How to start a Facility Management Company in Dubai:: In Dubai, the vast array of skyscrapers and buildings present an incredible opportunity for your facility management services to thrive.
With the high demand for such services in this bustling city, you can expect to be inundated with clients and job opportunities right from the start.
Embark on the journey of establishing your very own facility management company in Dubai, and seize the chance to capitalize on this remarkable business prospect.
Why start a Facility management company in Dubai, UAE
Dubai is known for its awe-inspiring skyline, which is adorned with remarkable skyscrapers that leave spectators in awe. In addition to these architectural marvels, the city also prides itself on offering an array of luxurious hotels, resorts, entertainment establishments, as well as a diverse range of commercial, industrial, and residential buildings. With such a vast and dynamic infrastructure, the demand for facilities management services in Dubai is ever-increasing.
The facilities management industry in the United Arab Emirates is currently thriving due to the continuous influx of construction projects. This presents a vast range of opportunities and a high demand for facility management services. Therefore, there has never been a better time to establish your own company in this rapidly growing sector of the UAE’s economy.
Benefits of starting a facilities management company in Dubai
Commencing a facilities management enterprise in Dubai brings about a multitude of advantages. As we have previously indicated, Dubai presents a plethora of expansion and construction initiatives that present vast opportunities for businesses operating in the facility management sector.
In Dubai, there is a high demand for maintenance services due to the extensive number of advanced buildings and infrastructure present in the UAE. Fortunately, the authorities in the UAE have simplified the process of starting and running facilities management businesses, making it accessible for entrepreneurs.
One of the major advantages for businesses in Dubai is the availability of a vast pool of highly skilled workers who can efficiently carry out essential maintenance services. The cost of labor in Dubai is comparatively lower than in other countries, which makes it advantageous and profitable for businesses to expand their operations by setting up additional sites or taking on more jobs.
Read: How to Start a Cleaning Company in Dubai (2024 Ultimate Guide)
Steps to start a facilities management company in Dubai
Establishing a facilities management company in Dubai is a relatively uncomplicated process. Below, we outline the nine essential steps required to obtain a facilities management trade license and effectively establish your own facilities management company. By following these steps diligently, you can ensure a smooth and successful setup of your business venture.
Step 1: Partner with Startup Dubai Zone
To begin a facilities management business in Dubai, the initial step involves collaborating with Startup Dubai Zone. By working alongside our team of knowledgeable company formation specialists, we will guide you through every stage of the business license application and establishment process. Moreover, we will act as the intermediary between your company and the appropriate government and municipal authorities, effectively handling all necessary communication on your behalf.
Step 2: Choose a business name
When it comes to selecting a company name in the UAE, it can prove to be a challenging task if one is not well-versed in the stringent regulations that govern this process. These regulations prohibit the inclusion of any blasphemous or offensive language in company names, as well as any references to Allah or Islam, or any implicit associations with renowned organizations or brands.
If you desire to use your own name as the name of your business, you are not allowed to abbreviate it. In order to proceed with this, you will need to submit three different versions of the name to the UAE’s Registry Office for them to verify its availability and grant their approval. Once the Registry Office has allocated and approved your company name, they will notify you accordingly.
Step 3: Choose your business jurisdiction
Once you have successfully completed the task of selecting and officially registering your company’s name, the next step in the process involves making a decision regarding the appropriate business jurisdiction for establishing your company.
In the United Arab Emirates (UAE), the government offers two distinct options for business jurisdictions, namely Free Zone and Mainland. It is crucial to note that each of these jurisdictions comes with its own set of rules, regulations, laws, requirements, and permissible business activities. Therefore, careful consideration must be given to these factors before making a final determination.
Free Zones are highly sought-after in the United Arab Emirates due to their attractive features for entrepreneurs and investors. One of the key advantages is that they provide individuals with the opportunity to have full ownership (up to 100%) of their businesses.
This level of control allows entrepreneurs to make independent decisions and steer their companies in the direction they desire. Moreover, Free Zones offer a significant advantage in terms of tax benefits, as both personal and corporate taxes are non-existent within these zones.
This not only reduces the financial burden on business owners but also encourages investment and growth. Additionally, Free Zones enable entrepreneurs to repatriate all of their profits and capital back to their home countries, which further enhances their financial flexibility and ability to reinvest in their businesses or allocate resources as they see fit.
Overall, the combination of complete ownership, zero taxes, and the freedom to repatriate funds makes Free Zones an appealing choice for entrepreneurs and investors in the UAE.
One significant advantage of mainland companies is that they have the ability to conduct direct trade within the UAE, eliminating the necessity of establishing a branch office, which is a requirement for Free Zone companies.
However, it is important to note that mainland companies were obligated to have a local sponsor, who must be an Emirati citizen, hold a majority stake of 51% in the company.
(This is not applicable now. Now, entrepreneurs hold 100% ownership of the company in Dubai, UAE. This Rule is No Longer applicable.)
Step 4: Get Initial Approval
In order to move forward with the subsequent procedures, it is essential for you to obtain Initial Approval from the Department of Economic Development (DED).
Regardless of whether you choose to establish your facilities management company in a Free Zone or as a Mainland Company, this particular step remains unchanged. It is only after acquiring the Initial Approval that you are able to progress to the subsequent stages of the trade license application process.
Read: How to Start a General Trading Company in Dubai (Cost, License & Steps)
Step 5: Select your business activities
In order to complete your trade license application, it is essential that you clearly state and outline all the business activities that you intend to undertake under your trade license. These specified activities are the only ones that you are permitted to engage in within the United Arab Emirates.
With over 2,000 diverse business activities to choose from, your selection will be influenced by the specific type of trade license that you are seeking. It is crucial to adhere to these designated activities as failure to do so can result in serious consequences imposed by the authorities in Dubai.
If you require assistance with this critical phase, reach out to the knowledgeable team at Startup Dubai Zone for their expertise in guiding you through it.
Step 6: Submit your trade license application
After you have finished following the aforementioned instructions, you will be ready to proceed with submitting your license application to the Department of Economic Development (DED).
To ensure a smooth and successful process, it is highly recommended to seek assistance from Startup Dubai Zone. Their expertise will not only help you avoid any potential mistakes, but also prevent any unnecessary delays or rejections that may occur during this crucial step.
Step 7: Apply for your visa
Once your trade license has been approved and you have successfully completed the payment process, you have the opportunity to proceed with the application for your United Arab Emirates (UAE) residency visa, which allows you to establish your life and career in the vibrant city of Dubai.
It is important to note that, depending on the specific requirements outlined in your trade license, you may also have the privilege of sponsoring visas for your family members and employees, paving the way for them to join you in this bustling metropolis.
Step 8: Grading your facilities management company
The Real Estate Regulatory Authority (RERA) in the UAE is responsible for evaluating and categorizing facilities management services in Dubai. Acquiring a RERA grading is an essential requirement for facility management companies to participate in project bidding.
Consequently, only companies with a specific grading are eligible to apply for projects of corresponding grades. It should be noted that the higher the grading obtained by a company, the wider the range of contracts and projects they are qualified to oversee and manage.
Step 9: Open your corporate bank account
You are now eligible to establish a corporate bank account for your facilities management company in Dubai, which marks the final milestone on your journey to officially commencing your business operations in this vibrant city.
Cost of starting a facilities management
The initial investment required to establish a facilities management company in Dubai typically ranges from AED 20,000 to AED 40,000.
The precise amount is subject to various factors, including the specific type of business license, the expenses associated with company registration, visa procurement, government fees, municipal approvals, and rates, as well as the costs related to securing suitable office space, acquiring necessary equipment, and other miscellaneous expenditures.
Startup Dubai Zone has the expertise to offer you a complimentary estimate on the expenses associated with obtaining a trade license and establishing a company, as well as enlighten you on the other financial aspects of initiating facilities management operations in Dubai.
Our knowledgeable team is well-versed in aiding and backing investors and entrepreneurs throughout the entire process of turning their innovative concepts into tangible ventures.
Facilities management license activities
There are many facilities management licensing activities that you can choose from when selecting it for your business license. These include the following:
- Maintenance
- Elevator maintenance
- Plumbing
- Cleaning
- Fire safety
- Pest control
- Security
- Renovation
- Carpentry
Business setup in Dubai with Startup Dubai Zone
Starting a business in the UAE becomes a hassle-free experience when you collaborate with Startup Dubai Zone.
With the UAE’s simplified procedures for obtaining trade licenses and establishing a company, our team of professionals ensures that you not only save valuable time and money but also avoid the annoyance of unnecessary setbacks or refusals when initiating facilities management operations in Dubai.
Startup Dubai Zone’s team of experts can assist you in setting up your facilities management services company in Dubai promptly once you furnish us with the necessary paperwork and details.
From there, we will handle all aspects of your business setup, liaise with the appropriate government entities, and keep you informed until you are prepared to commence operations as a grocery shop in Dubai. Our seamless process ensures that starting your venture is hassle-free and straightforward.
Read:
- How to Start Laundry Business in Dubai in 2024 (How-to Guide)
- How to set up a food business in Dubai (2024 Ultimate Guide)
We hope now that you know how to start a Facility Management Company in Dubai. So, if you are willing or planning to start a Facility Management Company in Dubai, please feel free to get in touch with us, contact us to book free business consultation with our company setup experts and we will guide you every step of the way.