of their profession keep a closer track of all business and company-related legal updates and provide businesses with early information on any inclusion and amendment in government regulations.

Improved Goodwill

Company secretarial services focus on improving the corporate governance of the company. Once implemented with the right spirit with the help of expert professional service providers, the company’s goodwill in the market is significantly boosted opening avenues for future business growth.

Access to advanced technologies

Company Secretarial service providers generally use the latest technology and software to accomplish their job. Once a company hires such service providers, it can benefit from the latest and updated high tech software available with the agency without incurring costs on procurement, installation and maintenance.

Risk Mitigation

Risk mitigation is the essence of company secretarial services outsourcing and primarily because these agencies have a team of expert and seasoned professionals who can identify anomalies and non-compliance in the system and processes at the earliest and can take quick corrective and preventive actions for avoiding legal actions and penalties. They are committed to their planned schedules and normally have high standards of reliability. Some of them are industry veterans and work with clients from diverse fields and enjoy better PR with government agencies and officials. They are more receptive to any impounding threats and can take prompt and most appropriate countermeasures.

Takeaway

Before outsourcing company secretarial services in Bahrain, you need to find out one of the best corporate secretarial services providers primarily operating in your field of business and one with a high reputation and success rate. The service provider needs to be affordable and must have team members with high levels of professional qualifications. You also need to choose a firm that has a base in Bahrain and possess good knowledge and information on local laws.
 

Read More

Single Family Office in Dubai
  • Article, U.A.E

Advantages and Disadvantages of Outsourcing PRO Services in Dubai

Dubai is one of the world’s most prosperous economies. As such, it is natural that business owners and entrepreneurs from around the world would like to set up shop in this flourishing city. Now, any business owner in Dubai needs the help of a professional PRO. PRO is an abbreviation for ‘public relations officer’. A PRO helps your business with all the required government approval, documentation, and legal compliance required for the business. Given the importance of a PRO, it is essential to choose nothing but the best PRO services in Dubai for your company.

A good way to find the right PRO service company is by outsourcing this requirement. However, many people wonder whether outsourcing PRO services is a good idea or not. To help you arrive at the correct conclusion, we have listed down the advantages and disadvantages of outsourcing PRO services in Dubai. Let’s take a look –

Advantages of outsourcing PRO services

Here are the advantages of outsourcing professional PRO services –

  • Receive professional guidance

The biggest and most important benefit of outsourcing PRO services is that you get access to the best professional guidance. You can choose a knowledgeable PRO service provider that enjoys a good reputation in Dubai. They will help you informed of all the latest regulations so that you are always on track.

  • Saves on time

As a business owner, the one thing you may be short on is time. You have meetings to attend, staff to manage, and clients to talk to. A professional PRO can help save you time on all the paperwork and regulations you need to keep up with. This can give you great peace of mind.

  • End-to-end service

The best PRO service will pick up the paperwork and documentation right from your office and deliver it where it needs to go. As a business owner, you would not need to worry about making the visits yourself.

  • Leaves you free to focus on work

With your PRO needs getting managed by experts, you are left free to focus on what really matters…growing your business in Dubai. You don’t need to worry about keeping track of the latest government rules, documentation, and permits for your business as you have professionals to manage all this for you. Plus, you save yourself from unnecessary fines.

Disadvantages of outsourcing PRO services

Now, let’s look at the downside of outsourcing professional PRO services –

  • Costs involved

Hiring a professional PRO will cost you, no doubt. However, the advantages of hiring these professional services outweigh the costs. You receive complete assistance from professionals who know what they are doing and who will guide you every step of the way. Plus, if you had to hire a PRO on staff, you would probably have to spend a lot on salary and benefits. Outsourcing can prove to be much cheaper, especially for a startup.

  • Concern about quality

When it comes to outsourcing, you may worry about the quality of the PRO service provider. However, if you choose a good service provider known for their excellence in service, you can rest assured that you are in good hands. A good PRO service provider will give you all the information and receipts you need so that you stay informed every step of the way.

As we can see, the advantages of hiring professional PRO services are definitely worth their weight in gold. To know more about PRO services in Dubai, get in touch with us at IMC Group. We provide professional services including company formation in Dubai and PRO services such as yearly license renewal, regulatory approvals and NOC letters, immigration and labour cards, corporate bank account opening, copyright and trademark, and much more.

Read More

What are the Business Opportunities Singapore provides to Canadian Investors? Why Choose Singapore?
  • Article, Singapore

What are the Business Opportunities Singapore provides to Canadian Investors? Why Choose Singapore?

Singapore has been consistently ranked by International Organisations as one of the most preferred countries in the world for the ease of doing business and business competitiveness. In 2020, the World Bank Group rated Singapore as the second-best country in the world in its “Ease of Doing Business” survey of 190 economies and the International Institute for Management Development (IMD) placed Singapore at the top in its World Competitiveness Yearbook (WCY) after evaluating 63 countries on 338 indicators. The island city-state has been widely recognized globally for its pro-business policies such as low tax rates and no restrictions on capital and profits over the last several decades.

The sovereign nation is strategically located in maritime Southeast Asia and is considered to be the gateway to this subcontinent. It is a robust economy with a high standard of living and excellent quality of life. The country has a well-developed financial system and efficient processes for incorporating and operating a business.

Economically and politically stable, Singapore has an efficient and effective government that is free of bureaucracy and red-tapism The country also boasts world-class infrastructure facilities, a highly productive skilled workforce and a hugely developed banking and financial system including a capital market.

How is Singapore Canada business relationship?

Since the time of its independence in 1965, Singapore enjoyed very cordial and wide-ranging bilateral relations with Canada, which was one of the first countries to establish diplomatic ties with the country. Now it is one of the most important partners of Canada in Southeast Asia and enjoys strong ties in trade, education, science & technology, security & defence etc. that are mutually beneficial for economic sustainability and social progress.

Both the Countries have entered into several agreements including Trade and investment agreements, the World Trade Organization (WTO) Agreement on Trade Facilitation (TFA) Information Technology Agreement (ITA), Government Procurement Agreement ( GPA), Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS),  Agreement on Trade-related Investment Measures (TRIMS), General Agreement on Tariffs and Trade 1994 (GATT) and General Agreement on Trade in Services (GATS).

 

Canadian investors and companies regard Singapore as a strong financial hub for future economic and business growth in the Asia-Pacific region and made it their second home. Most of Canada’s top financial institutions and some 200 Canadian firms have operations in Singapore. The country has attracted Canadian businesses of all sizes and belonging to multiple sectors, from SMEs to large corporations, and especially technology-savvy start-ups in greater numbers.

Singapore-Canada Double Taxation Agreement was first signed in 1976 to improve economic cooperation and provide advantageous tax conditions to both Canadian and Singapore companies and later amended in 2011 and 2012. A tax allowance is granted against the tax paid in the other contracting state to prevent double taxation and applies to both Singaporean and Canadian individuals and companies. Any tax falling under double taxation may be levied in one of the two states as stipulated in the agreement, exception being the income from the sale of real estate, which is taxed in the country where the property is situated and employment income, which is taxed in the country where the services are rendered.

The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) was entered into force on December 30, 2018, between Canada and Singapore including six other countries following which trade between the two countries has improved and barriers reduced. Through the CPTPP, Canada can now preferentially access some of the world’s most dynamic and fast-growing markets, strengthening Canadian businesses and economy. The import tariffs have also been eliminated to an extent as high as 99%.

What opportunities does Singapore offer to Canadian investors?

Singapore has a simple and easy single-tier corporate tax system with one of the most attractive corporate tax rates of 17%. Besides lower rates, the country provides numerous tax incentives and cash grants to help businesses grow, thus bringing the effective tax rates even lower.

Business entities in Singapore are eligible for various business and tax incentives subject to committing to certain levels of investments, introducing leading-edge skills, technology and contributing to the growth of R&D and business innovativeness.

In Singapore, the four main government agencies are normally responsible for administering business and tax incentives for Singaporean entities and include the following: – (Details of Sector-specific incentives are available on the individual websites of these agencies).

Singapore Economic Development Board (EDB) is responsible for developing and executing strategies for attracting FDI into the country.

The Inland Revenue Authority of Singapore (IRAS) is the tax regulatory authority in the country.

Enterprise Singapore (ESG) assists Singapore based companies to expand globally and promote local exports.

The Monetary Authority of Singapore (MAS) is the central bank and financial services authority.

Some of the industries eligible for tax incentives are Banks & Financial services,

Shipping, R&D, International trading, Insurance, Processing services; Tourism, Headquarters activities; E- commerce and Legal firms.

The most widely availed incentive schemes include Start-Up Tax Exemption Scheme (SUTE), Pioneer Tax Incentive (PTI), Intellectual Property Development Incentive (IDI), Maritime Sector Incentive (MSI) etc. However, given the range of diverse tax incentives, Canadian investors must consult professionally qualified and well-reputed tax and accounting services in Singapore to determine the most appropriate incentives applicable for their businesses.

On top of tax incentives, Singapore provides numerous business grants and financing schemes to the Canadian companies operating in Singapore and there are more than 100 government grants available for supporting businesses.

For Startups, the following grants can be availed by Canadian businesses subject to fulfilment of certain conditions and include

Special Situation Fund for Startups (SSFS) provides financing for promising startups based in Singapore.

In the Startup SG Equity scheme, the government co-invests with qualified 3rd party investors into technology startups.

First-time entrepreneurs can avail of Startup SG Founder for receiving SGD 30,000 as mentorship and startup capital grant.

Innovative tech companies can avail of Startup SG Tech supports Proof-of-Concept (POC) and Proof-of-Value (POV) for commercialisation.

All business sectors can benefit from the below-mentioned grants.      

Enterprise Development Grant (EDG) has been launched to support Singapore companies to grow and transform their businesses and grant up to 70% support for eligible costs up to a maximum of 80% till 31 March 2022.

Operation & Technology Roadmap (OTR) scheme provides up to 70% funding support to SMEs.

Productivity Solutions Grant (PSG) supports businesses in the adoption of productivity solutions and offers up to 80% funding support till 31 March 2022 for eligible costs.

Start Digital is meant for SMEs that are new to using digital technology and can take up any two digital solutions for free.

Sector-specific grants are also available in many sectors including Manufacturing & Engineering, Food and Beverage, Energy, Building & Construction, Real Estate, Financial Services, Tourism, IT, Agriculture, Aerospace and General Services.

What are the business options available for the Canadian investors?

Canadian investors and entrepreneurs looking for Singapore company incorporation can now opt for any of the five main types of business structures available. The choice of company type needs to be based on business capital, the number of business owners, liabilities and responsibilities business owners are willing to undertake etc. The business structures in Singapore include Sole Proprietorship, Partnership, Limited Partnership, Limited Liability Partnership and Company.

Businesses once incorporated can start operation after opening a bank account commonly known as a business account in Singapore.

Conclusion

The future of Singapore-Canada trade and investment outlook is bright and during March 2021, the Honourable Mary Ng, Minister of Small Business, Export Promotion and International Trade Canada initiated a week-long virtual trade mission to Singapore on e-commerce, hosted by Global Affairs Canada in collaboration with the Canadian Chamber of Commerce in Singapore and Enterprise Singapore. In her remarks, Minister Ng emphasized the importance of CPTPP in providing companies in both countries unlimited access to many dynamic and vibrant markets around the globe.

Read More

What are the 9 Most Rewarding Online Business opportunities in Dubai
  • Article, U.A.E

What are the 9 Most Rewarding Online Business opportunities in Dubai?

The recent Covid pandemic has ravaged the global economy and no wonder Dubai also suffered heavily. However, the dark pandemic had a silver lining and there has never been a more opportune time to start an online business in Dubai than post covid.

Business experts forecast retail e-commerce sales in Dubai to grow at a CAGR of more than 23% by 2022 backed by smart mobile networks, new generation high capacity electronic devices and the surging trend of online payments. As Dubai goes cashless with high digital penetration, increased numbers of business deals are going to fructify online.

Why choose Dubai for an Online Business?

Dubai stands high on the list when an investor decides over an online business in the region. Besides having the most developed e-commerce market in the entire MENA and GCC, it offers several other benefits to entrepreneurs and investors for a new business setup in Dubai including Zero Tax, Full Business Ownership, Minimal bureaucracy, Low Operating Expenses, Full Repatriation of Profits and Nil Import/Export Tariff.

What are the 12 most rewarding online small business opportunities in Dubai?

Here are 12 small business ideas in Dubai that can present huge opportunities & growth prospects and are easily operable from home.

Online Food Delivery

The online food delivery market is steadily growing in Dubai after the pandemic as people are preferring food to be delivered at their doorsteps. Recent surveys suggest that globally online food delivery segment revenue is projected to touch $151.5 billion in 2021. UAE is the second-largest market for online food delivery is estimated to touch around USD 800 million in the corresponding period.

Starting an online food delivery is straightforward in Dubai and a few steps must be initiated simultaneously including visiting the Department of Economic Development (DED) for a business license; striking deals with local restaurants, cloud kitchens and a courier service for food delivery; developing an app and applying for a residence visa in case you don’t have one.

Online Tutoring

As Dubai is witnessing a tremendous surge in the expatriate population, the demand for online private tutors is growing significantly. Online tutoring is perhaps the easiest way to start an online business where you can use your skills and knowledge on any subject in demand e.g. science, maths, arts, music etc. Besides obtaining a professional license from DED, you need to work on suitable mobile app development and liaise with the teaching community for engaging skilled tutors from their respective fields.

Social Media Advertising

As there is a continuous decline in organic social mingling and more so after the covid 19, the demand for paid social media advertising is increasing at an unprecedented rate for engaging with the targeted audience. If you have exceptional verbal and written communication skills, you can start this online business initially on a small scale by generating leads for your clients and growing with time.

Online Fitness and Yoga Training

 Our present-day society is becoming more health-conscious especially after the covid pandemic and Dubai is no exception. The demand for online health and fitness trainers are continuously growing in Dubai and if you have the requisite skills and a holistic approach to fitness, starting an online fitness and yoga centre in Dubai could be a perfect opportunity.

E-Trading

As e-commerce business witnesses a sharp rise in demand, e-trading activities are growing for garments, textiles, gifts, jewellery, precious stones and household products due to the cost advantage it offers. Online trading could be a lucrative opportunity in Dubai provided you have an appropriate and valid commercial license from DED enabling you to carry out trading via an online platform for wider market access and sell a variety of products to the public over the internet e.g. Souq.com, Groupon. ae, livingsocial.com etc.

Freelance Writing

A freelance writing or SEO business is another lucrative business opportunity in Dubai. As WFH is becoming increasingly popular after covid, with good skills and vivid imagination, you can easily start a freelance writing business. You can also gradually move into the editing and copywriting side of this business.

Online Consulting

If you have expertise, skills and knowledge in any given field of necessity e.g. accounting, medicine, computer, IT etc., you can be the capital of your business and pass on your assets to others for generating huge revenue. The consultancy has long been regarded as a lucrative business. You just need a professional license most appropriate for your consulting scope and a website that your potential clients can get glued to.

Online Web Designing

The great majority of people in Dubai are computer savvy and web-inclined offering a plethora of attractive opportunities to a prospective business person. Designing web pages to help companies expand their market access is one of the best business ideas in Dubai. You can have flexible working hours and with time, can transform this business into a big company. Online web designing can also open other avenues for revenue streams by offering other technical services to your clients.

Mobile App Development

Webpreneuring is a huge and rapidly growing sector in Dubai and includes all online ventures e.g. mobile apps development, online marketing, online PR firm and many more. However, a critical and honest review of your expertise in this field is of utmost importance before you embark on this online business.

Conclusion

Last but not the least, obtaining the most appropriate business license from the DED is most critical for setting up an online business in Dubai. It is strongly recommended that an individual or group of individuals aspiring for such startups outsource the services of a Dubai company incorporation expert like IMC when setting up a new business in Dubai.

IMC is a team of seasoned and experienced company registration and business licensing professionals, credible and compassionate to bring your dreams of a successful SME to reality. 

Read More

Want to Sponsor Your Spouse and Family in Dubai-UAE? Here is What You Need to Know
  • Article, U.A.E

Want to Sponsor Your Spouse and Family in Dubai-UAE? Here is What You Need to Know

In a residency policy reform, the United Arab Emirates recently announced an easing of residency rules for expatriates and issuance of green visas to overhaul its economy and attract foreign talents. Now the country allows expatriates to reunite with their families who possess valid residency visas by allowing parents and relaxing the age limit of children.

What are the Sponsorship Requirements?

Residency visa holders need to obtain approval from either the General Directorate of Residency and Foreigners Affairs (GDRFA) if visas are issued in Dubai or the Federal Authority of Identity and Citizenship (FAIC) for visas issued in other Emirates.

Foreign expatriates with a valid residency permit can now sponsor their families regardless of their job titles if they earn a minimum salary of AED 4,000 or AED 3,000 plus accommodation. Medical fitness examination clearance is mandatory for everyone more than18 years old.

Type of profession as criteria of sponsoring immediate family members of expatriate residents was abolished in March 2019 and the income criteria were introduced. Now Expatriate husbands employed in the UAE can sponsor their immediate family members including their wife and children, subject to conditions that include a minimum salary of AED 4,000 or AED 3,000 plus accommodation regardless of the type of profession.

Once a UAE resident father fulfils the conditions for sponsoring his children, the mother can sponsor them.

After the arrival of family members in the UAE and modifying their entry permit to residence permit, a resident has 60 days to apply for sponsoring the residence visas of immediate dependents.

Visas for family members are issued for a one, two or three years period based on the employment contract and capacity of employment as an employee or employer.

Normally one or two years visa validity applies to expatriate employees while an employer is issued a residency visa for three years.

The residence visa for parents and male children above 25 years of age is granted yearly and is independent of the visa duration of the sponsor.

The requirements change as the residency policy of the UAE government changes and can be tracked from the GDRFA or the FACI websites.

What is a medical fitness requirement?

Both male and female family members above 18 years of age must undergo and clear the medical fitness tests at government-approved medical health and fitness centres in the UAE for the grant and renewal of residence visas.

Regardless of first-time issuance or renewal of visa, every applicant must undergo medical examinations for two communicable diseases including a blood test for HIV and chest x-ray for pulmonary tuberculosis.

Persons found to be HIV positive or infected with tuberculosis will be considered medically unfit and residence visas shall not be granted and immediate deportation will then be done by government authorities.

Dormant or inactive tuberculosis once diagnosed makes the residents liable to be declared medically unfit. They are granted a ‘Health Fitness Certificate for Residence’ for one year subject to medical treatment and follow-up by the Department of Preventive Medicine or equivalent health and fitness authority approved by the government. There are many health and fitness centres in Dubai, Abu Dhabi and Sharjah that have several medical fitness centres and can be conveniently reached for fixing an appointment.

How can I Sponsor my wife and children in Dubai-UAE?

As an expatriate resident, you can sponsor the residence visa for your wife and children only when you satisfactorily meet all the above-mentioned sponsorship requirements set by the GDRFA.

Sponsoring your wife will need you, as an expatriate resident, to prove that a marital relationship exists by submitting an authenticated marriage certificate in the Arabic language online or along with the typed application form. A certified translator can also translate the marriage certificate into Arabic.

What are the Documents required to sponsor a wife and children?

The same set of documents that you submitted for the entry permit is required while sponsoring your wife and children and include the following

  • Passport copies of the wife and children
  • Coloured photographs of the wife and children
  • Medical clearance certificate for the wife and children above 18 years of age
  • Copy of the husband’s employment contract or company contract
  • A salary certificate from the employer stating the monthly salary
  • Legalised marriage certificate
  • Registered tenancy contract
  • Latest utility bill
  • Entry Permits
  • Bank Statements


What is the Validity and Renewal Procedure of residence visas of family members?

The type of sponsor dictates the duration of residence visa and is issued for one, or two or three years. The renewal of a resident visa is subject to the same conditions applicable for fresh visas.

As the residence permits of family members and the resident sponsor are interlinked, any cancellation of the resident visa of the sponsor automatically cancels the visas of the dependents.

In such cases, a grace period of 30 days from the date of expiry or cancellation of their visa is allowed for obtaining a new residence permit. In case the sponsor cannot renew or cancel the visa of the family members, the dependents are not considered legal residents and would be fined.

Takeaway

The residence visa approval and issuance is a time-consuming process with many legalities involved. Secondly, the approvals are granted on a case to case basis and don’t always guarantee visa approval. It is highly recommended that you hire the best PRO services in Dubai for application submission, medical appointments and legal consultancies for facilitating the visa approval process.

Read More

What are the Common Business Licenses Required by the Entrepreneurs and Companies in Dubai
  • Article, U.A.E

What are the Common Business Licenses Required by the Entrepreneurs and Companies in Dubai?

Overview

UAE has emerged as one of the most attractive business destinations in the world and provides access to billions of consumers in West Asia, Eastern Europe, Africa and neighbouring Middle Eastern countries. It has high per capita income and offers world-class infrastructural amenities, well developed legal framework, zero corporate taxation, full repatriation of profits and friendly visa policies to its growing business and trading communities. The government has announced many immediate and long term initiatives such as Vision 2021 to promote business, investment and trade in the country. UAE however mandates that entrepreneurs and companies obtain necessary trade licences to carry out businesses in the emirate legally.

Considered as the business hub in UAE, Dubai is at the top of all seven emirates in attracting startups for new Dubai company formation and ranks amongst the top cities in the world in Consumer Confidence Index (CCI). The Department of Economic Development (DED) issues all business licenses in Dubai.

Why do you need Business Licenses in Dubai?

Licenses issued by the DED assure the customers that the business is legitimate and comply with all the applicable local laws.

Any new business in Dubai requires an appropriate license that ensures proper business establishment for the long term. Business types, company structure and jurisdiction dictate the type of license you should go for and the rules and regulations applicable to your business.

What are the decisions to be taken for obtaining a Business License in Dubai?

Obtaining a business license in Dubai is simple and before you apply for a business license, you need to decide on the following

 
  • Type of business
  • Name of your business
  • Business activities
  • The legal structure of the business
  • Office Space Requirement
  • Investment Requirement
 

What are the Most Common Business Licenses in Dubai?

Following are the main five types of business licenses that are issued by the DED, Dubai.

01. Industrial trade licence

Businesses engaged in industrial or manufacturing-based activities need an industrial trade licence to operate. This licence is issued by the DED and often need additional approvals from the Ministry of Finance, the Ministry of Energy and Infrastructure and other government authorities based on the scope of the business activities.

02. Professional trade licence

Business entities or individuals willing to provide professional services to their clients need to obtain a professional license from the DED for getting authorised for their services.

A professional license ensures that the business or individual is credible and qualified enough to provide services in a certain field or profession. Displaying certain training and skills are mandatory for such licenses. Every specialist, consultant, craftsman and artisan needs a professional trade licence for a business set up in Dubai.

A professional license allows many different business structures to be established in Dubai such as a Limited Liability Company, a Civil Company, a sole establishment fully owned by a foreign investor etc.

03. Commercial trade licence

A company engaged in sell and purchase of goods and commodities, or any other kind of trading activity needs a commercial trade licence to operate in Dubai and the UAE. A limited liability company (LLC) or sole establishment can be formed with this license and besides normal training activities, specialised trading can also be carried out with this license.

Various types of commercial trade licences are available in Dubai that will enable you to carry out trading activities specific to your business. Applying for the right type of license is critical.

Retail, construction, public transports, real estate, communication & broadcast and healthcare businesses must also possess a commercial trade licence to operate in Dubai.

04. Tourism Trade License

Dubai is ideal for setting up a tourism business as millions of global tourists and travellers flock to this city every year lured by its beautiful beaches and splendid architecture.

Businesses such as hotels, restaurants, car rentals and travel agents require a valid Tourism License for running their businesses in Dubai and need to get their businesses registered with the DED and department of Tourism and commerce. Some licenses are on offer in the city and can be applied for by investors interested in doing tourism business.

The Department of Tourism and Commerce Marketing (DTCM) issues the tourism and travel license in Dubai and based on the services rendered, three types of licenses are issued namely ‘Inbound tour operator license’ for handling tourists within the city,
‘Outbound tourist license’ enabling businesses to sell tourist packages outside of Dubai-UAE and ‘Travel agent license’ allows businesses to carry out ticket, car, hotel booking services etc. for the clients.

The business owner needs to provide proof of no criminal record and must obtain NOC from the Civil Aviation Authority. The bank guarantee requirement has also long been abolished by DTCM for promoting the tourism business in Dubai.

05. Freelance Trade Permit

Recently all the emirates including Dubai are witnessing a revolutionising trend as more and more businesses and individuals are considering freelancing as a cost-effective alternative to conventional employment. Earlier freelancing was not a viable and preferred career choice due to visa regulations, tight licensing and high cost.

The policy reforms rolled out by the UAE government has made freelancing legal and the government is issuing visas for allowing people to work as freelancers.

The huge benefits of freelancing enabling sourcing of cost-effective, flexible, easily accessible, high-quality talents have been widely recognized by businesses in Dubai and freelancers are increasingly becoming an attractive option as both time and cost of hiring permanent staff are eliminated. You need a residence visa and work permit to work as a freelancer in Dubai and the requirements for residents and non-residents vary.

For UAE residents sponsored by the spouse or parent, a freelancer permit is only required to start working. If you are Full-time working professionals in Dubai and UAE, you can become a freelancer by acquiring a permit.

A freelance permit needs proof of your relevant skillset and seeking permission from your employer is also mandatory if you are looking at freelancing as a side job.

As non-residents, you must apply for a freelancer visa and a residency permit to enable you to work in Dubai as a freelancer.

How can IMC help you?

IMC, founded in 1979 is a cross border corporate advisory and services firm with a strong presence in Dubai and has a team of experienced professionals believing in the “Customer First” philosophy. We can provide you with unmatched and affordable support services for obtaining the most appropriate license for your business.

What is the frequency and process of Renewals for Dubai Business Licenses?

The business licenses in Dubai need to be renewed every year and require authorization letters from concerned government authorities before application of renewal. While a drug manufacturer needs authorization from the Health Ministry, a public transport provider needs authorization from the Road and Transport Ministry. Once authorization is obtained, you need to submit all required documents along with tenancy documents valid for more than three months from the date of application.

Read More

Solar Energy Transition Outlook in Singapore and other Parts of Southeast Asia
  • Article, Singapore

Solar Energy Transition Outlook in Singapore and other Parts of Southeast Asia

Southeast Asia is one of the fastest-growing economies in the world today with nearly 10% of the world’s population residing in the ten member countries of the Association of Southeast Asian Nations (ASEAN) including Vietnam, Singapore, Brunei, Indonesia, Thailand, Cambodia, Philippines, Malaysia, Myanmar, Lao People’s Democratic Republic. Geographically, Southeast Asia is a tropical region favouring Solar energy as the best renewable.

Why Solar Energy Transition?

Rapid industrialisation in the ASEAN and the governments’ commitment to 100% electrification of households are transforming the economic and energy outlook in this region as policymakers across many of these countries are striving to meet the growing energy demand in a secure, affordable and sustainable manner for improving the quality of life of their citizens. Several incentives and support schemes have also been announced by the government of these countries to encourage the renewable energy sector.

As the rising energy demand in Southeast Asia has already outpaced the available energy supply within this region due to declining reserves of fossil fuel, the renewable energy sector is expected to take the driver’s seat with solar technology primarily fueling the growth of the regional renewable. Southeast Asia is presently working on a massive plan to take the renewable energy capacity from 517GW in 2020 to 815GW by 2025. 

How is the Solar Energy Outlook in Singapore?

Singapore is intensifying its focus on solar PV installations due to shortage of land for wind energy and hydroelectricity installations and promoting the SolarNova program launched in 2014 by the Economic Development Board (EDB), the strategic measure for solar Photovoltaic (PV) growth.

The country added 296MW capacity over the last four phases spanning over 2015 to 2020 and another 60MW capacity has been installed this year. The rooftop solar PV installations on public housing are becoming most common.

The sea city is gradually approaching the next target of a minimum of 2GW of solar energy by 2030 that can cater to the demand of 350,000 households.  The country is also investing in the R&D of floating solar energy for future expansion.

Singapore has demonstrated its commitment towards becoming a low carbon economy with a proposal of USD 1.8 billion investment from its foreign reserves for green financing.  Government-owned Temasek in partnership with Black Rock has already invested USD 600 million to lower its carbon footprint.

How is the Solar Energy Outlook shaping in other parts of Southeast Asia?

Countries leading the region’s renewable energy initiatives are Vietnam, Thailand, the Philippines, Malaysia and Indonesia amounting to almost 84% of the total installed renewable energy capacity and setting an ambitious target of a 23% renewable energy share in the total primary energy supply by 2025.

Recently Vietnam has overtaken Thailand in installed solar power generation with an increase in PV capacity from a mere 86 MW in 2018 to 16,500 MW at the end of 2020 having the largest installed capacity for solar power generation among members of the ASEAN mainly contributed by rooftop solar as space is scarce in the country. Amendments in the public-private partnership regulation have also been a contributing factor for the solar PV boom.

Thailand is the second country in the Solar energy race contributing to 17% of total installed capacity in the region and has set a target for 30% of the country’s total energy consumption from renewable sources by the year 2036. Rooftop solar is playing the most predominant role in advancing its energy transition.

Improving the share of renewables in the total energy requirement from 2% in 2019 to 20% by the end of 2025 is the target for Malaysia with an approximate investment of USD 7.9 billion mostly for the solar system infrastructure. The government has also floated a tender for 1GW of solar projects under the fourth round of its Large Scale Solar (LSS) procurement programme.

Indonesia too plans to enhance renewable energy percentage from 9% in 2020 to 23% by 2025 and can generate 640000000 GW of solar power placing the country on the strong ground for achieving 100% green electricity by 2050. 

The Philippines in its National Renewable Energy Plan specifies targets for a minimum  l34GW of renewable energy installations by 2040 and plans for 100% foreign ownership for attracting foreign investment in this sector.

Bottomline

It is believed that the renewable energy sector in ASEAN region after the covid pandemic would recover in 2021 driven by the resumption of economic activities and support policies of various governments.

Read More

A Guide to Beginning an E-Commerce Business In Singapore
  • Article, Singapore

A Guide to Beginning an E-Commerce Business In Singapore

These days, we live almost our entire lives online. It is therefore no wonder that businesses too feel the need to capitalise on this. Naturally, setting up an e-commerce business or service platform seems much more logical than establishing a brick-and-mortar shop. While the initial invested capital may be almost the same, the running costs will definitely be far lower.

If you too are an entrepreneur trying to set foot in the world of e-commerce, where better to start than in the economically flourishing city-state of Singapore. And if you’re looking for a guide for doing business in Singapore, you’ve come to the right place. Read on to discover quick tips on starting your own e-commerce business in the Lion City. While this guide is by no means exhaustive, it will help you gain important knowledge towards laying the foundation for your business plans. Let’s get started –

  • Research is everything

It almost goes without saying that a business can start only on a foundation backed by strong research. No matter how brilliant your idea for a business is, things may go awry unless you have your research in place.

Why is research so important?

Firstly, research will tell you whether your e-commerce business has an audience or a market. It will also show you what the competition is doing and help you to identify any gaps in the market that your product or service can fill. This knowledge can prove to be immensely profitable for you.

While doing research, remember to dedicate time towards calculating how much business capital you will require to get started. While starting a new venture can be exciting, be careful of overspending. Even though your business is online, keep aside sufficient funds for contingencies.  

  • Learn local guidelines

Starting a business in a new land requires you to study local guidelines and laws. This is even true for starting an e-commerce business. After all, you want to function as a legally compliant organisation to avoid any hassles. Also, learning a bit about how things work in Singapore can help you benefit from local business welfare schemes too. Singapore has many grants designed especially for small to medium businesses. Make sure to get professional help for company registration in Singapore if you are setting up a business abroad for the first time. Do also keep yourself updated on the latest laws concerning taxation in Singapore.  A cross-border consultant advisory firm should be able to help you with all the professional information you need in these areas.

  • Create an incorporated company

Before you take any steps towards setting up your website or even buying raw materials, you need to focus on business incorporation. This is the crucial stage that will lay the foundation of what kind of a business entity you are setting up and thereby also outline the specific local laws and regulations that apply to you. Once your e-commerce business is incorporated, it will be recognised as an independent legal entity in Singapore. You may seek professional help with this stage so that you complete all the required paperwork and formalities the right way. 

  • Create your website

When creating your website, you may either choose to go with ready templates online or make your very own. The second option is slightly harder but will give your e-commerce brand a truly unique online presence and design. Make sure to choose an appropriate domain name that resonates with your business and brand. Choose a good hosting service too – one that you can rely on 24/7. After all, an online store never closes its doors at night…it works round the clock. You want your e-commerce website to be accessible to your audience no matter what time of the day they choose to visit it.

Make sure that your website is user-friendly. All the major tabs for shopping, using filters to sort products, and customer support should be easily visible. Product pages should have good content with easy visibility of the different colours, designs or quantities for buyers. Try to also set up a proper customer support system for your e-commerce business. A number or 24/7 email or chat support can go a long way in creating loyal customers. It will help your buyers know that they can reach out to you at any time.

You also need to focus on setting up a secure payment gateway. Make sure to provide people with a wide variety of payment options, including credit cards, debit cards and Google Pay, among others.

  • Focus on good marketing

Once your website is set up and your e-commerce business has been incorporated, you can go ahead and market your products or services. Apart from print advertising, do also focus on digital content marketing and SEO. After all, your business is an online brand and therefore, it will help to market it online as well. Use social media platforms to your advantage. Facebook and Instagram have billions of users. There is no limit to the possibilities.

  • Set up delivery

The final step involves setting up a reliable delivery system that will ensure that your goods or services reach your buyers. You may choose to hire a third-party company to carry out delivery for you or even do it with your own manpower, depending on your needs and how far your buyers are. For instance, if you have buyers from overseas, you will have to tie-up with a third-party delivery platform.

We hope that this guide on beginning an e-commerce business in Singapore has been a great read for you today!

Read More

5 Amazing Benefits Gained by Outsourcing PRO Service in the UAE
  • Article, U.A.E

5 Amazing Benefits Gained by Outsourcing PRO Service in the UAE

The United Arab Emirates has a flourishing economy and is one of the most popular countries for investors and businessmen. If you too are looking forward to starting your own business in the UAE, you may be aware that you need professional PRO services. For instance, if your setup is in Dubai, you would need professional PRO services in Dubai. PRO stands for public relations officer. PRO services help your company stay compliant with all the local rules and regulations for a business to run smoothly.

Now, you can either hire your own PRO or choose to outsource your requirements. An increasingly large number of businesses are choosing to outsource their PRO services. Wondering why? In this article, we will take a look at 5 major benefits you gain if you choose to outsource your company’s PRO service needs.

1. Access to a professional PRO service

When you choose to outsource your PRO service requirements, you get to receive help and guidance from industry professionals who are familiar with local rules and regulations. This way, your documentation and other legal compliance work will always be on time. You will not face the risk of unnecessary fines either. We, at IMC Group, will take care of all your requirements from visa services to paralegal services and corporate bank opening for a hassle-free experience.

2. Cost-effective approach

Outsourcing your PRO services is indeed more cost-effective than hiring your own staff. If you were to hire dedicated staff, you not only pay a salary but also hand out benefits that can cost you a lot. A professional PRO service company only charges you for the services you need and no more. Thus, you end up saving on your expenses while getting access to some of the best minds in the market.

3. Access to exclusive and dedicated support

IMC Group will assign you your very own PRO expert who will take care of all your work. We offer doorstep assistance in which we send our representative to your office to pick up all the necessary paperwork. You are thus left free to focus on your business requirements while we handle all the technicalities like visa, permits, licences and so on. Handling all of these on your own in a foreign country can prove to be quite a task…a professional PRO service will get things done on time, the right way.

4. Transparency of service

At IMC Group, we value integrity in business. Therefore, we believe in a completely transparent system of operating. Even though we take charge of all the paperwork so that your work is lighter, we will still keep you informed every step of the way. We enjoy good credibility and reputation as a professional PRO service provider in the UAE. With a wide range of services and an experienced team, you are in good hands with us.

5. Extensive range of service offerings

If you were to hire your very own staff as PRO professionals, you may need to hire multiple roles. At IMC Group, you just need to get in touch with us for all your PRO service needs. We are your one-stop shop for a range of services including renewal and processing of visas, attestation of documents, local sponsor, trade licence, legal services, registration for rental and lease, share transfer services, and more.

We hope that this article has been an insightful read and has helped you understand why you need PRO services and better yet, why you must outsource this requirement. Get in touch with us at IMC Group today to know more.

Read More

Estate and Succession Planning in the UAE – The New Regime
  • Article, U.A.E

Estate and Succession Planning in the UAE – The New Regime

Overview

COVID-19 pandemic has posed a global health crisis and turned out to be our greatest adversary since World War Two.  Irrespective of the elderly and those suffering from health issues, all individuals are made to ponder over the systematic planning of distribution of their estate and wealth for rightful succession through a legal document declaring individual intentions for the division of their assets upon death.

To provide better living standards to the expatriate community who are in great numbers and both working and residing in the country, the government has put a lot of effort into introducing many crucial amendments to several laws and most important amendments to the issues of succession planning and inheritance. However, this being a complicated and sensitive subject needs careful handling and expert professional and legal advice.

Estate and Succession Planning in the UAE

The United Arab Emirates (UAE) has recently announced several legal and regulatory changes in the private wealth space.

The UAE is considered as an investment hub in the MENASA region and its regulatory environment plays an influential role in drafting the succession plan and division of wealth to the future generations of the Ultra High Net Worth Individuals (UHNWIs). As huge private wealth is concentrated in the Middle East mostly owned by family businesses, the successful transfer of such wealth is vital for the future economic development and growth in this region.

UAE’s inheritance provisions, long dictated by the Sharia provision, have recently been replaced with alternative measures for Expatriates and brought in amendments in the distribution of the estate of a non-Emirati individual. The estate planning can now be handled as per the rules of the home country of a non-Emirati when found different. In case of a divorce, similar provisions shall apply for the distribution of wealth and property.

The latest amendments demonstrate the country’s commitment to remain attractive to foreign expatriates and attract foreign direct investment into the country.  The changes are made to address certain succession issues and facilitate the planning of transfer of wealth of many expatriate residents and private business owners in the country. Earlier Sharia dictated inheritance provisions applied even to the non-Muslims and for the distribution of assets of individuals on their demise unless a registered will was available with the Wills and Probate the Registry of the DIFC or the Abu Dhabi Judiciary.

The new regime mandates that the country’s rules and regulations shall determine the distribution of assets of the deceased citizen unless a registered will has been made with specific intentions. Similarly, the distribution of real estate in the UAE will continue to be distributed as per the rules prevailing in the country.

Vice President and Prime Minister of the UAE His Highness Sheikh Mohammed bin Rashid Al Maktoum as Ruler of Dubai issued Law No. 9 of 2020 for regulating family-owned businesses in Dubai. A transparent legal structure has been introduced in this legislation in an endeavour to secure and grow the wealth of individual families as well as promote contributions of the family businesses and private wealth for the social and economic development of the nation.

The new law has been made optional for new and existing family businesses including corporate equity securities and proprietorship. Family ownership in public joint-stock companies including movable and immovable properties however have been excluded from this regulation.

 A legal framework for the internal business processes of family-owned entities has been provided in this new law regulating articles of family ownership contracts, organizational structure and management, responsibilities and authorities management with clearly defined delegation of power including the composition and structure of the board. The responsibilities of government entities towards the formation of family businesses have also been clearly outlined.

To make the family ownership contract legally binding, a few conditions have been put forth as under. Once the conditions are successfully met, the contract will require an attestation from a notary.

  • All parties of the contract to be members of the same family with a single common interest
  • Shares of each member to be clearly defined, and,
  • The legal monetary rights including rights of assets must lie with the concerned parties under the purview of the contract

How can IMC help in your Estate and Succession Planning in the UAE?

We, at IMC, continually strive to offer families personalized services that can create maximum value. We are a UAE based professional services provider with an entire range of solutions fully compliant with UAE laws and regulations and backed by advanced technological infrastructure and systems.

We put our clients first and build a trusting relationship with a commitment to utmost confidentiality and help our clients for an effective and smooth transfer of family assets to their future generations.

We religiously coordinate with inheritance, tax and estate law experts and commit our most value-added services to establish and administer estate planning and succession structures to families across the globe. We also provide our services for asset management and protection, tax planning, trade transactions, business and family succession, and estate planning.

Takeaway

The succession planning process can be complex at times and especially when it involves establishing Company Structures, Foundations and Trusts at an international level. It usually calls for professional and expert consultations and can be outsourced to a local service provider for ensuring the continued security of assets and smooth succession.

Read More

Follow Us

Recent Posts

Get updated by Signup
to our Newsletter!

IMC Logo

Get Started

About

Locations

© 2024 IMC Group. All Rights Reserved.

IMC Logo

Get Started

About

Locations

© 2024 IMC Group. All Rights Reserved.

IMC Logo

Get Started

About

Locations

© 2024 IMC Group. All Rights Reserved.