Tim Elliott
Hello and welcome to another edition of Lawgical, the legal podcast from the Dubai-based law firm HPL Yamalova & Plewka. Lawgical remains the Gulf region’s first and only regular legal podcast. I’m Tim Elliott, socially distanced on the 18th floor at Dubai’s Jumeirah Lakes Towers, here at the firm’s offices with Managing Partner Ludmila Yamalova. Ludmila, always good to see you.
Ludmila Yamalova
Great to see you too, Tim.
Tim Elliott
In this edition of Lawgical, we’re going to attempt to form a guide for entrepreneurs in the UAE. We’ll talk about starting and running a business in the Emirates, the potential legal issues you might face, what to do if a business succeeds, and also what to do if it’s on the edge of failure.
Plus, we’re pleased to welcome a very special guest to the program, Shadi Joweihan. Shadi, you’re a business consultant—does that sound right?
Shadi Joweihan
Yeah, correct, Tim. That works for me. I’m a business consultant helping people set up businesses and assess risk management.
Tim Elliott
The right man for this podcast, then. You’ve been in the UAE for quite some time—27 years, right? Let’s get a feel for who Shadi is and what you’ve done.
Shadi Joweihan
Yes, 27 years—it really gives my age away! I started in 1995 in the aviation industry when I first arrived in the UAE. I spent about 14 years in the sector and then shifted into consultancy. It was an interesting change, seeing businesses around the world and wanting to bring something new to the UAE.
My first venture was setting up one of the first retail F&B outlets of its kind—24/7 home delivery. Back in 2003 or 2004, that was quite ahead of its time. Later, I shifted more into consulting for investors and new startup entrepreneurs. Along the way, I launched products in Australia for distribution around Oceania and maintained consulting work back here in the UAE, mainly for F&B businesses. I also launched a mobile app for the airline industry, which became a finalist in business aviation in the UAE.
Ludmila Yamalova
Let me jump in here, Shadi, because I’ve known you for as long as I’ve been in the UAE. In fact, I had the privilege of seeing you set up one of your first businesses—the F&B retail concept you mentioned. Not only was I a friend and neighbor back then, but I was also setting up my own business at the same time.
We spent hours sharing ideas, figuring out how to set up websites, design marketing materials, identify our target clients, and navigate partnerships, suppliers, and leases. I remember those late nights operating on a shoestring budget.
You built a truly unique and successful business, Shadi. I want you to share more about that concept—your passion for what you created and how you turned it into something so impactful.
Shadi Joweihan
Thank you, Ludmila. Passion definitely plays a big role, but creating a successful business requires a lot of back-end work too—everything from layout design to brand identity and turning your vision into a tangible product or service.
At the time, the market was driven by opportunity, demand, and the willingness to take risks. What’s important for entrepreneurs is understanding the hurdles—whether it’s drafting agreements with partners, hiring employees, or preparing for unexpected challenges like delays in construction or fit-outs.
Passion is essential, but turning passion into reality requires preparation and resilience. It’s about being ready for challenges pre-launch and along the way.
Ludmila Yamalova
That’s a great point. Challenges are inevitable, but they’re also where the real lessons come from. Let’s focus on practical advice for entrepreneurs setting up businesses in the UAE.
Would you share some key takeaways from your journey?
Shadi Joweihan
Absolutely. First, research is crucial. You need to fully understand your market, your suppliers, and your competition. Second, trust is important, but always back it up with solid agreements. Third, prepare for delays—whether from suppliers, landlords, or unexpected situations.
Also, make sure your business is legally protected. Many entrepreneurs underestimate the importance of proper legal agreements and partnerships until it’s too late. A strong foundation can save your business when things go wrong.
Tim Elliott
That’s invaluable advice, Shadi. Ludmila, from a legal perspective, what should new entrepreneurs prioritize when starting a business in the UAE?
Ludmila Yamalova
First, due diligence is non-negotiable. Understand your obligations as a business owner—whether it’s compliance, contracts, or understanding the regulatory framework. Second, invest in proper agreements. These don’t have to be overly complex, but they need to clearly outline roles, responsibilities, and expectations.
Third, choose your partners wisely—this applies to investors, employees, landlords, and suppliers. And lastly, don’t be afraid to seek legal advice early on. Many issues could be avoided with a one-time consultation to guide you through the setup process.
Tim Elliott
It’s all about building the right foundation. Shadi, you’ve been through your share of challenges. Could you talk about a time when things didn’t go as planned and how you navigated through it?
Shadi Joweihan
Absolutely. One of the biggest lessons I’ve learned is the importance of adaptability. In one of my ventures, I relied too much on trust and passion, without adequately preparing for potential pitfalls.
For example, I had a business partner who seemed aligned with my vision initially, but as the business grew, greed crept in. I hadn’t secured legal agreements that protected me in case of disputes. It became a very challenging situation—not just financially, but emotionally and physically.
I realized the hard way that you need to revisit agreements regularly, evolve with the times, and always have an exit strategy. It’s not just about succeeding; it’s about protecting what you’ve built.
Tim Elliott
That’s a sobering lesson. Ludmila, what about businesses that have already been running for a while? What legal steps should they take to protect themselves as they grow?
Ludmila Yamalova
For existing businesses, it’s crucial to conduct periodic legal audits. This means reviewing contracts with landlords, suppliers, and employees to ensure they’re still relevant and enforceable.
Another common issue we see is businesses not adapting their agreements as they scale. For instance, a lease agreement signed years ago might no longer serve the business’s current needs, but it’s often overlooked until there’s a problem.
Lastly, businesses should stay informed about changes in UAE regulations. The legal framework here evolves rapidly, and failing to comply with new laws can result in penalties or lost opportunities.
Tim Elliott
Shadi, we’ve touched on preparation and adaptability, but let’s talk about resilience. How do you keep going when business gets tough?
Shadi Joweihan
Resilience is about accepting challenges as part of the journey. Every entrepreneur faces pain points—whether it’s a delayed fit-out, supplier issues, or financial setbacks. The key is to stay focused on your long-term goals.
I always tell my clients to prepare for the worst-case scenario. If you’re ready for delays or disputes, they won’t derail you as much when they happen. It’s also important to surround yourself with the right people—loyal partners, reliable suppliers, and supportive advisors.
Ludmila Yamalova
To add to that, resilience often comes from having a clear roadmap. If you know what you’re working toward and you’ve built a strong foundation, you’ll be better equipped to weather the storms.
Tim Elliott
That makes a lot of sense. Before we wrap up, I’d like each of you to share one piece of advice for new entrepreneurs. Shadi, let’s start with you.
Shadi Joweihan
My advice is simple: research and prepare. Understand your market, your risks, and your obligations before you dive in. And if you’re unsure about something, don’t hesitate to consult experts. A small investment in preparation can save you from major headaches down the road.
Tim Elliott
Ludmila?
Ludmila Yamalova
My advice would be to start with what you know. If you’re venturing into unfamiliar territory, make sure you have someone on your team who understands it better than you do. And never underestimate the importance of proper legal guidance—especially in a fast-evolving market like the UAE.
Tim Elliott
That’s great advice from both of you. This has been an insightful discussion, and I hope it’s given our listeners a clearer idea of what it takes to start and run a business in the UAE.
Ludmila, as always, thank you for your legal expertise.
Ludmila Yamalova
Thank you, Tim. Always a pleasure.
Tim Elliott
And Shadi, thank you for sharing your experiences and insights.
Shadi Joweihan
Thank you, Tim and Ludmila, for having me. It’s been a pleasure.
Tim Elliott
If you have a legal question you’d like answered in a future episode of Lawgical, or if you’d like a consultation with a qualified UAE legal professional, you can now WhatsApp us at +971 52 525 1611, or head to LYLawyers.com and click the Contact button. Until next time, thank you for listening!