Healthcare facilities in the UAE are simply out of this world. People visit the country from all over the world to use its latest healthcare and medical technologies and innovations for treating tons of diseases. So, it is clear that it is one of the best industries in the UAE to invest in and make a good profit out of it. In the public and private sectors, Dubai encourages investors and entrepreneurs to provide top-notch medical services to the people. If you are considering establishing a similar setup, this guide can help.
This guide on how to set up a healthcare business in Dubai, UAE will assist you and give you all the required information for the process.
Reasons for Starting a Healthcare Business in Dubai
Opening a healthcare business in Dubai and the rest of the UAE has a number of benefits. The healthcare industry is seeing tremendous growth across the globe. In addition to traditional medical treatments, modern healthcare has grown to include a number of other areas, such as looking and feeling well and overall wellness.
In addition to its business-friendly climate, UAE offers a tax-free environment, ease of business formation, and a great location. The UAE’s healthcare sector is expected to rise at a rate of 25% CAGR and reach $536.5 million by 2025.
There are various opportunities for growth of the market because of the enhanced treatment quality, no access to care, higher consumer and patient demand, and the rising provider use of telemedicine.
The virtual visit market will grow at a CAGR of at least 30.7% and reach $280.7 million by 2025. It will make it the fastest-expanding sector of the healthcare business.
Moreover, the UAE supports businesspeople to give back to society and provides them with various opportunities. Other benefits of a healthcare business include:
- The location of the UAE provides chances to collaborate with relevant people who are doing operations in the healthcare industry.
- It permits 100% foreign ownership of your company.
- There are no income or business taxes.
- You have a wide range of unique real estate options.
- Products and services are exempt from customs taxes.
Types of Healthcare Business Setup in Dubai
In Dubai, people can invest in a variety of medical and healthcare sectors. Here is a list of types of healthcare business setups you might invest in to launch a healthcare business:
With each passing day, the healthcare and medical sectors keep on growing and evolving quickly. The demand for healthcare consulting is a lot due to the fierce competition. With the aid of competent consultants in your company, these medical facility providers can stay ahead of everything.
These are commonly referred to as outpatient clinics. This type of medical facility allows you to obtain care services without having to spend nights at a clinic or hospital. Physical rehabilitation, minor surgery, and wound care are some of the services that an ambulatory center offers.
Non-Profit Healthcare Organization
Setting up a non-profit healthcare organization lets you help individuals in need around the UAE or those who are underprivileged.
Healthcare Investment Management
Another type of healthcare business in Dubai is a healthcare investment management firm. Such an investment management firm can manage financial resources and investments of clinics and hospitals and many other healthcare organizations.
Next up, you can start a medical publishing company. Both students and healthcare professionals are the target audience for this industry. Clinical research papers, medical journals, internet content, medical books, medical studies, and databases are just a few of the many formats that make up the medical publishing sector.
Higher Education-Providing Companies
The global education market is booming right now. There are a lot of golden opportunities when it comes to education in the healthcare or medical industries. In Dubai, you can establish a medical university, a company that offers technical healthcare education, or a junior medical college.
Professional Development Training Centers
This is a highly qualified and expert team of people that is required to maintain the standards of services that a medical facility provides such as clinics and hospitals. You can open a center that offers short and long courses in clinical skill development, human resource training, development training, behavioral and social training, and courses in multiple other related subjects.
Options for HealthCare Company in Dubai Health Care City (DHCC) Free Zone
It is an easy and rapid process to establish a healthcare business in Dubai. The Dubai HealthCare City (DHCC) free zone is a dedicated free zone that has been established by the Emirates for companies looking to enter the healthcare industry. This free zone provides a conducive environment and a luxurious infrastructure for launching a flourishing healthcare company.
In the DHCC, you are able to open a branch of an existing healthcare business or Free Zone Limited Liability Company. The documents needed depend on the type of business you wish to start in the DHCC. The company in the healthcare industry can be the property of a corporate entity holding sole ownership, an ex-pat, or an ex-pat/resident working with corporate shareholders.
You have two options in DHCC to establish a healthcare company in Dubai. These business setup options are:
- Wellness Community
- Medical Community
Hospitals, medical facilities, and clinics are built in the Medical Community. It is an approximately 4 million square foot area of the DHCC. The businesses in Dubai’s health industry benefit from the huge area available to them in this region.
A wellness community is an area reserved for centers that offer advice on good diet and health, and businesses and companies that provide services for receiving therapeutic treatments, for maintaining health, among other things. It is not designed for hospitals to be located within this roughly 19 million square foot area. Such a dedicated area is essentially a separate area of the DHCC that is focused on a person’s body and health rather than on curing or treating illnesses.
Required Documents to Issue a Private Clinic License in Dubai
You’ll need a license for a healthcare company formation in Dubai. To issue the required license, you’ll need to submit the following documents. Keep in mind that the documentation varies depending on the type of business entity you choose to establish and the business activities you want to do.
- Physical address information for a business
- A business’s trade certificate or evidence of a reserved trade name.
- Articles of Association from the present UAE Embassy
- Initial approval or certificate from DHA (Dubai Health Authority) and DED approving the activity.
- A power of attorney or authorization to appoint the business advisor.
- Passport copies for each shareholder, partner, and manager
- Notarized Memorandum of Association
- The Memorandum of Association has the signatures of all shareholders
- Information documents of each shareholder and manager
- Resume copy of the manager
- Proof of the owners’ finances and account balances
- Any proof or form of lease or rental agreement
Steps to Start a Health Care Business in Dubai
Follow the below steps if you wish to open a healthcare business in Dubai:
- Choose a Limited Liability Company (LLC) or a branch as the legal or corporate entity type.
- Then, choose a good name for your business and register it legally with the authorities.
- Provide the required documentation and your business proposal to the authorities.
- Give the board a copy of the shareholder resolution.
- All shareholders need to duly sign the memorandum and the articles of association and submit it to the authorities.
- Keep a contract signed in the HDCC office.
- Then, get the license for your healthcare business. If you want to open a private clinic, you need to get a license for a private clinic in Dubai.
- After your business plan and application have been accepted, pay the standard fee.
- Then, you need to open a bank account to perform all the business-related accounts and financing activities.
Benefits of Setting Up a Healthcare Business in UAE
Due to the numerous advantages the UAE offers in relation to the business setup procedure, the country has established itself prominently in the eyes of international businessmen and investors. Following are a few advantages that entrepreneurs can enjoy by establishing a healthcare firm in the United Arab Emirates.
Various Business Options
An investor or business owner has a wide range of possibilities when it comes to setting up a company in the healthcare sector, from opening a medical unit healthcare center, or clinic to a hospital, etc. The UAE is a free-for-all for any kind of business, regardless of the type and size of business operation. If business owners, investors, industrialists, and freelancers have enough knowledge about business strategies and the drive to succeed, they have a massive market to work with.
The healthcare sector is one of the sectors of the UAE economy that is expanding very fast. International investors have been paying attention to the UAE’s healthcare sector as one of the greatest investment opportunities because they see the healthcare sector and the Emirates as the ideal investment match.
A Growing Market
The United Arab Emirates has effectively transitioned to a non-oil economy from an oil-based economy and has brought in a huge sum of money in this economy in quite some time. The country is a great place for the healthcare industry because it is currently home to more than thousands of foreign ex-pats, including business owners, investors, tourists, professionals, and more. After 2023, the thriving UAE market will expand even further.
UAE is famous for its innovative leadership and bold ideas. A business entity’s forethought and careful preparation enable owners of such a firm to do business operations and activities efficiently. The UAE is interested in integrating technology across all business sectors including healthcare. The healthcare sector is the UAE’s one of the leading marketplaces for IT.
Artificial intelligence has already been used in the country’s media and retail sectors, among other industries. The use of new technology has been made in the healthcare sector to streamline relevant business operations and provide the finest services to the medical community and patients worldwide.
Easy to Expand a Business
The fact that the UAE shares borders with Saudi Arabia, Oman, Bahrain, Qatar, and so many other nearby countries, makes it easier for investors and business owners to plan and grow their operations as needed and to increase profits. The country has several alternatives for the expansion of corporate entities on an international and national level.
Special Economic Zones
The UAE has specific business zones that entrepreneurs and business owners can use for setting up their companies depending on the total available shareholders and the amount of capital invested. These dedicated areas are Free Zones, Mainland, and offshore.
Free Zones: Free zones are places that are established to encourage entrepreneurs and experienced business owners to establish their companies and are exempt from taxes.
Mainland: This option allows companies to conduct business operations within the United Arab Emirates and has no limits on expanding outside the country.
Offshore: For commercial companies that have already been registered abroad and desire to conduct their operations outside of their primary countries, the offshore zone proves to be practical.
The possibility of giving your brand international wings is a key requirement that investors want to meet when forming a firm in the UAE. When a commercial entity gains international recognition, its brand value and goodwill boost a lot. Additionally, the company should compete in the international market and expand it wherever the opportunity is available.
Easy to Obtain a Business License
Investors and entrepreneurs must have business licenses in order to create a firm in the Emirates. The license serves as a legal permit to conduct the permitted operations in the region. It is very easy to get a business license in the Emirates. The UAE authorities offer a variety of business licenses that should be used by various businesses in accordance with the rules and regulations of the country.
Ownership Rules in the UAE
In the Emirates, a foreign investor is not allowed to have a majority stake in a healthcare company. This means that every foreign-owned company in the country must have a Limited Liability Company (LLC) with local ownership of at least 51%. This is a crucial guideline because the majority of healthcare firms in the UAE are set up in this manner.
You may need a local partner or you may need to find one if you want to start a healthcare business in the UAE as a foreign investor. You must be able to comply with the law’s requirements, and be able to maintain control and do management of the company.
Set Up a Business in UAE Healthcare Industry with RIZ & MONA
Starting a healthcare business in Dubai, UAE is not that difficult if done in the right way. There are tons of benefits to starting a business in the UAE healthcare sector and is a great opportunity for investors and businessmen from across the world. If you are looking to start a business in the UAE, you should reach out to RIZ & MONA CONSULTANCY for setting up your company.
As one of the top business consultants in the UAE, we continue to stand as it always has for our clients. Our qualified specialists have vast experience with the incorporation processes and hold a commitment to forming your company in Dubai without any errors. Contact us now to book your free slot and lay the foundation of a great business here in the UAE.