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To Do Something And To Do Something Right Are Two Completely Different Things.

December 17, 2021

While whoever starts their e-commerce business dreams of it to be the next Amazon, eBay, or Alibaba. It is very necessary to make sure you set up your business the right way.

 So before you start your e-commerce business in Dubai, here are a few things you must ensure:

1) The Right Business Structure

One of the most critical steps in setting up your business in Dubai is determining the structure of the company. The structure of your company should primarily depend on your activities and preferences, such as if you want 100% ownership or prefer having a local sponsor or partner.

In e-commerce businesses, the ideal company structure is usually a Limited Liability Company and a Free Zone Company. However, getting advice from a business setup consultant will help you determine the right structure for your e-commerce company.

2) The Right Jurisdiction

You can have the freedom to sell or trade your products and services directly to the local market with a mainland license. Whereas registering your company in a free zone requires working with a local distributor. 

However, there are more than 30 free zones in Dubai where each one of them offers complete foreign ownership and the ability to trade internationally. 

When choosing a jurisdiction, you need to keep a few factors in mind. The factors that should definitely benefit your business in terms of building market share and scalability.

3) Your Business Name Registration

The most important step while establishing your business is choosing the right name for your business and trademarking it. And while registering your name you will have to provide several alternatives in case the name is already taken. Only then you can trademark for protection.

Trademarking your business name will prevent others from using your brand or company name. The investment you have made into the logo and brand name can be safeguarded and protected by trademark.

4) Online Presence

As an e-commerce business, you need to establish your online presence.  The website is a very crucial website, you must showcase your products or services with credibility. Coming up with a digital marketing strategy is a must as well.

The most important things to keep in mind while making your website are being user-friendly, secure, optimized for mobile use, the mode of payment and easy to navigate. Based on a study by Google, it is noticed that more than 50% of users leave the website if it takes more than 3 seconds to load. 

5) A Business Bank Account

After you successfully register your business and apply for a license, you must open our business bank account. 

Most people simply want to use their personal account instead of a business account to avoid additional fees. However, this makes it difficult to track your finances combined and confusion can be created when determining the tax liabilities and cash flow of your business. As a result, it can cause inaccurate bookkeeping.

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