'm looking into moving to Dubai or Abu Dhabi and just read that in Dubai you must pay a year's rent up front for an apartment rather than paying rent each month. I also read that the employer typically pays this rent up front and withholds it from the employee's paycheck each month, thus making it easy to pay for the person actually renting the apartment. If I don't get a teaching job, though, I am going to be self-employed, doing work on-line. So paying a year's rent up front is a problem. Is this true in Dubai? How about Abu Dhabi?
Thanks for your help.
I have recently moved here to set up my own business, and gone through the whole process you're contemplating.
I set up as a Free Zone Limited Liability Company (FZ LLC). There are a number of Free Zones, and which one you apply to depends on your line of business. If you've not already done so, a few hours internet searching will find you all the info you need on this.
Having found the right one, the application and approval process is all done online, so it's best to do that from home. I scanned and emailed all the docs required, and signatures on docs. It took about a month to do that (including them rejecting my first choice of business name! They can do that!!)
You then come to Dubai for the process to be finalised. This involves you signing all the original docs. and they being witnessed, and then waiting for the formal approval resulting in the issue of your Trade Licence. At the same time you need to open a bank account, and once the too-ing and fro-ing (lots of it!!) is done, you get your Residency. You can then rent an apartment/villa. In theory (ha ha) the FZs state that the whole process takes 10-14 working days. Mine took 6 weeks, so be prepared for the frustration of it all - there is nothing you can do but wait!! The length of time means you may also well end up having to do a visa run, as the visit visa expires after 30 days.
Number of cheques for rent: I think this is changing slowly, but the majority of landlords are still wanting one, or four if you're lucky. Being self-employed is of no relevance to them! In mid-Oct., mine wanted one cheque. I offered 4, which he said he would accept if I paid an extra 5,000 Dhs. rent! I refused on principal - it just got my hackles raised. I also figured that if it was paid upfront for the year, at least I know I have a roof over my head for a year even if my business takes off more slowly than I'm hoping it will!
A couple of things about setting up a business through one of the Dubai FZs: It cost me about 40,000Dhs., including 6 months office rent.
You have to have an office in the FZ, even if you don't really need it, which I don't.
Technically, it is illegal to work from home.
If you want to set up a business under your own name, you can get a Freelancer Licence, which is cheaper. if you want a business name, you have to be a LLC.
Du have just wacked up their internet rental charges for businesses by some crazy amount. Residential rates have remained unchanged .... so, if you don't need to be office based, no-brainer.
Good luck, but do ensure you research thoroughly before making the move!!
