Insights

I've been back in Dubai for just over a month now. I previously lived in the emirate for two years then moved to Singapore at the end of 2017. When I announced that I was moving back here from the UK, many people sent messages saying they were thinking about doing the same.

Social media is full of people talking about Dubai as though it is some magical solution to life's problems: no income tax, sunshine all year round, luxury everywhere, and endless opportunities.

After a month of trying to settle in, I thought it would be useful to share a more balanced view.

The short version? Dubai is fantastic.

But it is not for everyone.

And I don't think enough people are honest about that.

Dubai is Built for Two Types of People

The longer I spend here, the more I realise that Dubai is primarily designed for two groups.

The first are the very wealthy. Not just wealthy. Wealthy wealthy.

The people who arrive in First Class or private jets, spend weekends at Emirates Golf Club, shop without looking at price tags, and seem to have access to doors most of us don't even know exist.

Dubai loves these people. Everything is designed to make their lives easier.

The second group are employees of large organisations. I used to work for Standard Chartered Bank, which has operated in the UAE since 1958 and was the first tenant in the Dubai International Financial Centre (DIFC). Building 1, Gate District. Corporate Royalty.

Life as a Director-level employee in a leading bank was incredibly easy.

Need a bank account? No problem.

Need a credit card? Pre-approved.

Need health insurance? Already sorted.

Need a visa? HR handles it.

Need to move from Zambia to South Africa to Dubai then Singapore. No wahala. The Chennai team got it done.

You never really saw the machinery because the company absorbed all the complexity on my behalf.

What I've discovered since arriving as the Founder and CEO of a small boutique advisory firm is that I am in neither of those two groups. I am in the third group of entrepreneurs, freelancers and small business owners, who discover that the city wasn't really designed with them in mind.

And that has been quite an education.

The Dubai Tax-Free Dream Isn't the Whole Story

One of the main reasons I moved was simple.

I was tired of paying UK tax rates. When almost half of every additional pound disappears in tax, it can feel like you're running hard but not getting very far.

The last time I lived in Dubai, I saved a significant amount of money. Enough to buy over 2,000 acres of land in Zambia and build assets back home.

I assumed I could replicate that experience and hope to get back on track once I have gotten through the trauma of setting up in Dubai.

What I've learned is that tax is only one side of the equation.

Yes, you save on tax.

But many people forget that Dubai encourages lifestyle inflation.

You get a bigger apartment.

You buy a nicer car.

You eat out more.

You travel more.

You socialise more.

You convince yourself you've earned it.

Before long, you realise you're spending just as much as you did in London—sometimes more. A shot of single malt whisky is $40 in my regular hangout. The bottle in the local liquor store is $140. "There is food and drink at home" now makes sense.

You may be paying less tax, but you're also consuming far more.

For many professionals, the equation becomes:

Live modestly in London or live exceptionally well in Dubai and end up with surprisingly similar savings.

That doesn't mean Dubai isn't worth it.

I love the lifestyle. I call Dubai "Disney for grown-ups".

But the financial reality is more nuanced than many influencers would have you believe.

Whatever You Think The Move To Dubai Will Cost, Double It

This is probably the most important advice I can give anyone considering a move.

Whatever budget you have in mind, double it. Possibly triple it.

Dubai has a habit of demanding large amounts of cash upfront.

Rent is often paid a year in advance.

Health insurance is paid upfront. Expect high premiums when you have zero bargaining power.

Professional services are paid upfront. Professional Indemnity Insurance. Corporate Tax Specialists. Payroll Services.

Company registration fees are paid upfront. Plus free zone office space, even though I have a home office.

Visa and medical costs are paid upfront.

Deposits are demanded everywhere.

In my first month alone, I spent significantly more than I expected.
Not because I was being extravagant. Simply because the system requires lots of cash.

The challenges are compounded if you're self-employed because there is very little working capital support available to newly established businesses.

Banks are conservative.

Credit is difficult.

Everything is designed around people who already have money.

Thankfully, I had savings, which took a severe beating. As did my spirits.

Had I arrived with just enough money to "get started," I would have been in serious trouble and headed back to the UK.

If you're planning a move, build a much larger cash buffer than you think you'll need.

Setting Up a Business is Easy. Banking Is Not.

One thing Dubai does exceptionally well is company formation.
You can establish a company surprisingly quickly.

My advice? Don't do it yourself. Pay professionals. You don't know what you don't know. Many people end up paying fines because they missed the three-months deadline to register for corporate tax.

I paid nearly $10,000 to establish ONGOLO Inc FZE in the Dubai World Trade Centre Free zone. I chose a location where leading management consulting firms like Boston Consulting Group (BCG) and Bain are located.

Could I have found a cheaper option? Absolutely.

But a banker friend explained that banks have internal risk assessments for different free zones. Some free zones are viewed more favourably than others. These lists are not published, but they exist.

As a former banker, I understood the implications.

I wanted to minimise future friction. The challenge comes afterwards.

A newly established company is automatically viewed as higher risk.

A start-up is viewed as higher risk.

An entrepreneur relying on dividends rather than salary is viewed as higher risk.

All of these factors matter when you're trying to obtain credit.

Many people arrive believing they can simply pay themselves whenever money comes into the business. Banks don't particularly like that.

I deliberately pay myself a monthly salary because I understand how financial institutions assess risk and affordability. This means I need to estimate a salary that I can sustain for months when I do not have work.

Ironically, even paying yourself a salary can be more complicated than it should be.

The payroll process involves multiple intermediaries, third-party systems and fees that simply don't exist in many other countries.

Coming from the UK, where payroll felt relatively straightforward, it has been one of the more frustrating surprises.

Dubai Loves Established Companies

This is another lesson I learned quickly.

People often assume Dubai is a paradise for entrepreneurs.

It is. And it isn't.

If your clients are overseas and you're using UAE as a tax-efficient base, Dubai is fantastic. This is my primary model.

If you're a small business trying to win business from large UAE organisations, life becomes much harder.

The market is extremely relationship-driven and highly risk-conscious.

I've had many positive conversations.

But I've also noticed that organisations often prefer to work with established firms, even when smaller firms offer comparable expertise at significantly lower prices.

From a risk perspective, I understand it.

From an entrepreneur's perspective, it can be frustrating.

Dubai is a wonderful place to run a business.

It is not necessarily an easy place to build one from scratch.

Who Dubai Works Best For

If you're single and earning well, Dubai is phenomenal. The social scene is unmatched. The connectivity is incredible. The weather is excellent for half the year and AC sorts you out for the hot months. There is always something happening.

If you're married, have children and work for a company that pays very well and/ or provides housing, good health insurance and education allowances, life can also be very comfortable.

Where things become more complicated is when income is tight.
International schools are expensive. Healthcare can be expensive. Housing can be expensive.

Some expatriates quietly send their children to boarding schools in their home countries because the economics simply work better.

Dubai rewards high incomes.

It is less forgiving if you're trying to stretch every dirham.

Final Thought

The biggest misconception about Dubai is that it solves problems.
It doesn't.

It simply gives you a different set of trade-offs. For me, the move still makes sense.

Dubai is an excellent base for my work across Africa. It offers connectivity that few cities can match.

The lifestyle suits me.

The tax environment is attractive.

But I also arrived with my eyes open, sufficient savings, and realistic expectations.

If you're thinking of moving here, don't make the decision because of Instagram.

Make it because you understand exactly what you're gaining—and what you're giving up.

Dubai is an extraordinary city.

Just don't mistake it for an easy one.