Dubai is the third best city in the world to move to as an entrepreneur, according to a recent study by financial services company SumUp.

The result follows a separate survey of Dubai’s expats, where starting or developing a business emerged as a top 3 reason for relocating to the emirate.

Expats can retain 100% ownership of their businesses when based in the UAE, but what else is it about Dubai specifically that ambitious entrepreneurs find so appealing?

Global finance hub

In recent years, Dubai has emerged as a global financial hub, offering founders everything they need to fund a fledgling business.

To start, the emirate is famous for attractively low taxation, both personal and business.

Recently introduced corporate tax is an internationally competitive 9% above profits of AED 375,000 ($102,000 approx). VAT is similarly low, at 5%.

Dubai also hosts a substantial pool of private capital. It is home to a full third of MENA’s investors, and the world’s 3rd fastest growing VC ecosystem.

And the government is a full-throated investor. For example, its $272 million Dubai Future District Fund invests directly in startups and backs other VC funds.

Comprehensive support

Further support comes from the emirate’s specialized economic Free Zones, which span everything from manufacturing and healthcare to finance, tech, media and innovation.

Free Zones often provide business support in mentorship and networking, alongside facilities: from co-working space and custom warehousing to research labs and logistics infrastructure.

With 100% foreign ownership and integrated, digitized processes, setup is streamlined. In the most recent World Bank ease of doing business ranking, the UAE ranked 1st for MENA and 16th globally.

And regulations deftly balance robust protection – and international credibility – with innovation-friendly flexibility.

For example, the Dubai Financial Services Authority (DFSA) – the independent regulator of financial services conducted in or from the DIFC (Dubai International Financial Centre) – operates an English Common Law-based legal framework.

It also supervises the DIFC’s regulatory sandbox, which allows FinTech and tech startups freedom to develop within a controlled environment.

Launchpad to the world

Businesses in Dubai can easily interface with the rest of the world, thanks to trade connectivity and access to new markets.

What’s more, entrepreneurs can settle in with relative ease thanks to a wide range of visas including the five-year Green Visa and the highly coveted 10-year Golden Visa.

As such, it makes the ideal incubator for ambitious entrepreneurs with an eye on international expansion.