Business Setup in Dubai: Your Questions Answered

Company setup in Dubai typically ranges from around AED 12,000 to AED 30,000+ all-in, depending on free zone versus mainland, business activity, visa quota and office requirements. Free zones are usually cheaper for startups; mainland licenses cost more but allow unrestricted UAE trade. Use our cost calculator for a tailored estimate.

The process is: choose your business activity, pick mainland or free zone, reserve a trade name, submit your license application with passport copies, secure an office or flexi-desk, receive your trade license, then apply for visas and open a bank account. With documents ready, DBM typically completes free zone setups in under two weeks.

Yes — foreigners can own 100% of a UAE free zone company, and since 2021 most mainland commercial and industrial activities also allow full foreign ownership without a local sponsor. Only a small list of strategic activities still requires Emirati participation. DBM confirms the ownership rules for your exact activity before you commit.

Free zone companies are typically licensed in 3-10 working days; mainland licenses usually take 1-2 weeks depending on approvals. Add roughly 2-3 weeks if you need residence visas and a corporate bank account. Complex activities needing external approvals (healthcare, education, food) take longer.

The cheapest route is a zero-visa license in a Northern Emirates free zone — Ajman, SPC or SHAMS — starting around AED 5,500-6,500. Add one investor visa and the realistic all-in total is roughly AED 11,000-13,500. Dubai free zones cost about double but give you a Dubai address.

For most setups you need passport copies of all shareholders, a passport-size photo, your proposed trade names, and a short description of the business activity. Some cases add a No Objection Certificate from a current UAE sponsor, attested degree (for certain professional activities) or a business plan (for certain free zones and bank accounts).

Yes — owning a UAE company lets you sponsor your own investor/partner residence visa, typically valid for two years and renewable, and then sponsor your family. The visa process (entry permit, medical, Emirates ID) usually takes 1-2 weeks after the license is issued. DBM handles the full visa chain.

You obtain a trade license from the Dubai Department of Economy and Tourism for mainland, or from a free zone authority for free zone companies. Choose your activity, reserve a name, submit shareholder documents, pay the fees and the license is issued. DBM manages the applications end-to-end, including activity selection — the step most people get wrong.

After your license is issued, you apply to a UAE bank with your trade license, shareholder passports, Emirates ID and a brief business profile; approval typically takes 1-4 weeks depending on the bank and your profile. Banks assess nationality, activity and expected turnover. DBM prepares the file and matches you to banks realistic for your case — no bank account can be guaranteed.

Not entirely. The UAE now has 9% corporate tax on profits above AED 375,000 and 5% VAT on most goods and services once you cross the registration threshold — but there is still no personal income tax, and qualifying free zone income can benefit from 0% corporate tax. Compliance (registration, filing, bookkeeping) is now essential, and DBM handles it.