Dubai’s reputation as a global business hub attracts investors, entrepreneurs, and top executives eager to tap into its thriving economy. However, understanding the costs associated with setting up a company in Dubai is crucial to making informed decisions.

In this article, we’ll break down everything you need to know about business setup costs in Dubai, offering insights that cater to ambitious professionals looking to expand or relocate.

A Quick Takeaway on Business Costs in Dubai

Setting up a business in Dubai involves various expenses, such as licensing fees, office space, and registration charges. While these costs depend on the type of company and location, Dubai offers tremendous value in return: access to a booming economy, zero income tax, and a highly connected market.

Key Costs of Setting Up a Business in Dubai

1. Business License Fees

Every business in Dubai requires a license to operate. The type of license depends on your business activity:

• Commercial License: For trading businesses.

• Professional License: For service-oriented businesses like consulting or freelancing.

• Industrial License: For manufacturing and industrial companies.

Cost Range: AED 10,000 to AED 50,000 annually, depending on the license type and location.

2. Company Registration Fees

Company registration is a mandatory step in Dubai. Fees vary based on whether you set up in the mainland, a free zone, or offshore.

• Mainland Registration: Higher costs but allows operating across the UAE market.

• Free Zone Registration: Cost-effective and ideal for businesses focusing on international trade.

• Offshore Registration: Suitable for businesses seeking tax advantages and asset protection.

Cost Range: AED 15,000 to AED 30,000.

3. Office Space or Virtual Office

An office space is essential for company registration. Free zones often provide cost-efficient shared workspaces, while mainland businesses may require dedicated offices.

Options include:

• Co-working Spaces: Popular for startups and tech companies.

• Private Offices: Preferred by established businesses.

Cost Range: AED 5,000 to AED 50,000 annually, depending on location and space size.

4. Visa and Immigration Costs

As a business owner, you’ll need a residency visa, and you may also sponsor visas for your employees.

Breakdown of costs:

• Investor Visa: AED 3,000 to AED 7,500.

• Employee Visa: AED 2,500 to AED 6,000 per person.

5. Trade Name Registration

Choosing a unique trade name for your company is a legal requirement. This involves reserving and approving your business name through Dubai’s Department of Economic Development (DED).

Cost: AED 620 to AED 2,000.

6. Additional Costs to Consider

• Memorandum of Association (MOA): AED 1,500 to AED 3,000.

• Professional Services: Fees for legal, consulting, and setup experts range from AED 5,000 to AED 15,000.

• Bank Account Setup: Some banks may charge account maintenance fees.

Why Dubai is Worth the Investment

Dubai isn’t just about costs—it’s about the unmatched benefits that come with setting up a business here:

• Zero Income Tax: One of the world’s most attractive financial policies.

• Prime Location: A gateway to global markets in Europe, Asia, and Africa.

• Thriving Economy: High growth potential across sectors like real estate, technology, and logistics.

The initial investment required to establish a business in Dubai is small compared to the significant opportunities it offers.

FAQs About Setting Up a Business in Dubai

1. Can I own 100% of my business in Dubai?

Yes, free zones allow 100% foreign ownership. Recent reforms also permit full ownership for many mainland businesses.

2. How long does it take to set up a company in Dubai?

Typically, the process takes 1 to 2 weeks, but this depends on the business type and licensing requirements.

3. What is the most cost-effective way to set up a company?

Free zones are generally more cost-efficient, offering benefits like zero tax and flexible workspace options.

4. Do I need an office to register a company in Dubai?

Yes, either a physical or virtual office is required. Free zones often provide shared workspace options to simplify the process.

At Haimami Capital, we help entrepreneurs and investors navigate Dubai’s dynamic business setup landscape, ensuring a seamless and efficient process.

Let us help you unlock growth opportunities in Dubai. Schedule your consultation today! Book a Call