Dubai stands as a coveted choice for entrepreneurs and investors globally. As the Middle East’s central business hub, the city provides exceptional global connectivity and welcomes entrepreneurs with favourable commercial laws. The strategic location and demographics make starting a business in Dubai highly lucrative.
Yet, comprehending the intricacies of company formation costs is crucial. Without proper knowledge, unexpected expenses can arise. In this blog, Shuraa Business Setup will provide a comprehensive guide on the cost of company formation in Dubai.
How to Form a Company in Dubai?
Registering a company in the UAE is meticulously structured for successful outcomes. Shuraa Business Setup is responsible for guiding you through the Company Formation Cost in Dubai process, providing unmatched support from the initial steps of document submission to obtaining essential company documents and beyond.
1. Trade Name Approval and Business Activity Selection:
Begin by finalising your company name and selecting the appropriate business activity. The chosen trade name must receive approval from the relevant authority to initiate the registration process.
Shuraa Business Setup will facilitate this crucial step and coordinate the approval of your selected business activities, ensuring they align with your trade license.
2. Document Submission and Coordination:
Prepare all necessary documents and shareholder details for submission to the respective authority. Remarkably, a company can only be established with the physical presence of shareholders in the UAE.
Shuraa Business Setup expertly handles the coordination of document processing, ensuring a smooth and hassle-free company registration process within a short timeframe.
3. Application for UAE Residence Visa:
Once your company documents and trade license are approved, it’s time to apply for a UAE Residence Visa for investors. Shuraa Business Setup guides you through the application process, assisting in preparing the necessary documents, including the immigration card and residence visa application form. Our dedicated Businessmen PRO Agents ensure a streamlined visa processing experience with government authorities.
4. Residence Visa and Emirates ID Processing:
To complete the residence visa application, investors must visit the UAE for a medical test and stamping of the residence visa on their passport. Shuraa Business Setup simplifies this process, efficiently coordinating the visa documentation, processing, and passport delivery. Our expert PRO Agents handle all aspects, ensuring a hassle-free experience for investors.
5. Bank Account Opening Assistance:
Shuraa Business Setup effectively collaborates with UAE banks to assist in opening corporate and personal bank accounts. While the physical presence of shareholders is necessary for corporate bank account verification due to KYC compliance, the paperwork for account opening can be handled remotely. Investors can easily combine their visits to Emirates ID and medical examinations with Dubai’s bank account opening process.
When partnering with experienced business consultants like Shuraa Business Setup, investors can access professional consulting support.
Our dedicated PRO Service Agents handle every investor’s business requirement, ensuring efficient document processing, company registration, and timely collection and delivery of essential documents. Trust us to represent your interests and act as your agent, providing a seamless and hassle-free business registration experience in the UAE.
Mainland Company Formation in the UAE
Certainly! Here are some key points summarising the information about Mainland Company Formation in Dubai:
- Diverse Business Landscape: The UAE Mainland is home to many businesses, from large multinational companies to small and medium enterprises.
- High Demand Sectors: Retail shops, restaurants, coffee shops, and shopping centres are in high demand, attracting global brands seeking opportunities in the UAE mainland market.
- Investment Attraction: Mainland Company Registration in the UAE is a sought-after business investment due to its market potential and accessibility to a multicultural audience.
- Amendments in Registration Process: Recent amendments in the Commercial Companies Law have eliminated the requirement for a local sponsor or service agent to register a Mainland Company in the UAE.
- Expatriate Ownership: Mainland and Free Zone companies can now be wholly owned by expatriates in various business categories, such as commercial, industrial, and trading, except in strategic sectors like energy, banking, and Oil and gas.
- Restricted Sectors: Certain sectors, such as security, defence, military activities, fisheries-related services, banks, exchange shops, and telecom services, require local partnerships due to restrictions on expatriate ownership.
- Company Structures: Mainland businesses in the UAE operate under various company structures, allowing flexibility in business models and operations.
These points provide an overview of the critical aspects of setting up a company in the UAE Mainland.
Company structures in the UAE Mainland:
Limited Liability Company (LLC)
The Limited Liability Company (LLC) structure is widely recognised in mainland UAE and is preferred by investors with more than two shareholders (up to 50). LLCs offer numerous advantages for entrepreneurs in the region. In this setup, an investor’s liability is limited to the extent of their shares. LLCs can engage in various business activities, including commercial, services, and industrial sectors.
Notably, 100% expatriate ownership is allowed for specific business activities within LLCs, eliminating the need for a local UAE National Sponsor. The LLC Business Setup Cost in UAE is between AED 19,000* and AED 45,000*, depending on the license type chosen and the company structure.
Professional Company (Civil Work Company)
Professionals such as consultants, legal experts, accountants etc., can establish a Civil Work Company in mainland UAE. This option allows the owner to retain 100% ownership of the company’s shares. Registering a Civil Work Company with the Department of Economic Development (DED) in the respective emirates offers skilled professionals an efficient way to start their businesses.
The Dubai Economy provides a variety of Professional Licenses, making it an attractive choice for entrepreneurs. Key benefits include full ownership for shareholders without requiring a UAE National as a partner.
Starting a Company in a Free Zone
Registering a Free Zone Company in the UAE is simpler than forming a Mainland Company. Dubai’s Free Zones are favoured for their streamlined business setup procedures, exceptional facilities, and prospering business ecosystems.
One key benefit of setting up a Designated Free Zone Company is the lower Value-Added Tax (VAT), a significant advantage for entrepreneurs. Additionally, operating costs for Free Zone Companies are minimal, as payments for office space, amenities, and utilities are typically made annually. This straightforward approach significantly eases the financial burden for business owners.
Free Zone Company Formation Cost
According to Shuraa experts, one of the most popular Dubai free zone license costs is associated with the International Free Zone Authority (IFZA). The charges are AED 17,900* (including provisions for one investor visa) and AED 12,900* (without a visa). These costs vary based on the type of business entity, such as the Free Zone Entity (FZE) or branch office.
Forming a business in the RAKEZ Free Zones starts from 10,000* AED to 18,000* AED. For the exact cost of company formation in the UAE, contact Shuraa experts.
Company Formation Cost in Dubai
The cost of company formation in Dubai depends on various factors, including the size of your business, the type of business you choose, the location, and specific license requirements. Mainland business setup costs typically range from AED 15,000 to AED 50,000 ( USD 4,083 to USD 13,612 ). For an exact quote, please contact our Shuraa experts.
Start your Business with Shuraa!
Our team of dedicated business setup professionals is here to assist you in establishing your business seamlessly and efficiently in Dubai or any Emirate within the UAE. While our services are charged, our convenience and support justify the nominal fee.
Investing in our services is valuable, as they can save you considerable time, effort, and, most importantly, money! Contact Shuraa to Consult with Our Experienced Dubai Business Setup Specialists at No Cost.