Seriouisly considering a move to Dubai | FerrariChat

Seriouisly considering a move to Dubai

Discussion in 'Middle East' started by Modificata, Sep 8, 2006.

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  1. Modificata

    Modificata F1 Rookie

    Apr 27, 2003
    2,654
    Hampton, England
    Full Name:
    Andy Rasool
    Need some help. I've just sold my main business over here (UK) and seriously considering a move over to Dubai. Handover will be in about January, so after that I'll be free to dive into something new. I was in Dubai for a few weeks in June with the family and we really want to move, and im thinking of flying out to Dubai before Ramadan starts to do a bit of a fact finding mission.

    What are business opportunities like over there? From what I've researched things are growing rapidly, but what sort of businesses are doing well? Plus what level of investment do you need to go with?

    Any points in the right direction, tips, direction, suggestions or help most welcome.

    BTW my background is in IT Programme Management, mainly in Banking industry, and the business I just sold is a chain of Subways.

    Adnaan
     
  2. MAHOOL

    MAHOOL Formula Junior

    May 24, 2004
    749
    O-town, Florida
    Full Name:
    Mel
    you can not own a business in Dubai unless you are a Citizen, which you will never be. You have to find a local sponsor for your business, he can demand any amount of money month to month, $5000 one month $20000 the next if they want. You can only live in the country as long as you have a work Visa, the day you get fired you have to leave in a short amount of time. Most of all if your skin is not white, get ready to have doors closed in your face. A white person less qualified then you has a better chance at getting a job then you do.

    Good luck....

    P.S. don't even think you have any kind of rights in that country, a women can accuse you of something, and you will be thrown in jail, just by the accusation. Her word is stronger then yours.
     
  3. 3omar

    3omar Formula Junior

    Dec 16, 2003
    326
    United States
    Full Name:
    Omar
    I'm sorry, but the information above is not correct.

    There are no restrictions on foreign ownership of business in all free zones in Dubai, which have now been expanded to include most of the emirate. There are free zones that specialize in financial services, media, tech, healthcare, international trade, etc. Those zones are now physically located in the middle of the urban area of Dubai. Currently, 65% of Dubai's GDP is generated in those free zones by non-citizens.

    You get residency in Dubai for yourself and your family when you set up or partially own a business there.

    Also, if you buy real estate in Dubai, you automatically get residency in Dubai. 25-year mortgages are available at around 7% for most projects. Some of the most impressive real estate projects in the world are currently under contruction in Dubai, with Donald Trump, Bulgari, Armani, etc. building hotels and other facilities there.

    Labor laws have recently been revised as well, to introduce minimum standards for low-wage earners, but they are not up to global standards.

    The bit about being thrown in jail based on a woman's accusation is not very clear to me, but it is true that if a non-citizen was to get into a confrontation with a citizen, that the rights of the non-citizen are not well preserved.

    Finally, citizenship is attainable after 15 years of living there, but it does require strings to be pulled.

    Here are some links for you:

    Dubai eGovernment: http://www.dubai.ae/

    Dubai International Financial Center (Financial Free Zone): http://www.difc.ae/

    Dubai Media City (Media Free Zone): http://www.dubaimediacity.com/

    Dubai Internet City (Technology Free Zone): http://www.dubaiinternetcity.com/

    Dubai Healthcare City (Healthcare Free Zone): http://www.dhcc.ae/

    Dubai Autodrome and Business Park (Motorsports Free Zone): http://www.dubaiautodrome.com/

    Dubailand (Amusement park, residential and hotel strip development): http://www.dubailand.ae/

    Emaar (The largest developer in Dubai): http://www.emaar.com/

    Nakheel (A high end developer in Dubai): http://www.nakheel.ae/

    City of Arabia (A major development in Dubai): http://www.cityofarabiame.com/

    Hope this helps.

    PS. I have no affiliation with Dubai other than living in the Gulf currently and following the developments there first hand through my job as an investment banker.
     
  4. Flex

    Flex Karting

    Aug 23, 2005
    142
    Dubai

    well said, most people around the world have the wrong impression about the middle east and Dubai to be specific

    and about the local sponsor, its for some businesses that you may need a local sponsor, its an agreement between them for a certain period of time, for example 1 year, AND they can't demand any amount each month, its fixed
     
  5. MAHOOL

    MAHOOL Formula Junior

    May 24, 2004
    749
    O-town, Florida
    Full Name:
    Mel
    I stand corrected, I was there for a month in Oct. 2003, this is what I heard from the people I was staying with. Things may have changed for the better.
     
  6. Modificata

    Modificata F1 Rookie

    Apr 27, 2003
    2,654
    Hampton, England
    Full Name:
    Andy Rasool
    Hmmm. DOnt agree with you there. I used to live in Saudi, Riyadh of all places so i know that things are not quite as you describe. But thanks for your advice. BTW When me and my wife look back at our time in Riyadh we both agree that it was the best years of our life, and probably explains why so many expats I lived with had been there for 15+ years.
     
  7. Modificata

    Modificata F1 Rookie

    Apr 27, 2003
    2,654
    Hampton, England
    Full Name:
    Andy Rasool
    Omar

    Many thanks for your detailed response. Certainly far more extensive than I could have hoped for!
     
  8. Pav

    Pav Formula 3
    Lifetime Rossa

    Jan 18, 2006
    2,159
    Warsaw, Poland
    Full Name:
    Michal
    very useful info, thanks
     
  9. Westworld

    Westworld Three Time F1 World Champ
    Silver Subscribed

    May 18, 2004
    31,133
    I thought the citizenship and residency thing was a no-no. Are these recent changes? How safe is Dubai and the UAE if you are a foreigner (escp. from the Western world)? Is alcohol banned (no liquor stores, ect)?
     
  10. 3omar

    3omar Formula Junior

    Dec 16, 2003
    326
    United States
    Full Name:
    Omar
    Alcohol is allowed. In fact, Dubai has a vibrant nightlife, with clubs, etc., that is the best in the region.

    Just to give you a better idea about the feel of the place, (and although you didn't ask and probably are not interested), Prostitution is illegal, but the police "looks the other way" all the time. For example, you get constant police patrols in front of the clubs that are known prostitution hangouts, but just to keep the peace. Whenever there is loitering around one of those clubs, an officer would walk up to the crowd and say something like: "Sir, please take your hooker and go."

    The Dubai government is also considering the legalization of gambling in a special designated area where they’re encouraging the development of a new hotel strip. The opening date for that project is 2009.

    The ex-pat community in Dubai is huge (90% of the population) and westerners live there quite freely. It is a diverse community, dominated by south Asians, and quite cosmopolitan. For example, people in malls and on the streets dress just like you’d expect people to dress in any major western city (including women). The community has gotten so diverse in recent years that nobody cares what anybody wears or what they look like.
     
  11. Pav

    Pav Formula 3
    Lifetime Rossa

    Jan 18, 2006
    2,159
    Warsaw, Poland
    Full Name:
    Michal
    Indeed. Plus english language is used all the time. I remember my friend starting a conversation in arabic with a local and ending it in english.

    30% of pop are westerners, other 30 south asians/asians right?
     
  12. BAD 130Y

    BAD 130Y Formula Junior

    Mar 29, 2004
    309
    London
    Full Name:
    R Koli
    Dubai is like a 'Glass house' looks nice from the outside but the reality is far from different. We have been living in Dubai since 1976 and my parents still do but i would say no no to people who want to go now and invest and live there.

    Its look all nice and glam in the begining but then soon you realise that all is not as rosy as is seems.

    The locals will always be sided by law in genral. You cannot own a property unless its on the beach front. The day your visa is cancelled say goodbye to it all cos you will be kicked out of there sooner than you think.

    Yes there is still oportunity to make money there is you have smth different to offer but most of the sectors in investments are taken.

    As to cars yes you can drive nice cars but the local ( arabs ) dont like to see others drivn 'supercars'. run of the mill merc and bms are yes ok but when they see expats and others drivn in ferrraris and lambos its a bit like 'huuummmm why is he drivin that'. ( i have a SLR ) there by the way!!

    You always get a feeling that you are in some one elses country. Never that sense of freedom and if you are not white forget it these days prepare to get the door slammed on your face if you going for a job. Hence there are so many Eastern European emplyees working out there who are less qualified than the Asain or chinese , but they are more accepted cos they are white and if you want to see this just walk into any 5 star hotel.

    If anyone tells you any different i beg to differ.
     
  13. Westworld

    Westworld Three Time F1 World Champ
    Silver Subscribed

    May 18, 2004
    31,133
    Basically, visit, but don't reside? I though they changed the laws just recently in regards to land ownership? Do Arabs look down on Western wealth? Or just displaying it in Arab countries?

    Is the restaurant scence good?

    Btw, very impressive collection for a 30-year-old. Hopefully I can obtain that by 35. :D Do you live both cities (Dubai and London)?
     
  14. Modificata

    Modificata F1 Rookie

    Apr 27, 2003
    2,654
    Hampton, England
    Full Name:
    Andy Rasool
    Ive seen you driving around London. Thanks for the advice and I know what u mean as I used to live in saudi. But Dubai is a lot better than that and the financial benefits (tax free) makes up for a lot of the hassles.
     
  15. BAD 130Y

    BAD 130Y Formula Junior

    Mar 29, 2004
    309
    London
    Full Name:
    R Koli
    No i just visit Dxb to see my parents and others every now and then. Restaurant scene is good if you are offering somth different. Food in an average eatery is very cheap and if u wanna set up smth to make money than you got to go all the way like top class place or a chain. Like Buddha Bar in the Grovner house hotel or Nobu. But then again you clientle is very slective.

    Yes Arabs do look down on wealth display by non arabs. of course not all of them but the general do.
    Do you know how the majority of Arab have accumulated wealth???

    It was a simple Law decided among the arab states that anyone comming to open a business in the Gulf must make an Arab(local) a partner and the arab gets a share of his profit every year ( usually 10-15%) and each local has at least 30-45 people as sponsor, so you just do the maths as how much each arab gets a year from just being a local and being a partner to outsiders. The businesses varies from a taxi driver to a importer or a commercial business.
    Yes there are Arabs who are working in public sector but they are on high up post in the goverment and they get paid good wages and of course they are 'partners' with at least 20-30 business. Hence most arabs can travel 1st class ,drive bentleys etc.

    i am not being horrible to arabs or anythn like that but that is the truth and usually you get people tryn to paint a more rossy pic anout livin in dubai.
    Dubai has been put on a map by being a fianancial hub for the Middle East and this was created by migration in the early 80s from the Indian Subcontinent. Vast wealth was created by making this a hub in middle east and goods from the far East. A lot of people have the wrong preception that Dubai has petrol- WRONG. !!!!
    It has a little oil but most of its wealth created by trade and being a centre of middle east and africa for people to buy goods and that snowballed and created wealth for the country in the 80s and 90s Boom.
    Is 'was' cheap to live in dubai because there were no taxes,no land line phone bills. the population wasnt much as whole but now that is all changing slowly.

    To truly test this theory one must go to dubai on a visit and every now and then ask a non local what they feel like is living out there!!!! Yes if you have money and dont have to worry about where your next buck is going to come from then Dubai is great cos you can order anything and it will be sorted but for a working man to go out and make a living is a bit more difficult.
     
  16. Westworld

    Westworld Three Time F1 World Champ
    Silver Subscribed

    May 18, 2004
    31,133
    Thanks for explaining that. Would you say Arabs are entreprenuers then?

    Nobu is in Dubai? I don't think I could live in Dubai, or any part of the Middle East (the heat, uncertainities, ect.). Outside of the States and maybe Canada, I could see myself in London. But it seems like it's a very interesting place to visit and a great place to pamper yourself.
     
  17. BAD 130Y

    BAD 130Y Formula Junior

    Mar 29, 2004
    309
    London
    Full Name:
    R Koli
    Yes of course forgot to mention the heat which is unbearable in the summer months. But yeah all in all its a good place to visit for holiday but to live it would take some getting used too!!!!!
    Yes you are right London is one of the best palces to be. We have the best of everything here. !!!!!
     
  18. Modificata

    Modificata F1 Rookie

    Apr 27, 2003
    2,654
    Hampton, England
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    Andy Rasool
    Yes expect stupidly high direct and indirect taxes!!!
     
  19. Westworld

    Westworld Three Time F1 World Champ
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    May 18, 2004
    31,133
    You beat me to it. That's one thing that jumps out. Hopefully in 2010 the Tories can bring back a tax-cut, entreprenur-friendly platform into the office. 15% GTS tax and 40% tax rate on the highest income earners, insane.
     
  20. Modificata

    Modificata F1 Rookie

    Apr 27, 2003
    2,654
    Hampton, England
    Full Name:
    Andy Rasool
    Last year I paid 60+% taxes,direct and indirect. Prior to two years ago I was living in a tax free environment. I wanna be out before the next tax year starts!

    Bring back the tories!!!
     
  21. Westworld

    Westworld Three Time F1 World Champ
    Silver Subscribed

    May 18, 2004
    31,133
    Geez....How does London have such an affluent of luxury living, with such high taxes? Where do you plan on going? It seems like the Tories are starting to gain back the power from what I've read.
     
  22. Pav

    Pav Formula 3
    Lifetime Rossa

    Jan 18, 2006
    2,159
    Warsaw, Poland
    Full Name:
    Michal
    Seems that indeed next elections would change a lot.


    UK is not really attractive (visit the Northern England, you would understand what i mean) but London is. Multicultural and very interesting place to live, plus business opportunities are quite numerous.
     
  23. Modificata

    Modificata F1 Rookie

    Apr 27, 2003
    2,654
    Hampton, England
    Full Name:
    Andy Rasool
    A lot of people are fed up with Blair, and Tories finally have a leader who looks better than a sack of potatoes. What amazes me though is people just havent realised how much indirect taxes they are paying. Petrol for example costs about 90p per litre but of that approx 70p is tax. I drive about 40K miles per year, so id hate to do the maths.

    Everything has VAT at 17.5%, so money flowing to the goverment there. I employ about 40 people, and I pay them £5.05 per hour max. 2 years ago minimum wage was about £4.10 and in October it goes up to £5.35 per hour. So in about 2.5 years My average rate has gone from £4.10 to £5.35, per person per hour! Luckily i've just sold my business and the transaction concludes after Christmas, so it'll be someone elses headache.

    The reason why the people in the UK have such a high standard of living is down to two reasons: Firstly people spend all the money they have, and secondly when they have spent it all money is easy and cheap to borrow. Its a debt driven society. IMO Debt is only good when its invested to create more money, not for personal luxuries, unless of course you can afford without thinking.

    You might say with all the taxes we also get free health care and schooling. Well free healthcare is crap and I pay for private anyway, and the kids is state schools have no respect for anyone. Do I want my kids to grow up in that environment? No. I'd rather send my kids to private. So im not even making use of the two main benefits provided by the goverment!

    I'd like to move to Dubai ideally, but would consider anywhere in the middle east. I've lived in Saudi and we liked that, but all depends on what I do.

    WHat about u? Planning on moving to Dubai or uK?
     
  24. Westworld

    Westworld Three Time F1 World Champ
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    May 18, 2004
    31,133
    I'm planning on staying in the States right now. Maybe some point in the future, I might look at other places. My goal is start a business in a few years. Will moving hurt your business? The next election is 2010, correct?
     
  25. Modificata

    Modificata F1 Rookie

    Apr 27, 2003
    2,654
    Hampton, England
    Full Name:
    Andy Rasool
    Like I said my business is all but sold. I have other investments here, but my main business will be sold.
     

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