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June 2021

UAE Federal Law on Foreign Direct Investment (FDI)

According to the UAE Federal Law, the law grants up to 100% ownership for foreign investors along with incentives and competitive advantages.

The Scope:

  • The law shall be applied to foreign direct investment projects that are established in the land of the country, while it does not apply to the financial and non-financial free zones.

The Direct Benefits and Guarantees:

  • The licensed foreign investment companies are treated like national companies.
  • No expropriation ensuring the property is not expropriated except for public benefit in exchange for fair compensation.
  • Not to seize or confiscate project funds unless by a court hearing.
  • Ownership 100%.
  • The right to use real estate.
  • Make financial transfers for project returns outside the country.
  • Ensuring the confidentiality of technical, economic, and financial information and investment initiatives.
  • Insert a partner or a number of partners.
  • Transfer ownership to a new investor.
  • Amending the articles of association.
  • Change the legal form of the company.
  • Merger, acquisition, or liquidation.

Truth Economic and Management Consultancy is qualified and has accumulated experience in establishing Public Stock Joint Companies (PJSC) in the UAE. Moreover, Truth will arrange the required steps to change the existing company license to the Foreign Direct Investment license under the positive list to achieve up to 100% ownership.

Read more information on :
UAE federal law on foreign investment and the incentives are given to investors (PDF, 6.61 MB).

Learn about the business regulations applicable in the UAE and laws that are specific to the industry.

Check the UAE Foreign Direct Investments Dashboard from the Ministry of Economy.

Supporting Foreign Direct Investment in the Various Emirates

  • Foreign Direct Investment in Abu Dhabi

 Abu Dhabi Investment Office (ADIO) is the government hub supporting investment in the emirate of Abu Dhabi. ADIO enables opportunities for domestic and foreign investors aligned with Abu Dhabi’s economic priorities. ADIO offers a range of targeted programs for private sector entities including competitive cash and non-cash incentives, small to medium enterprise (SME) enablement, and public-private partnerships. Check FDI programs in ADIO.

  • Foreign Direct Investment in Dubai

Dubai FDI offers essential information and invaluable support to foreign companies who intend to invest in Dubai. Dubai FDI guides, advises, and provides practical assistance with all aspects of business decisions and management, starting from determining the best legal structures to identifying the appropriate business activities. Check legal business forms for foreign investment in Dubai.

  • Foreign Direct Investment in Sharjah

Sharjah Investment and Development Authority (Shurooq) launched Sharjah FDI Office (Invest in Sharjah) to promote a diverse set of investment opportunities in the emirate. Sharjah FDI Office helps investors to fully understand processes, investment advantages, and insights on key sectors that fit their business profiles.

March 2021

Business valuation

Methodology for Valuating Companies

Introduction:

We are interested in addressing valuation methods and methodologies as one of the most important methods that help to determine fair value, so that decision-makers can make their decisions on scientific grounds, to reduce the risks of results on random or individual decisions.

As known that there is more than one method and methodology for valuating companies or economic institutions, and we will review and monitor the most used methods in practical life.

It is also important in this regard to remember that every method or methodology has weaknesses, and many researchers, experts, and consultants who have applied these methods to evaluate companies or economic institutions criticize them, but we can only praise and appreciate the efforts of everyone who contributed and participated in coming up with the evaluation method and methodology.

In general, the valuation is intended to arrive at the real value of the “share” in the joint-stock companies, or the “stakes” in the limited liability companies, or the “rights” in the specialized financing funds, or the “bonds” in issuing debts of all kinds, whether local, regional or international. And the significance of the aforementioned capital units is that it is the unit of capital that expresses property rights, if it is accurately identified and expresses its true value, it is easy to arrive at the real value of the company or economic institution.

the valuation of companies and economic institutions are required for the following purposes:

  • Increasing the capital.
  • Reducing the capital.
  • Merging.
  • Acquisition.
  • Entering a strategic investor.
  • According to the financial and accounting policies that companies and economic institutions follow when preparing their annual financial statements … etc.

It is worth noting that there is more than one method for valuating companies and economic institutions – as will be mentioned – and the valuation methodology is determined according to the following:

  • The nature of the company or institution to be evaluated.
  • The availability of quality data and information on which each methodology and method is based.
  • The purpose of the evaluation. The capital increase or decrease, the entry of a strategic partner. etc.
  • The most commonly used valuation methods and methodologies

Read also :

The importance of business valuation

What is feasibility study and how it affects in project management?

Investment opportunities in Egypt

As previously mentioned, there is more than one method and for valuation, but we will review the most used methods, be a scientific and practical reference for experts and consultants working at Truth Economic and Management Consulting Company, choose the appropriate ones for application according to the nature of the project – the company or the economic institution – and below we review the most used valuation methods:

  • Using the rate of discounting future cash flows after it has been determined based on the components of the discount rate.
  • Using the “WACC” methodology as a discount rate for future financial flows.
  • Using the Capital Asset Pricing Model “CAPM” methodology.

More Valuation Methods :

The cost approach, which is not as commonly used in corporate finance, looks at what it actually costs or would cost to rebuild the business. This approach ignores any value creation or cash flow generation and only looks at things through the lens of “cost = value”.

Another valuation method for a company that is a going concern is called the ability to pay analysis.  This approach looks at the maximum price an acquirer can pay for a business while still hitting some target.  For example, if a private equity firm needs to hit a hurdle rate of 30%, what is the maximum price it can pay for the business?

If the company will not continue to operate, then a liquidation value will be estimated based on breaking up and selling the company’s assets. This value is usually very discounted as it assumes the assets will be sold as quickly as possible to any buyer.

January 2021

the importance of business valuation break slide

The Importance of Business Valuation. Work Process

The Importance of Business Valuation

There are many reasons why Business Valuations are important. It is an essential input to many of the decisions that boards, management, regulators, and investors make every day in modern business such as:

  • Litigation
  • Exit strategy planning
  • Merging
  • Buying a business
  • Selling a business
  • Strategic planning
  • Funding
  • Selling a share in a business

Why it is Called Business Valuation?

Determining the true value of a business, a process called “business valuation,” is not just important when the owner is looking to sell the company.

To obtain a business valuation, business owners may wish to contract with a professional appraiser to provide an opinion that will be viewed as independent and objective with the IRS. The resulting business valuation then may be used in a variety of planning applications.

Not all the methods adopted internationally can be fit locally; this fact is rarely considered, especially since the problem of estimating the fair value of assets and companies has become one of the most debatable issues in most Arab countries.

How Does the Business Valuation Process Work?

Business valuation is a process and a set of procedures used to estimate the economic value of an owner’s interest in a business. An accurate valuation of a closely held business is an essential tool for a business owner to assess both opportunities and opportunity costs as they plan for future growth and eventual transition. It provides either a point-in-time assessment of relative value for an owner or perhaps the price a buyer would be willing to acquire the business.

Read Also :

What is a feasibility study and how does it affect project management?

Egypt 2030 Vision. Investment Opportunities in Egypt

Common Business Valuation Methods:

Asset Valuation

The company’s assets include tangible and intangible items. Use the book or market value of those assets to determine your business’s worth. Count all the cash, equipment, inventory, real estate, stocks, options, patents, trademarks, and customer relationships as you calculate the asset valuation for your business.

DCF Valuation:

In this valuation method, we estimate the value of an investment based on its future cash flows. DCF analysis attempts to figure out the value of an investment today, based on projections of how much money it will generate in the future. The Discounted Cash Flows Method requires the following analysis – Revenue, Expense, Investment, Capital structure, and Residual value analysis. It values the company considering:

  • Free cash flow to the firm (FCFF).
  • Free cash flow to equity (FCFE).

Book Value:

Book value is total assets minus total liabilities and is commonly known as net worth. The book valuation technique is usually used as a method of cross-testing the more common technique of applying multiples to EBITDA, cash flow, or net earnings.

Replacement Cost

The cost approach is based on the logic of the principle of substitution. The concept is that prudent investors will not pay more for a property than they would for a substitute property of an equivalent utility. As with the market approach, there are two potential starting points for a cost approach to valuation: reproduction cost and replacement cost.

Reproduction cost is the estimated cost, at current prices, to create an exact replica of the subject asset, using the same materials, construction techniques and standards, design, and quality of workmanship, and incorporating all the property’s deficiencies, over-adequacies, and obsolescence are into this exact duplicate.

Replacement cost is the cost to replace an existing property with a new one of equivalent utility, as of a specified date.

Finally, the concept of estimation and determination of fair value is extremely relative and complicated. Accordingly, it is very difficult to arrive at a conclusion whereby an accusation of detriment is hurled or reform is praised. In witness whereof, in order to seek a fair judgment and objective thinking, we have first to ask about the basis and assumptions of evaluation if we really want to safeguard our sold assets.

The Importance of Business Valuation, Truth Economic & Management Consultancy

Resources :

https://masource.org/the-importance-of-business-valuation/

November 2020

infographic text aproach

What is a Feasibility Study and How it Affects Project Management?

A feasibility study is a formal project document that shows the results of the analysis, research, and evaluation of a proposed project and determines if this project is technically feasible, cost-effective, and profitable.

A feasibility study determines whether the project is likely to succeed in the first place. It is typically conducted before any steps are taken to move forward with a project, including planning. It is one of the – if not the – most important factors in determining whether the project can move forward.

The growth and recognition of project management have changed significantly over the past few years, and these changes are expected to continue and expand. And with the rise of project management comes the need for a feasibility study.

The importance of feasibility study in project management can only be understood within the context of the types of feasibility studies and their main focus. There are three types of feasibility studies. These three types are the Market, Technical and Financial Study. Technical feasibility places particular focus on the availability of technology that is needed to achieve the objectives of the project. The key considerations of technical feasibility are whether the technology is obtained locally, the costs of the technology if it is to be imported and how relevant is it to the achievement of project objectives. In a broad sense, technical feasibility seeks to determine the availability, costs, and technological risks associated with technology that is needed to achieve project objectives. For example, technologically intense projects such as mining require a detailed technical feasibility study that will determine technological availability, costs, and associated risks, particularly to the environment.

How Does a Feasibility Study Effect Project Management?

  • Improves project teams’ focus
  • Identifies new opportunities
  • Provides valuable information for a “go/no-go” decision
  • Narrows the business alternatives
  • Identifies a valid reason to undertake the project
  • Enhances the success rate by evaluating multiple parameters
  • Aids decision-making on the project
  • Helps to meet the objectives of the business.
  • Helps to meet the expectations of the stakeholders.
  • Delivers the work at the right time.
  • Resolves problems and issues much earlier.
  • Responds to risks on time.
  • Manages constraints such as scope, quality, schedule, costs, resources)

 

vision of egypt for 2030, icon

Egypt 2030 Vision. Investment Opportunities in Egypt

Investment Opportunities in Egypt

Egypt’s 2030 vision plans to develop a competitive, balanced and diversified economy. Supporting innovation and knowledge, social justice, economic development, and the environment. The sustainable development strategy is achieved through a collaboration system investing in human capital and diversified locations in Egypt to improve Egyptians’ quality of life that is built on transparency and social equality, That makes Investment in Egypt is a real opportunity.

Egypt’s fast-growing, young population of 105 million, diverse and expanding economy, and its strategic location linking the Middle East, Europe, Africa, and Asia all make it an ideal hub for regional and global investment. As an added incentive, a basket of beneficial trade agreements, including GAFTA and COMESA provide the country with favored access to regional growth markets. As Egypt enters a period of political and economic stability, and a reform-minded government carries out an overhaul of the country’s subsidy system, now is the time to invest in Egypt.

Why Egypt?

Egypt is one of the highest population densities and ranked 15 internationally and third in Africa. In January 2015, Egypt’s population reached 88 million according. Meanwhile, the estimated number of Egyptian abroad is 8 million according to figures released by the Ministry of Foreign Affairs.

Egypt has emerged as a consumer market of significant importance in the MENA region, as witnessed by the arrival of dozens of global brands and the sharp expansion of retail sales in the past years. This is partly due to the sheer size of Egypt’s population that puts it as the most populated country in Africa and the Middle East, as well as the fact that 50% of Egyptians are between the ages of 15 and 44. Egypt has access to large key markets through various multilateral and bilateral trade agreements with the USA, European Union, Middle Eastern, and African countries; which secure benefits to Egyptian-based producers supplying these markets.

Key global markets in Europe, the Middle East, Africa, and the Indian Subcontinent are all readily accessible from Egypt. Closer to the European and North American markets than other major exporters including India, China, and the Philippines, Egypt is also located on key international logistics routes.

Egypt benefits from the Suez Canal, which is considered to be the shortest link between the east and the west due to its unique geographic location. Approximately 8% of the world’s maritime shipping passes through the Suez Canal each year.

Truth Economic and Management Consultancy provides a selected Investment opportunity in major Sectors in Egypt.

October 2020

a man looking on blackboard, and thinking about steps of mergers and acquisitions

Mergers and Acquisitions Steps for Successful Business Strategy

Mergers and Acquisitions Steps

Mergers and acquisitions have become an important business strategy for companies looking to expand into new markets, gain a competitive edge, or acquire new technologies and skillsets. Decisions on mergers and acquisitions are taken after considering a few facts like the current business status of the companies, the present market scenario, and threats and opportunities, etc. In fact, the success of mergers and acquisitions largely depends upon the merger and acquisition strategies adopted by the organizations.

The Ideal Steps for Mergers and Acquisitions

1. Acquisition Strategy.

2. Acquisition Criteria.
3. Searching for Target.
4. Acquisition Planning.
5. Valuing and Evaluating.
6. Negotiation.
7. Due Diligence.
8. Purchase and Sales Contract.
9. Financing.
10. Implementation.

The Importance of Consultancy Service in UAE for Mergers and Acquisitions :

The advancement of this process by providing consultancy services in order for investors to proceed
faster. and smoothly will provide great convenience The services provided by our company are realized under the leadership of a professional and experienced team. Even a small mistake in mergers or acquisitions may cause the process to prolong or unexpectedly reject your application. It is an important criterion for everything to be done properly in order to have a business in a region with high economic power. such as the United Arab Emirates. First of all, it is a part of this consultancy service that you know what work areas in the country have a bigger market and then you can find the companies that can be owned by mergers or acquisitions Then, the process is supported by preparing your documents and making the application perfectly within the specified time.

Truth Economic succeed in the merging process of existing companies according to the following:
 Federal Law No. (2) of 2015 in Commercial Companies.
 The requirements of the Securities and Commodities Authority.
 The requirements of the Ministry of Economy.
 UAE Central Bank requirements

corporate governance, businessman drawing an word cloud on blackboard

Direct Benefits of Corporate Governance

Corporate Governance is the structure that characterizes the business connections that exist between the Company shareholders, Management team, the Board of Directors, and all other key Stakeholders. Corporate Governance makes organizations more responsible and Transparent to Investors and gives them the devices to react to authentic stakeholder concerns. It adds to improvement and expanded admittance to capital energizes new Investments, supports financial
development, and gives business openings. A lack of corporate governance can lead to profit loss, corruption, and a tarnished image, not only to the corporation, but to the society, or even worse will influence globally as a whole. This form of corporate governance management is also designed to limit risk and eliminate corrosive elements within an organization.

The Direct benefits of Corporate Governance:

 Risk mitigation – An effective corporate governance framework helps to mitigate risks, providing shareholders in non-listed companies with the comfort that although their exits may be difficult, their interests will be safeguarded by the board and management. A good governance framework will also induce reflection on exit strategies, giving additional comfort to prospective shareholders deciding whether to invest in the company.

 Improved capital flow – An increase in confidence by investors and banks in the company due to robust financial management reporting will not only improve access to capital but also minimize both costs of capital and cost of equity, resulting in an optimized capital flow. Deciding on an appropriate capital structure is thus a key element of good corporate governance. Transparency, especially regarding everything of interest to investors will command a lower risk premium, therefore lowering the cost of capital and equity.

 Reputational boost – Transparency in a company’s internal policies, control mechanisms, and how it deals with its suppliers, vendors, media, staff, and government bodies will boost its reputation and thus its brand value.

 More effective, better decision-making – Good corporate governance also aims at a faster decision-making process by establishing a clear delineation of roles between owners and management.

 Improved reporting – Improved reporting on performance, in turn, leads managers and owners to make more informed and fact-based decisions, leading ultimately to improving sales margins and reducing costs.

 Focus on compliance – Good corporate governance will adequately rest on policies requiring the company to stay compliant with local laws and regulations; it will synchronize risk management and compliance to ensure the company has proper control mechanisms, meets its objectives, and operates efficiently in terms of people, processes, technology, and
information.

 Higher staff retention – An increase in staff retention and motivation can be expected, especially from senior staff, when the company has a well-defined and communicated vision and direction. A focus on the company’s core business will also make
it easier to penetrate the market and attract the interest of shareholders. Additionally, millennials – now the largest single group on the labor market in many countries – tend to rank an organization’s commitment to responsible business practices highly in their employment choices.

 Limitation of disruptive behavior and conflicts of interest – By establishing rules to reduce potential fraud and malpractices amongst employees; and avoiding conflicts of interest namely through minority shareholders being given their share of voice by being represented by independent directors.

Truth Economic and Management Consultancy has accumulative experience in conducting corporate governance manuals and systems for all types of companies including Private and Public Joint Stock Companies.

UAE Federal Law on Foreign Direct Investment (FDI)

According to the UAE Federal Law No. (19) of 2018 on foreign Direct Investment, the law grants up to 100% ownership for foreign investors along with incentives and competitive advantages.

The Scope:

  • The law shall be applied to foreign direct investment projects that are established in the land of the country, while it does not apply to the financial and non-financial free zones.

The Direct Benefits and Guarantees:

  • The licensed foreign investment companies are treated like national companies.
  • No expropriation ensuring the property is not expropriated except for public benefit in exchange for fair compensation.
  • Not to seize or confiscate project funds unless by a court hearing.
  • Ownership 100%.
  • The right to use real estate.
  • Make financial transfers for project returns outside the country.
  • Ensuring the confidentiality of technical, economic, and financial information and investment initiatives.
  • Insert a partner or a number of partners.
  • Transfer ownership to a new investor.
  • Amending the articles of association.
  • Change the legal form of the company.
  • Merger, acquisition, or liquidation.

Truth Economic and Management Consultancy is qualified and has accumulated experience in establishing Public Stock Joint Companies (PJSC) in the UAE. Moreover, Truth will arrange the required steps to assist the company in changing the existing license to Foreign Direct Investment license under the positive list to achieve up to 100% ownership.

importance for new business

The Importance of Feasibility Studies in New Business

A feasibility study is a process of a certain analysis including, Market, Technical, Financial and Legal. A feasibility study provides a company’s management with crucial information that could prevent the company from entering blindly into risky businesses.

Feasibility studies are important to any business development by defining the potential obstacles that may affect the business operations and the Investment structure needed to get the business up and running. Feasibility studies aim for marketing strategies that could help convince banks and investors that invest in a particular business and project.

Direct Benefits of Conducting a Feasibility Study

  • Identifies new opportunities through the investigative process.
  • Provides the investors with the necessary information to “go/no-go” decisions.
  • Provide the Investors with the business alternatives.
  • Identifies a valid reason to undertake the project.
  • Enhances the success rate by evaluating multiple parameters.
  • Aids decision-making on the project.
  • Gives focus to the project and outlines alternatives.
  • Identifies reasons not to proceed.
  • Enhances the probability of success by addressing and mitigating factors early on that could affect the project.
  • Provides documentation that the business venture was thoroughly investigated.
  • Helps to attract equity investment.

Truth Economic and Management Consultancy has and accumulated experience in conducting Feasibility studies in all sectors since 1993.

value prices

What is Asset Valuation?

Asset valuation is a method of determining the present or the fair market value of assets by using book values, discounted cash flow analysis, comparable, or option pricing models. Asset valuation includes marketable securities investments such as bonds. Asset valuation also includes valuation of tangible/fixed assets like buildings and equipment, or intangible assets such as patents, logos, and trademarks.

Asset Valuation for Tangible/Fixed Assets

In finance, Asset valuation plays a major role which often involves both subjective and objective measurements. Asset valuation of a company’s fixed assets, which is also known as; property plant and equipment or capital assets, are straightforward to value based on the assets’ book value and replacement cost.

Asset Valuation for Intangible Assets

Nevertheless, there are no financial statements that can tell the investors the exact value of a company’s brand or intellectual property. In an acquisition, companies can overvalue their goodwill because the asset valuation of intangibles is subjective and can be hard to evaluate, therefore, it is difficult to get an accurate measurement.

https://www.investopedia.com/terms/a/assetvaluation.asp#:~:text=Asset%20valuation%20is%20the%20process,option%20pricing%20models%20or%20comparables.

February 2020

Industrial Companies to Benefit From Electricity Tariff

Qualifying Industrial Companies to Benefit from ETIP

Truth qualifies the relevant companies/factories to obtain this certificate and benefit from this initiative through its accumulated experience and extensive relations with the relevant authorities in the Emirate of Abu Dhabi – United Arab Emirates.

The Electricity Tariff Incentive Program (ETIP), recently launched in line with the Abu Dhabi Development Accelerators Programs ‘Ghadan 21,’ is expected to contribute to the increase of companies’ capitals, which will enable them to further develop their industrial products, enhance their business value, and improve competitiveness across the local and wider markets.

ADDC and AADC have launched a joint initiative with the Industrial Development Bureau, part of the Department of Economic Development.

The intention of this initiative is to encourage investment and expansion in the manufacturing sector and to contribute to Abu Dhabi’s goal of ‘Securing financial sustainability for vital sectors’.

The initiative will assist companies in:

  • Reducing operational costs.
  • Boosting productivity.
  • Enhancing competitiveness.
  • Encouraging technological transformation.
  • Encouraging energy efficiency.

The initiative provides a discount to normal industrial tariffs for those sites with active industrial licenses and who fulfill certain qualifying criteria.

Qualification for the incentive tariff is assessed in a scoring process which measures:

  • Economic test for contribution to the Abu Dhabi economy – 40% of the total score.
  • Economic test for productivity – 40% of the total score.

The installed capacity of the site electrical supply – 20% of the total score.

January 2019

costum reasearch about investment opportunities in egypt

Explore Investment Opportunities Across Egypt

Investment Opportunities in Egypt

Egypt, which is in a strategic position geographically, is the largest natural gas and oil producer in Africa. It is a highly attractive country regarding Foreign Direct Investment (FDI), and its dynamic economic growth rate is high. 7% economic growth was realized before the global financial crisis. It attracts investors with its geographical location, qualified and low-cost labor force, energy resources and tourism potential.

 New Investment in Foreign Investment

Egypt, the first country in Africa’s FDI, is the leader in North Africa. Arab countries, US and EU countries are the countries where the investments are highest. The biggest investor is Great Leadership. Why should we invest in Egypt? What are the strengths of Egypt?

 Egypt’s Strengths for Foreign Investment

  • Rich in energy sources.
  • Geographically strategic location.
  • The growing population is an essential market for foreign investment.
  • Public construction projects are vital investment opportunities for foreign companies.
  • It is advantageous for FDI with state policy practices and liberalization steps.
  • Economic programs implemented after September 2004 attracted foreign investments.
  • Customs tariffs are simplified, attractive for FDI with a 35% discount.
  • Financial sectors are open to FDI and domestic investors.
  • Agriculture, industry, tourism, airlines, mining, maritime transport, oil drilling, road housing, and many other sectors.
  • Special legislation is applied in strategic sectors such as press, defense industry, and aviation.
  • Freedom of establishment of a foreign company is guaranteed.
  • Foreign companies may take over shares of domestic companies. More than 49% of a local bank capital can be acquired from the law no. 97/1996.

 What are the Investment Opportunities in Egypt ?

Investors are increasingly interested in Africa. Egypt is attractive for FDI in many sectors as Africa’s most famous foreign investment country. Investment Opportunities in Egypt are mainly from the construction industry, including the oil industry, tourism, mining, agriculture, industry, air and sea transport, accommodation, venture capital, computer and software development. The number of countries in which the bilateral contract is over 100. It has an agreement with the USA, the Middle East, and Asian countries and many African countries. Apart from military zones and the Sinai region, there is freedom to establish companies throughout Egypt. Investment Opportunities in Egypt continues with the announcement of the international tender tour in May 2016 for the Suez Bay and West Desert Project.

 Best Investment in Egypt

Offering a BRIC-style potential to surpass G20 countries, Egypt is a large market for FDI. Best Investment in Egypt has spread not only to a particular sector but also to many industries. Egypt, one of the most developed countries in Africa, offers highly attractive opportunities to foreign investors in the service and industry sector. The construction sector from the 1980s grew by 15%. Due to the rapid population growth, the need for increased housing needs and infrastructure projects is given. The growth in the construction sector is expected to increase by 70% by 2020.

As the largest oil producer in Africa, the agreements he made with foreign investors in oil and natural gas production exceeded 50 in 2013.

Having opened its doors to foreign investors through investment support offices, tenders and projects, Egypt has an essential place in the history of civilization with its 7000 years history. It is the shining star of Africa from FDI countries. The tourism sector in the coasts of the Red Sea, the construction sector, health, transportation, and the energy sector are the most popular investment areas.

 

For more information and enquiries, please (Contact Us) at +971 2 672 55 88 or email us at truth@truth-uae.com

Truth Economic & Management Consultancy Services

internal audit in UAE - truth economic

Company Internal Audit Services in the UAE

According to the World Economic Forum, the UAE ranked 27 in its latest World Competitiveness Report 2018, which uses a brand new methodology to fully capture the dynamics of economies in the Fourth Industrial Revolution. The UAE was rated the 17th most competitive economy last year as per the previous methodology, which is equivalent to the present ranking. It consists of 7 Emirates. It is highly developed regarding an ecosystem. To improve the internal audit firm’s work and to add value to the companies, the economy is done to control the compliance of the company management with the efficiency and efficiency principles. Internal audits are a service provided by consultant firms that offer risk and consultancy services.

How to Perform an Internal Audit in UAE?

An internal audit by professional auditors is a process that creates long-term relationships with customers. For an efficient study, companies should regularly analyze internal audit processes. Within the scope of the project, inspections are routinely made, and control weaknesses are determined. Audit results are reported to the top management with an objective and objective approach. Risk and process methods are developed together with the company managers, and business-specific solutions are produced. It is a fact that there are gaps in expertise and resource use even in large investment organizations. Internal audit personnel is responsible for identifying the weaknesses and shortcomings in the company structure by working with the senior management. The Internal Audit team reviews operational and financial processes while examining internal controls in UAE.

Internal Audit Service in the UAE

Internal audits carried out with a very focused and strategic approach are useful in determining the critical and risk areas. It is essential that internal audits are carried out by experienced personnel. An experienced team of internal auditors of international enterprises, foreign affiliates, family businesses, and partnerships is required. Consultant firms are providing Internal Audit Services in the UAE, are professional in management and business performance, technological infrastructure, and experience.

The most critical points in an internal audit in UAE are:

-Risk identification

-Risk assessment

-Risk management

Deficiencies and risk factors in the process are determined to increase the performance of the work. The internal auditor recommends concrete solutions to senior management. To improve the standard operating procedures and to increase efficiency, a joint study is carried out with senior management. The internal audits that add value to the business are the works that provide convenience to the company in obtaining many quality certificates. It contributes to the determination of the company’s deficiencies in the way of being a corporate company and working with maximum efficiency.

Internal Audit in the UAE

An internal audit by an experienced and certified team includes models that can be easily adapted to the needs of companies. Internal audits play a significant role in the firm success and smooth operation of the enterprise. Risk assessment and management are among the first concerns for each company. Internal auditors address these concerns and provide objective support in design, implementation, and operation.

 The internal audit process in the UAE

-To advise the management to create a controlled environment

-To ensure effective and safe internal control

-To ensure that operational measures related to occupational safety are taken

-Linking risk management and actions to business goals

-To move from existing applications to more efficient business consciousness

-To emphasize the importance of staff training in the development of new skills.

 

For more information and inquiries, please (Contact Us) at +971 2 672 55 88 or email us at truth@truth-uae.com

Truth Economic & Management Consultancy Services

December 2018

Feasibility Study in UAE

The Importance of Feasibility Studies in the UAE

Feasibility Study Consulting Service in the UAE

The Emirate of Abu Dhabi, which is connected to the United Arab Emirates, is one of the most preferred places for entrepreneurs in the world. However, a Feasibility Study in UAE  is essential to take the initiative successfully. In this way, an investment can be provided to an area with more returns, where necessary, as needed. The feasibility studies provided by our company include Financial studies, Technical studies, and market research studies that will enable entrepreneurs to be successful.

The United Arab Emirates, which ranks first among the richest countries in the world, is known for its activities in many sectors. The share of external investments in the region is also quite large. A feasibility study in this region, reviewing the situation of the markets before the realization of the investment, is worthwhile to carry out a detailed market review in line with the country’s economic activities. In particular, entrepreneurs who have only been to touristic purposes, even if they have never been or have gone to the country. will be able to get to know the country better through these feasibility studies  Apart from this, entrepreneurs who have already engaged in various commercial activities in this country are also benefiting from the constantly changing market conditions n the feasibility study services offered by our company, I the current conditions of the country are evaluated in the finest detail and appropriate information is provided to you

How to Make the Most Efficient Feasibility Study in UAE?

The feasibility study in UAE is prepared as a result of extensive research in the technical sense. In other words, doing a feasibility study for investment or undertaking means investigating how much work can be done When starting this study, first of all, it should be investigated which sector to be active in. The sectors with the highest yields in this region, the market share of these sectors to investigate the proportion of the new work is done in order to avoid bad surprises. Our company which shares the experiences of years with you opens the doors of the most profitable enterprises with the feasibility studies it provides. Accordingly, the market review section of the study constitutes a summary of the subject, and then it is necessary to investigate the legal procedures applied in the country in order to provide activities in this sector. After this, the economic, technical, and organizational aspects of the work planned to be done are evaluated and if this work is established all the pros and cons of entrepreneurs are evaluated.

What are the Benefits of Feasibility Study Consulting Services in the UAE?

To ensure the strong investment of the business world, to grow and develop, first all, these investments need to be built on solid foundations When it comes to a new business and, in particular, an initiative in a foreign country, it is even more important to plan it together with all its details. The feasibility studies that we provide to you with our expert team and the reports prepared in line with this are a summary of all the initiative activities you are planning to do in a world giant like UAE. It is proven by researchers that the initiatives carried out without adequate research and planning in any sector have not made much progress. It is also an important act to be aware of the legal requirements that are being implemented in this area, even if international entrepreneurial activities are built on successful plans. You can get in touch with us to learn more about this topic and to implement your entrepreneurial ideas successfully.

 

For more information and inquiries, please (Contact Us) at  +971 2 672 55 88 or email us at truth@truth-uae.com 

The Emirate of Abu Dhabi, which is connected to the United Arab Emirates, is one of the most preferred places for entrepreneurs in the world. However, a Feasibility Study in UAE  is essential to take the initiative successfully. In this way, an investment can be provided to an area with more returns, where necessary, as needed. The feasibility studies provided by our company include Financial studies, Technical studies, and market research studies that will enable entrepreneurs to be successful.

The United Arab Emirates, which ranks first among the richest countries in the world, is known for its activities in many sectors. The share of external investments in the region is also quite large. A feasibility study in this region, reviewing the situation of the markets before the realization of the investment, is worthwhile to carry out a detailed market review in line with the country’s economic activities. In particular, entrepreneurs who have only been to touristic purposes, even if they have never been or have gone to the country. will be able to get to know the country better through these feasibility studies  Apart from this, entrepreneurs who have already engaged in various commercial activities in this country are also benefiting from the constantly changing market conditions n the feasibility study services offered by our company, I the current conditions of the country are evaluated in the finest detail and appropriate information is provided to you

How to Make the Most Efficient Feasibility Study in UAE?

The feasibility study in UAE is prepared as a result of extensive research in the technical sense. In other words, doing a feasibility study for investment or undertaking means investigating how much work can be done When starting this study, first of all, it should be investigated which sector to be active in. The sectors with the highest yields in this region, the market share of these sectors to investigate the proportion of the new work is done in order to avoid bad surprises. Our company which shares the experiences of years with you opens the doors of the most profitable enterprises with the feasibility studies it provides. Accordingly, the market review section of the study constitutes a summary of the subject, and then it is necessary to investigate the legal procedures applied in the country in order to provide activities in this sector. After this, the economic, technical, and organizational aspects of the work planned to be done are evaluated and if this work is established all the pros and cons of entrepreneurs are evaluated.

What are the benefits of consulting and feasibility study in UAE?

To ensure the strong investment of the business world, to grow and develop, first all, these investments need to be built on solid foundations When it comes to a new business and, in particular, an initiative in a foreign country, it is even more important to plan it together with all its details. The feasibility studies that we provide to you with our expert team and the reports prepared in line with this are a summary of all the initiative activities you are planning to do in a world giant like UAE. It is proven by researchers that the initiatives carried out without adequate research and planning in any sector have not made much progress. It is also an important act to be aware of the legal requirements that are being implemented in this area, even if international entrepreneurial activities are built on successful plans. You can get in touch with us to learn more about this topic and to implement your entrepreneurial ideas successfully.

 

For more information and inquiries, please (Contact Us) at  +971 2 672 55 88 or email us at truth@truth-uae.com 

Truth Economic & Management Consultancy Services

mergers and acquisitions partenership in UAE

Mergers and Acquisitions in the UAE. Ways of Setting Up a Company

Mergers and Acquisitions in UAE

Having become a strong trading center and has a wealth of resources, UAE ranks first in the regions where investors are most interested. There are different methods to establish a company in this region. One of these methods is the way of merger or acquisition. In order to have detailed information on the subject, our company provides consultancy services and answers all your questions about mergers and acquisitions in UAE, and helps you make conscious initiatives.

Ways of Setting Up a Company in the UAE

You are free to start a company in UAE and have a chance to open a company on your behalf. The state supports the formation of foreign capital companies in the free zone by identifying some special regions for this purpose. However, those who want to take less risk for the new venture should also know that there are many companies with high acceleration, offering services in many different sectors Investments can also be realized by being a partner with these companies or by taking over the companies that have been transferred. But in order to achieve this, some of the procedures required by the country must be met. The consultancy services provided by our company provide detailed information about companies that can be transferred or partnered in Abu Dhabi and the necessary legal information and transactions  are made in this process

Legal Procedure on Merger or Acquisition in UAE

The labor law in the United Arab Emirates is in accordance with the provisions of the laws prepared in 1980. Accordingly. Accordingly, there is a partnership condition in companies to be established in regions outside the free zones. Or companies can be merged with other companies in the region to grow. In addition, there is a requirement that people who are not citizens of the United Arab Emirates should appoint a distributor or a commercial agent to sell and market in the domestic market. The issue is that mergers and acquisitions in UAE are carried out by all procedures. Company acquisitions in the country also have a certain procedure. Accordingly, it is necessary to apply to the relevant authorities Furthermore, it is important that the application made is accurate and that the documents belonging to the person who wants to take over the company are fully communicated to these authorities. Those who are accepted as investors in the region will be entitled to a commercial visa valid for 3 years and an identity document for the United Arab Emirates and may start to operate their new company

The Importance of Consultancy Service in UAE for Mergers and Acquisitions :

The advancement of this process by providing consultancy services in order for investors to proceed faster. and smoothly will provide great convenience The services provided by our company are realized under the leadership of a professional and experienced team. Even a small mistake in mergers or acquisitions may cause the process to prolong or unexpectedly reject your application. It is an important criterion for everything to be done properly in order to have a business in a region with high economic power. such as the United Arab Emirates. First of all, it is a part of this consultancy service that you know what work areas in the country have a bigger market and then you can find the companies that can be owned by mergers or acquisitions Then, the process is supported by preparing your documents and making the application perfectly within the specified time. Please contact us for more detailed information on Mergers and Acquisitions in UAE.

 

For more information and inquiries, please (Contact Us) at  +971 2 672 55 88 or email us at truth@truth-uae.com

Truth Economic & Management Consultancy Services

November 2018

starting a business in UAE

The Process to Starting a Business in the UAE

Starting a Business in the UAE

The idea of starting a business in the UAEwhich is one of the most colorful investment areas of the world, has become a topic that many entrepreneurs have been interested in recently. The strong economic conditions of the country, the mobility in many sectors, and the good flow of tourists make the region an entrepreneurial paradise. However, before undertaking any initiative here, it is necessary to carefully examine the legal procedures offered by the country and to know what should not be ignored in these processes?

The Process of Starting a Business in the UAE

Abu Dhabi .one of the most important economic regions of the United Arab Emirates is known as the center of significant investments in tourism and petroleum products.  Entrepreneurs who want to invest in this area in the country are supported by the state. In addition to these sectors, the construction sector has shown a significant breakthrough in recent years. In addition, the food sector, which is an important production area in almost all countries, is among the working areas of Abu Dhabi for those who wish to engage in venture activities. In order to open a business in these sectors, the licenses issued by the country must be obtained. These licenses can be issued for a single sector or, if desired, can be taken as multiple licenses, allowing an entrepreneur to offer more than one activity. Licenses granted in the process of setting up a company in the country are classified with titles such as industrial licenses, trade licenses, and service sector languages.  In order to apply for these licenses, obtaining a professional consulting service helps the process to progress faster and more seamlessly.  The most accurate and serious studies are provided to follow the process and fulfill the requirements of the consultancy services provided by our company on this subject.

Getting a Company License in the UAE

There are some free zones shown by the state in the setting up of a company with foreign capital in the country. When you apply for a company, the government will show you the regions that are most suitable for your business. You may be entitled to a license according to the selection you make from these regions. Upon completion of the licensing procedures, the newly set up company must be registered in the relevant industry and commerce chambers of the country. After that, the company is officially set up and can start its activities. However, in order to be able to obtain this license, it is necessary to perform a rigorous study on a number of subjects and to make an application without error. Otherwise, once the application is rejected because of the wrong or incomplete application, to be able to apply again and to get approval causes the process to prolong.

Important Things to Set Up a Company in the UAE

In order to Start a Business in UAE, it is necessary to prepare the application file in full. In this file, all documents related to the company which is wanted to be set up are prepared as required and delivered to the specified authorities within the specified time. The consultancy services we offer to ensure that all these processes are carried out in a perfect way are of great value for you to realize your business ideas successfully. After the process of starting a business in the UAE,  enterprises are offered some incentives by the state. In our company’s work,  we are able to inform you about this issue in the most correct way and to apply easily to government incentives. You can contact us for more information.

For more information and inquiries, please (Contact Us) at  +971 2 672 55 88 or email us at truth@truth-uae.com

Truth Economic & Management Consultancy Services

corporate governance represented direction

The Importance of Corporate Governance in the UAE

Corporate Governance in the UAE

The way to have a large and successful business is through the successful delivery of corporate governance in the UAE this fact is especially important for companies established abroad. Adopting a corporate governance system requires a broad knowledge of this subject. The consultancy services offered by our company help companies established abroad and especially in a moving area like UAE to take firm steps towards institutionalization.

In recent years, UAE has become a region where our country’s businessmen and entrepreneurs are particularly interested. The economy, which has a high volume in the region, encourages investments in this field. The oil industry and tourism areas in the country have a very important business volume. Apart from this, the service sector is also making great moves in the food sector. It is also known that there are many companies established in these areas and a naturally competitive environment is formed among them. To be successful in this competitive environment depends primarily on the institutionalization of the company and its progress in this way. institutionalization is the progression of companies from a line that is determined independently of the people who lead them. In other words, it is the key to the success of the enterprises today that people who have a say in the method have to put aside their personal views and management styles and make modern and contemporary initiatives necessary for the development of the company. In order to achieve this, the benefits of counseling on the issue are indisputably important.

Advantages of Consulting in Corporate Governance in the UAE:

The aim of corporate governance consulting services provided by our company in UAE is to increase the volume of the companies established in the UAE region by our country’s entrepreneurs in order to achieve success. Corporate management techniques, companies’ growth rate, capital, marketing volume, such as examining the special circumstances of the eye, in line with these companies ensure that they maintain their standing and development. Corporate governance is a company-specific management method. Each company moves in different lines. Therefore, the management policy to be applied in companies must be determined specifically for the company. The determined form of management includes the rules to be followed by all company executives. This is especially important for companies with a large number of people on the board of directors to take a common decision. The consultancy services provided help to determine the compromise between. the managers and the management tactics for the needs of the company. In AUE, corporate governance consultancy, which is provided by our company, a team with significant experience has been working in the field for many years.

Corporate Governance Consultancy Services in the UAE

The purpose of the consultancy service provided by our company is to implement the management style needed to help companies grow in a controlled and planned manner. In the name of this, the general situation of the company established is reviewed. In other words, a detailed report on the company’s capital, sales and marketing graph, business volume, and even the company employees and the duties of these persons is made, and a report is prepared. This report is the most objective source of the company’s general situation This report is then presented to managers and a management strategy is determined. If you would like to get more detailed information about the subject, you can communicate with us and take an effective step to achieve your initiatives.

For more information and inquiries, please (Contact Us) at  +971 2 672 55 88 or email us at truth@truth-uae.com

Truth Economic & Management Consultancy Services

UAE Business Consultancy

UAE Business Consultancy Services Services

UAE Business Consultancy

Engaging in venture activities abroad is accepted as one of the most profitable investments of our time.

UAE is a country with a high growth rate. And the wide range of economic conditions of this country adorns the dreams of many entrepreneurs.

However, getting the help of a professional consultancy service on this issue is the right step for the success of these investments.

Our company, which is one of the most comprehensive UAE business consultancy firms in this field, makes your dreams come true with its elite and experienced team.

Why Invest in UAE Business Consultancy Services?

In UAE there is a city that accepts foreign investments in quite different sectors.

And to ensure the success of the venture activities in the country, these activities must be carried out in a conscious manner.

First of all, the preparation of a detailed feasibility report for the successful implementation of an enterprise idea is the most important work for the establishment of a new foundation.

In other words, it should be known for an entrepreneur to examine all the details of the subjects such as how much of the work done in the field, how much a company can be established with the current capital, the new company can make more moves in the first place.

In addition, the legal procedure on the subject should be known when it is necessary to establish a company and the applications must be carried out under this procedure.

The consultancy services provided by our UAE business consultancy company include the necessary studies to conduct feasibility studies and to evaluate the legal process correctly.

Assessment of the Legal Process to Establish a Company in UAE

Each country’s legal process for the evaluation of foreign capitals includes different practices. In Abu Dhabi, there are free zones for foreign entrepreneurs to establish a company.

It is important to know what kind of activities are applied in these regions and which ones are more profitable.

Both for the success of the company to be established in the future and for the quick realization of the business idea.

Besides that, it is worthwhile to prepare the documents requested during the application and to present them without error in the given legal period.

In the consultancy service carried out by UAE business consultancy company, it is ensured that this process is evaluated in the required manner and applications are made in accordance with the required criteria.

In this way, without leaving a chance for your business, you can make the investment you dream of the shortest way and you can open your company smoothly.

What to Consider While Setting Up a Business in the UAE?

In order to be able to start working activities in designated areas at the points determined in this region, it is necessary to have a legal license in the name of the United Arab Emirates.

To make this license easier, it is useful to apply to some sectors that the country especially supports. The tourism sector is one of the leading ones.

The tourism sector, which is one of the most important livelihoods of this country where many tourists come every year is supported and some government incentives are offered to the entrepreneurs who want to invest in this area.

Apart from the tourism sector, the petroleum products sector is also the cornerstone of the national economy.

All Economic sectors and the businesses that operate in various fields in the service sector are easily licensed by the country.

It is important to know them before applying for any investment in this country. In the works provided by our company, both the application process and the application process are followed in detail.

For more information and inquiries, please (Contact Us) at  +971 2 672 55 88 or email us at truth@truth-uae.com

Truth Economic & Management Consultancy Services