The gold industry in Dubai has been flourishing since the 1940s because of its free treading systems that have motivated business people from every corner of the globe. Gold trading is one of the major imports in Dubai. If you are interested in the gold business and want to know how to start a gold trading business in Dubai, then you will have to comply with the essential rules and regulations and need to get a trade license. This can be a little difficult, tedious, and stressful process but no need to worry as the Start Any Business UAE professionals are here to provide you with proper guidance and assistance during the process of gold trading business and able to make it successful in an easy way.
When beginning a gold trading business in the UAE, there are many choices available for you. The first decision you will have to make relates to the kind of establishment you want to operate. It can be either a mainland company or a free zone company. There are many free zones in the UAE that allow trading but perhaps none of more suitable as compared to Dubai Gold and Diamond Park. This vast free zone has manufacturing blocks, a big retail center, and warehouses where traders sell their goods to the public. If you don’t prefer to sell to the public directly but rather want to export and import gold from the United Arab Emirates, you can be well suitable for another one.
In any free zone in the UAE, you can expect advantages from an easy and fast procedure for incorporation, ongoing financial incentives, and business support like no restrictions of currency and zero taxation. You are also free from capital repatriation and profits back to your original country. You have also the choice of establishing in the mainland of Dubai. The key benefit here is that you are free to sell gold in the gold market of the UAE.
The Process to Start Gold Trading Business in Dubai
1. Decide for your Company Name
It is an extremely vital phase when setting up a gold trading company in Dubai. There are some points to note when decision-making. You should follow a stringent, still simply to comply with the guidelines of the naming conventions. In short, you have to avoid any blasphemous and offensive language. Avoid names of popular enterprises and avoid abbreviations in case of naming your business after your name. You also need to check that your selected name is available for registration.
2. Applying for your License
Now on to the next and very vital phase is making an application for your trade license. If you are establishing a business on the mainland, you can apply to the Department of Economic Development or equivalent in another Emirate for a gold trading license in UAE. In case you start your company in one of the free zones, then you can apply your license application to the relevant authority of your selected free zone. In many cases, the licenses in the free zone are granted within a few working days. To make sure that a simple procedure, this is the best way is to consult with the business setup consultants in Dubai.
3. Apply for your Visa
Same as applying for your business license, with the proper guidance, the procedure of applying for a visa for you along with your start, is special still simple. If you have any kind of doubts then the business setup consultants will help you with this crucial phase. As a trade license holder in Dubai, you can also partner with others for their visas as well. it can be a parent, a spouse, or a child. You can apply for a number of visas this would be based on the company size, your selected establishment, and your personal profits.
Best Locations for Gold Trading Business in Dubai
Prior to starting a gold trading business in Dubai, you have to understand the dynamics of the location from where you wish to conduct your business in Dubai, the available choices are –
1. DMCC Free zone
Dubai Multi Commodities Center free zone is an iconic place for gold trading business in Dubai founded in 2002, DMCC is now one of the vast free zones in the Emirate. This is a business center for refinement to investing and trade. Trading of diamonds, gold, precious stones, and metals is a major business in this emirate.
2. Gold and Diamond Park
With almost 90 retailers, Dubai Gold and Diamonds Park is a commercial campus. This is a completely air-conditioned multi-storied campus that has different retail offices, shops, and small manufacturing entities. The Gold and Diamond Park is upgraded to 118 manufacturing entities and 350 commercial workspaces under the existing extension schemes.
3. Dubai Mainland
If you want to establish your gold trading business in the mainland, the gold market is the most suitable spot for it. Here, you can sell your products directly to the public. The popular Dubai gold market recognized as the location of gold purchasers is often n the list of visitors. This is a conventional gold souk in the heart of Deira’s commercial district.
Benefits to Start Gold Trading Business in Dubai
Here are some vital benefits, why you need to choose for gold trading in Dubai –
- Several kinds of companies can be incorporated below the laws of Dubai. Unlike the LLC construction, where you share as an overseas is limited, you receive 100% company ownership in the free zones.
- All earnings from business activities can be drawn back into the business as money without paying any tax.
- Corporate tax exemption
- Income tax exemption
- 24/7 conduction features proving the business people advantages of an open always business.
- Migrant workers can be appointed easily with minimum documentation and maximum support from the government.
- Easy accessibility to all supporting business features
- Shuttle services in and throughout the campus.
- The facility of the world-class retail center for traders serves the buyer who buys gold.
Documents Required to Start Gold Trading Business in Dubai
The documents you have to arrange for doing gold trading business in Dubai are –
• Copies of valid passports of the stakeholders
• Updated CV of the company’s manager
• Trade name proof
• Initial approval
• Memorandum of Association and Article of Association
• Verified and notarized power of attorney
• Lease agreement
The Cost of Gold Trading License in Dubai
The overall cost of establishing a gold trading business in Dubai or the UAE would be based on the company size and the location of your company. A gold trading license in UAE, which includes a visa, costs about AED 22,000. You can add this package also the utilization of the on-site peering feature, which costs about AED 25,000.
Also read, List of Things Needed to Start a Business