Advice on UAE?

[0ecomoff]

I am EU citizen in a high tax country and make around $50-60k annually with e-commerce.
Just finished my degree but it's hard to find a job right now due to obvious reasons. That's why I want to relocate for 6+ months and why not to a tax haven? During the time off I want to still apply for jobs worldwide but mainly do my own thing.

I like the UAE because of the culture and affordability. To be able to live in the UAE with an "investor visa" you have to setup a special RAK Free Trade Zone company, with minimum of 50k AED correct?
Are there any more fees involved and can this be done cheaper? Is it possible to incorporation on your own and if not, can someone point me to the direction of a reputable company which helps with the incorporation?

Happy to hear your feedback and advice.

 

[avalanche]

I am EU citizen in a high tax country and make around $50-60k annually with e-commerce.
Just finished my degree but it's hard to find a job right now due to obvious reasons. That's why I want to relocate for 6+ months and why not to a tax haven? During the time off I want to still apply for jobs worldwide but mainly do my own thing.

I like the UAE because of the culture and affordability. To be able to live in the UAE with an "investor visa" you have to setup a special RAK Free Trade Zone company, with minimum of 50k AED correct?
Are there any more fees involved and can this be done cheaper? Is it possible to incorporation on your own and if not, can someone point me to the direction of a reputable company which helps with the incorporation?

Happy to hear your feedback and advice.

Affordability? Have you seen their rent and food prices

 

[0ecomoff]

Affordability? Have you seen their rent and food prices

I have information about prices from primary sources who already lived there for many years. Outside the city core is very affordable.

 

[avalanche]

I have information about prices from primary sources who already lived there for many years. Outside the city core is very affordable.

are you ok with living in slum-like areas?

 

[0ecomoff]

are you ok with living in slum-like areas?

I'm up for an adventure and totally fine with that. Right now I can afford to live in a first tier country with high rent, I think I can do better when living below my means. As I stated above it's only for a short period of time until I find a job in my field and I always wanted to relocate my side business to a low tax or tax free country. I think the job market will relax around beginning of 2021 until then I'm up for everything.

 

[happyjohn]

It all depend on where you normally live if you compare the costs to live somewhere else. For instant if you pay 10$ for 200 gr cucumber i Norway it may be very cheap to live in the UAE. However if you are used to pay $1 for a Bic Mac at McDonalds the UAE may be very expensive!

 

[Davis123]

Actually you can live in very nice areas in Dubai. It's pretty cheap than most large cities in the world. As compared to NYC, London or Munich, Toronto, Dubai is damn cheap. If you want to live in Burj Khalifa it's not going to be cheap. Rents are going down continuously for past few years and groceries are cheaper than in USA or Canada. Friends from Canada, Switzerland came down here, found it dirt cheap and they want to move down here as soon as Covid matter gets resolved. For low cost residency option get an Ajman Freelance visa. Google them and call them up. You will be surprised at low cost option. Lxurious apts in JLT and Marina are all cheap right now. I don't know what areas are you comparing with. I don't live in slums but a really nice area in a luxurious tower where mostly westerners live. Rent is dirt cheap.

are you ok with living in slum-like areas?

 

[Davis123]

You

I am EU citizen in a high tax country and make around $50-60k annually with e-commerce.
Just finished my degree but it's hard to find a job right now due to obvious reasons. That's why I want to relocate for 6+ months and why not to a tax haven? During the time off I want to still apply for jobs worldwide but mainly do my own thing.

I like the UAE because of the culture and affordability. To be able to live in the UAE with an "investor visa" you have to setup a special RAK Free Trade Zone company, with minimum of 50k AED correct?
Are there any more fees involved and can this be done cheaper? Is it possible to incorporation on your own and if not, can someone point me to the direction of a reputable company which helps with the incorporation?

Happy to hear your feedback and advice.

you don't need to call any company up. Call or email Ajman freezone govt office and they will set you up with a free lance visa everything for under 2500 usd for a year The companies will charge you more than that in fees alone plus all govt fees. Trust me I have lived here for past 10 years and I know now that I wish I knew before. I have been to a lot of countries all over the world and I found Dubai the most cost effective option and offers cosmopolitan life with all the comforts of the First World. You can order almost everything here. If you are a nature love, Dubai is not your place.

 

[JohnLocke]

Wasn't it posted here that UAE is going to comply with the OECD on CRS and other information exchange with the rest of the world as well as removing the famous privacy reasons for people to stay in the UAE?

I just wonder, it may be the reason for why things are getting cheaper.

 

[Davis123]

Yes CRS is implemented in UAE but OP posted he wants to actually move to UAE and earn from UAE. Then CRS will not effect him as long as he stays out of his original country for whatever time limits his country has stated for him to be out of. You can live a nomadic life as well live in 1 country for 2 months, 1 here and there and be in UAE every six months to keep your visa valid. For those who want a tax residency then you should live in UAE on permanent basis. For a single man, Dubai is a paradise. Too many women of every nationality available here. No one asks you for tax except VAT of 5 percent on all groceries, services but all included in final bill and trust me it's too damn cheap to live here. Westerners love low cost Dubai, Malaysia and Panama as they offer a lot and no tax in Malaysia too from offshore income and Panama and Dubai the same reasons. Malaysia and Panama offers nature too as well as other first class amenities and options. Personally for me I found Dubai simply the best the best option.

 

[0ecomoff]

Ajman Freelance visa

Thank you so far, your comments are really intersting. So I should get a freelance visa on my own.... What do you recommend regarding to register the Free Trade Zone company?

Too many women of every nationality available here

I have heard about the opposite. 90% are men because it's an expat city/country.

 

[Davis123]

Before Covid 19 other economic factors set in too as oil prices went down and due to VAT introduced in 2018 led to the move away of many companies as IMF, OECD got upset due to EU other nations ganging up

Thank you so far, your comments are really intersting. So I should get a freelance visa on my own.... What do you recommend regarding to register the Free Trade Zone company?



I have heard about the opposite. 90% are men because it's an expat city/country.

I live here so I know better. I am a single man too. I never had so many women that are available here. For me, Dubai is better than Thailand. . For dating or otherwise everything is available. It's full of gorgeous women from all across the globe. It's like being in California again.

 

[0ecomoff]

Before Covid 19 other economic factors set in too as oil prices went down and due to VAT introduced in 2018 led to the move away of many companies as IMF, OECD got upset due to EU other nations ganging up

Can you break down the necessary steps and approx. "real" costs? freelance visa is different than company + investor visa (what I planned). Any advice on opening up a bank account?

Are the costs here (around 15,000 AED for business+visa+bank account services) realistic?
mybusinessconsulting.ae/ajman-free-zone-authority-afza

 

[Davis123]

I

Can you break down the necessary steps and approx. "real" costs? freelance visa is different than company + investor visa (what I planned). Any advice on opening up a bank account?

Are the costs here (around 15,000 AED for business+visa+bank account services) realistic?
mybusinessconsulting.ae/ajman-free-zone-authority-afza

Some advertisements are lower depending on the company and different jurisdictions of United Arab Emirates as there are a lot Emirates having freezones. My advice to my EU friends was to keep an offshore company plus bank account while living in UAE on freelance visa so they can move to other countries easily when anything happens. Remember this is a Shariah compliant country so your bank accounts could be frozen in case of your accidental or natural death. So arrange your legal and taxation matters in such a way not to have problems in future. Study the laws of that country. UAE could implent a tax suddenly due to all OECD/EU threatening and arm wrestling all tax havens except US tax havens (Delaware, New Mexico, Nevada ) as they can't blackmail USA. Due to all this and Covid issues, you could end up with a big mess on taxes you are trying to avoid. Always do your banking away from the country you live at. Unfortunately, I learnt very late some experiences.

 

[Davis123]

If you go directly approach Ajman by emailing or calling them up you will save at last 1500-2000 usd depending on what that company is charging. By emailing and getting it directly from Ajman you will save the cost plus you can get everything done online. Web portals allow you to do everything directly. No need to come down here except sending your documents to Ajman freezone. Bank will open up accounts for you directly if you have company documents plus all other required identification documents.

 

[0ecomoff]

If you go directly approach Ajman by emailing or calling them up you will save at last 1500-2000 usd depending on what that company is charging.

the page (ajman.ae/en/ajman/servicecatalog/services/3056?) shows following fees:
Service fees

• Freelancer license: 2000 AED
• Hotel license: 6500 AED
• One Activity license: 3900 AED + 1300 AED for each additional activity on the license
• Services license: 6500 AED
• General Trading license: 9100 AED
• Industrial license: 9100 AED
• E-Commerce license: 10000 AED

Visa page (ajman.ae/en/ajman/servicecatalog/services/3064?) shows following fees:
Service fees

• Urgent: 635 AED
• Normal: 535 AED

Looks like the e-commerce license will cost 10000 AED + visa 535 AED...

My advice to my EU friends was to keep an offshore company plus bank account while living in UAE on freelance visa so they can move to other countries easily when anything happens.

That would be a "loophole" correct? While living in UAE with the freelance visa you can be considered "tax free" when living more than 6+ months there, even when owning an offshore company somewhere else. That's what you mean, right? I prefer to own a real UAE company though while living there. I've heard that bank accounts are hard to get, is that correct?

 

[Davis123]

the page (ajman.ae/en/ajman/servicecatalog/services/3056?) shows following fees:
Service fees

• Freelancer license: 2000 AED
• Hotel license: 6500 AED
• One Activity license: 3900 AED + 1300 AED for each additional activity on the license
• Services license: 6500 AED
• General Trading license: 9100 AED
• Industrial license: 9100 AED
• E-Commerce license: 10000 AED

Visa page (ajman.ae/en/ajman/servicecatalog/services/3064?) shows following fees:
Service fees

• Urgent: 635 AED
• Normal: 535 AED

Looks like the e-commerce license will cost 10000 AED + visa 535 AED...


That would be a "loophole" correct? While living in UAE with the freelance visa you can be considered "tax free" when living more than 6+ months there, even when owning an offshore company somewhere else. That's what you mean, right? I prefer to own a real UAE company though while living there. I've heard that bank accounts are hard to get, is that correct?

These are different types of licenses. If you are opening up a hotel in UAE you need that type of license. I advised EU friends to use it to avoid UAE bank account freezes in case of death which requires expensive trusts in UAE. If UAE ever introduces corporate taxes then you will pay that too which they wanted to avoid. Everyone has different needs so first think what you want then make a decision. If you want to hire someone to do it for you then by all means. You have to think before you leap. Bank accounts are not to hard to get for UAE residence visa holders with free lance or company (if you have general trading or Freezone very easy not easy for offshore license) as long as you have all the required documents. Be ready to sign all FATCA/CRS forms too. Who ever is giving you fake info is all lying. I know on the ground facts as I live here. Come by for a visit as a tourist to see how you like it first as I think EU passport holders as well as Canadian/US automatically get a 30 day on arrival visa but due to Covid situation it was cancelled earlier. Please check with your nearest UAE embassy for updates.

 

[Davis123]

the page (ajman.ae/en/ajman/servicecatalog/services/3056?) shows following fees:
Service fees

• Freelancer license: 2000 AED
• Hotel license: 6500 AED
• One Activity license: 3900 AED + 1300 AED for each additional activity on the license
• Services license: 6500 AED
• General Trading license: 9100 AED
• Industrial license: 9100 AED
• E-Commerce license: 10000 AED

Visa page (ajman.ae/en/ajman/servicecatalog/services/3064?) shows following fees:
Service fees

• Urgent: 635 AED
• Normal: 535 AED

Looks like the e-commerce license will cost 10000 AED + visa 535 AED...


That would be a "loophole" correct? While living in UAE with the freelance visa you can be considered "tax free" when living more than 6+ months there, even when owning an offshore company somewhere else. That's what you mean, right? I prefer to own a real UAE company though while living there. I've heard that bank accounts are hard to get, is that correct?

I guess if you need Ecommerce license to operate from UAE then that is per your requirements.

 

[0ecomoff]

UAE bank account freezes in case of death.

no problem, I just need to receive the payments to this account. From there I be my own bank.

sign all FATCA/CRS forms too

I have no problems with that, as I stated I want to relocate there for real.

 

[bibing]

How many days in a year you need to live in UAE in order to maintain your visa valid and renewable the next year?