Business setup in Sharjah
Why are Sharjah and the UAE great places for establishing companies?
There are many reasons why choosing the UAE to set up your business in Sharjah is a wise decision. The first one is the high percentage of ex-pats. The second one is the low cost of living.
In addition to these two, there are several other factors that make the Emirates a great place for a business setup. They include many international companies, less bureaucracy, and a good mix of local and international talent.
How to start a company in Sharjah?
The process of starting a business in Sharjah is not difficult, but it does take time and effort. After having all the necessary documents, you can begin the procedure with ease.
However, your business setup in Sharjah Mainland can be done by following some specific steps. Here is a list of them:
Determine the type of economic activity
This is a question many business owners face in Sharjah. They need to decide on the type of economic activity that can be useful for their company.
In the same way, there are three types of economic activities: trading license, manufacturing, and service. However, every kind of economic activity has its advantages and disadvantages.
This information is essential for setting up a company in Sharjah. Once they understand these differences, the owners can make the best decision for their company.
Find a local sponsor
Sharjah is home to many companies, and it is also a great place to find sponsors for your business. Equally important, there are many ways to start a business in Sharjah.
The most common way is through establishing a company or partnership with an already established Sharjah-based business. Besides, you can work with a company that has already been operating in the market for some time.
Choose a legal form
The legal form of your company will determine what type of taxes you pay, how much liability you have, and more. Additionally, there are five different legal documents for your business set up in Sharjah. These are:
- LLC (Limited Liability Company)
- Partnership company
- Local service agent
- Public/Private shareholding company
- Branch office
Register your company with the DED
The Department of Economic Development is the entity that manages the development and implementation of different economic sectors in Sharjah. However, the DED has been developing a comprehensive strategy for the financial industry.
Likewise, it has already achieved some significant milestones. Registering your business setup in Sharjah Mainland with the DED will help you in many ways. For example, to get access to the information related with investment opportunities in Sharjah, you have to obtain an I.D. number and get a trade license.
Apply for business licenses for business setup in Sharjah
When beginning your business setup in Sharjah Mainland, it is obligatory to have a business license. Moreover, this ensures that the company is operating legally and making sure that has the necessary documents for its operations.
Companies need to apply for a business license before starting their operations or before they can hire employees. In contrast, some companies may not need one because their operations require fewer workers.
Get the trade name registered
Trade name registration is a legal process for setting up a company in Sharjah that involves filing a form with the DED office. The most common type of trade name registration is when an individual or company applies for their trademark. This is to protect their brand from being copied.
Obtain initial approval
The initial approval often determines a company’s success from the government. That is why companies in Sharjah need to pay special attention to this process.
The first step for any company looking for investment in Sharjah is getting their business registered with the local authorities and obtaining an initial approval letter. This letter confirms that your company meets all requirements and complies with all regulations set forth by Sharjah’s government.
The local authorities of the Municipality of Sharjah are required to do the location and inspection of your project. Finally, the Ministry of Labour gives you the approval to hire employees for your business set up in Sharjah Mainland.
Pay the fees for your business
Sharjah is one of those cities that might be more affordable than other cities. The fees for setting up a company in Sharjah are not as high as you may think. Nonetheless, it is worth considering every option before making final decisions about where to establish your company or branch office.
What are the requirements for business setup in Sharjah?
Sharjah is an economic and industrial hub for foreign investment. It is an exciting opportunity for people to experience different cultures and learn new things. Here is a list of the documents you need to start your business setup in Sharjah Mainland.
- Copy of the tenancy contract
- Photocopies of the certificate of No-Objection letter, visa, passport, and residency verification
- Photocopy of the Land map of ownership certificate
- Approval from Legal Affairs, the Ministry of Economy, and endorsements from other government entities, if necessary.
- Contract with your partner already certified by a public notary
- I.D. and photocopies of your book family
- Technical evaluation report
- Certificate for your trade name
What types of business licenses are in Sharjah?
Sharjah has several different business licenses that you can apply for to start your own business setup in Sharjah Mainland. These include:
The Industrial License in Sharjah aims to create an attractive and competitive business environment for companies doing business in the UAE. It is a license that allows businesses to operate with minimal restrictions within defined areas of activity. You can have an Industrial License in the Department of Industry, Commerce, and Tourism (DICT) of the Government of Sharjah.
The Commercial License is a license that allows companies to operate in Sharjah. It is important to note that this license can be issued only to a company in Sharjah. Moreover, it has to be working for at least three years.
You can have the commercial license from the Department of Economic Development (DED), and it is valid for five years. Besides, the owners must renew the license every five years.
This commercial license will allow businesses in Sharjah to engage in many industries. For example, the manufacturing industry, trading, distribution, construction, and others.
Sharjah has become one of the most progressive cities in the UAE. It has introduced many policies to help its citizens maintain their quality of life. For example, one policy is the introduction of professional licenses. This license allows individuals who have completed specialized courses for setting up a company in Sharjah to work legally.
What business activities can you do in Sharjah?
Sharjah has been called the “gateway to Dubai” and is home to many of the country’s largest companies and organizations. When you are considering a business setup in Sharjah, you must know that this place allows a variety of activities, including:
This type of company formation in Sharjah is essential in the country’s economic development. Manufacturing businesses are primarily engaged in the production of industrial and consumer goods.
These businesses produce various products, such as chemicals, pharmaceuticals, food and beverages, metals, plastics, and other items. The manufacturing division is an important part of creating jobs for the economy and boosting productivity.
The fabrication industry in Sharjah has been a vibrant industry overgrowing over the past few years. However, the main reason for the growth of these businesses in Sharjah is the increasing demand for high-quality and customized products. Sharjah is known for its textile industry and its pearls, gold, and diamonds trade-in.
The packaging business in Sharjah is among the most important industries in the UAE. It is also a very competitive and highly challenging sector with many opportunities and challenges.
There are numerous companies in this region that manufacture, design, assemble, distribute and export packaging materials worldwide. Many companies offer services related to services printing, labeling, and many others.
The UAE has emerged as one of the top e-commerce markets globally, which is why this type of business setup in Sharjah is extremely popular. Likewise, this emirate is home to several world-class shopping malls and business centers that cater to local and international shoppers.
The process for starting a business in Sharjah has grown significantly over the last few years. This is due to its strategic location near Dubai International Airport.
Besides, it offers various incentives for entrepreneurs, such as tax exemptions and free land for development projects. In addition to this, it has many other benefits such as lower electricity and water rates.
Health & fitness consultancy
The health and fitness industry is rapidly growing as people become more and more conscious about their health. In addition to this, fitness centers are also increasing in number. People are looking for ways to get the best out of their workouts and diets.
A health & fitness consultancy comes into play for setting up a company in Sharjah. It helps people to accomplish their fitness goals by offering personalized workouts, diet plans, nutritional advice, and more.
The IT consultancy business in Sharjah is one of the fastest-growing industries in the UAE. This type of business provides website design, search engine optimization (SEO), web development, and e-commerce solutions. Besides, IT consultants can offer digital marketing strategies and IT infrastructure management services.
Sharjah is a popular destination in the UAE, and it is an important hub for tourism. It has a diverse range of attractions, including natural parks and historical landmarks. Sharjah city is also known for its cultural diversity. Likewise, many heritage sites, museums, and galleries are worth visiting.
The process for starting a business in Sharjah in the tourism industry has grown steadily over the past few years. This is due to its vast number of attractions and the improvements made by the government in infrastructure, accommodation, transportation, and other services.
This type of business shows why it is one of the most important cities in the UAE. The sports consultancy business in Sharjah offers various services such as coaching, training, and scouting to different sports organizations. This includes football clubs, national teams, and universities.
What is the cost of a business setup in Sharjah?
The cost of a business setup in Sharjah Mainland varies depending on the nature of the business. However, in general, it is wise to have a capital requirement of at least 150,000 AED. The capital requirement for setting up a business in Sharjah is not necessarily the same as the other emirates.
What is the approximate time for starting a company in Sharjah?
In Sharjah, setting up a business is not very difficult. You can get all the required documents you need to start your company in a few weeks. More specifically, once you start the process of your business setup in Sharjah Mainland, you may be starting your commercial activities after 12 weeks.
Why should you invest in Sharjah?
Sharjah is a beautiful city with rich history and culture, making it an excellent place for someone looking to start their business. Besides, the presence of art, culture, and history is an attractive draw for those interested in living in this city.
In addition to this, here is a list of advantages for investors who are thinking of starting their business set up in this place:
- Sharjah is a free-trade zone that acknowledges the importance of service, trade, and manufacturing sectors in supporting the country’s economy. To encourage foreign investment into these sectors, the company formation in Sharjah offers tax exemptions, free zones, and permissive regulations.
- Sharjah has a prospering economy and is one of the most attractive possible destinations to invest in abroad.
- The trend of business set up in Sharjah has characteristics like solid links to other countries and promoting trade in friendly ways.
- Sharjah has a plan allowing you to collect the product in the region without incurring any charges.
- Furthermore, there are a lot of banks and international companies located in the city, which has a modern communication system.