Pros & Cons of Setting up a Business With Flexi Desk Facility in UAE Free Zones

The Flexi desk or hot desk or co-working space facility has brought immense changes to the business environment in the UAE as the businesses have embraced the flexible structure of the modern office system. Most of the UAE free zones assign the Flexi desk facilities to the companies that register with them. The Flexi desk or co-working facilities come along with the company license package when the entrepreneurs set up a business in the free zones in Dubai or other northern emirates. Many investors prefer co-working spaces due to its cost-effectiveness and flexibility. Even though the shared workspaces have attracted both startup entrepreneurs and freelancers, there are many challenges in the co-working mode apart from the benefits it offers. While the benefits include the cost-effectiveness, the biggest challenge remains to be the difficulty in opening a bank account with a co-working license in Dubai.

Top Advantages of Setting up a Business With a Flexi Desk Facility in Dubai

As mentioned earlier, the Flexi desk spaces in Dubai come with a lot of benefits and challenges. There are many companies that strongly prefer the flexible office set up to the traditional ones. Such proponents of the shared workspaces cite the following factors as the major benefits of having Flexi desks for their business setup in UAE free zones.

1) Flexibility

By availing a Flexi desk facility in any of the free zones, the entrepreneurs get to improve space utilization. In comparison to the desks that the business owners set up in their offices, the flexible desks stand out as such facilities can accommodate more people in less space. The flexibility in space utilization makes the Flexi desks in Dubai more attractive for the entrepreneurs.

2) Cost-Effectiveness

The Flexi desks in Dubai offer an affordable business set up a solution to the companies as they need to rent only what is essential for them. The shared workspaces come at a monthly rent plus the license fee but the entrepreneurs can avoid the unnecessary overhead cost. As opposed to the traditional office space, the hot desks allow the business owners to avoid the unnecessary pressures of the costs of car parking and conference rooms. With a Flexi desk in Dubai, the investors need not bother about negotiating lease terms, maintenance costs, furniture fittings, utilities, and additional services.

3) Better Productivity

The traditional office set up may lead the employees to fall into a fixed routine and it may lead to loss of creativity. Falling into a rut may reduce the productivity of the employees and it may affect the business. Flexi desks will allow the employees to work in a more flexible environment and the chances of restricting themselves to a daily routine are less.

4) Freedom to Switch to Physical Office Later

Many freelancers, e-commerce or startup entrepreneurs prefer to set up their business in flexi desks in the free zones to test the water. Flexi desks are most suited for startups in the initial years as the funds will be short. However, many startups often secure big investments later and in such a case they can switch to a physical office for expansion. This one among the reasons for the popularity of flexi desks among the young entrepreneurs who wish to set up a business in Dubai free zone.

Major Drawbacks Businesses Face While Opting for Flexi Desk Facilities in Dubai

Being a disruptive work mode concept, the Flexi desks may not fit everyone’s requirements. The businesses need to analyze the drawbacks of the e-office along with the benefits it offers. A right decision can be taken if the companies opt for the recommendation of the best business setup consultants in Dubai. The following are some of the major drawbacks of the Flexi desks in Dubai:

1) Bank Account Opening

Entrepreneurs in Dubai opting for a free zone Flexi desk facility may find it tough to open a new bank account. The banks have tightened the KYC procedures to comply with the recent Anti-Money Laundering (AML) guidelines and will ask for a physical office address while trying to open an account. The increased due diligence, as a result of the tough AML regulations, means that the businesses with no physical office or with a Flexi desk/ hot desk office in Dubai, UAE would have a tough time with the banks. The businesses with Flexi desks may not have a tenancy contract and the bank account opening in the UAE becomes a hard task for such businesses.

2) Team Hierarchy

The hot desks or e-offices in Dubai may offer much flexibility to the workers but they will miss the control and discipline of the team hierarchy. The Flexi desk concept changes the management-subordinate equation that has been associated with the traditional office setups. This can be either considered as an advantage or a challenge. The business owners who emphasize leadership controls may find the Flexi desk facilities disadvantageous.

3) Not for Every One

Flexi desks or hot desks are not for everyone and the right planning should precede the choice of shared workspaces. Some people may find that the Flexi desk concept is disrupting their work rhythm and it may take longer for such people to come to terms with the e-offices. Also setting up the IT requirements may be challenging for some. While working in Flexi desk facilities, tasks like accessing the network drives, setting phones, arranging the work stations will be challenging for some. The companies need to consult reputed business setup consultants in Dubai, UAE to decide what kind of facilities best fit their business.

Why Choose Jitendra Business Consultants?

The business landscape in Dubai has been evolving at a rapid pace with disruptions in every sector across the world. Dubai has welcomed every positive transformation in technology as well as the business environment. In tandem with these disruptions, more businesses have shown readiness to adapt to the new forms of working especially the Flexi desks. However, the right decision has to be taken as this disruptive work mode won’t fit the requirements of every business. In such cases, the services of a reputed company formation specialist like Jitendra Business Consultants (JBC) come to the aid of the entrepreneurs.

JBC’s team of highly qualified company formation specialist has helped thousands of clients in setting up a business in the various free zones in Dubai, UAE. The freelancers, startups, or even corporates can discuss their co-working space requirements and JBC will assist them in availing the best Flexi desk facilities in any of the free zones. The process of business setup becomes a hassle-free task once the businesses put their trust in JBC.

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