Dubai, well known for its stunning infrastructure, liberal trade policies, favorable tax law and diversified economy, has always been a fertile ground for traders. When it comes to trading, as per the report of 2017, Dubai had a total of foreign trades worth AED 1.302 Trillion, out of which imports were AED 798 Billion and re-exports were AED 360 Billion.
Out of the total trading, one of the noticeable trading is of Gold, Diamond and Precious Metals, and the number one location for such trading to take place in Dubai.
According to the Statisticians, gold exports in Dubai represent 30% of the total. A tourist visiting Dubai would most likely not return without purchasing the gold. So, if you are planning to venture into a business related to Gold, Diamond and Precious Metals, setting up a company in Dubai is definitely one profitable idea.
The question now will be: where to set up a business in Dubai?
The ideal jurisdictions to start Gold, Diamond and Precious Metals trading are:
Dubai Multi Commodities Centre (DMCC)
Dubai Multi Commodities Centre (DMCC) , established in 2002 located at Jumeirah Lake Tower (JLT), which is opposite to Dubai Marina Beach and Emirates Mall, is taking advantage of inbuilt infrastructure and other facilities.
Although DMCC is known as a hub for trading companies and provides room for all types of activities, but trading in Gold, Diamond and Precious Metals is a major business in this free zone.
The advantages of establishing a Gold, Diamond and Precious Metals trading business in DMCC are:
- No corporate or personal taxes
- 100% company ownership
- Total repatriation of profits and capital
- A secure business environment with 24/7 video surveillance, fire alarm system and all-time security personnel
- 24/7 access to operational facilities
- Well-built infrastructure
Dubai Gold & Diamond Park
Dubai Gold & Diamond Park (GDP) was established in the year 2011, situated on Sheikh Zayed Road is a place for 90 leading retailers also offer custom-made jewellery work due to which it becomes a target location for new investors. This free zone has become a must-see place for all customers and tourists.
GDP is the place where an office booking can be done but, the regulatory authority will be Jebel Ali Free Zone Authority (JAFZA). So, investor will have to first apply for initial approval to JAFZA and then get into a tenancy agreement with GDP.
The advantages of establishing a Gold, Diamond and Precious Metals trading business in GDP are:
- It is located at the heart of Dubai.
- It offers 100% ownership for foreign nationality so that the shareholders do not need to share profit.
- There is no corporate tax.
- 24/7 freedom to trade physical gold in Dubai.
- No restrictions on hiring employees.
- Essential air conditioning in all units of office.
- Central gas supply arrangement to every unit of the building.
- 24 hours, 7 days a week security staff & video observation, fire alarms as well as fire defense systems.
- Healthy and work loving atmosphere with appropriate ventilation systems; exhaust services as well as provision of acidic dumping and collection of waste.
- Outstanding retail midpoint facilities and environment, helping tourists and shoppers.
Mainland company
When you are thinking to establish a mainland company for gold trading, Gold Souk is the best destination. Gold Souk is a well-known traditional market in Deira with more than 350 retailers who trade in gold and precious metals.
- It is located at the heart of Dubai.
- Exempt from indirect taxes
- Strategically located in the heart of Dubai
- No specific minimum capital requirement and no paid-up share capital requirement
- Easy to hire employees
- Easy to conduct business in any part of UAE.
If you are looking for Gold, Diamond and Precious Metals trading, Dubai will definitely be a great choice. The first step is to reach out to a business consultant so that they can guide you with the structuring, budgeting and legalities in Dubai.
N. R. Doshi And Partners can assist you from the scratch till the end like from setting up business to liquidation, from maintaining the books of accounts to auditing the books of accounts, from HR consultancy to Payroll services, from VAT registration to VAT quarterly filling, from providing internet connection to providing software systems and many more.
Just contact us on incorporate@nrdoshi.ae . We will be happy to assist you.