A Member Firm of Andersen Global

Contact Us
IMC Logo

Blog

How Mergers and Acquisitions Propel Business Growth in the UAE
  • Blog, U.A.E.

How Mergers and Acquisitions Propel Business Growth in the UAE

In recent decades, the UAE has firmly established itself as a global hub of economic activities in the Middle East. The country attracts entrepreneurs and investors from around the world with its booming business infrastructure. Naturally, it has created a fertile ground for businesses looking to explore growth opportunities.

Among various strategies for expansion, mergers and acquisitions (M&As) have gained significant traction as an effective tool that drives business development. With the right approach, organizations can scale their operations and enter new markets, eventually enhancing their competitiveness in the Middle East.

Forward-thinking organizations rely on professional consultants for mergers and acquisitions advisory services in Dubai. With experienced teams guiding these firms, they can execute these transactions safely and confidently.

The Role of Mergers and Acquisitions for Propelling Businesses in the UAE

Mergers and acquisitions have emerged as pivotal strategies that redefine growth in the UAE. Companies enter M&A deals to strengthen their foothold and streamline operations. With combined resources and expertise, enterprises can bolster their presence in the market and tap fresh avenues for growth.

For instance, acquiring a well-established local business allows international entities to enter the market in the Middle East effectively. On the other hand, businesses based in the UAE are acquiring foreign companies to tap into global markets. This approach fosters a two-way exchange of innovation and resources.

Key Benefits of M&As for Business Expansion

Now, let’s take a look at the prime benefits of M&A transactions for business expansion.

1. Expanding Market Reach and Competitiveness

M&A deals define a clear pathway for businesses to increase their market share as they consolidate resources and customer bases. In a competitive market like the UAE, this approach helps enterprises stay ahead of their rivals and capitalize on the growing economy. With M&A strategies, organizations often benefit from better pricing power and operational efficiency, eventually delivering better value to their customers.

2. Access to Innovation and Skilled Talent

With new acquisitions, businesses gain access to advanced technologies and specialized expertise that might otherwise take years to develop internally.

For instance, a manufacturing company may merge with a tech firm to integrate advanced production methods. M&A transactions also provide access to a larger pool of talent. Businesses can hire professionals whose experience and skills align with their growth strategies.

3. Boosting Financial Performance

Mergers help businesses pool resources and reduce redundancies, which can significantly help in saving costs. They can streamline supply chains, optimize procurement, and share infrastructure, significantly improving their profit margins.

Moreover, the combined entity carries a higher financial strength, which opens its doorway to access higher capital. This is crucial for funding their future growth initiatives.

4. Enhancing Brand Credibility

When a business acquires a recognized brand, it boosts its standing in the market. The combined entity benefits from the goodwill associated with the acquired brand. This leads to better customer loyalty and higher trust among customers.

Different Types of M&A Activities in the UAE

The UAE attracts global businesses with a diverse economy that supports different types of M&A deals. Each of these can be tailored to the specific goals of various businesses.

1. Horizontal Mergers

Companies in the same industry often enter horizontal mergers, particularly at similar stages in production. This type of merger helps brands reduce competition and achieve operational efficiency.

2. Vertical Mergers

Vertical mergers involve the integration of companies within the same supply chain. Businesses acquire suppliers or distributors to gain greater control over production processes which helps them reduce costs.

3. Conglomerate Mergers

Companies from two different industries can come together through conglomerate mergers. It allows businesses to diversify their portfolios and mitigate risks since they need not depend on a single market.

4. Joint Ventures and Strategic Alliances

Businesses in the UAE sometimes collaborate on specific projects or initiatives without completely merging. This approach is a great way to share resources and mitigate risks while they maintain their operational independence.

Challenges and Opportunities while considering M&A deals

Challenges

While the UAE offers a favorable environment for M&A deals, businesses need to consider the challenges, too. For instance, regulatory hurdles like compliance with local laws and obtaining approvals from multiple authorities can delay transactions.

Also, cultural differences between the merging entities may pose challenges while integrating. This calls for thoughtful planning to align organizational cultures and values. Consulting a reputed advisory professional, businesses can overcome these hurdles.

Opportunities

Mergers and acquisitions in the UAE present immense growth opportunities to businesses. These transactions open their doors to enter new markets and access advanced technologies. They also enjoy a competitive positioning that helps them gain an edge over their competitors. With proper due diligence and planning, forward-thinking businesses are looking to tap immense opportunities for growth in the UAE.

Tips for Successful M&A Transactions

Businesses should adopt the following approaches to ensure a successful M&A process.

  • Conduct comprehensive due diligence to evaluate the financial, operational, and legal aspects of the target company
  • Develop post-merger integration plans to align their processes and team, defining a unified vision of the organization
  • Seek professional support from financial and legal advisors for valuable insights that ensure a smooth execution
  • Maintain transparency in communication to keep stakeholders informed, which fosters trust and minimizes resistance to change

Professional Mergers and Acquisitions Advisory Services in Dubai

Businesses eyeing expansion in the dynamic business hub in the UAE often consider mergers and acquisitions a viable instrument for growth. This strategic approach enables companies to scale new heights and diversify their offerings.

While M&A deals allow businesses to stay ahead in a competitive market, these transactions can be equally risky without due diligence solutions or professional insights. That’s the reason successful firms consult reputed advisory experts like the IMC Group for a comprehensive guide to mergers and acquisitions. With a professional approach and careful planning, businesses can effectively address the obstacles, proceeding to these deals with a clear vision. Expert guidance defines the way to tapping the full potential of the thriving economy of the UAE.

Read More

India-UAE Economic Partnership: Strengthening Ties Beyond Trade
  • NEWSLETTER, INDIA, U.A.E.

India-UAE Economic Partnership: Strengthening Ties Beyond Trade

In recent years, particularly after the pandemic of 2020, India and the UAE have entered into a strategic partnership that strengthened their ties beyond trade. These two nations share mutual business interests in key sectors like critical minerals, defence, and energy. The bilateral ties between India and the UAE have bolstered trade and fostered significant flow of investments. Currently, the UAE is positioned as one of the top ten investors in India. The Abu Dhabi Investment Authority (ADIA), which is among the largest sovereign wealth funds in the world, has diversified its portfolio in India. Currently, it spans sectors like aviation, telecommunications, and technology.

On the other hand, Indian firms are looking to capitalize on lucrative investment opportunities in UAE. With India on its side, the UAE has a reliable partner in both security and technology. This interdependence is maturing into a strategic partnership that extends from traditional trade and cooperation on energy to new sectors like defense, space exploration, education, and climate initiatives.

Landmark Agreement on Civil Nuclear Cooperation

The two countries reached a historic milestone when they signed an MoU for civil nuclear cooperation. The deal was signed between India’s Nuclear Power Corporation (NPCIL) and the Emirates Nuclear Energy Corporation (ENEC). In September 2024, this deal was formally signed, and its objective is to deepen collaboration in nuclear energy. It was signed during the visit of Sheikh Khalid bin Mohamed bin Zayed Al Nahyan, the Crown Prince of Abu Dhabi to India.

This partnership matured on the basis of previous discussions initiated back in 2015. Both the countries committed to use nuclear energy peacefully in fields like agriculture and safety. The UAE is expanding its investments in nuclear energy, which reflects a long-term vision for its shared scientific and technological advancements.

Main Investment Avenues for India-UAE Collaboration

Here are the key avenues for collaboration between India and the UAE.

1. Multilateral Initiatives and Economic Integration

The India-UAE partnership has expanded through multilateral platforms like the India-Israel-UAE-US (I2U2) grouping. It focuses on critical areas like food and water security. Interestingly, the UAE has committed $2 billion to India’s food parks to address regional food requirements. This partnership in the India-Middle East-Europe Economic Corridor (IMEC) will boost the trade infrastructure further.

2. Trilateral Engagements

Both countries actively participate in international forums like BRICS, the United Nations, and the UAE-France-India trilateral initiative. The UFI (UAE-France-India) collaboration, launched in 2022, focuses on joint projects, particularly in renewable energy fields like solar and nuclear energy.

3. New Agreements in Energy and Logistics

In 2024, India and the UAE signed additional some other to strengthen their energy ties. These include a long-term LNG supply arrangement between Abu Dhabi National Oil Company (ADNOC) and Indian Oil Corporation and a strategic partnership with India’s Petroleum Reserves.

Moreover, the UAE has shown significant interest in supporting India’s food infrastructure. As part of the I2U2 mission, they have made specific investments to develop food parks in Gujarat and Madhya Pradesh.

4. The Role of the UAE in Shaping India’s Energy Sector

The UAE plays a critical role in strengthening India’s security. It is one of the primary oil suppliers and a partner in India’s Strategic Petroleum Reserve (SPR) program. As of 2017, the UAE became the first country to store crude oil in India’s SPR facilities, which was a significant milestone. Besides fossil fuels, the countries are focusing on collaborating in renewable sectors like green hydrogen and solar energy. This strategic initiative corresponds with India’s push towards clean energy sources.

The India-GCC Partnership – Boosting Regional Relations

In September 2024, India participated in the first-ever GCC Foreign Ministers’ meeting in Riyadh. External Affairs Minister S. Jaishankar highlighted India’s role as one of the largest energy consumers in the world. This strategic dialogue reflects India’s ambition to enhance its regional economic environment.

A Legacy of Trade Between the UAE and India

The India-UAE trade partnership dates back centuries, to the time when basic goods like dates and pearls were traded. Over the years, the UAE has emerged as a global trading hub. India’s economic liberation in the 1990s intensified trade, which reached $83.65 billion in 2023-24. Thanks to the Comprehensive Economic Partnership Agreement (CEPA) of 2022, trade barriers have been reduced, fueling more investments.

Trade Statistics (in US$ Million)

Year 2019-20 2020-21 2021-22 2022-23 2023-24
India’s Export to UAE 28,853.59 16,679.54 28,044.88 31,608.79 35,625.02
India’s Import from UAE 30,256.65 26,622.99 44,833.48 53,231.55 48,025.58
Year 2019-20 2020-21 2021-22 2022-23 2023-24
Total Trade Volume 59,110.23 43,302.53 72,878.36 84,840.34 83,650.60

Key Commodities: India’s Export and Import Profile

India’s exports to the UAE are diverse. It includes mineral oils, precious metals, gemstones, machinery, textiles, and food items. On the other hand, the primary imports of India from the UAE include crude oil, jewelry, plastics, and machinery. Currently, the UAE is the fourth-largest oil supplier of India, which makes it a strategic partner to ensure India’s energy security.

Table showing Top Exports of India to the UAE

India’s Top Exports to UAE 2022-23 2023-24
Mineral Fuels & Oils 8,681.78 8,236.64
Precious Stones & Metals 5,772.47 8,043.08
Electrical Machinery 3,650.03 3,538.86
Nuclear Reactors & Machinery 1,074.13 1,363.65

Table showing Top Imports of India from the UAE

Commodity 2022-2023 (US$ Million) 2023-2024 (US$ Million)
Natural or cultured pearls, precious stones, jewelry, coins 14,788.04 20,109.77
Mineral fuels, mineral oils, bituminous substances 27,704.95 17,628.89
Plastic and articles thereof 1,700.46 1,664.70
Aircraft, spacecraft, and parts 1,881.98 1,175.53
Salt, sulfur, earths, and stone 948.23 993.94
Iron and steel 1,071.15 674.47
Tanning or dyeing extracts, pigments, paints, inks 22.81 659.31
Ships, boats, and floating structures 647.37 639.38
Aluminum and articles thereof 509.37 529.79
Copper and articles thereof 454.82 527.59
Nuclear reactors, boilers, machinery 306.88 481.48
Electrical machinery, sound recorders, and parts 479.60 323.11
Fertilizers 376.72 308.33

Strengthening Trade in Local Currencies

Over the years, investors investing in Top sectors in Dubai from India have increased significantly. In July 2023, India and the UAE signed an MoU for a Local Currency Settlement (LCS) system to further streamline cross-border transactions. This significantly reduces their dependency on third-party currencies. This system is managed by the Central Bank of the UAE and the Reserve Bank of India. It marks a progressive step toward deeper economic integration.

Conclusion

The partnership between India and the UAE is multifaceted. It extends well beyond trade and encompasses investments in energy, technology, food security, and defense. This bilateral relationship is set to flourish with new agreements and evolving trade mechanisms like the LCS. Indian investors looking to expand their operations in Dubai can reach out to the IMC Group as their strategic advisory partner. The professional team of consultants assists businesses in setting up their companies in the UAE and complying with the legalities for seamless operations.

Read More

How Can Foreign Businesses Successfully Claim VAT Refunds in the UAE
  • Article, U.A.E.

How Can Foreign Businesses Successfully Claim VAT Refunds in the UAE?

The UAE has emerged as an established commercial hub, attracting businesses from all around the world. Ever since the country introduced VAT in 2018, foreign companies that incurred certain expenses in the UAE became eligible to claim VAT refunds.

However, the process of VAT refund filing is complex, and most companies need professional assistance from leading VAT consultants in Dubai to claim their refunds. Experienced consultants comprehensively help them understand the criteria, documentation, and submission requirements.

In this blog, foreign businesses operating in the UAE can have a detailed look at the VAT refund filing process in the UAE. With a professional approach, you can optimize the chances of a smooth and timely refund.

Criteria for Getting VAT Refund in the UAE

  • In order to be eligible for a VAT refund in the UAE, foreign businesses need to meet specific criteria. Firstly, the business must not be registered for VAT in the UAE. This implies it should not have any business operations or a fixed establishment within the country.
  • Secondly, the business must be registered in its home country with the relevant tax authorities.
  • The entity must have incurred a minimum of AED 2,000 in input tax within the UAE.
  • The VAT incurred should not be on expenses classified as irrecoverable, such as entertainment costs.
It should be noted that the eligibility also depends on the country where the business is established. Entities from certain countries have additional requirements to fulfill before they can claim a refund. For instance, businesses from Lebanon are only eligible under specific conditions, while those from Namibia can claim a refund only on exported goods. It is essential to understand these country-specific conditions to file a refund application successfully.

Required Documentation for Claiming VAT Refunds

A smooth VAT refund claim process requires accurate and complete documentation. The certificate of tax residency or a similar certificate is the most critical document that proves the status of the business in its home country. This document must include the tax registration number of the business and needs to be certified by the UAE Embassy in the country of origin.

Moreover, businesses must provide valid tax invoices from the suppliers in the UAE that include the TRN (Tax Registration Number) of the supplier. Each invoice has to be supported by a proof of payment like the receipt of a stamp from the supplier.

Other necessary documents include a copy of the passport of the individual authorized to make the claim, and a power of attorney proving their authorization, if applicable.

These documents should be submitted either in English or Arabic. Entities need to post all the documents to the FTA within one month of submitting the online application. Businesses must ensure that all these documents are accurate and complete in order to prevent delays or rejections during the refund process.

The VAT Refund Application Process

Businesses need to file for VAT refunds in the UAE online through the portal of the FTA.

  • The process begins with the creation of an e-Services account. Next, you need to register the business as a taxable person on the website. Once registered, find the VAT refund form under the ‘Business Visitor Refunds’ section.
  • When filling out the form, it’s imperative to enter all the necessary details accurately. This includes information about the applicant and the amount claimed.
  • It is advisable for businesses to save the form periodically, so that they don’t lose their progress. Before submitting the form, make sure to thoroughly review the information entered and the attached documents to ensure accuracy.
  • The FTA will send an acknowledgment email with a reference number once the submission is done.
  • The original documents must be sent to the physical address of the FTA within a month, along with the printed form.
  • Next, the FTA will review the application and inform the applicant about their decision within four months. In case any additional information is necessary, the applicant needs to update and resubmit the form through the portal.

Common Challenges and Tips for a Successful Claim

While the VAT refund process in the UAE looks straightforward, businesses often encounter various challenges. Some of the common issues include incomplete documentation, errors in the application form, or missing deadlines while submitting the document.

Businesses must consider working with an established tax consultant like the IMC Group to avoid these pitfalls. Professional tax advisors specialize in VAT refunds in the UAE. A knowledgeable consult ensures that all your documents are in proper order. They also take care that the application is completed correctly. In case there’s any issue, they address the same promptly.

Businesses filing for VAT returns should be aware of the deadlines to submit their applications. Claims for expenses incurred in the previous calendar year must be submitted between 1st March and 31st August of the current year. Missing out this window can result in the loss of the refund opportunity for that year.

Professional VAT Advisory Services in Dubai

For businesses filing VAT refunds in Dubai, it’s imperative to understand the process and seek professional consultation from experts to ensure they remain on the right track. Forward-thinking companies habitually seek professional assistance for VAT advisory in Dubai from reliable partners like the IMC Group. Thus, foreign businesses can increase their chances of successfully claiming VAT on eligible expenses.

Read More

How to Choose the Right Zoho Implementation Partner for Your Business
  • Article, Global, India, U.A.E.

How to Choose the Right Zoho Implementation Partner for Your Business?

We are in the era of digitalization where rapid changes are happening in digital space. Many huge businesses are ruling their industries with the help of SaaS companies. One such SaaS provider is Zoho which is a popular name in providing CRM services to businesses.

Zoho is a SaaS company that provides various applications that allow businesses to manage customer relationships through various products offered by Zoho. It includes CRM, project management, emails, invoicing, an attendance platform, and more.

Many companies fail to understand that implementation of Zoho in the business is the most important step for using Zoho services according to your needs. You need the best partner to implement Zoho based on your requirements. The process is challenging and might be impossible for in-house developers until they know the ins and outs of Zoho. A Zoho implementation partner is the best way to proceed to avoid any costly mistakes during implementations.

Discussed below are some tips to guide you on how to find the best partner for your Zoho implementation.

Understanding Your Needs

What are the services you require? Is it CRM, emails, or project management? Whatever is your requirement, make an estimated budget for the same. After your requirements and budget are finalized, you can go ahead in selecting the Zoho partner to implement your needs in your budget.

Market Reputation and Experience

Being a part of the industry, every company maintains a market reputation. You should be in a partnership with a company that maintains good work with its clients and works as a reputed business in the industry.

Another vital thing to consider is the expertise and knowledge of the company in your domain of work. Choose a Zoho implantation partner who can easily understand your business and customize your Zoho based on your business requirements. For example, if your business needs CRM implementation from Zoho, choosing a partner who has first-hand experience in CRM implementations will make the process seamless and right on track.

Customer Experience and Support

Your Zoho implementation partner will be your first point of contact for any problems related to your Zoho. Your Zoho partner should be able to solve all technical hitches occurring during or after the implementation. A good support team will be able to solve all your problems and provide helpful advice to any question. Zoho Books support is another way to solve your issues which allows you to take direct help from Zoho. However, having a Zoho partner as your support team is helpful in the long run.

Quality over Price

The overall cost of a Zoho implementation partner depends on many factors including your business needs, Zoho license, users count, data migration, user training, and the location of the partner. The charge of your Zoho partner will depend on many other factors like the complexity of the project, time taken for the project, and the Zoho services you have opted for.

For example, you might have shortlisted some partners having different price budgets, it is not wise to go for the partner with the lowest cost. You should always consider quality over cost. Don’t settle for lower budgets which might increase your costs later if the implementation is not done as per your requirements.

Conclusion

A Zoho implementation partner is crucial to have for a better and more focused implementation of a Zoho product in your business operations. With so many partners online, choosing one can be overwhelming. However, you can consider the tips mentioned above and choose the partner best suited to your needs and budget.

Read More

Follow Us

Recent Posts

Get updated by Signup
to our Newsletter!

IMC Logo

Get Started

About

Locations

© 2025 IMC Group. All Rights Reserved.

IMC Logo

About

Get Started

Locations

© 2024 IMC Group. All Rights Reserved.

IMC Logo

Get Started

About

Locations

© 2024 IMC Group. All Rights Reserved.