A Thriving Hub For SMEs In The UAE

Mother to two beautiful daughters, seven-year-old Tamara and five-year-old Alia, Yasmine Hammad is also an award-winning entrepreneur. She is Founder and Creative Director of Salaty, a prayer collection brand for children and women. 

Hammad’s motivation for launching Salaty in 2016 was to inspire a passion for prayer.  

“There was a lack of similar brands within the market to inspire children to pray," she says. “I am a mother, and I wished to educate my children on how to pray. But I didn’t want to do it under pressure. I wanted to come up with ideas, tools and incentives to keep them motivated to pray and that is how it all came about."

Setting up base

As Salaty gained popularity through word of mouth, Hammad wanted an operating base that recognised her needs as an entrepreneur, but more importantly as a working mum. After initial research, she picked Ras Al Khaimah Economic Zone (RAKEZ), a thriving hub for start-ups less than an hour’s journey from Dubai.

RAKEZ houses over 13,000 multinational companies from more than 100 countries covering over 50 industries

“I started asking around and got quotes from different consultancies regarding the free zones I should register [with]. A lot of my friends recommended Ras Al Khaimah," she says. “And honestly, the minute I contacted them, I felt it was the right choice for me." 

The focus on cost-effective solutions was what attracted her to RAKEZ, says Hammad.   

“I didn’t want to build an empire straight away. I wanted to start small, test the appetite of the market, and in Ras Al Khaimah, with the reasonable licence fees, I was able to do that." 

The complete ease of doing business in a one-stop shop environment also helped. “The whole idea of a business centre in Dubai, everything was so easy to process," she says. “My own residency visa when I wanted to transfer on to Salaty was done professionally and efficiently." 

In 2016, the firm won the RAK Business Excellence Award for Best New Start-up. 

RAKEZ offers complete ease of doing business in a one-stop shop environment

Power to SMEs

Success stories such as Salaty are part of the wave of entrepreneurial excellence generated by small to medium-sized enterprises (SMEs) in the UAE.

“SMEs are the backbone of the UAE economy," says Rohit Garg, Head of Business Banking at Mashreq. “They contribute about 60 per cent of the GDP and 86 per cent of employment. “The UAE wants to grow the share of GDP contributed by SMEs to 70 per cent in the next few years." 

With simplified set-up processes, fast-track visa, licence issuance and ongoing business support services, RAKEZ is focused on attracting investors to underpin Ras Al Khaimah’s and the UAE’s thriving economy. 

Ketaki Sharma, Founder and CEO of UAE-based start-up Algorithm Research, agrees that government initiatives are key to sustaining entrepreneurial drive. Based out of RAKEZ, the investment research firm was recognised as one of the top 100 start-ups in the country by the Dubai Chamber of Commerce and Industry. The firm, founded by Sharma in 2016, was also voted among the top three start-ups in the UAE by RAKEZ. 

Cost-effectiveness

“When we were looking to set up the company, there were two things that were important," says Sharma. “First, it had to be priced competitively -- setting up should not be overly expensive. And two, the facilities should be state of the art. Competitive pricing would not come at the cost of the facilities offered, so these two criteria were fulfilled by RAKEZ." 

The Business Centre, a flexi facility set-up by RAKEZ in Dubai Boulevard for its customers to host their clients and hold meetings, conferences and presentations, is comparable to the best in the world, she believes. “Look at the facility here, look at the offices here, the conference rooms. You can invite your clients over and you can have your meetings over here, so I think the facilities are great." 

A viable ecosystem

As a leading economic zone, RAKEZ is dedicated to attracting investors from all around the globe and key to entrepreneurial activity is building an ecosystem viable for start-ups. Last year, it hosted Startup Weekend, a global movement of entrepreneurs with experience of founding start-ups and launching successful ventures.

For aspiring home-grown talents and entrepreneurs such as Sharma, it was a dream come true.  “It was such a massive opportunity to meet like-minded people," says Sharma.

“This ecosystem that they [RAKEZ] are developing wherein they are giving opportunity for us to meet with other successful entrepreneurs, to learn about their journey, they are letting us meet venture capitalists, so basically the funding aspect of it gets taken care of," she adds. “And they were clear in announcing their intentions that they want to help us, they would love to give us business if we come with the right ideas to them. So, the market access part of it is also very important."

RAKEZ is dedicated to attracting investors from all around the globe

Government support 

For Francis Mendonsa, RAKEZ’s perfect mix of cost-effectiveness, government support and an ecosystem conducive to entrepreneurs held appeal. 

“I was attracted to Ras Al Khaimah because the policy of the government was very friendly," says Mendonsa, who is CEO of RAKEZ-based Euro Pack Industries, which started operations in 2013. “Number two, there was a lot of land available - we could choose our location as per our requirement. And they were flexible." 

Again, lower set-up costs played a key role in the decision. “For an SME, cost is the most important factor," he says. “I’ve got a plot of land and they are giving it with the facilities so that I can set up my workers close to the unit. So, cost of transportation is eliminated, cost of handling is eliminated, and we have a better control over the workforce. Time loss is less." 

The sheer number of firms currently calling RAKEZ home is testament to how successful the efforts to attract investment have been. Today, it houses over 13,000 multinational companies from more than 100 countries covering over 50 industries, making it one of the largest economic zones in the region.

RAKEZ is focused on attracting investors to underpin Ras Al Khaimah’s and the UAE’s thriving economy

For entrepreneurs such as Mendonsa, running a successful start-up with minimum hassles is crucial. And government entities such as RAKEZ are helping this dream come to fruition for SMEs in the UAE. 

“If any businessman or investor wants to set up a business or an investment in the UAE, I would recommend them to come to Ras Al Khaimah, especially to RAKEZ. That’s the best place to grow and be successful," says Mendonsa.

Ras Al Khaimah Economic Zone (RAKEZ) provides the most cost-effective business setup in the UAE. If you are looking to set up a business, contact their consultants at +971 7 204 1111 or visit www.rakez.com

This content comes from Reach by Gulf News, which is the branded content team of GN Media.