Expand your Malaysia business to the EAU sacrifices numerous opportunities in a rapid market. The EAU have become a global business center, attracting businessmen around the world. EAU has also seen remarkable growth in its business sector. For example, the duration of the first nine months of 2024, the Dubai Chamber of Commerce welcomed more than 51,000 new companies, marking an increase of 4% compared to the previous year.
In addition, the value of exports and re -exportations by its members reached 224 billion AED, which reflects a growth of 7% year after year.
Abu Dhabi has also experienced significant commercial growth. The global market of Abu Dhabi (ADGM) reported a 31% increase in the duration of the company’s records, the first half of 2024, with assets under administration that increase by 226% compared to the same period of the previous year.
For companies in Malaysia, expanding to the EAU means taking advantage of a dynamic market with a strategic location, favorable fiscal policies and a support business environment. The EAU’s commitment to diversification and economic innovation further improves their attractiveness as a destination for the expansion of international businesses.
Why register a company in the EAU of Malaysia?
The business configuration in Dubai in Malaysia comes with several advantages, so it is a strategic movement for entrepreneurs seeking to grow international. Here is why establishing a company in the EAU is a great decision:
1. 100% foreign property
Recent reforms now allow full foreign property in many business sectors, which gives Malaysia entrepreneurs total control over their businesses.
2. Easy and fast business configuration
Compared to many other countries, the EAU offer a process of regulating the company rapid and simplified. In some free areas, companies can be configured within 1-2 days with minimal paperwork.
3. Residence visa for entrepreneurs
By establishing a business in the EAU, Malaysia investors can request a residence visa, allowing them to live and work in the country while enjoying the benefits of the EAU residence.
4. Lower corporate tax rate than Malaysia
The corporate tax is only 9%, and it is applied only to companies that earn more than 375,000 (~ MYR 480,000) per year. Many free zones still sacrifice the zero corporate tax for specific sectors. While the corporate tax in Malaysia is 17% for profits of up to MYR 600,000 and 24% for profits above that, which is significantly higher than in the EAU.
5. Best banking system for foreign entrepreneurs
The EAU banks survey multiple accounts, digital banking and international transactions without restrictions.
6. No currency restriction
Eau companies can trade freely in multiple currencies without restrictions. While Malaysia has currency controls, which require approvals for large transactions.
Types of commercial structures in the EAU
When establishing a business in the EAU, choosing the correct commercial structure is crucial. The EAU offer three main types of commercial configurations, each with their own advantages depending on their commercial objectives.
1. Continental Company (for local trade and government contracts)
A continental company is registered under the Department of Economic Development (DED) and allows companies to operate in the EAU and International.
Key benefits:
- Ideal for companies that seek to trade directly in the EAU market.
- 100% foreign property is allowed in most commercial activities.
- You can offer for government contracts, unlike the free zone or offshore companies.
- There are no restrictions in the office location: companies can open branches anywhere in the EAU.
2. Free zone company (for tax benefits and 100% property)
A free zone company operates within a designated economic zone and is ideal for companies aimed at international markets.
Key benefits:
- 100% foreign property without the need for a local partner.
- 0% Corporate and Personal Income Tax in most free zones.
- There are no customs tariffs on imports and exports within the free zone.
- Faster configuration process, with some licenses issued in 1-2 days.
Documents required for the registration of the company in Eau de Malaysia
If you are a Malaysia businessman who seeks to establish a business in the EAU, you must prepare certain documents to complete the company’s registration process. This generally includes:
- Passport copies
- Visa copy (if the applicant is already in the EAU)
- ID of Emirates (if appropriate, for the residents of the EAU)
- Business name certificate
- Association memorandum (MOA) (for continental companies)
- Bank Reference Letter
- Office lease agreement (free or free zone lease contract)
- Business Plan
- No objection certificate (NOC)
- Notarial power (POA) (if you designate a representative to handle the record in your Walf)
Commercial license type
Registering a company in the EAU of Malaysia, choosing the correct commercial license is crucial. These are the main types of commercial graduates available in the EAU:
1. Commercial license
The commercial license is for companies involved in commercial activities, including import/export, retail trade and electronic commerce. It allows entrepreneurs to participate in the sale and distribution of goods within the EAU and International.
2. Industrial license
The industrial license is an application for companies that are dedicated to manufacturing and production. This includes factories, food production units and textile or machinery manufacturing companies that require industrial facilities and raw materials.
3. Professional license
The professional license is ideal for services based on services, such as consulting companies, independent workers, artisans and health professionals. Individuals or companies that provide specialized services based on their experience are issued.
4. Independent permit
Freelancer’s permit is suitable for independent professionals in fields such as digital marketing, content writing, IT and photography. It allows people to operate independently without the need for a local sponsor or a physical office.
How to register a company in the EAU of Malaysia?
The registration of a company in the EAU of Malaysia implies several steps, from the selection of a commercial activity to restore the necessary approvals. Here is a step by step process:
1. Choose a commercial activity
The first step is to determine the nature of your business, whether it implies trade, consulting, manufacturing or other services. The EAU offer several commercial licenses based on the activity you select.
2. Select a jurisdiction
You can configure your business in one of the three jurisdictions:
- Continent: It allows you to operate anywhere in the EAU and International.
- Free Zone: It offers complete foreign property, fiscal benefits and the easiest configuration of the company.
- Offshore: Suitable for international businesses and asset protection, but cannot operate within the EAU market.
3. Choose a company structure
Select an adequate legal structure, such as a single property, LLC (limited liability company), branch or free zone establishment, depending on its type of business and property preferences.
4. Record the commercial name
You must choose a unique commercial name that complies with the regulations of the EAU and register it with the Department of Economic Development (DED) or the authority of the corresponding free zone.
5. Get initial approvals
Certain commercial activities require preprovalas of specific government entities, such as the Central Bank of the EAU, the municipality or the health authority, depending on the industry.
6. Get the commercial license
After sending the required documents and approvals, you can obtain your commercial, industrial, professional or tourist license from the relevant authority.
7. Request a residence visa of EAU
As an entrepreneur of Malaysia, you can request a visa of investors from the EAU to reside and operate your business in the country. You can also sponsor visas for your employees and family.
8. Open a corporate bank account
Once your company is registered, you can open a commercial bank account with an EAU bank to manage transactions. Different banks have specific requirements, and choosing the correct one is essential for soft operations.
Shuraa’s business configuration can help you throughout the process, manage documentation, approvals and training of the company, ensuring a configuration without problems and without problems.
How much does it cost to start a business in Dubai from Malasia?
The cost of registering a company in the EAU of Malaysia varies according to the structure and location of the business. For continental companies, the commercial license rate starts from AED 12,900 annually. In free zones, the cost of the license ranges between 10,000 and 50,000 AED per year, depending on the selected free zone and the type of business. Additional costs may include the registration of commercial names, visa rates, office space rental and administrative charges.
Note: It is advisable to consult with a professional business configuration consultant in Shuraa to obtain precise and updated information adapted to their specific needs.
How can Shuraa business configuration help
The business configuration in Dubai in Malaysia is a great opportunity to grow in a strong and friendly market with taxes. With the full foreign property in many easy -to -see sectors and commercial policies, the EAU is the perfect place for Malaysian entrepreneurs to expand. While the process may seem complicated, Shuraa business configuration It makes it simple.
We take care of everything, legal paperwork, company registration, bank account configuration, visas and even office space. Contact Shuraa today and let us help you start your EAU business without problems.
