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This was said to me recently by a potential client who moved to the UAE six months ago and struggled to start a business and manage the cost of living. He wanted to hire us, but as a solo entrepreneur, family living expenses, particularly school fees, were swallowing up anything extra to spend on his company.

It struck me that if day-to-day costs weren’t so high, people would have more money to invest in the local economy.

There’s no escaping the high cost of living in the UAE, especially if you’re a business owner or self-employed. While some people love to argue that it’s tax-free, is that really the reality? Look at the cost of everything you spend on here, from clothes and food to kids’ activities and eating out. It’s all much more expensive than many other countries. Retailers and restauranteurs have to charge more because of the high rents and import costs – it’s a cycle that’s hard to break. Going back to school fees, they’re apparently the second highest in the world.

So, for any entrepreneur trying to succeed in an already saturated market, high set-up costs, numerous fees, and high rents make me wonder why so many people want to start their own business in the first place.

The local economy would benefit if costs were lower. We would have more of a community, local brands and businesses would thrive if we all had more spending money. Small business owners would win, unlike now where it’s the bigger players having their pockets lined.

When I started Plug 16 years ago, we shared a license, used an internet cafe with our laptops and met clients there. Although I have a profitable business these days, I always worry about cash flow and fluctuating market conditions. I advise anyone wanting to set up a business here to do their research, use real numbers to plan their projections, find population figures for their target audience, and know their competitors. It’s do-able but you need to be smart. The entrepreneurial journey is tough; the more knowledge you have the better.