Who doesn’t want to decorate their house and for that, you need to have stylish furniture? Having a furniture business in Dubai will get you customers who are just crazy about home decoration. According to new laws, the country has eased restrictions for specific industries, thus attracting a palette of investors, entrepreneurs, young and old, and freelancers to choose the country as their new business set up location.
As the eponymous capital of UAE, Dubai has seen an upsurge in the real estate business, especially because of the large number of expats it attracts each year – making it one of the most booming sectors of business. Additionally, with the growth of real estate, many other industries and businesses have been uplifted, such as the furniture sector. Furthermore, the UAE has been a significant market exporter of furniture to other Asian, European, and African countries. Do you also want to offer your excellent craftsmanship with classic and contemporary furniture to help elevate beautiful homes? Then this article is your guide.
According to Siddarth Bhide, country operations and project manager of Ikea, the furniture sector in the UAE and the rest of the GCC will have some of the world’s highest growth rates, reaching 30 percent a year for the next 10 years. It would be beneficial to start a new furniture business setup in Dubai, as it promises profits, or you expand your existing one. Now, if you plan to set up a furniture business in Dubai, you need to note that each business is individualistic and has certain needs and for you to stay ahead of the competition, you need to analyze and understand the market to be targeted.
The below can be a guide to setting up a furniture business in Dubai from scratch:
How to Set Up a Furniture Store:
- Choose a local sponsor
- Select an appropriate location
- Obtain business licenses and registration from the necessary authorities and the Department of Economic Development or DED
- Understand the business jurisdiction
- Clear the necessary formalities
Benefits of Establishing a Furniture Business in Dubai:
- Growing Market: furniture market is predicted to grow at 3.46% by 2026
- Connectivity with the other GCC Countries
- Dubai offers multiple free zones to ease the process
- Free of corporate taxes on free zones and as minimum as 5% of Mainland zones
- Dubai’s thriving economy in real estate
- Top-quality infrastructure
- Able to work alongside the government bodies
- No constraints are imposed for currency limitation
- Low import and export duty charges
- Additional available choices for business activities
- Deliver a vast range of furniture, appliances, and embellishments for decorations to all sorts of customers and specialize in their needs
- Create a niche market for specific products
Reasons Why Furniture Companies are Growing in Dubai:
- An increase in demand for residential space due to the nuclear family structure
- An increase in the number of expats
- Development in the tourism industry
- Stable oil prices
Why You Should Consider Starting a Furniture Business in Dubai?
Top reasons why investors and entrepreneurs want to start operations in Dubai:
- Boost in the real estate sector causes an increase in the demand for furniture
- The variety in the furnishing demands of various enterprises adds adaptability to your firm, allowing you to establish a famous reputation in the furniture market
- An increase in business setups means an increase in the demand for furnishing equipment
- The change in the lifestyle of residents creates a higher demand for furniture businesses
- Furniture businesses contribute to international import and export services
- Robust networking ties with neighboring Gulf Cooperation Council (GCC) countries provide opportunities for expansion
- The cost of labor is cheap
- The furniture business is an essential manufacturing industry that contributes to roughly 20% of the nation’s GDP
- Dubai is an international business hub
The Future of Furniture Business in Dubai
The furniture sector in Dubai is contemporary in both the type of customers and their expectations. Dubai’s demographic comprises an increasingly diverse population of approximately 200 nationalities, which means there is a huge opportunity for all types of furniture. Additionally, buying patterns have been constantly changing over the past 10 years. According to Bhide, people have started spending more on their homes on such things as kitchens, bathrooms, and flooring. People are investing in higher quality products, which has been closely associated with the rising number of expats coming to the country.
For new business owners, setting up a company comes with its challenges and complexities in the process. Thus, the process becomes tedious and unmotivated for some, nonetheless, if you have any questions about the legal procedures, we advise you to meet with our expert Business Consultants at Business Link, who will offer you complete solutions for establishing your new business and other legal formalities. In addition to that, they also help provide trade licenses, company registrations, government approvals, PRO services, and everything else involved in the formation of a company in Dubai.
Start your furniture business with the help of our Business Setup Consultants, today!