How to Start a Business in Sharjah

1. How to Start a Business in Sharjah? Sharjah is a well-known and culturally rich emirate in the UAE. Its strategic location between Dubai and the Northern Emirates, along with business-friendly policies, makes it an attractive option for foreign entrepreneurs and investors looking to start a business. The UAE government has set up various free zones in Sharjah which offer many advantages such as a simple registration process, 100% ownership, and tax benefits. This blog will guide you through the steps ofcompany formation in Sharjahfrom India, including the types of business entities you can establish, their benefits, necessary documents, and more. Types of Business Entities in Sharjah When setting up a business in Sharjah, you can choose from several types of business entities based on your goals. Here’s a breakdown: •LLC (Limited Liability Company): This is a mix of a company and a partnership which allows up to 50 shareholders. It protects owners’ personal acquisitions from liabilities of the venture. •Partnership:If two or more individuals wish to commence a venture together, they can form a partnership. However, this type of business has

2. unlimited liability which means owners are responsible for all debts which can affect their personal assets. •Sole Proprietorship:This is a business acquired by a single individual who keeps all profits and bears all losses. The owner has unlimited liability, so personal assets are at risk if the business incurs debts. •Private Shareholding Company:Owned by two or more private individuals, this company can raise capital through shareholders, but its shares are not traded publicly. •Joint Stock Company:This company is owned by shareholders who can buy and sell shares on the stock market and allows for public investment. •Branch Office:You can also operate a branch office in Sharjah, which is an extension of an existing parent company and shares the same name and functions. Benefits of Starting a Business in Sharjah Here are a few interesting advantages of business setup in Sharjah from India. Keeping in mind these benefits, one can surely gain considerable profits. These include-

3. •Access to Skilled Talent:When you start a business in Sharjah, you can easily find skilled workers from around the world. This talent can help you build a successful international company. •Full Foreign Ownership:One of the prominent benefits of initiating a venture in Sharjah is that you can own 100% of your company. This means you can fully control your business and keep all the profits you earn. •Strategic Location:Sharjah is ideally located between the northern Emirates and Dubai which makes it easy to reach markets in Africa and India. This location can be a big boost for your business. •No Currency Restrictions: Unlike some other emirates, Sharjah has no restrictions on currency. This flexibility is beneficial forinvestorsand makes it convenient to handle your business transactions. •Supportive Business Environment: The Sharjah government is very supportive of foreign investors. They have created various benefits and policies to make it favorable forentrepreneursto commence and expand their businesses. Process of Starting a Business in Sharjah If you want to start a business in Sharjah, here’s a straightforward process to follow: 1.Choose Your Business Activity Begin by deciding what type of business you want to run. In Sharjah, you can pick almost any activity without restrictions. 2. Decide on a Legal Structure Next, determine the legal structure of your business. Options include: •LLC (Limited Liability Company) •Sole Proprietorship •Partnership •Branch Office •Private Shareholding Company •Joint Stock Company

4. Choose a structure that fits your business plan. For example, if you prefer to run the venture alone, a sole proprietorship is an apt choice. If you want to share profits and losses with a partner, consider a partnership. A limited liability company is popular among foreign investors since it protects personal assets. 3. Select a Location Decide where to set up your business. You can choose betweenSharjah’s free zonesor the mainland. Free zones allow you to fully own your business and offer tax benefits, while mainland businesses can operate in all UAE markets but may have some ownership restrictions in specific sectors. 4. Reserve Your Trade Name After choosing your legal structure, register your business name with the Department of Economic Development (DED). Submit three name options for approval and ensure they don’t resemble existing businesses or include religious terms. 5. Draft Necessary Agreements Create a Memorandum of Association (MOA) that outlines your business structure and shareholder responsibilities. If you’re starting a branch of an already established company, include the parent company’s MOA. You may also need to sign a Local Service Agent (LSA) agreement if required. 6. Apply for a Business License Next, apply for abusiness license. If you’re in a free zone, go through the respective authorities. Your license type depends on your business activity, whether it’sindustrial,professional, orcommercial. Submit the necessary documents and pay any fees online or in person. 7. Open a Corporate Bank Account Select a local bank to start a corporate bank account for your business finances. 8. Find Office Space Look for anoffice to rentor purchase in your favorable location. Both the mainland and free zones offer excellent office facilities. 9. Apply for Employee Visas Finally, apply for visas for your employees, following local labor laws.

5. Conclusion Sharjah is a popularchoice for entrepreneursdue to its well-thought-out location and encouraging business environment. It allows for quick setups without minimum capital requirements and makes it ideal for small and medium businesses. Additionally,business setup in Sharjah fromIndiacan benefit from free warehouse space for two months to store goods. Source Url: https://medium.com/@sabindia/how-to-start-a-business-in- sharjah-20ad707dbdf2