When choosing a country to open a company in, the whole region around becomes important because the local market does not mean that country alone. This is why the Middle East is, perhaps, one of the most important regions in the world thanks to the benefits it can offer.
Setting up a company in Qatar, for example, can offer access to neighboring countries such as Saudi Arabia, which borders it, or the UAE across the Persian Gulf. Choosing a Middle Eastern country to open a company in is not difficult because states in this region share the same culture while being open to foreign investments. Even so, there are a few aspects which can ease the decision of starting a business in one or another country in the Middle East. Some of them can be found below.
The taxation system
One of the most important criteria which can make the difference between choosing a country or another for registering a company in the Middle East is taxation. Even if most countries in the region provides for very low corporate taxes, there are also states, such as the UAE, which currently does not impose any corporate levies.
The geographical location
Even if located in the same region, Middle Eastern countries can be insular, peninsular or continental which can make a difference when starting a trading company, for example. The possibility of sending and receiving commodities in a short time is essential for such a business, which is why this is an important factor to consider when selecting the country for opening a company.
The legislation on foreign investments
Middle Eastern countries are known for imposing stricter regulations on foreign investors seeking to open companies here. In most of them, owning a local company can be subject to having a local sponsor or partner, while others have created special economic zones in which full foreign ownership is possible. For those who want to have their own business, this aspect is quite important.
The business start-up and annual maintenance costs
At last, but not least, the costs of starting and maintaining a business are important, especially for first-time investors who are considering low investments. The share capital, the registration, visa fees and the annual costs implied by running a business are very important when choosing a country to open a company in. Luckily, Middle Eastern countries offer plenty of advantages from business registration and annual maintenance costs point of view.
As a conclusion, we can say that choosing a country for starting a business in the Middle East can be tricky because of the many similarities between them, but with research and focus on the main goal, an investor can definitely make the right choice.