Skip to content

Business Setup in Dubai

Company formation for mainland, free zone and offshore entities. We handle licensing, banking support and compliance so you can focus on growth.

Book a free consultationCall +971 52 210 4014

Overview

Setting up a company in Dubai starts with one decision: mainland, free zone or offshore. Each option affects where you can trade, whether you need an office, how many residence visas you can apply for, and what you pay each year. We help you choose, then handle the setup from licence to bank account.

A mainland company is licensed by Dubai's Department of Economy and Tourism (DET) and can trade anywhere in the UAE. Since 2021, most mainland activities allow 100% foreign ownership. A free zone company is licensed by its free zone authority, often with flexible office packages, and usually trades within the free zone and internationally. An offshore company can hold assets and shares, but it cannot trade in the UAE and generally cannot sponsor residence visas.

Almahira reviews your business activities, customers and visa needs, then recommends a structure and jurisdiction. We prepare and submit the applications, arrange your office or flexi-desk, apply for your establishment card and visas, support your corporate bank account application, and register you for corporate tax and, where needed, VAT.

Key facts

Mainland licensing authority
Dubai Department of Economy and Tourism (DET)
Foreign ownership
100% for most mainland activities under Federal Decree-Law No. 32 of 2021; some strategic activities are restricted
Mainland office
A physical address is required; in Dubai, the lease is registered through Ejari
Corporate tax
0% on taxable income up to AED 375,000 and 9% above; new companies register within three months of incorporation
VAT
5%; registration is mandatory above AED 375,000 of taxable supplies and imports a year, optional above AED 187,500
Offshore companies
Can hold assets and shares, but cannot trade in the UAE and generally cannot sponsor residence visas

Who it's for

First-time founders
You are starting your first company in the UAE and want clear advice on structure, cost and visas before you commit.
Overseas companies expanding
You want a UAE branch or subsidiary to serve the Gulf and nearby markets, with a local licence and bank account.
Freelancers and consultants
You want a licence and a residence visa for yourself, often through a free zone package with a flexi-desk.
Investors and holding structures
You need a company to hold shares, property or intellectual property, and you may not need staff or an office.

What's included

  • Mainland, free zone and offshore company setup
  • Business activity and jurisdiction selection
  • Trade name reservation and initial approval
  • Trade licence issuance and renewals
  • Office space solutions, virtual or physical
  • Establishment card and investor or partner visas
  • Corporate bank account opening support
  • VAT and corporate tax registration
  • PRO services and government liaison

Documents you'll usually need

  • Passport copy of each shareholder and manager, with at least six months' validity
  • Passport-size photo with a white background
  • Current UAE visa or Emirates ID, if you already live in the UAE
  • Proof of residential address, such as a recent utility bill
  • Three proposed trade names, in order of preference
  • Short business plan or activity description (required by some free zones and banks)
  • No objection certificate from your employer, in some cases, if you hold a UAE employment visa
  • For corporate shareholders: certificate of incorporation, articles of association and board resolution, attested for UAE use

The exact list depends on your nationality, activity and the authority involved. We confirm it with you before anything is submitted.

How it works

  1. Choose your structure

    We compare mainland, free zone and offshore options against your activities, customers, visa needs and budget, and confirm the licence type, such as commercial, professional or industrial.

  2. Name and initial approval

    We reserve your trade name and apply for initial approval from DET or the free zone authority. Some activities also need approval from another government body before the licence can be issued.

  3. Office and documents

    You choose an office, flexi-desk or shared space. For mainland companies, the lease is registered through Ejari, Dubai's tenancy registration system. We prepare the memorandum of association and other incorporation documents for signing.

  4. Licence issued

    Once fees are paid and documents are signed, the authority issues your trade licence and, where relevant, your certificate of incorporation.

  5. Establishment card and visas

    We apply for your company's establishment card, its file with the immigration authority, then process investor and employee visas within the allocation your office or package allows.

  6. Bank and tax registration

    We prepare your bank account application and introduce you to suitable banks, then register your company for corporate tax with the Federal Tax Authority, and for VAT if you meet the threshold.

Typical timeline

Many free zone licences are issued within a few working days once documents are complete. Mainland setups usually take longer, especially when an activity needs extra approvals, and bank account opening is a separate process that depends on each bank's compliance checks.

Common questions

Can a foreigner own 100% of a company in Dubai?

Yes, in most cases. Since 2021, foreign investors can own 100% of a mainland company for most activities, without a UAE national shareholder. A small number of activities with strategic impact still have ownership conditions. Free zone companies have always allowed full foreign ownership. We check the rules for your specific activity before you apply.

Should I choose a mainland or free zone company?

It depends on who your customers are. A mainland company can trade directly anywhere in the UAE, including with government entities. A free zone company suits international trade, online services and holding activities, and often has lower office requirements. Selling directly to mainland customers from a free zone usually needs a distributor, a mainland branch or, for some activities since October 2025, DET's Free Zone Mainland Operating Permit. We compare both against your activity, budget and visa needs.

Do I need a physical office to set up a company in Dubai?

For a mainland company, yes: you need a registered office with a tenancy contract registered through Ejari, although some business centres offer smaller, lower-cost options. Most free zones offer flexi-desk or shared-desk packages. The type and size of your office matters, because it usually determines how many residence visas your company can apply for. An offshore company needs only a registered agent's address.

How many visas can my company get?

There is no single number. Your visa allocation, often called a visa quota, depends on your jurisdiction, licence package and office size. A flexi-desk package in a free zone may allow only a small number of visas, while a larger office supports more. Offshore companies generally cannot sponsor residence visas. Tell us how many people you plan to hire and we will recommend a setup that fits.

Do I need to register for corporate tax and VAT?

Yes for corporate tax, and for VAT once you pass the threshold. Every new UAE company, including free zone companies, must register for corporate tax with the Federal Tax Authority within three months of incorporation, even if no tax is due. The rate is 0% on taxable income up to AED 375,000 and 9% above, and qualifying free zone income may be taxed at 0%. VAT at 5% is mandatory once taxable supplies and imports exceed AED 375,000 a year. We handle both registrations.

Can you help me open a corporate bank account?

Yes. We prepare your application file, explain what each bank looks for, and introduce you to banks that suit your activity and nationality. Banks make their own decisions after compliance checks, which usually cover your business plan, source of funds, shareholders and expected transactions. Many banks ask to meet the signatory in person. Approval and timing are set by the bank, not by us.

Do I need to be in the UAE to set up a company?

Not always for the licence, but yes for a residence visa. Many free zones let you complete the licence stage remotely, with documents signed electronically or in front of a notary abroad. Mainland setups may need you in person for some steps, depending on the activity. To get a residence visa, you must be in the UAE for the medical fitness test and Emirates ID biometrics, and most banks also prefer to meet you in person.

How much does it cost to set up a company in Dubai?

There is no single price, because the total depends on your jurisdiction, activities, office and number of visas. The main costs are the licence and authority fees, the establishment card, each residence visa (entry permit, medical test and Emirates ID), office or flexi-desk rent, and the yearly renewal. Cheap packages often leave some of these out. We give you a written breakdown based on current authority fees before you commit.

Guides on this topic

Last reviewed . Rules change often; we confirm current requirements during your consultation.

Sources

Tell us what you're planning

One short call is usually enough to recommend a jurisdiction, licence and visa route. A written quote follows.

Book a free consultationChat on WhatsApp

Or call +971 52 210 4014 (Mon–Fri, 9 AM – 6 PM)