Starting a Side Business in Dubai: What You Need to Know

In the bustling city of Dubai, many employees dream of starting their own business while still being employed. But the question remains: is it legally possible to do so?

As an accountant working in a mainland company in Dubai, you might be wondering if you can start a textiles-related business on the side. The answer lies in understanding the labour laws and regulations of the UAE.

To start with, you’ll need to obtain a No Objection Certificate (NOC) from your employer. This certificate is required by Dubai Economy and Tourism, and your employer has the discretion to grant or deny it. If your proposed business is not a competitor to your current employer’s business, you might have a better chance of getting the NOC.

However, there’s a catch. Article 10(1) of the Employment Law states that an employer can include a non-competition clause in your employment contract. This means that even if you’re not working directly with your employer, you might still be bound by this clause.

But don’t worry, there’s a way out. You can agree with your employer in writing that the non-competition clause doesn’t apply to you, or you can pay compensation to your employer and obtain their written consent.

So, can you start your own business while being employed in Dubai? The answer is yes, but with certain conditions. Be sure to follow the labour laws and regulations, and don’t hesitate to seek professional advice if needed.

Remember, starting a business while being employed requires careful planning and understanding of the legal framework. So, take the leap, but do it wisely.