If you are planning on starting up a business in UAE then you should make a plan for your business in RAK offshore company formation. In that plan you should also mention the mistakes to avoid while doing business RAK free zone company formation. One should do research about the risks that can lead to many problems in your business. One should be aware of the risk of a mistake that can lead to financial loss. Here is the list of some mistakes to avoid while doing business in UAE:
- UAE is the hub of regional businesses. UAE provides a lot of opportunities to everyone for opening up a business and trading. There are lot of platforms that will help you in registration approval and license registration procedures. In UAE, if you are starting up business you need to have a license issued for all the commercial activities. Regulatory authorities are available for these services. If there is some mistake or you choose the wrong structure for your business or you have wrong kind of license for your work then that could lead to penalties.
- If you are an employee then you should get written consent from your employer allowing you to have a business other than that job. If you are unable to have that written consent then it is the violation of law and contract in UAE. You can get penalties and other than that it is unethical for you to be moonlighting.
- All the business transactions should be done in written form. Verbal contracts and commitments are valid to but they need to be proven first so it is better to use written contracts to avoid any kind of disputes. Some entrepreneurs use online forms and contracts for their business just to avoid the legal fee. But it is crucial for them to understand that each downloaded document does not fulfil the requirement according to the type of business they are running.
- Asset to an entrepreneur is something that give current or future benefit. So, if an entrepreneur has developed some product then it is very important for or him to protect it. One should register it as an intellectual property. Business owners often forget or are unaware of the fact that anyone can claim their product. So, registration of intellectual property is crucial.
- Also, one should also make a plan if the business goes through any kind of issues or loss. Such future problem should be assessed before and one should come up with the solution. The solution can be insurance or other contracts depending on the nature of your business.