In Dubai, just like almost anywhere, every entrepreneurship entity begins with an idea. However, it is the dynamism of the idea that determines how soon one is able to find investors in Dubai. Startup businesses in Dubai especially require powerful concepts that can demonstrate their practicality to investors.
Today, even though numerous entrepreneurs seek investors in Dubai, only 5% of those have succeeded. Does this mean that their business ideas are not workable? Do they utilize the correct method in approaching the investors?
While starting a business in Dubai is exciting and fun, carrying out market study is paramount. Understanding what the market wants helps in coming up with concrete plans that investors would want to be a part of. As it is, Dubai is a probable location for entrepreneurs to search for investors. It is a globally recognized financially thriving destination whose economy continues to grow rapidly.
Finding investors in Dubai may not be easy though. However, entrepreneurs can utilize the services of business consulting entities in the area as they have a better understanding of the local entrepreneurs. In addition, they are in a better position to analyze an individual’s business plan and advise them accordingly. Individuals with great business ideas can easily find investors in Dubai.
Many investors are likely to invest in businesses that show a huge potential of revenue generation. New start up businesses may not be instantly profitable. However, if their services or brand is powerful enough to make an impact on the target market, and generate revenue, it is enough to convince investors to pump in a good percentage of money into the organization’s equity.
What do investors look out for?
Many investors in Dubai focus on investing on an individual as compared to the product. They aim at instilling in him entrepreneurship characteristics that will enable him to continue running the business even after they exit. Growing a business and driving it towards stable growth requires lots of determination and most importantly money.
Investors are delighted to see an entrepreneur’s commitment in putting part of the required money in the business. The investor then will be able to determine the entrepreneur’s commitment and nurture it towards stability. It is important to understand that the prosperity of a business is highly dependent on an entrepreneur’s aggressiveness and not so much on the product.
A good investor will strive to figure out an individual’s desire and potential, and collaborate with them to propel their business to success. Individuals planning to set up entrepreneurship entities in Dubai need to understand the requirements which include: acquiring a business license, resident’s permit, and a local sponsor.
Local sponsors are entitled to a 51% business stake which many entrepreneurs see as a high price to pay. Such entrepreneurs can opt to set up their businesses in one of the free zones in Dubai. The benefit of these is that the entrepreneur is exempted from taxes and can have a 100% business ownership.
As with every good thing, there are drawbacks. In this case, business space can be quite costly and situated in far off areas where there is not much human traffic.
Where to find investors in Dubai
Attending local events in Dubai is an ideal way to find investors. The DBI (Dubai Investors Forum for instance organizes monthly activities which gathers together numerous investors, capitalists, and entrepreneurs together. Entrepreneurs get the opportunity to make their presentations in front of the investors for a fee. If you want to find investors in Dubai, check this site: businessxb.com.
Individuals can take advantage of such events to demonstrate how their brands work and how much potential they hold. Entrepreneurs with the best convincing presentations are likely to attract more investors.
Every entrepreneur can take advantage of the numerous available opportunities to find investors in Dubai. One thing that remains constant is that they should be aggressive and determined enough to develop their brand. They should also be in a position to raise as much money as possible to demonstrate to the investor their commitment.