United Arab Emirates is also one of the most desired destinations for entrepreneurs nowadays. As one of the numerous successful industries, the Furniture Business also saw unmatched growth in the recent past. With booming real estate, luxury hospitality, and constantly growing expats and residents, the demand for practical as well as luxurious furniture continues to grow.
If you want to explore the interior production of high-quality interior, office interior, or home furniture, UAE is a highly business-friendly country to initiate and expand a manufacturing unit. Taxtube Consultancy makes all this happen for you, whether license and approvals or bank and visa.
Why UAE is the Best Place for Furniture Production
The UAE is more than a developing regional market. Strategically located, it is a gateway for international commerce between Europe, Africa, and Asia. World-class logistics hubs, one of the world’s busiest airports and seaports, are available. It is thereby inexpensive and convenient to export finished goods and import raw materials.
Also, continuous construction of property complexes, residential complexes, hotels, and offices ensures continuous local demand. With each new development — flats to luxury hotels — comes potential for furniture makers. Incentives from the government for industrial operations also benefit the UAE reputation as a production and export base, making it a thriving hub for the Furniture Business.
Selecting the Best Business Model
Starting a furniture-making business in the UAE, entrepreneurs have the option of selecting:
- Mainland Company
Most suitable for such businesses who desire to sell locally to the direct market. You are able to sell to corporate, government projects, hotels, and retail shops across all Emirates under mainland license.
- Free Zone Company
Best suited for investors who want 100% foreign ownership, tax incentives, and easy rules. Free zones like Dubai Industrial City, RAKEZ, and Industrial Free Zones of Sharjah are best suited for manufacturers. They get industrial units, warehousing space, and logistics under one ecosystem.
- Licensing Furniture Production
You will require an Industrial License for commercial trade, which allows:
Manufacturing of furniture made of wood, metal, or plastic.
Interior fit-outs and upholstery.
Export of finished products and raw material import.
Secondary business activities in the form of wholesale and retail selling.
Subject to the level of production, extra approvals from the municipality, environment department, or civil defense may be needed.
Advantages of Establishing in the UAE
Establishing a furniture making business in the UAE is associated with several advantages:
- 100% foreign ownership in free zones.
- No personal tax and corporate tax exemption in certain free zones.
- No restriction on repatriation of earnings overseas, full repatriation of profits.
- Investor residency visas, family members, and employees.
- Access to more than 180 markets worldwide.
- Good legal protection under UAE commercial law.
- Increased credibility with “Registered in Dubai” branding.
Working and Expanding Your Furniture Business in the UAE
After establishing your business, the UAE is a good location to expand. Industrial parks offer responsive factory and warehouse units which you can increase in size over time. You can employ top-level people from anywhere in the world, backed with efficient visa procedures.
The marketing and sales opportunities are also promising.
- Exhibit your products at Abu Dhabi and Dubai trade shows and exhibitions.
- Establish relationships with building contractors, property developers, and hotels.
- Sell through the UAE online shopping website.
- Grow locally by going into the African and GCC markets using re-export outlets.
You would also have to comply with local regulations, keep orderly books, and renew yearly licenses. You can do that with the constant assistance of Taxtube, helping you establish and expand your Furniture Business in the UAE.
Step-by-Step Procedure with Taxtube
Identifying your business activity and intention.
Suggesting the appropriate structure — Mainland or Free Zone.
However, other approvals when necessary.
Finding suitable factory or warehouse accommodation.
Owner and employee residence visa preparation.
Opening a corporate bank account assistance.
Conclusion
UAE furniture markets are flourishing with the support of real estate development, hotel requirements, and international trade opportunities. Presence in the UAE provides you with access to both strong local markets and export markets internationally, both within a low-tax and business-friendly environment.
We at Taxtube Consultancy offer turnkey services such as banking and licensing and facilitate your setup process to be easy and affordable. We will help establish and open your furniture business in one of the most lucrative markets across the globe.