How To Choose The Best Location In Dubai To Start A Business

How to Choose The Best Location in Dubai To Start A Business


Dubai is hands-down the premier business hub of Asia. Businesses of all categories and domains find a home in the UAE, and with the recent business-friendly laws passed by the government, foreign investments have reached an all-time high. The United Arab Emirates is home to more than 48 free zones and several offshore business locations alongside the coveted Dubai mainland in the heart of the country. 

Therefore, your decision to start a business in Dubai is the right one. All you need is the appropriate guidance from legal advisors to finalize the best business location for your company. When you have an idea of how to analyze a location from a business perspective, the choice becomes simpler and straightforward.

How to choose the perfect business location in Dubai?

How To Choose The Best Location In Dubai To Start A Business

Before you finalize a location for business setup in Dubai, you must know the various aspects that make a location good or not-so-good for your company. There’s no “bad for business” location in the UAE. However, it’s up to you to find the best location to start your business, and your choice will become simpler when you analyze based on the points mentioned below:

1. Transportation facility

One must choose a location where there is an ease of transportation facility. Many businesses may need to manufacture the product in one place and then distribute or supply it to different locations in the UAE. Moreover, reaching out to government agencies like custom authorities should not be difficult. Look for a location where the transport infrastructure is meeting all of your business requirements. Otherwise, it can lead to problems such as delays in delivery, packaging, shipping, and other important operational activities. To avoid such obstacles, it is advisable to assess these aspects before getting into action.

2. Operational and establishment cost

The primary objective of every business is maximum profit with minimum cost. Before selecting a location to start a business in Dubai, the business owner must analyze the cost estimates. Every location provides different cost sheets, and which location is ideal for your business totally depends on your business size and future prospects. If you expect to expand eventually then you can see locations that provide the required infrastructure at minimum cost. Otherwise, expansion plans can become costly.

3. Simple business processing

There are various business processes that require regular attention and approvals from various authorities. No business would like to run and hassle for such work. So it’s better to check beforehand that all these agencies, authorities, and offices are easy to reach. Additionally, do confirm that all these formalities can be done smoothly in all possible ways. It could prove to be the most significant aspect for considering the location. Many regions are famous for straightforward official formalities and business experts in Dubai help you differentiate them on various grounds.

4. Favorable business conditions

Transportation, cost, and all other aspects would be of no use if the location is not providing a favorable working environment for your business. In Dubai, different places are specialized for different business types. For instance, a place could be best suitable for the construction business, but it has nothing to do with the designing profession. Therefore, to avoid such disasters and save your business from a crisis, ensure that the place has the suitable infrastructure, market conditions, resource availability, etc., needed for your business growth.

5. Growth opportunities

This is an extension of the above point. It’s critical to invest your money in the right location but to achieve exponential growth, you also need favorable market conditions. Therefore, before entering into the market, study your competitors, track record, expected profitability, and the associated growth opportunities. Understand the opportunities for new firms, startups, branch offices, joint ventures, etc., and then make an educated decision about the location. Therefore, it’s important to understand and evaluate all these aspects before investing hefty sums of money in a new business.


Considerations before starting a new business in Dubai

  • Local sponsor

When you enter the market in Dubai, you may need assistance from a local sponsor or partner to expand your business and unlock the full potential of your business in the UAE. They will hold a 51% share in the company but in return provide exclusive advantages that’ll work toward business prosperity. 

  • Free zones

Free zones are the ideal pick for foreign investors who want to enjoy 100% business ownership. Business setup in Dubai is one of the free zones doesn’t require you to have a local sponsor, offers speedy business processes, and duty-free customs boundary. 

  • Agent for assistance

You’ll need assistance from a company formation agent to start a business in Dubai. Furthermore, these agents provide end-to-end assistance and take care of documentation, legal formalities, etc., to lower the burden off your shoulders by doing all the heavy lifting for you.

  • Acquiring a license

You need to get relevant licenses for starting and operating your business in Dubai. It’s advisable to cross-check your business activities and then apply for the license. Remember, carrying out an activity that your license doesn’t permit counts as an illegal act and results in repercussions.

  • Double-check every legal and formal agreement

Whether it’s an agreement with the local sponsor or a formal bank document, ensure that everything is written clearly and you are well aware of it. These small things can make a huge impact in the long run. Any problem or discrepancy in paperwork can put you and your business into big trouble. Therefore, it’s always wise to collaborate with business consultants at Shuraa who ensure that every process is transparent and risk-free.

Best locations to start a business in Dubai

An ideal business location offers advanced infrastructure, necessary amenities, hassle-free resource availability, etc., at reasonable prices. Listed below are some of the best locations to start a business in Dubai:

Dubai International Financial Centre (DIFC)

The DIFC is rated among 10 of the best financial centers in the world. It’s the ideal location for business setup in Dubai if you’re looking to launch your company in the finance domain. It has a common-law framework and an independent judiciary. Fintech businesses, lifestyle stores, etc., flourish in the DIFC.

Bur Dubai

There’s no place better to start a hospitality business than Bur Dubai. Moreover, commodity trading businesses also find favorable business conditions in this region. You’ll find all the ultra-modern technologies and complete digitization in this region. It’s the perfect representation of the Middle East’s culture and tradition.

Sheikh Zayed Road

SZR is the most iconic road in Dubai. It houses several multinational companies and provides the ideal environment for the up-and-coming business too. Residential ventures and professional service businesses are best suited for Sheikh Zayed Road.

Shuraa – Your business companion

Any location that falls within your budget and inclines with your business model becomes the best location to start a business in the UAE. Investors willing to spend hefty sums of money might prefer lavish regions, while budding startups would go for a free zone establishment. Be it the location or company formation in Dubai – Shuraa Business Setup covers everything for you. Get in touch with our business consultants today. 

Call at +971 44081900 to connect with our experienced consultants. You can also send a WhatsApp message at +971 50 777 5554. For email assistance, you can write to us at


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