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What a Dubai company setup really costs, and what drives the price

Business SetupAlmahira Editorial Team5 min read

The honest answer to "how much does a Dubai company cost" is a list, not a number. Every setup is built from the same parts: licence and authority fees, premises, the establishment card, a set of costs for each residence visa, and the ongoing cost of banking, accounting and renewal. A cheap setup and an expensive one differ in which parts you need and how many of each.

Headline package prices usually cover only some of these lines. This guide explains each cost, lists the official fees we can confirm, and shows what pushes the total up or down. We do not quote package prices, because they change often and rarely compare like with like. Fees change too, so treat this as general information and confirm current amounts before you commit.

The cost components, line by line

Licence and registration

  • Licence fee. On the mainland, the Department of Economy and Tourism (DET) charges according to your licence type and activities, plus smaller charges such as trade name reservation and initial approval. Free zones usually sell the licence as a package with a desk and a visa allocation.
  • Outside approvals. Regulated activities also pay the approving authority, and sometimes need specific premises or qualified staff.
  • Company documents. Notarising the memorandum of association (MOA), legal translation, and attesting documents from abroad if a company is one of your shareholders.
  • Dubai Chamber membership. Mainland companies pay an annual membership fee based on legal form and activity.

Premises

  • Rent. Usually the largest single cost on the mainland, where you need premises that meet DET's rules. Free zones offer flexi-desks and shared offices that cost far less than a private office.
  • Ejari. A mainland tenancy contract must be registered on Ejari, which carries a fixed fee each time you register or renew it.

Immigration and people

  • Establishment card. The company's immigration file, needed before any visa.
  • Each residence visa. An entry permit or change of status, a medical fitness test, Emirates ID and the residence fee. Every owner, employee and family member adds a set.
  • Health insurance. In Dubai, employers must insure their employees and sponsors must insure their dependants.
  • MOHRE fees (mainland). Work permits for employees go through the Ministry of Human Resources and Emiratisation.

Banking, accounting and tax

  • Bank minimum balance. Most banks set a minimum average balance and charge a fee if you fall below it.
  • Bookkeeping and audit. The Commercial Companies Law requires every LLC to have its accounts audited each year, and some free zones ask for audited accounts at renewal.
  • Tax registration. Corporate tax and VAT registration are free, but missing a deadline is not.

Official fees you can pin down

Most government fees vary with your activity and visa types, so they only make sense in a quote for your own plan. These are fixed and published, as of October 2026:

ItemOfficial feeSet by
Ejari tenancy registrationAED 177.75 online, AED 220 at a trustee centreDubai Land Department
Establishment cardAED 200 plus VAT and service chargesGDRFA Dubai
Dubai Chamber membershipAED 300 to AED 2,200 a yearDubai Chambers
Corporate tax and VAT registrationFreeFederal Tax Authority
Late corporate tax registrationAED 10,000 penaltyFederal Tax Authority

Two details from these schedules are worth knowing. Many Dubai government transactions add a knowledge fee and an innovation fee of AED 10 each, so small extra amounts on your receipts are normal. And speed costs money: GDRFA adds AED 100 for urgent processing of an establishment card, and AED 100 more if you apply through an Amer centre.

What pushes the total up or down

  • Your activity. Activities that need outside approval add fees, time and sometimes premises rules. A single service activity costs less to license than a mix of regulated ones.
  • Mainland or free zone. Mainland setups split the cost between DET, your landlord, Dubai Chamber, MOHRE and GDRFA. Free zones bundle most of it, which makes the first quote simpler but can make extra visas or activities expensive later.
  • The number of visas. Each visa repeats the same set of costs, and visa numbers drive office size. MOHRE bases mainland quotas partly on your premises, and free zone packages tie visas to the desk or office you rent. DMCC's own packages, for example, pair different flexi-desk options with one or three visas.
  • Ownership. A corporate shareholder means attested and translated company documents, and usually more questions from the bank.
  • Who does the work. Service fees from setup providers vary widely. Ask for government fees and service fees to be shown separately.

Year one versus year two

Founders often budget for year one and are surprised at renewal. Licence fees, rent, Ejari, Chamber membership, health insurance, accounting and the audit all come back every year. Visas renew less often, but each renewal brings its own government fees. What drops away in year two is the one-off work: incorporation documents, attestation and setup service fees.

So the second year is cheaper, but rarely by as much as people hope. Our guide to renewing a Dubai trade licence covers what renewal involves.

A worked example

Say two partners set up a consultancy and want residence visas for themselves and one employee in the first year.

On the mainland, their list would include DET licence and approval fees, Chamber membership, rent for premises large enough to support three visas, Ejari, the establishment card, MOHRE registration and a work permit for the employee, three sets of visa costs, health insurance, and an annual audit because the company is an LLC.

In a free zone, the same plan would usually mean a package with an allocation of at least three visas, the establishment card, three sets of visa costs, health insurance, and whatever accounts the free zone wants at renewal. The second list is shorter. It is not automatically cheaper over three years, which is the comparison that matters.

How to compare quotes without getting caught out

  • Ask which lines are government fees and which are service fees.
  • Check how many visas the package allows and what it costs to add one.
  • Check whether the establishment card, medical tests, Emirates ID and insurance are included.
  • Get the renewal price in writing, not just the first-year price.
  • Confirm whether your activity needs an outside approval, and who pays for it.
  • Budget for the bank's minimum balance and for bookkeeping from the first month.

Our guide to cheap free zone packages lists the items most often left out, and our guide to office requirements, Ejari and flexi-desks explains how your office choice limits visas. If you will sponsor your own residence, read about investor and partner visas.

For an itemised figure for your own plan, our business setup cost estimator asks five quick questions and turns them into a quote. If you would rather talk it through, our business setup team can prepare a quote that separates government and service fees.

Sources

Frequently asked questions

Is a free zone always cheaper than the mainland?

Not always. Free zone packages often look cheaper because they bundle the licence, a desk and a visa allocation into one price. The gap narrows once you add visas, upgrade the office to qualify for them, or need audited accounts at renewal. Compare the full cost over two or three years for your own visa numbers rather than the first invoice.

Do I have to deposit share capital?

It depends on the authority and the activity. The Commercial Companies Law requires an LLC to have capital sufficient for its purpose, and some free zones ask for a bank reference or proof of a capital deposit when you apply. Share capital is the company's own money rather than a fee, but you need to have it available if the authority asks.

What are the knowledge and innovation fees on my receipts?

They are small charges added to many Dubai government transactions. As of October 2026, the Ejari registration and GDRFA establishment card fee schedules each include a knowledge fee of AED 10 and an innovation fee of AED 10. They are not errors or mark-ups by your setup provider, so expect to see them on several of your receipts.

Does corporate tax registration add to the setup cost?

Registration itself is free on EmaraTax, and every UAE company must register, including free zone companies. The cost risk is the deadline: a company incorporated on or after 1 March 2024 must apply within three months, and late registration carries an AED 10,000 administrative penalty as of October 2026. Bookkeeping and filing are separate, ongoing costs.

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