Expo 2020, aptly dubbed as the World’s Greatest Show’, has kicked off with the promise of shaping up a new future together. The Expo is widely expected to revitalise and inject new energy into the environment of business setup in Dubai. All the big brands have made their presence felt in the Expo, garnering great opportunities.
However, it’s not the biggies that can identify new opportunities from the event. Limitless opportunities are in store for SMEs as well. SMEs form nearly 94% of the total number of companies operating in the UAE. And 400,000 SMEs contribute to 60% of the country’s GDP. Realising this, Expo 2020 organisers have announced special benefits for SMEs. Apart from the direct benefits announced by the Expo, there are other indirect benefits as well.
Read ahead to understand how the SMEs can make the best out of the Expo 2020 experience.
SMEs can Adopt Sustainable Business Practices
Mobility, sustainability and opportunity is the vision that Expo 2020 Dubai presents before the world. More notably, this Expo is praised for being the most sustainable Expo ever. Sustainability has gained currency in recent times and soon all businesses may need to project it as their goal. By being part of the Expo 2020, SME owners can gain valuable lessons in adopting sustainable practices into their businesses.
Expo 2020’s legacy will continue creating opportunities
Unlike other events hosted by the UAE, Expo 2020 promises long term investments. Ernest and Young in a recent report have predicted that Expo 2020 and its legacy will contribute around AED 122.6 billion gross value added to the UAE’s economy and support around 905,200 full-time job years between 2013-2031. This means the SMEs can leverage the opportunities generated by Expo 2020 even after the conclusion of the event.
Expo 2020 contracts dedicated for SMEs
Unlike other businesses, SMEs can directly benefit from Expo 2020. The organisers of the event have declared that 20% of Expo’s total direct and indirect spend, which represents over AED5 billion ($1.36 billion) in contracts, will be allocated to local and international SMEs. This announcement was a part of a series of SME-focussed initiatives announced by the Expo 2020 Dubai organisers.
Partnerships and alliances will be critical
Expo 2020 has become a venue of opportunities for SMEs all over the world. SMEs based in the UAE can network and collaborate with other SMEs from across the world. The entrepreneurs can develop strategic alliances, build fruitful collaborations, prioritise referrals among their growing networks and support other business owners. Expo plays a critical part for SMEs to find new network groups and make alliances with new partners etc.
Opportunities after Expo site get re-purposed
Once Expo 2020 concludes, the government will not demolish the site. The venue of the Expo 2020 will be re-purposed to create a new infrastructure called District 2020. As per reports, over 80% of the Expo 2020 site will be re-purposed for the creation of District 2020. District 2020 will include office spaces, residential buildings, amenities for leisure and other events.
District 2020, which oversee the future of Expo 2020, has announced that it will partner with Dubai SME and the Mohammed bin Rashid Innovation Fund (MBRIF) to help entrepreneurs set up new businesses in Dubai. The space and opportunities offered by the District 2020 platform will prompt more SMEs to commence the process of business setup in Dubai. Some of the benefits offered by District 2020 are:
- Two years of free working space
- Support for business setup in Dubai
- Two years of subsidized urban living
Expo will Boost Digital Transformation
SMEs are often accused of lagging in adopting new-age technologies. Lack of proper knowledge and resources have been cited as the common reason for this inadequacy. However, many SMEs have realised the significance of digital transformation after the pandemic. A great number of small businesses were forced to shut shop post-pandemic and the slower adoption of digital transformation was one of the top reasons for the downfall.
Participating in Expo 2020 will provide an impetus for SMEs to learn about future technologies. Entrepreneurs will get opportunities to collaborate with innovators from across the world who will help them to adopt future technologies such as blockchain and Artificial Intelligence (AI). The future dynamics of business setup in Dubai will be based on such emerging technologies and SMEs can no longer afford to shy away from it.
Make the Best out of Expo 2020 with JBC
Given the factors mentioned here, we can undoubtedly say that this is the best time for SMEs to initiate the process of business setup in Dubai. Expo 2020 has kicked off, offering unparalleled opportunities for SMEs. Small businesses can use the expert assistance of business setup consultants in Dubai such as Jitendra Business Consultants ( JBC) to leverage the Expo-generated opportunities.
JBC can help SMEs from across the world to shift their base into Dubai. We can advise you on the company formation process, visa rules, immigration requirements, types of companies allowed etc. Build a sustainable path to growth with the help of JBC.