More than 22,000 small businesses were established in Dubai last year, despite emerging economic headwinds.
Dubai SME, part of the Department of Economic Development, estimates that the number of small and medium-sized enterprises jumped by 18 per cent last year compared to 2014.
While the weak oil price and strong dollar have hit many companies hard, the chief executive of Dubai SME believes the current situation was far from a crisis. “This is not 2008 and nothing like 2008. We have some challenges, but all businesses face challenges,” said Abdel Baset Al Janahi.
“The number of people opening new businesses in Dubai – an 18 per cent jump year-on-year – shows me that we have a brilliant framework and an ecosystem that allows SMEs to thrive.”
He said most SMEs that set up in Dubai were looking regionally rather than locally.
“I would not tell a first-time food and beverage owner to open in Dubai Mall because he will never afford the rent. I say remember that you are small and build, that is a way to success and many SMEs are successful here, building to medium-size companies.”
It was not known how many SMEs closed over this period.
A culture of entrepreneurship and a business-friendly environment has encouraged start-ups in many sectors.
“We opened here in Dubai just four months ago,” said Fredrik Schauman, the founder and chief executive of bfound, a local search platform that helps SMEs with online presence.
“We now have 500 paying clients and we are exactly where our business plan expected.
“Yes, we have had some problems with payments, but in our business 80 per cent of SMEs are not online. And in Europe only about 5 per cent of businesses are not online, so the opportunity for sales and growth is massive here.”
ascott@thenational.ae
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If you go
The flights
There are various ways of getting to the southern Serengeti in Tanzania from the UAE. The exact route and airstrip depends on your overall trip itinerary and which camp you’re staying at.
Flydubai flies direct from Dubai to Kilimanjaro International Airport from Dh1,350 return, including taxes; this can be followed by a short flight from Kilimanjaro to the Serengeti with Coastal Aviation from about US$700 (Dh2,500) return, including taxes. Kenya Airways, Emirates and Etihad offer flights via Nairobi or Dar es Salaam.
The specs
Price: From Dh180,000 (estimate)
Engine: 2.0-litre turbocharged and supercharged in-line four-cylinder
Transmission: Eight-speed automatic
Power: 320hp @ 5,700rpm
Torque: 400Nm @ 2,200rpm
Fuel economy, combined: 9.7L / 100km
The specs
Engine: 3.8-litre twin-turbo flat-six
Power: 650hp at 6,750rpm
Torque: 800Nm from 2,500-4,000rpm
Transmission: 8-speed dual-clutch auto
Fuel consumption: 11.12L/100km
Price: From Dh796,600
On sale: now
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How Filipinos in the UAE invest
A recent survey of 10,000 Filipino expatriates in the UAE found that 82 per cent have plans to invest, primarily in property. This is significantly higher than the 2014 poll showing only two out of 10 Filipinos planned to invest.
Fifty-five percent said they plan to invest in property, according to the poll conducted by the New Perspective Media Group, organiser of the Philippine Property and Investment Exhibition. Acquiring a franchised business or starting up a small business was preferred by 25 per cent and 15 per cent said they will invest in mutual funds. The rest said they are keen to invest in insurance (3 per cent) and gold (2 per cent).
Of the 5,500 respondents who preferred property as their primary investment, 54 per cent said they plan to make the purchase within the next year. Manila was the top location, preferred by 53 per cent.
