Why More Entrepreneurs from India and the UK Are Relocating to the UAE
At Zyla Accountants, we understand the dreams and ambitions of entrepreneurs, start-ups, and business owners. If you are based in India or the UK, you may be among the growing number of business leaders considering the UAE as a new base for operations or asset relocation. Let us show you how this shift could benefit you and how we can support you every step of the way.
UAE: A Destination of Choice for Business Growth
According to recent findings from HSBC, the United Arab Emirates is becoming a prime destination for entrepreneurs seeking new opportunities. While just 5% of global business owners are contemplating a move to the UAE, those from India and the UK are showing significantly more interest.
In the HSBC survey, 19% of respondents planning to move their assets to the UAE were based in India, while 9% were from the UK. This growing trend is not without reason. For Indian business owners in particular, the implementation of the Comprehensive Economic Partnership Agreement (CEPA) in May 2022 has created a strong foundation for closer trade and investment ties with the UAE.
Embracing the UAE's Business-Friendly Tax Regime
The introduction of the UAE’s 9% corporate tax rate has not deterred entrepreneurs. Many have adapted swiftly, particularly those operating in multiple markets. Only large multinationals with global revenues exceeding €750 million fall under the higher tax bracket due to Pillar 2 regulations.
In fact, UAE-based entrepreneurs are generally less concerned about tax issues compared to the global average. Just 15% view tax implications as a barrier to business continuity post-exit, which underscores the country’s appeal as a stable and tax-efficient environment for growth.
A Climate for Prosperity
A remarkable 95% of entrepreneurs in the UAE expect their business wealth to grow. Factors such as favourable geopolitical conditions, forward-thinking leadership, and a supportive regulatory environment all contribute to this confidence.
The post-Covid landscape has further accelerated this shift. The UAE has witnessed a significant influx of high-net-worth individuals, business founders, and family offices. This trend is clearly reflected in the increasing number of high-value transactions in the real estate markets of Dubai and Abu Dhabi. Financial hubs like DIFC and ADGM have also seen a rise in registrations from hedge funds and wealth management firms.
Succession Planning: An Overlooked Priority
Despite the optimistic outlook, one area remains a concern: wealth succession. The HSBC survey reveals that many entrepreneurs are delaying conversations about wealth transfer. While 61% have not yet transferred any wealth, 22% say they only plan to do so after their passing. This figure is notably higher than the global average and points to a potential risk for long-term business continuity.
Lack of succession planning can lead to complications and disruptions, as seen in several family-run businesses across the GCC. Clear communication and early planning are essential to safeguard business legacies for future generations.
As Gemma Wild, Head of Global Collaboration – MENA at HSBC’s Global Private Banking, puts it: “Being prepared for business succession and clearly communicating wealth transitions will be key to long-term survival.”
Zyla Accountants: Your Trusted Partner for Relocation and Beyond
At Zyla Accountants, we specialise in helping entrepreneurs, start-ups, and established businesses relocate to Dubai with confidence. Our team offers expert guidance on everything from business set-up and tax planning to succession strategies and regulatory compliance.
Whether you are looking to establish a new base, grow your wealth, or ensure a smooth transition for the next generation, we are here to make the process seamless.
Let us help you turn your ambition into reality in the UAE. Contact Zyla Accountants today and take the first step towards a brighter, more prosperous future.