Let´s start your
future in Dubai

Dubai has experienced a decade-long construction boom and holds the title of the city with the highest number of skyscrapers with a height greater than 300 m. The tallest building in the world, the Burj Khalifa at 828 m, is also located in Dubai. It was called Burj Dubai until its inauguration in 2010, when it was renamed in honor of the President of the United Arab Emirates. The building has 163 floors, with the lower 38 floors belonging to the world’s first Armani Hotel. The floors above are offices and suites. The 124th and 125th floors are used as a viewing platform with a 360-degree view. An elevator ride to the 456 m high floors takes only 55 seconds.

Finally, there is the possibility of a ‘Limited Liability Company (LLC)’.

However, this has the significant disadvantage that an Emirati must receive at least 51% of the shares in the company. This local partner, who receives a certain functional fee, is required pro forma, comparable to a trustee e.g. B. in Liechtenstein. The local sponsor is required to do business in Dubai, especially when it comes to physical goods that are to be sold internationally.

However, his 51% share does neither entitle the local partner to a say in company decisions, nor bank account access, shares in profits or to benefit from the proceeds of a later sale of the company. All investors in the company, i.e. the founder and any business partners, can only split the remaining 49 % among themselves.

Internally, however, investors can divide all profits differently through corresponding contracts. So if, for example, an investor invested a million euros to own half of the company, he would nominally get half of the 49 % (24.5 %), but receive half (50%) of all profits. There is no 1:1 ratio between profit sharing and corporate rights.

Because this condition displeases many immigrants, they often resort to establishing a Free Zone Company in order to be able to control 100% of their company. The catch here, which many underestimates, is the difference between business acumen in Germany or Europe and that of the United Arab Emirates.

Establishing an offshore company was a popular option in many countries around the world to protect existing assets and at the same time reduce bureaucratic effort to a minimum. This option is also open to you in the Emirates.

With an offshore company you can keep 100% of your company’s shares, you do not have to rely on a local and the names of the partners remain anonymous. Although this set-up does provide a few advantageous opportunities, offshore companies are also considerably restricted in a multitude of settings, which is why it is not advisable to save on costs during the company formation process only to be surprised by expensive mistakes in the long run. We would be happy to advise you as part of our personal consultation.

In Dubai, you will be able to live tax-free, experience prosperity and enjoy the best weather at the same time. Well-known entrepreneurs, who have successfully relocated their company and private residence to Dubai with our support, perceive life there as very open and motivating. While envy plays a major role in the corporate culture of many European countries, growth and motivation are more important in Dubai City.

The success of other spurs oneself on to higher achievements and mutual praise is abundant. Dubai is considered a very safe emirate, but it should not be forgotten that despite modernity and progress it is an Islamic country. Women in particular should be careful to dress appropriately and keep themselves covered from the neck down. Swimwear should only be worn on hotel grounds or in your private residence.

In order to live in Dubai you need a visa, for which you have 3 options:

UAE Residency Visa, also called Investor-Visa

VAE Employment Visa

Family Visa

The Family Visa can be obtained by shareholders, managing directors or employees for their families. As an employee, you need the Employment Visa and should ideally present it to your employer before entering the country. You can obtain the investor visa when starting a business in Dubai or another emirate or when investing in real estate in the UAE. With an investment in a property in Dubai you benefit from unusually high rental returns and an extraordinary increase in value.

It is crucial that you specify the correct business activities when starting your business. A total of 2100 different licenses are available to you, and if invoices and selected business activities do not match, payments are frequently not accepted or are immediately frozen. In the worst case, the bank account may even be permanently blocked. A later change in business activity is only partially possible. Therefore, the choice of licenses is the most important pitfall when setting up a company in Dubai and is particularly important when establishing the Free Zone Company. When starting a MainLand Company, you can adjust the licenses as you develop new lines of business. We will be able to advise you holistically before founding a company, so that you can choose the right business activities and thus proactively prevent this problem.

When looking for a partner who will accompany you on the way to establishing a company in Dubai, you will come across numerous, often overpriced offers from various agencies. They advertise themselves with a swift implementation in the tax haven and knowledge of the customs in Dubai. Our experience however shows that they may know their way around Dubai (if at all), but are not familiar with the German and European systems.

In practice, this often leads to the following problems:

The DTAs and subtleties in the relationships between the various countries in Europe and the Emirates are ignored.

Long waiting times because there is no direct cooperation with the DED

Clients are often left alone with their questions

Misunderstandings with the authorities

Incorrect/incomplete selection of licenses

These agencies usually charge € 20-30,000 for their services.

My mission is to help as many people as possible to dramatically reduce their tax burden. So many of us work, day in day out, without ever actually living. They spend most of their time running like a hamster in a wheel to build up wealth and fortune — despite their high tax burden. I would like to support you in spending your time doing the things that you really enjoy, savoring your freedom to the fullest and at the same time achieving your goals within a few weeks to months.

Schippke Wirtschaftsberatung AG works with top tax consultants and experienced lawyers to find the best solution for you. Whether you would like to reduce your tax burden in your native country, travel the world as a location-independent entrepreneur or want to permanently live in another country as good as tax-free.