The SMEs were defined by Dr Tahir Akhtar, Chairman of Adams Holdings in the
Dr Akhtar said that 78% of all registered enterprises (230,000) in the UAE have less than 10 employees and that most of these are micro companies.
At this stage, in terms of GDP, SMEs in the UAE produce far less (20%) than their counterparts in European countries (50%).
SMEs in the UAE are distributed among the sectors of trade (60%), services (35%) and manufacturing (5%).
Dr Akhtar believes
In his address Dr Akhtar outlined the major obstacles that owners of SMEs face in setting up their businesses in the UAE. They are the following, from the mostly commonly cited to the least cited obstacles:
- Workforce Relationships
Wading through the bureaucratic red tape was by far the biggest obstacle to owners seeking to set up their small or medium sized business in the UAE and the Gulf region. Here lies a challenge for the Fujairah Freezone and associated organizations such as the Fujairah Chamber of Commerce.
Dr Akhtar stated that the UAE was still one of the most expensive countries for owners to start up and incorporate their business. He said that a further challenge is for overseers of new business in
Go to the Ant
“SMEs are the ants in the ant hill rather than the more glamorous animals of the forest. You can’t see them because they are too small but their work is so substantial and their results can be seen by everyone.”
International Business Forum Highlights Fujairah’s Assets and Opportunities, FIF, 4 April 2011.
This article is also posted on the Facebook Page—Fujairah in Focus.
Image: “SMEs are the ants in the ant hill…” (Photo courtesy of Wikipedia).