Opening a Real Estate Agency in Dubai

Property prices in Dubai are softening with a new report by UK-based Global Property Guide (GPG) putting the pace of decline at 2.72 per cent for first quarter 2015. Real estate consultant JLL and Standard & Poor’s expect average house prices to fall by between five and ten percent in 2015. Dubai offers one of the most profitable investment opportunities in the UAE. It is preferred by investors due to its liberal laws and business-friendly environment.

Why Real Estate?

Dubai is a tax free economy with no income or capital gains tax, which makes it a lucrative destination both for residents and investors. Real estate has been one of the most successful small business investment opportunities in the UAE. Here are some reasons why you might consider investing in real estate.

•  Property proves to be a good hedge against inflation. While at such times, high cost of debt servicing can be attributed as additional rent, you can do so even when the value of property inflates and the debt remains unchanged.
•  Rental source of income is a fairly stable avenue of income as it can never fall to zero.
•  Unlike shares and hedge funds, real estate always has a property value, which never falls to zero, not matter how severe the fluctuations in price.
• Investors exercise more control over the timing, size and nature of investments. The main reason is that properties are tangible and available in diverse price ranges and sizes.
• Real estate owners find it easier to procure loans, since banks are more willing to provide loans against collateral.
• Property is open to an investor from any part of the world.

All the above mentioned advantages of the real estate sector can also be marketed in order to bring in customers. To open a real estate agency, you first have to get yourself a license from the Real Estate Regulatory Agency (RERA). Also, you will have to sign up for a course with RERA before you set up shop.

College degree holders take the Real Estate Certified Practitioner’s Training Course, while non-degree holders will take the Real Estate Executive Diploma Program. You can register your company’s name and trade name under the Department of Economic Development.

Much of the procedure can be completed online. You might have to submit various documents for approval. This will get you a commercial license in Dubai. After you get a license, you need to get an office space and a landline phone.

If you are not interested in investing in real estate, then you can look for other investment opportunities in the UAE, such as trade, travel and tourism, food and more.

6 Booming Business Opportunities in UAE

Business in the UAE is booming like never before, be it large, mid-sized or small, and it’s the best time to be in business, at least since the global slowdown of 2008-2009 changed the business world as we know it, says an article published in Emirates 24X7 News in September 2014. If you are planning to take advantage of the various opportunities in the UAE, then you must do your research extensively and invest carefully.

Where to Invest Your Money

Here are few avenues you might want to consider while setting up business in the UAE.

1.      Real Estate – Architects come from all over the world. The UAE is continuously evolving in terms of construction to meet the international standards of investors and tourists alike. Although the real estate sector is cyclical in nature, it offers high growth opportunities. 

2.      Financial Services – Since business is booming in the UAE, firms need financial services, such as accountants, auditors, bookkeepers and more. If you have a solid background in financial specialties, this is one sector in which you can make huge profits by setting up a financial services consultancy. 

3.      Food Sector – With the rise in population, the demand for food is increasing every day. The UAE does not produce much of its own food, but imports most of it, therefore prices tend to be high. Also, the country has a significant culture of eating out in restaurants and cafes, especially in busy shopping malls and at important landmarks.

4.      Trade – Liberal laws, such as zero personal, corporate, wealth and capital gains taxes with nominal custom duties, make it a haven for the trade. It is safe for both shipping and banking, which is an added bonus.

5.      Job Agencies – Hundreds of people come to the country in search of a job every year. Establishing a job agency for skilled and unskilled employees can help you harness the opportunities in the field. It is fairly easy to hire people from all around the world, except a few restricted countries. 

6.      Bars and Night Clubs – The expanding tourism sector has given the much required boost to other sectors related to it. This sector offers immense opportunities for expansion as you grow. Alcohol licenses are generally given out to 4 and 5 star hotels.

Other emerging business opportunities in the UAE are transport, construction, healthcare, security and more.