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Business Setup in Dubai & UAE

We Can Help You Find the Right Business Setup Partners Who Can Help You Understand How Business Setup in Dubai Works and Start Your Business Setup Process Within 24 Hours

Why Set Up a Business in UAE

If you are considering setting up a business in Dubai or UAE, here are some reasons why you should start your business in Dubai.

Economic Stability

Economic Stability

UAE is one of the most stable economies in the world. This ensures that your business will be able to thrive & witness a steady growth trajectory.

Variety of Business Premises

Variety of Business Premises

UAE offers a wide range of business setup solutions such as free zones, mainland, offshore companies, etc.

Ease of Doing Business in Dubai & UAE

Ease of Doing Business in Dubai & UAE

The United Arab Emirates received 16 index points in 2022 for ease of doing business. This means that your business will be up & running at a much faster rate than in most countries!

Tax-free Regime

Tax-free Regime

As a foreign investor, you are not required to pay tax in the UAE. This means more of your profits will remain with you!.

Permitted License Types and Business Activities

Range of License Types and Business Activities Permitted

Depending on the license type you acquire for your business setup in Dubai, you can engage in trading, manufacturing, service provision, logistics, and more..

Strategic location

Strategic location

The UAE is located in a prime position between Asia, Europe, and Africa, making it a perfect hub for businesses that want to expand globally.

Taxation

Taxation

The UAE has a favorable tax environment, with zero corporate or personal income taxes levied on companies or individuals. This makes it an attractive option for entrepreneurs looking to maximize profits.

Business-friendly policies

Business-friendly policies

The UAE government has created a business-friendly environment with streamlined company registration, licensing, and permitting procedures. This helps new businesses to get up and running quickly and efficiently.

Growing Economy

Growing Economy

The UAE has a thriving economy, with a high GDP per capita and a diversified range of industries. This means new businesses have plenty of opportunities to succeed and grow.

Infrastructure

Infrastructure

UAE invested in top-notch infrastructure, including airports, seaports, and telecom networks, facilitating easy business operations for imports, exports, and customer communication. .

Access to talent

Access to talent

The UAE has a highly skilled and diverse workforce, with people from all over the world working in its industries. This makes it easy for businesses to find the right talent and build a team to help them achieve their goals.

How to Start a Business in Dubai or UAE?

Here is how you may establish your ideal business setup in UAE and take advantage of 100% foreign ownership:

1

Finalize Your Business Niche & Activity

To start a business successful in Dubai, carefully considering the industry or niche you want to enter is essential. There are many high-potential industries in the UAE, such as travel, hotels, healthcare, IT, and e-commerce, which offer opportunities for growth and profitability.

Your business activities are the foundation of your operations, and it is essential to establish the right economic and financial practices to ensure success. You can identify and avoid potential roadblocks by outlining possible scenarios and developing a clear business strategy.

Therefore, take the time to carefully research and evaluate your options, and consider seeking advice from experts in your chosen industry or field to help you make informed decisions. This will give you the best chance of success as you start and grow your business in Dubai.

2

Select a Favorable Location in UAE

UAE offers many advantages to business owners, including a zero-tax framework and streamlined processes for starting a business. In addition, they are strategically located to facilitate easy and hassle-free business operations, making them a popular choice for entrepreneurs looking to set up their businesses in Dubai.

3

Decide a Business Name & Trademark

Choosing a compelling business name, logo, and slogan that conveys your mission, vision, and niche is crucial for your brand’s identity. To register your trademark, consider partnering with Airzone for expert guidance and assistance. 

It’s highly recommended to seek professional support to increase your chances of a successful trademark application, as trademark rejection is common.

4

Initial Process of Business Approval

When starting a business in Dubai, you must fulfill certain legal obligations as per the UAE’s legal framework. These include obtaining and submitting the necessary documents for business setup in Dubai.

The documents required for the said case include

  • Original Emirates ID
  • Passport of UAE sponsor (in case of shared partnership in Dubai Mainland – Not Obligatory after 2020)
  • Old Immigration card
  • A valid Trade license
  • Copy of Passport with valid visa page of all partners for Free Zone Company
  • Confirmed and potential employees must be registered with the Ministry of Labor, with the documents required as under
  • UAE’s Residence Visa or Work Visa
  • Copy of Passport with valid visa page
  • Employment Agreement
  • Labor card
  • Emirates ID
5

Choose an Office Space

When choosing an office space for your business in Dubai, it is essential to consider factors such as location, size, and cost. 

UAE offers a variety of office spaces that cater to the needs of small and large businesses alike. You can choose from various options, including virtual offices, shared workspaces, and fully furnished private offices.

A coworking space may suit you if you are looking for a cost-effective option. This option allows you to have a prestigious address without the cost of physical office space. Shared workspaces are also popular for startups and small businesses, as they offer a collaborative environment and cost-effective solutions.

For larger businesses, fully furnished private offices are available in different sizes and can be customized to meet your needs. When choosing an office space, it is essential to consider the location and proximity to transportation and amenities to ensure convenience for you and your employees.

6

Open a Corporate Bank Account

Opening a corporate bank account in the UAE is mandatory to set up a business. You’ll need to provide proof of physical presence for all business partners during document submission. 

Offshore businesses must verify their documents from the relevant Emirates Consulate and the UAE’s Foreign Affairs Ministry.

Below are the documents required for opening a bank account in Dubai, UAE:

  • Complete Business Profile
  • Last 6 months’ bank statement
  • Resume of the account holder and other stakeholders involved
  • Proof of physical existence
  • Valid Passport or Emirates ID
  • Trade License
  • Company’s regulatory document
  • Directors Resolution
7

Choosing Office Location

UAE offers a variety of office spaces that are ideal for small and medium-sized businesses, as well as larger enterprises. These office spaces are available according to the specific legislative directions of each location and can provide an excellent outlet for your business operations in the region.

Get Additional Government Approvals

Disclaimer: Certain business activities may require additional approvals from relevant government entities. Below are some examples of such activities, categorized by the ministry:

  • Ministry of Justice: approvals for legal activities and legal consultancy.
  • Telecommunications and Digital Government Regulatory Authority (TDRA): approvals for telecommunication activities.
  • Ministry of Interior: approvals for activities related to general transport such as driving schools, fire equipment, alarm, and safety systems, used-car dealers, used auto parts, and car rental.
  • Executive Council: approvals for travel and tourism, general services, charter trading, ship and maritime agencies, car clubs, charter air transport, and foreign company branches.
  • Local municipal department: approvals for architectural and engineering affairs.
  • Local health departments: approvals for health-related activities.
  • Ministry of Economy: approvals for insurance activities and insurance consultancy.
  • Supreme Petroleum Council: approvals for onshore and offshore gas and oil-field services and onshore and offshore oil drilling operations.

Company Formation in Dubai & UAE

You may engage with reputable and knowledgeable business formation service providers with the help of Airzone. Our partnered service providers will make your road to the free zone and mainland business setup in UAE easier and hassle-free. 

By registering with our affiliated business formation service providers, you may save time and work for trade name reservation, paperwork completion, and legal authorization. 

To start your company in Dubai mainland or any free zone in the UAE, get in touch with Airzone. We will assist you in locating the most skilled business formation service provider for mainland and free zone business settings in all of the UAE’s high-potential areas.

Documents Required to Acquire a Business License for Company Formation in Dubai, UAE

To acquire a business license for company formation in Dubai, UAE, the following documents are typically required:

  • Application form: The official form necessary to apply for a business license in Dubai.
  • Passport copies: Copies of the passport of all shareholders and managers of the company.
  • Visa copies: Copies of the UAE visa of all shareholders and managers of the company.
  • No-objection certificate: A document stating that the visa sponsor has no objection to the applicant starting a business in Dubai.
  • Memorandum of Association (MOA): A legal document outlining the company’s purpose and defining the shareholders’ roles and responsibilities.
  • Tenancy contract: A contract that shows the business has a physical address in Dubai.
  • Ejari certificate: A certificate issued by the Dubai Land Department that verifies the tenancy contract.
  • Initial approval certificate: A certificate issued by the Department of Economic Development that confirms the business activity and name are approved for licensing.
  • Bank reference letter: A letter from the applicant’s bank confirming the account holder’s good standing.
  • Business plan: A document that outlines the company’s objectives, strategies, and financial projections.

Guide for Business Setup in Dubai

Startup Business Plan

How to Make a Startup Business Plan?

Want to start a new business but without a business plan? You won't go far away. A business plan is essential for starting a business in Dubai / UAE. Our expert guide to creating a business plan for the UAE is totally free!

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Difference Between Free Zone and Mainland

Free Zone VS Mainland

Want to establish a business setup in Dubai? There are two main options available for you. Free Zone And Mainland. Learn about the differences between Free Zone vs Mainland company setup to see which one is better for you.

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How to Start a Business in UAE Free Zones?

How to Start a Business in UAE Free Zones?

The free trade zones have offices, warehouses, and other facilities that are already built and ready to use. If you wish to set up a free zone company, check out our free zone company formation guides.

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Company Registration in Dubai

Company Registration in Dubai

Done with creating a business plan? Next, you need to form a company in Dubai, UAE. Airzone’s trusted network of business formation service providers makes it easy for businesses to register quickly and easily in the UAE.

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How to Get a Trade License?

How to Get Trade License?

Obtaining a Dubai trade license is fairly challenging. You must go through various time-consuming stages to obtain your trade license. We can help you understand the complex process of getting a trade license in the UAE. Our guide on how to get a trade license in UAE is perfect for new entrants.

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How to open Business Bank Account?

How to open Business Bank Account?

To be able to establish and run a business in UAE, you’ll need to open a corporate bank account. Our partners will make it easy for you to open a bank account in the UAE in no time. Or you can open it yourself by following our detailed corporate bank account opening guide.

Read More

What Business Set Up Option Is Best for Your Business?

Free Zones
  • Maintain complete control over your company.
  • A tax rate of 0% on your income.
  • No custom duties applied.
  • Free to retain 100% of your wealth and earnings.
Learn More
Mainland
  • Business activities are not restricted.
  • Operate business activities both inside and outside of the country.
  • No limitation on the total number of visas that can be applied for.
Learn More

Frequently Asked Questions

How long does it take to finish the company formation process in UAE?

The time limit for setting up a company in Dubai is between four and five working days. However, this might vary depending on various variables, like the nature of your business and the criteria of each business license.

What is the cost of setting up a business in Dubai?

The cost of registering a Limited Liability Company in Dubai typically ranges between AED 22,000 and AED 24,000. Alternatively, the cost of establishing a company in a free zone begins at around AED 15,000.

Is it possible for a foreigner to own a business in Dubai?

It is possible for a non-local to launch a company in Dubai, and a good number of them do so. Investors and entrepreneurs from other countries are made to feel quite welcome in Dubai.

What kind of license should be obtained in order to set up a business in Dubai?

According to the rules, every entrepreneur who wants to start a business in Dubai must first obtain a trade license. The competent authority that issues trade licenses in Dubai mainland is the Department of Economic Development (DED), and the authority has stipulated specific procedures to obtain the license.

What Is the Best Business to Start in the UAE?

There is no one-size-fits-all answer to this question, as the best business to start in the UAE will vary depending on your specific skills and interests. However, some of the most successful businesses in the UAE are those that cater to the local market, such as restaurants, retail stores, and service businesses. If you have an entrepreneurial spirit and are willing to put in the hard work, starting a business in the UAE can be a very rewarding experience

What Is the Cheapest Business to Start in the UAE?

The cost of setting up a company in the UAE can range from AED 50,000 to AED 1 million. But, If you’re looking for a cheaper option, there are a few businesses you can start in the UAE with a lower investment. Here are some ideas:

  • Advertising Agency
  • Arts Crafts Making
  • Bookkeeping Business
  • Consulting Business
  • eCommerce Business
  • Handyman Business
  • Home-Based Cooking Business
  • IT-Related Business
  • Jewelry making Business
  • Recruitment Agency Business

How Do I Get a DED license?

The DED trade license is obtained through the Dubai Economic Department. The application process is simple and can be done online. Once you have submitted your application, you will need to pay the relevant fees and receive the license electronically.

Is There Income Tax in Dubai?

Yes, Dubai has introduced corporate income taxes for the first time, set to come into effect in 2023. The UAE had previously been one of the few countries in the world without any form of taxation, but this is changing with the introduction of VAT in 2018 and now corporate income tax. These taxes are designed to help diversify the economy and make it less reliant on oil revenues. The tax rates in Dubai are relatively low, starting at just 3% for companies with taxable income of up to AED 500,000. The maximum rate is set at 20%, which will apply to companies with taxable income of over AED 100 million.

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