News & Views
Auditors | Accountants | Business Advisors | Trademark Agents | Property Consultants
Sunrise sectors in UAE 2011: Summer Edition | Vol. 2 â€“ No. 5
In This Volume MAKING OF CHARTERED ACCOUNTANT - VOLUME 1 THE RISING SERVICE SECTOR IN UAE SHINING TO LEAD (THE UAE HOTEL INDUSTRY) THE INSURANCE SECTOR IS ON A HIGH IN UAE NEW HEIGHTS FOR EDUCATION SECTOR IN UAE BRIGHTER PROSPECTS FOR HEALTH SECTOR IN UAE DUBAI OUTSOURCE ZONE (DOZ) NON FREE ZONE INDUSTRIAL SET UP BY RAKIA COMMERCIAL PROTECTION SECTION ESTABLISHED IN UAE
The summer edition of News and Views endeavors to unveil a silver lining for UAE residents amongst the dark clouds of political unrest that grip the MENA region. The entire Middle East is in a state of concern over the development of such a distressing situation along with its political and financial ramifications. While we sympathize with those caught in the turmoil, we can perhaps find some relief in the fact that UAE has only been a witness and not...refer page 3 for full artcile
Deliberate diversification of strategies and policies has steered the UAE economy away from oil economic activities to nonoil economic activities. The dependence on the oil sector has come down to a level that has resulted in the steady change of the country's economic structure. The economic activities in the services sector are deriving the maximum benefits out of this change. According to the Gulf state's economy minister.....refer page 5 for full article
The rebound in tourism, which has contributed significantly to UAE's economic recovery, can be attributed to the initiatives taken by UAE Department Tourism and Commerce Marketing, (DTCM), Emirates airline and the tourism industry as a whole. Emirates airline enjoys a close working relationship with DTCM, along with other UAE stakeholders, which has resulted in innovative joint marketing programmes, reaffirming UAE as one of the world's leading tourism destinations. In 2010, the United Kingdom, India, Iran, Saudi Arabia and the United States became the top five source markets for UAE's tourism industry. According to DTCM, the UAE hotel industry has observed a six percent increase in terms of revenues and the number of guests. Tourism revenues reached Dh13.2 billion last year compared to Dh12.4 billion in 2009......refer tp page 6 for full article
News & Views
CONTENT PAGE 3 - CHAIRMAN’S MESSAGE
PAGE 4 - (A) MAKING OF CHARTERED ACCOUNTANT - VOLUME 1 Mr. H.Venkata Raju - Audit Partner
News & Views
Auditors | Accountants | Business Advisors | Trademark Agents | Property Consultants
Sunrise sectors in Dubai 2011: Summer Edition | Volume: 5
(B) NEWLY APPOINTED ASSOCIATE AUDITORS
In This Volume MAKING OF CHARTED ACCOUNTANT - VOLUME 1 THE RISING SERVICE SECTOR IN UAE SHINING TO LEAD (THE UAE HOTEL INDUSTRY) THE INSURANCE SECTOR IS ON A HIGH IN UAE
NEW HEIGHTS FOR EDUCATION SECTOR IN UAE BRIGHTER HEALTH PROSPECTS COMMERCIAL PROTECTION SECTION ESTABLISHED IN UAE
PAGE 5 - THE RISING SERVICE SECTOR IN UAE Mr. Jitendra Gianchandani - Managing Partner
PAGE 6 - SHINING TO LEAD (THE UAE HOTEL INDUSTRY) Ms. Divya Gianchandani - Partner PAGE 7 - (A) THE INSURANCE SECTOR IS ON A HIGH IN UAE
Member Of R
Mr. Haresh Balar - Senior Auditor
(B) JCA INTERNATIONAL PAGE 8 - (A) NEW HEIGHTS FOR EDUCATION SECTOR IN UAE Mr. Tariq Afroze - Auditor
(B) BRIGHTER PROSPECTS FOR HEALTH SECTOR IN UAE Mr. Anees Paliwala - Auditor
Our main areas of services are: External Audit, Assurance and Due Diligence Internal and Management Audit
PAGE 9 - INSIDE JITENDRA GROUP Events Appointments PAGE 10 - DOING BUSINESS IN UAE UPDATES (A) DUBAI OUTSOURCE ZONE (DOZ) Ms. Neha Karakasia - Legal Consultant (B) NON FREE ZONE IN RAS AL KHAIMAH INVESTMENT AUTHORITIES Mr. Neelesh Pillai - Senior Legal Consultant
Compliance Audit Accounts Outsourcing Company Formations (L.L.C., Offshore and Free Zones) Arranging Credit and Loan Facilities from the Banks Liquidation of Companies H.R. Consultancy Management Consultancy
PAGE 11 - COMMERCIAL PROTECTION SECTION ESTABLISHED IN UAE Mr. Roouchak Saxena - Senior Legal Consultant Directory
Trademark and Patent Registration Worldwide Business Advisory
For comments, suggestions and advertisements, please contact Mr. Noel C. Aponte Jr. - Marketing Assistant E-mail: email@example.com Follow us on Twitter: http://twitter.com/jcaservices Tel: +971 4 3438022
News & Views
CHAIRMANâ€™S MESSAGE The summer edition of News and Views endeavors to unveil a silver lining for UAE residents amongst the dark clouds of political unrest that grip the MENA region. The entire Middle East is in a state of concern over the development of such a distressing situation along with its political and financial ramifications. While we sympathize with those caught in the turmoil, we can perhaps find some relief in the fact that UAE has only been a witness and not participant to the ensuing events both, politically and financially. The investment scenario in the UAE has noticed an upsurge in the past few months, with investors considering the region to be more stable. Being mindful of the improved business confidence in Dubai, Sheikh Ahmed bin Saeed Al Maktoum went on to comment that while the Dubai Airport Free Zone saw a 23% increase in sales in 2010, it now aims to achieve a further growth of 20% by the end of this year. The RAK Free Zone too has been part of the success story, as it witnessed an increase of 14.65% in the total number of registrations with 1,740 new companies lining up for the registers in 2010. Reinforcing its claim of being the most attractive investment zones, RAK not only recorded a 190% growth in the total area of land lease, but also saw a 27% improvement in licenses issued. However, the Jebel Ali Free Zone or JAFZA retained its status of being Dubai's growth engine and leading business hub by attracting new investments in multiple sectors and generating trade worth over US$ 60 billion or Dh 220.35 billion. While the petrochemical and oil sector led the expansion story, it was followed by the automotive and electronics industries. And, while UAE topped the list of investors with 97 new establishments, it was succeeded by India with 47 companies, UK with 37 establishments, the United States with 29, Germany with 18 companies and China with 17. Additionally, international tourists too foundDubai to be a safer destination as occupancy levels have seen a considerable boost as compared to the previous year. Page 3
The success of Dubai World's debt restructuring deal, in the wake of an already attractive yield, has further solidified Dubai's position as a reliable state. The final agreement involves the restructuring of $14.7 billion or 10.4 billion Euros of debt, giving the biggest conglomerate in the Emirates up to eight years for repayment. This has not only significantly improved the liquidity quotient for banks, but will also have a positive impact on the construction sector in the coming future. In this edition, we feature on an introduction to the sunrise sectors of UAE, namely, Education, Insurance, Hospitality, Health and Services. These features present you with an analytical view of the developments that have already taken place in each of these sectors along with acquainting you with the core rationale that makes them the harbingers of better opportunities and considerable economic growth to the Emirates.
Jitendra Gianchandani, FCA Chairman & Managing Partner Jitendra Consulting Group www.cajitendra.com http://blogcajitendra.com Email: firstname.lastname@example.org
News & Views
Making of a Chartered Accountant: Volume 1 A globally acclaimed profession capable of offering new vistas to young talents, a vision to build a career and a new idea to blossom and be a proud member of the
glorious Chartered Accountancy profession.
Mr. Venkata Raju - Audit Partner Jitendra Chartered Accountants
The Chartered Accountancy qualification is a fantastic dooropener on anyone's CV and can unlock the door to foreign travel and working abroad. There are so many career paths available once the Chartered Accountancy qualification is obtained – the world is your oyster. Why become a Chartered Accountant? Becoming a Chartered Accountant takes a little time and effort. So is it really worth it? What is a Chartered Accountant, and why should you be interested in a career as one? All accountants are not the same. As in any career, there are levels of achievement and recognition for those that are at the top of their profession.
Chartered Accountants are widely regarded as being a step up from the rest due to the multi-faceted knowledge they enjoy through unique academic programmes blended with practical training which is what the business and industry needs. They create more than just financial statements; they are policy-makers, strategists, and advisors. Advantages of being a Chartered Accountant 1. Being a Chartered Accountant opens many more doors for your career. You'll be in greater demand than other types of accountants. There is a shortage of proven, young professionals in the industry, and being a Chartered Accountant will give you the edge in employment. 2. Chartered Accountants are respected leaders in business holding the most prestigious professional accountancy qualification available and are essential to the success of any organization. 3. The Chartered Accountancy profession is recession proof.
4. Yo u 'll also h ave mo re opportunities to work overseas. As a Chartered Accountant, your qualification is recognized around the world. Students can pursue CA from many institutes around the world such as ICAEW, ACCA, ICAI, AICPA, ICAP, ICAA, CICA, ICASL, etc. The time it takes to finish the whole course, along with the training and exam, varies from institute to institute as does the eligibility to start the course. For the purpose of this article we have limited our study to a few institutes – ACCA (U.K.), ICAEW (U.K.), ICAI (India) and AICPA (U.S.A.). The next volume will contain more information on how to achieve the Chartered Accountancy Qualification from the 4 institutes which we have selected for the scope of our study and will also contain the challenges involved in becoming a CA. We invite reader's queries for audit related issues on email on email@example.com
NEWLY APPOINTED ASSOCIATE AUDITORS
Ms. Mavish Haris currently studying ACCA from Phoenix Financial Training, Dubai and has joined Jitendra Chartered Accountants as an Associate Auditor. She has completed fundamental level papers and is currently attempting professional level papers. She completed A-Levels in Physics and Maths from Arab Unity School.
Ms. Jane James qualified as an ACCA from Phoenix Financial Training, Dubai and also pursued BSc (Hons) in Applied Accounting from Oxford Brookes University. She joined Jitendra Chartered Accountants as an Associate Auditor. She did her schooling from Our Own English High School.
Ms. Sonali Kanakiya is currently studying ACA from ICAEW, U.K. She joined Jitendra Chartered Accountants as an Associate Auditor and is studying the Professional Stage Knowledge Modules. She has completed her “O” Levels (U.K. System) from lbn Seena English High School.
News & Views
THE RISING SERVICE SECTOR IN UAE “UAE’s GDP is on the rise and with the country’s economic status changing for the better, the service sector in UAE is expected to bounce back from the lull”
(Banking and insurance), go ve r n m e nt s e r v i c e s , a n d domestic services of households. The DIFC (Dubai International Financial Centre) is playing a vital role in building such an economy which will help meet the demands of the growing local and regional financial services industry in UAE. Mr. Jitendra Gianchandani – Managing Partner Jitendra Chartered Accountants
Deliberate diversification of strategies and policies has steered the UAE economy away from oil economic activities to non-oil economic activities. The dependence on the oil sector has come down to a level that has resulted in the steady change of the country's economic structure. The economic activities in the services sector are deriving the maximum benefits out of this change. According to the Gulf state's economy minister Sultan bin Saeed Al Mansouri, UAE's gross domestic product is expected to grow between 3 % - 3.5 % in 2011. Trading activities are said to be the primary drivers for this growth. The Chairman of Dubai Chamber of Commerce and Industry, Abdul Rahman Al Ghurair, mentioned that the sharp downturn in the real estate sector of the Emirate, following the global fiscal distress of 2008, brought down the inflation and increased the capital flow. The economic activities include wholesale and retail trade and repairing services, restaurants and hotels, transports, storage and communication, real estate and business services, social and personal services, financial services Page 5
As per the Department of Economic Development, UAE, the service sector in UAE will bounce back this year with a four percent growth rate. Despite the ongoing crisis in the emirate's real estate sector and the mounting debts, the UAE economy has been g row i n g fa ste r t h a n m o st emerging economies. The main contributors to GDP are hydrocarbons (29.2 per cent), 'other services' (13 per cent), manufacturing (16 per cent), construction (11 per cent), trade (9 per cent) and financial services (6 per cent). The DIFC (Dubai International Financial Centre) is supporting the development of the knowledge economy to serve the significant demand for professionals amongst regional and international stakeholders, particularly in the financial services sector in the region. The DIFC is now more attractive as an investment centre for both foreign and domestic fund managers. Set up in 2004, it has managed to persuade a large number of international banks and financial institutions to use the tax-free centre as a launching pad for operations across the Gulf.
TECOM Investments in Dubai known to have pioneered dynamic industry clusters in the country established a cluster of the following free zones: Dubai Media City Dubai Internet City Dubai Outsource Free Zone International Media Production Zone Dubai Studio City Dubai Knowledge Village DuBiotech Dubai International Academic City The recent changes introduced in the collective funds regime by the Dubai Financial Services Authority (DFSA) will attract more funds to domicile in the jurisdiction of the DIFC. The changes have been welcomed by the asset management industry in UAE. The new changes will also allow DIFC based fund managers to establish and manage funds in jurisdictions of their choice. Fund managers from recognized jurisdictions outside the DIFC can establish and manage a domestic fund without having to establish a place of business in the DIFC. 16 of the world's top 20 banks, eight of the world's top 20 largest asset managers, four of the world's five largest insurance companies and six of the top 10 global law firms are already making their business grow in the country. We invite reader’s queries to email at firstname.lastname@example.org
News & Views
THE UAE HOTEL INDUSTRY SHINING TO LEAD. “With 244 hotels containing 55,000 rooms still to come, the hotel industry in Dubai promises to provide 120,000 jobs to future hotel industry aspirants, especially in UAE. “
Divya Gianchandani – Partner
Jitendra Gianchandani – Managing Partner Jitendra Chartered Accountants Jitendra Chartered Accountants
The rebound in tourism, which has contributed significantly to UAE's economic recovery, can be attributed to the initiatives taken by UAE Department Tourism and Commerce Marketing, (DTCM), Emirates airline and the tourism industry as a whole. Emirates airline enjoys a close working relationship with DTCM, along with other UAE stakeholders, which has resulted in innovative joint marketing programmes, reaffirming UAE as one of the world's leading tourism destinations. In 2010, the United Kingdom, India, Iran, Saudi Arabia and the United States became the top five source markets for UAE's tourism industry. According to DTCM, the UAE hotel industry has observed a six percent increase in terms of revenues and the number of guests. Tourism revenues reached Dh13.2 billion last year compared to Dh12.4 billion in 2009. Almost Dh11.2 billion came from hotels, and the rest came from hotel apartments.
This surge was observed in the first nine months of 2010. The reason being falling rates of hotel rooms in UAE since the last two years. Hotels in UAE hosted over 8.6 million guests last year, an increase from 7.8 million the year before. Ghassan Aridi, CEO of Alpha Tours, says that extensive marketing campaigns as well as close cooperation among DTCM and the private sector have helped UAE to attract more tourists last year. The UN World To u r i s m O rga n i zat i o n h a s predicted that by 2020, the inflow of tourists in the Middle-East will rise up to 136 million. About 30 new hotels were added to the UAE market last year, raising the number to 382. That added about 7,600 rooms to the hotel inventory, raising the total to about 51,000 rooms. Guest nights across all hotels increased by 17 per cent to 26.6 million last year, up from 22.8 million in 2009. This reflects an average of about three nights Courtesy: stay per guest. Abu Dhabi GULF NEWS also observed a 27% increase in hotel guests. This increase led to endless collaborations between reputed hotel chains, travel agencies, tour operators and airlines in order to grab a bigger share in the hospitality industry.
Also huge events like the Formula 1 Etihad Airways Abu Dhabi Grand Prix, Mubadala World Tennis Championship, and Abu Dhabi HSBC Golf Championship were also responsible in bringing the hospitality industry to such heights. Innovative hotel designs and spectacular views are being c re a t e d , a tt ra c t i n g d i v e rs e architects and talents. DTCM's extensive marketing efforts and diverse promotional programmes across the global tourism market is one of the reasons why the hospitality industry in this part of the world is on a high. Peter Goddard, Managing Director of TRI Hospitality Consulting based in UAE, said that the levels reported by the DTCM are consistent with the company's research on the four- and five-star hotels. With 244 hotels containing 55,000 rooms still to come, the hotel industry in UAE promises to provide 120,000 jobs to future hotel industry aspirants, especially in UAE.
The Emirates Academy of Hospitality Management The Emirates Academy of Hospitality Management (EAHM) has taken the pains to prepare talents for the future hospitality industry. It provides all kinds of internationally accredited and industry recognized Page 6
Degree level courses to its students. EAHM focuses on preparing highly trained, well motivated workforce which helps in enhancing operational efficiency.
A rise in local and overseas students applying for hotel management courses in a lot of industry-focused colleges in UAE shows the increasing interest among the youngsters in the hospitality industry.
We invite reader’s queries to email at email@example.com
News & Views
THE INSURANCE SECTOR IS ON A HIGH IN UAE “We all live in a world full of uncertainties! Mishaps and accidents have become inevitable ‘surprises’ for the human society these days.” This in turn has made the insurance sub-sector more popular. As an important part of UAE's financial sector, the insurance sub-sector acts as an important intermediary in covering losses and minimizing risk exposure for individuals and companies. There are however, a few areas which still need proper attention
Mr. Haresh Balar – Senior Auditor Jitendra Chartered Accountants
Proper reconstruction of the distorted legal framework in the Middle-East. This will help the 'Takaful' or the Islamic insurance to a great extent
The insurance sector in many countries around the world today holds the backbone of their economy. And this is no surprise because we all live in a world full of uncertainties! Mishaps and accidents have become inevitable 'surprises' for the human society these days. In 2010, the Business Monitor International (BMI) and the Dubai Chamber of Commerce and Industry released a study focusing on the current trends and prospects found in the UAE insurance market. This study tells that in recent times there has been an increase in the income levels of individuals and a lot of business enterprises in the country. This stands to be the core reason behind the rise in the demand for the insurance products in this part of the world.
Lack of assets compliant with Islamic provisions against usury and excessive risks Lack of appropriate staff. Mutual assistance between rising economies in Islamic countries like Malaysia and Indonesia hold the key in the development of the 'Takaful' and its insurance products. The study also reveals the factors responsible for the growth in the insurance sub-sector in UAE that are-
The levels of GDP (Gross Domestic Product) in the country GDP per capita levels and Penetration of life and non-life i n s u ra n c e m a r ke t ( N o n - l i fe i n s u ra n c e p ro d u c t s i n c l u d e accidental cover, fire, marine, aviation and transport and health; while life insurance products include new life and business force) A combination of the above three factors are alone responsible for the high growth of the insurance sub-sector in UAE. The study also tells that due to the rise in the levels of income of the people in the country, a huge amount of disposable income remains for investing in safety issues. Even lower penetration levels of life and non-life insurance products hold substantial potential for UAE companies to grow from a low base. The increasing number of insurance companies in the insurance sub-sector indicates the level of competition in this sector. UAE's GDP percentage ratio in the non-life insurance segment is almost higher than any other Middle-East and North African country. We invite reader’s queries for audit related issues on email on firstname.lastname@example.org
JCA INTERNATIONAL JCA International Adds Three New Members to its Community JCA International, the network of Independent Auditors, Accountants, Lawyers and Consultants has announced that it has added three new members to its ever-growing community. The three latest additions to JCA Member Firms are: 1. AZCONS LLC, the Business Consultants Company who offer complete business solutions in the fields of legal, accounting and audit, taxation, marketing and sales, business and project development based in Azerbaijan. 2. J.G. Unadakat & Co. a professional assurance firm in the field of Audit, Taxation and Project Finance for SMEs based in India. 3. Peak Professional Services is a Firm of Management Consultants which provides for the comprehensive needs of businesses in the full range of the business cycle based in Nigeria. Page 7
News & Views
NEW HEIGHTS FOR EDUCATION SECTOR IN UAE “KHDA (Knowledge Human and Development Authority) brings reforms in the education system in the UAE in line with the international standards.”
Mr. Tariq Afroze - Auditor Jitendra Gianchandani – Managing Partner Jitendra Chartered Accountants Jitendra Chartered Accountants
Education is considered to be the primary source of information and thus forms the basis of growth for any country. Before the development of any other sector in a country, raising the standards of the education sector is much more important. Excellent educational institutions with motivating environments and comprehensive skills are the factors which help students succeed in their goals. A sudden rise in the population has necessitated a considerable investment in the educational sector of UAE. People in UAE are fully aware of the importance of education in their life. Due to an optimistic inclination towards the education sector, UAE has moved ahead of many other neighboring nations. In 2006, the UAE education budget rose by 13% to US$ 7 billion, at 35% it was the highest allocation to any sector for the year, for public and higher education, according to research group Madar Research.
United Arab Emirates University (UAEU), Zayed University (ZU), Higher Colleges of Technology (HCT), Centre of Excellence for Applied Research and Training are some of the government institutions in UAE who are responsible for providing higher education in the country. The existing educational framework in the UAE was set up in the 1970s. It comprises a four-tier system covering fourteen years of education. Both primary and secondary education is provided to all the citizens of UAE. Money spent on the education sector works as investments or savings which lead to a safe and sound future. Other than USA and UK, the UAE is the only country who have been following this trend and are always in the race of providing best educational services to its citizens and also to students coming from other nations. The UAE provides free basic education to all its citizens starting from kindergarten to university. ADEC or Abu Dhabi Education Council is responsible for the spreading of the trend of private institutes for education. KHDA (Knowledge Human and Development Authority)as a body regulates education and brings reforms in the education system in the UAE in line with the international standards. The Higher Colleges of Technology (HCT) offer a more technically oriented education in 12 well-equipped colleges spread throughout the United Arab Emirates.
HCT, in conjunction with its commercial arm, the Centre of Excellence for Applied Research and Training (CERT), prides itself on responding quickly and effectively to current needs in the regional and international workplace. American University of Sharjah and Dubai, Ajman University of Science and Technology, Sharjah University, Al Hosn University are among the other private educational institutes who are open in the country in order to provide more higher educational degrees. The Academic City, in the Dubai Knowledge free zone has been established to attract international universities Ninety-five per cent of all females and 80 per cent of all males who are enrolled in the final year of secondary school apply for admission to a higher education institution in the UAE or study abroad. A lot of vocational and technical educational centers can also be found in the country specializing in providing practical training in chosen careers. The “Education Vision 2020”, a 20 year program launched by the Ministry of Higher Education, UAE Government focuses on the restructuring and improving the country's educational system so that it can effectively address the distinct challenges of the society and the country's economy
BRIGHTER HEALTH PROSPECTS “The Dubai Chamber of Commerce and Industry also expects a doubled rise in the demand for hospitals and hospital beds in the next few years.”
Mr. Anees Paliwala – Auditor Jitendra Gianchandani – Managing Partner Jitendra Chartered Accountants Jitendra Chartered Accountants
In the recent past, The United Arab Emirates (UAE) healthcare sector has undergone a massive growth and has become one of the fastest growing healthcare markets in the Middle-East today. Numerous studies have confirmed the fact that the UAE healthcare industry will grow rapidly within the next five years. It's market value is expected to rise from $3.2 billion to $11.9 billion in 2015. The Dubai Chamber of Commerce and Industry expects more Foreign Direct Investments (FDI) in the near future in the UAE healthcare industry. The sector is governed by three main regulatory authorities: The Ministry of Health (MoH); Department of Health and Medical Services (DOHMS) and Dubai Healthcare City (DHCC). Page 8
Increasing population, rising prevalence of lifestyle diseases such as obesity, diabetes and hypertension, and the lack of internationally accredited healthcare infrastructure are the major factors contributing to the maximum expenditure in the healthcare sector in UAE. The reason behind the optimistic future of the healthcare sector in this part of the world lies in the enhanced participation and high investments by private players into the medical infrastructure and supply of pharmaceuticals to the population. In spite of fewer manufacturers, the country houses 400 pharmacies all over the country. The UAE today is home to eight pharmaceutical factories with investments in the healthcare sector reaching $64.2 million. The value of re-exported pharmaceutical products has also gone up from Dh179 million to Dh194 million, while imports ballooned from Dh1.2 billion to Dh2.15 billion. The leading players in the pharmaceutical manufacturing business include Globalpharma, Gulf Inject and Medpharma, Neopharma and Pharmacare.
According to the “UAE Healthcare Sector Forecast to 2012”, the healthcare sector in UAE is set to grow at a Compound Annual Growth Rate (CAGR) of 13% by 2012. Favorable regulatory environment, increasing private sector participation and the introduction of compulsory medical insurance schemes will be the primary contributors in this growth The Dubai Chamber of Commerce and Industry also expects a doubled rise in the demand for hospitals and hospital beds in the next few years. Dubai Healthcare City (DHCC) in UAE is the world's first healthcare free-zone today. The Dubai Healthcare City (DHCC) is a $3 billion project along with the Dubai Biotechnology and Research Park (DuBiotech) which is again a $400 million project. The DuBiotech is a 300hectare biotech science park that attracts a mix of biotechnology and pharmaceutical companies active in research and development, scientific discovery, testing, production, storage, sales and distribution. We invite reader’s queries for audit related issues on email on email@example.com
News & Views
INSIDE JITENDRA GROUP Inside Jitendra Group - Events Mr. Ashok Sawlani, Chairman Textile Merchants Group (TEXMAS), CA Jitendra Gianchandani, Chairman Jitendra Chartered Accountants and Engr. Saed Al Awadi Chief Executive Officer Dubai Export Development Corporation Government of Dubai during the launching of IFRS for SMEs Booklet on January 3, 2011 at the Majlis, Dubai World Trade Center
CA Divya Gianchandani, Partner – Jitendra Chartered Accountants presenting flowers of appreciation to Engr. Saed Al Awadi as Chief Guest during the launching of IFRS for SMEs Booklet on January 3, 2011 at the Majlis, Dubai World Trade Center
CA Jitendra Gianchandani, Chairman Jitendra Chartered Accountants meets Mr. Sami Al Qamzi, Director General, Department of Economic Development during “Dubai Economic Outlook 2011” on March 30, 2011 at Godolphin Ballroom 3, Emirates Tower, Dubai, UAE.
Mr. Haresh Balar, a qualified Chartered Accountant has joined Jitendra Chartered Accountants as a Senior Auditor. He is an Associate Member of the Institute of Chartered Accountants of India (ICAI) and Master of Commerce from Gujarat University, Ahmedabad, Gujarat, India.
Ms. Maria Jesusa Chua graduated with a Bachelor of Science Degree major in Accounting and has been working in her field for over 5 years. Ms. Chua will provide reception services to the Jitendra Consulting Group and will be positioned at the company's head office in Dubai.
CA Jitendra Gianchandani, Chairman, CA V. Raju, Audit Partner Jitendra Chartered Accountants meets CA Alan Rajah of Lawrence Grant our UK Independent Associate during his visit in Dubai Head Quarter on March 14, 2011.
Ms. Neha J Karakasia, a qualified lawyer has joined Jitendra Consulting Group as a legal consultant. She did her graduation in commerce from Gujarat, India and thereafter
Jca Staff breakfast on celebration of the Holi Indian Festival on March 20, 2011 at JCA Head Office, Dubai
became an advocate on the state roll maintained by the Bar Council of Gujarat, India. She will provide business consultancy services under Jitendra Business Consultancy Division. She has practiced as an Intellectual Property attorney in India. She also has wide experience in drafting legal documents for Offshore and Free Zone company incorporation and other corporate issues.
News & Views
DOING BUSINESS IN UAE UPDATE DUBAI OUTSOURCE ZONE (DOZ) Dubai Outsource Zone, (DOZ) the world's first free zone dedicated to the outsourcing industry is a member of TECOM Investments. Dubai Outsource Zone provides a comprehensive infrastructure and environment for companies who wish to set up their business and offeroutsourcing services in the region. It creates a unique platform in which different types of outsourcing companies can operate because of its swift registration process. Some of the activities which will be available for companies/establishments in Dubai Outsource Zone are categorized as under: ·Outsource: Customer care, Transaction processing, Information technology management etc. ·Consultancy: Legal consultancy, accounting/auditing consultancy, Management consultancy, Market research consultancy. ·Service Providers: Insurance service, courier service, travel agencies, car rental, stationery, restaurant, coffee shop, cafeteria, pharmacy etc.
Ms. Neha Karakasia Legal Consultant Jitendra Business Consultants
The Summary Cost For Setting Base In Dubai Outsource Zone Is As Follows.
Approximate Cost Chart
First Year License Fees Registration Charges (one time) Rent (P.A)
AED 110 per sq. Ft
AED 15000 + Rent
Visa (Per 70 Sq. ft)
AED 15,000 AED 3520
The Companies located at Dubai Outsource Zone also enjoy a host of free zone advantages like: 100% foreign ownership. Absence of corporate and personal income taxes or customs duties. Free repatriation of capital and profit in any currency.
FZ LLC (each share valued @ AED 1,000)
Branch (If branch of Foreign Company, then present shoult be in existence for minimum 2 years
2 weeks 1 month
Free Zone Limited Liability Company
NON FREEZONE INDUSTRIAL SET UP IN RAS AL KHAIMAH INVESTMENT AUTHORITIES RAKIA (Ras Al Khaimah Investment Authority) Free Zone has quickly proven itself to be one of the fastest growing and most cost-effective free trade zones globally, making true its goals to achieve global brand recognition as a premium investment agency. The UAE Federal law concerning commercial companies, states that any company operating in UAE outside the Free Zone areas, should either be totally owned by nationals or must have at least 51% shareholding in joint or foreign ventures. The remaining 49% may be owned by foreigners. Foreign companies or individuals who wish to set-up their business in UAE must at least have a sponsor or service agent and obtain a legal trade license from the local Chamber of Commerce and Industry, the Economic In view of above scenario, RAKIA comes up with a unique Scheme to sponsor those foreign investors who wish to set up their industrial unit in UAE but on a Non Freezone area. The said sponsorship facility is only available to industrial projects and under the said scheme RAKIA takes the place of UAE national with 51% shareholder in the company. The other main features of the industrial set with RAKIA Sponsorship in a Non Freezone area is as under:
Mr. Neelesh Pillai Jitendra Gianchandani – Managing Partner Senior Legal Consultant Jitendra Accountants JitendraChartered Business Consultants
Industrial License to be issued by RAKIA. Legal Documents of registration (Memorandum of Association, Side Agreement and Power of Attorney) have to be attested/ authorized from Rulers Court of Ras Al Khaimah. Minimum required Share Capital is AED 1,000,000. Primary Management Approval is required for new Industrial set up with RAKIA Sponsorship INCORPORATION COST FOR INDUSTRIAL SET UP IN RAKIA Charges in AED Occurrence Fees Heads
Trade Name(depend on the name )
Registration with Eco. Dept.
Chamber of Commerce
Industrial License Fee
TOTAL Incorporation Charges
We invite reader’s queries for business consultancy related issues to firstname.lastname@example.org
News & Views
CONSUMER PROTECTION SECTION COMMERCIAL PROTECTION SECTION ESTABLISHED IN UAE FOR COMBATING TRADEMARK INFRINGEMENT AND COMMERCIAL FRAUDS The key element for substantial growth of the economy is International Trade. UAE in particular has seen an unprecedented growth in International trade, as a result of which domestic trade has also developed which makes Dubai stand out as a hub for business and finance. In the pursuit of creating Dubai into an International trading center and to create Mr. Roouchak Saxena - Senior Legal consultant Jitendra Intellectual Property stable and trustworthy environment for everyone dealing in business, the Department of Economic Development has created a Commercial Protection Section (CPS) for protection of Dubai's market. Intellectual Property Rights which works within Compliance Division is working for combating Trademark Infringement, Commercial Frauds and Counterfeiting by enforcing commercial protection laws. Process for filling complaints against Trademark Infringement and Commercial Fraud: 1. Submission of Following Documents 2. Payment of administrative fees a) Copy of Trademark b)Copy of Official Complaint c)Written Authorization to file complaint d) Original and Fake sample e) List of similarities and differences 3. If complaint is accepted then payment of Inspection Fees and Agreement for Inspection will be made. Main Functions of Consumer Protection Section (CPS): 1.Combating fraud, Trademark Infringement and Commercial Agencies. 2.Accepting complaints from general public regarding Trademark infringements and Frauds. 3.Checking if there is violation of the following laws: a)Federal law (4) 1979 on combating commercial fraud b)Federal law (8) 1988 on Infringement of commercial agencies c)Federal law (37) 1992 on infringement of trademarks d)The revised law (8) 2000 on infringement of trademarks 4.Confirm the validity of the complaint and preparing report to take the necessary action 5.Execution of administrative procedures which includes attachment and confiscation of goods. Page 11
We invite reader’s queries for trademark related issues to email@example.com
DIRECTORY Jitendra Consulting Group's Office Head Office Dubai: Suite 3006, 30th floor Al Attar Tower (Near DIFC) P.O. Box 43630 Sheikh Zayed Road, Dubai UAE Tel: + 971 4 3438022 Fax: +971 4 34380 33 Mobile: +971 50 3787241 Email: firstname.lastname@example.org Jebel Ali Free Zone Office: Office No. LOB 2, Office No.27 P.O. Box 262053 Jebel Ali Free Zone, UAE Tel: +971 4 8810790 Fax: + 971 4 8810791 Mobile:+971 50 4515493 Email: email@example.com Sharjah Office: 1005, Omran Tower Above Mashreeq Bank Immigration Road P.O. Box 61317 Sharjah, UAE Tel: +971 6 5746324 Fax: +971 6 5746325 Mobile: + 971 50 3489010 Email: firstname.lastname@example.org India Office: JCA Consulting Pvt. Ltd. Devel Chambers, 3rd floor Fountain Fort Mumbai 400001, India Tel +91 22 40029795 Fax: +99 22 66154226 Mobile: +91 9224748096 Email: email@example.com Group Entities §Jitendra Chartered Accountants §Jitendra Business Consultants §Jitendra Intellectual Property §Jitendra Corporate Financial Services §JCA Property Consultants §JCA Human Resource Consultants §JCA Consulting Pvt Ltd India §JCA Consulting (U.K.) LLP, U.K §Stride Consultancy Limited Disclaimer: The information conveyed in this newsletter are the individual opinions of the respective authors and is not combined opinion of Jitendra Consulting Group
POCKET BOOKS ON IFRS & TRADEMARK
Simple guidelines to stand tall in the corporate world Small & Medium Enterprises (SMEs) are the backbone of the economy. Here are guidelines simplified for their ready use. Pocket books on IFRS and Trademark Guidelines For your complimentary copies, call +971 4 3438022 now! R
Compiled by R
The Network of Independent Auditors, Accountants, Lawyers and Consultants
Auditors I Accountants I Business Advisors I Trademark Agents I Property Consultants Al Attar Tower, #3006, Near DIFC, Sheikh Zayed Road, P.O. Box 43630,Dubai, UAE Tel: + 971 4 3438022 | Fax: +971 4 3438033 | Email: firstname.lastname@example.org www.jitendragroup.ae |www.jcatrademarkuae.com
Published on Jun 28, 2011