Start a mobile app company in the UAE
With millions of free apps available on both the Play Store and the Apple Store, the mobile app industry is growing at incredible speed. Today, there are apps to read a book, monitor your sleep, exercise and diet, and more. The UAE offers a wide variety of opportunities in this industry, for this reason, today you will learn about the setup of a mobile app company in the UAE.
In this article, you will learn about app development, the most suitable free zone for the setup of a mobile app company in the UAE, the advantages of forming this type of company, and how we can help you with the setup of your company.
- What is mobile app development?
- Aspects of the setup of a mobile app company
- How is the setup of a mobile app company in the UAE?
- What is the cost of starting a mobile app company?
- Most suitable UAE free zones for the setup of a mobile app company
- Advantages of setting up a mobile app company in the UAE
- How can we help you with the setup of a mobile app company?
1. What is mobile app development?
Mobile application development is the process involved in writing software for small, wireless computing devices. Such as smartphones and other kinds of hand-held devices.
Mobile application development is based on regular software development. However, one of the differences with web application development is that mobile apps are written specifically to take advantage of the unique features of a particular mobile device. For example, a gaming app can take advantage of a certain mobile accelerometer.
Today, the two most prominent mobile platforms are Android from Google and iOS for Apple.
1.1 App development process
- Idea: At the beginning of the process of creating your app, be sure to answer the following questions: Who is the target audience? What problem does this app solve? Why are these features important? Do similar apps already exist?
- Design: The next step you must perform is the design of the user interface (UI). You must ensure that the design makes it easy for the user to navigate the interface.
- Development: During this stage, you must write the code for your app, develop it and start the preliminary testing.
- Testing: By testing your app, you will determine its quality, any malfunctions, and aspects to improve.
- Launch: Once your app is bug-free and ready to use, you can publish it in a marketplace, such as Google Play or Apple App Store.
- Marketing: You must create a marketing strategy so that users download your application and give you feedback on how to improve user engagement.
1.2 The cost of developing a mobile app
The cost of developing a mobile app can range from nothing to millions of dollars. Everything will depend on the type of app you are developing and its intended use.
2. Aspects of the setup of a mobile app company
Some of the most important aspects that you must take into account when forming a company in the UAE are the following:
2.1 Free zone or Mainland
Mobile companies in the country are generally seen as virtual companies. Applications can be created and then exchanged anywhere in the world.
For this type of company, there are not UAE Mainland Licenses on offer. Mobile companies must, therefore, complete the entire registration process in a free zone.
2.2 Choosing a free zone
There are many benefits of deciding to establish your company in a free zone. For example, 0 percent personal and corporate tax, 100% company ownership, 100% percent import and export tax, and 100% import capital and profit repatriation, etc.
However, while all the free zones offer these benefits, some are better suited to mobile app companies. Dubai Internet City (DIC) is the most appropriate for this type of company, however, the maintenance cost can be relatively high.
Thus, if you prefer to save on extra expenses, Fujairah Creative City Zone is the most affordable choice.
2.3 Establishing
The process to establish your company in a free zone is meticulously planned. All free zones require certain documentation, such as a copy of the passport and the application form.
However, there are free zones where the documentation is less and they do not require an annual audit, bookkeeping, and any capital share.
2.4 Flexible office options
The vast majority of free zones offer Flexi-desk packs. This allows entrepreneurs to use office facilities on an ad-hoc basis without the need to purchase physical office space. Such as conference rooms, desk space, call screening, and reception cover.
Some free zones also provide freelance packages that allow entrepreneurs to start their companies easily and simply, without office space requirements, little dedication, and minimal start-up and overhead costs.
2.5 Setup with multiple shareholders
Due to the flexible requirements for shareholders, free zones are very popular with companies around the world.
Some UAE free zones allow more than one shareholder to form corporations, and these shareholders can be individuals or companies.
2.6 Apply for numerous visas
All free zones allow entrepreneurs to apply for numerous visas. Some are even included in their respective Flexi-desk packages. Other free zones allow entrepreneurs to apply for work permits based on the size of the office.
3. How is the setup of a mobile app company in the UAE?
Firstly, before starting the process of forming your company, it is always advisable to hire a business setup agency, such as Connect Zone, to guide you through this process.
Now, the first step to forming a company is to decide where to establish it, either in a Free Zone or on the Mainland. Both structures have their advantages and disadvantages. Make sure you choose one that suits the needs of your company.
After choosing the location, you must choose the activity to which you are going to dedicate yourself. The Department of Economic Development (DED) is the entity in charge of approving productive activities.
Once you have decided on the productive activity, you must choose the name of your company. The UAE has a series of regulations related to this subject that you must follow to the letter. For example, the name cannot contain offensive language, you must avoid any resemblance to the names of well-known organizations, and you must ensure that the name is available in DED.
Once you have completed all the steps mentioned, you must apply for a trade license. Some of the documents you need for a license are the following:
- Passport copy of the shareholders or owners
- Two colored images of the passport size
- Application form
After receiving DED approval for your license, you will need to pay the corresponding fees. Lastly, once you get your license, you will need to apply for a residence visa. As the process of applying for a license, applying for a visa can be straightforward with the right instructions.
If you have a trade license, you are eligible to sponsor others for their visa. This person can be a partner, parent, an infant, or even a housekeeper or a domestic worker.
4. What is the cost of starting a mobile app company?
There are many expenses to consider when you want to start any type of company in the United Arab Emirates. For example, you will need to pay for employee salaries, pensions, premises (if required), and facilities. As well as the business licenses and the visas.
When creating a mobile app company, you will need to invest in software and a reasonably healthy machine if you are starting from scratch. If you already have this, then there are relatively low startup costs. In this case, you will only have to worry about the cost of the license and the visa.
Since many things can vary when forming this type of company, it is always advisable to consult with a business creation specialist, such as Connect Zone, to get a general idea of ​​​​the cost. You will get to know your organization and customize a quote for your particular needs.
5. Most suitable UAE free zones for the setup of a mobile app company
The most suitable free zones to form a mobile company app in the UAE are Dubai Internet City (DIC) and Fujairah Creative Free Zone (FCC). Some of the aspects that you must take into account when establishing your company in these areas are the following:
- If you establish your company in Dubai Internet City, you will have to submit additional documents to the usual ones. For example, a business plan and a certificate of incorporation.
- Generally, FCC is light on paperwork; also paid-up share capital, annual audits or other formal bookkeeping are not necessary.
- Both Dubai Internet City and Fujairah Creative Free Zone offer Flexi-desk packages.
- Dubai Internet City allows entrepreneurs to apply for a visa per eight square meters of office space.
- FCC allows investors freelancer and single owner packages.
- For the creation of companies, both free zones allow more than one shareholder to form a company.
- Under their respective flexi-desk packages you can apply for several visas (up to six in the case of FCC).
6. Advantages of setting up a mobile app company in the UAE
Some of the advantages of the setup of a mobile app company in the UAE are the following:
6.1 Tax exemption
One of the biggest benefits of creating any type of company in the UAE is the lenient tax laws. Businesses get 100% exemption from personal and corporate taxes. The mobile app companied and its employees do not need to pay taxes for their incomes.
6.2 Capital and profit repatriation
Companies in this nation enjoy 100% repatriation of capital and profits. If you are the owner of a mobile app company in the UAE, you can send all your earnings to your home country. Also, if you ever decide to liquidate your company, you can move all of your capital back to your homeland as well.
6.3 Easy company formation process
The process to form a company here is quite straightforward. And it becomes even easier thanks to the existence of company setups experts, like Connect Zone. You can seek the help of professionals to form your mobile app company in the UAE without breaking a sweat.
6.4 Strong infrastructure
The structure in the UAE is, without a doubt, one of the best in the world. It is perfect for new businesses to get off the ground. The mobile app companies in the country will find all the latest technology they need to run their business successfully.
6.5 Worldwide talents
Depending on the size of your office, you can sponsor visas for your employees. In this way, they can move to the country and work for you. This means that the whole world is your talent pool. You can hire the best professionals from anywhere in the world and bring them to the UAE.
6.6 Perfect market
Lastly, the market in the United Arab Emirates is perfect for app development companies. In fact, the whole world is the target market for an app development company. However, the UAE allows app development companies to flourish without any limits or restrictions.
7. How can we help you with the setup of a mobile app company?
Mobile app companies enjoy great benefits and great freedom when establishing their operations. Foreign entrepreneurs can benefit from public policies on taxes, the easy establishment of companies, and business setup agencies to help them facilitate any process they have to comply with.
Connect Zone is a company with more than twenty years of experience in the formation of companies in the United Arab Emirates. We will help you comply with all legal and administrative procedures that your company needs, we will take care of your visa procedures, as well as the process of applying for your license. We can even help you choose an office in one of the best business centers in the UAE.
Do you want to know more about our company formation services? You can contact us at the following number +971 43 316 688 or at contact@connectzone.ae where one of our professionals will assist you.
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