Investors continued to pursue new opportunities in Dubai during 2014 as the emirate recorded more than 13 per cent growth in business licences issued last year compared to 2013, the Department of Economic Development (DED) in Dubai announced on Saturday.
The total number of licences increased to 21,358 in 2014 as against 18,848 in 2013, with industrial licences showing the biggest increase (27 per cent) followed by commercial and tourism licences at 16 per cent each and professional licences at five per cent.
The strategic guidance provided by Dubai's leadership in stimulating diversification and removing barriers for entrepreneurs and investors in vital sectors is contributing to accelerated economic development. The latest figures on business licensing proves the investor focus on Dubai and the emirate's regional and global competitiveness.
The business registration and licensing sector aims to consolidate and enhance the sustainability of economic development in Dubai through targeted initiatives and the application of best practices, such as ease of starting and doing business.
The DED's report on 2014 shows the number of amended licences reached 85,548 in 2014 compared to 74,859 in 2013, an increase of 14 per cent, while the total licences renewed increased four per cent to reach 118,953 from 114,218 during the same period. The number of total transactions completed in 2014 was 577,400.
The number of reserved trade names in 2014 was 83,599, an increase of 12 per cent over the 74,750 names reserved in 2013, while initial approvals increased 14 per cent from the previous year and reached 38,580.
In terms of licences classified under the legal form, Limited Liability Companies (LLC) accounted 14,701 of the licences in 2014 compared to 12,549 in 2013, a growth rate of 17 per cent. Sole proprietorship licences rose six per cent, from 5,375 in 2013 to 5,090 in 2014.
Licences issued to branches of free zone companies in 2014 showed a 129 per cent increase — from 45 in 2013 to 103 in 2014 — while number of private shareholding companies increased by 43 per cent, public shareholding companies by 36 per cent and branches of foreign companies licensed increased 15 per cent.
LLCs accounted for 67 per cent of the total licenses issued in 2014, followed by sole proprietorship companies (27 per cent) and Civil Works companies (four per cent).
The top 10 among activities licensed accounted for 15,383 licences in 2014, with an increase of 24 per cent compared to 14,484 licences in 2013.
Sector-wise, general trade (2,664 licences) led the list of top 10 activities licensed in 2014 compared to 2,293 licences in 2013, a growth of 11 per cent followed by dyes and paints (1,638 licences in 2014 as against 1,594 in 2013) and tiling of floors and walls (1,620 licenses in 2014 compared to 1,526 in 2013, a growth of six per cent).
Source: Khaleej Times