Business Setup Dubai: Complete 2025 Guide (Mainland, Free Zone, Costs & Steps)

1) Why set up a business in Dubai?

  • Strategic hub bridging MEA, Europe and Asia with world-class logistics.

  • Simple incorporation with digital government services and fast approvals.

  • 0% personal income tax and competitive business environment.

  • Diverse licences (commercial, professional, industrial, e-commerce, media, tech, consulting).

  • Residency pathways for owners and employees via investor/partner visas.

2) Mainland vs Free Zone vs Offshore (which is best?)

Mainland (Dubai Economy/DED)

Best for: selling anywhere in the UAE market, government tenders, retail/brick-and-mortar.
Pros: trade across UAE without local distributor; many activities allow 100% foreign ownership; unlimited clients.
Consider: physical office lease (Ejari) usually required; activity approvals for regulated sectors.

Free Zone

Best for: international trade, services, consulting, tech/media, holding IP, e-commerce, startups wanting quick, low-overhead setup.
Pros: simplified packages; visa quotas; flexi-desk options; customs benefits for import/export.
Consider: direct onshore selling may require an onshore agent/distributor or branch.

Offshore (e.g., holding/asset SPVs)

Best for: holding structures, asset protection, international operations.
Consider: no onshore trading; not a substitute for a trading licence inside the UAE.

Our Services: Simplifying Your Business Setup in Dubai

We specialize in providing end-to-end solutions for business setup in Dubai mainland, free zone business setup in Dubai, and offshore companies. Here’s what we offer:

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3) Business Setup in Dubai — Cost Breakdown

Prices vary by activity, jurisdiction, visa needs and office type. Use this structure for transparent quoting on your site:

  • Trade Name Reservation & Initial Approval

  • Licence Issuance (1 year) — commercial/professional/industrial/e-commerce

  • MOA/Corporate Docs — drafting & notarisation where applicable

  • Office/Facility — flexi-desk, shared office, dedicated office, warehouse

  • Immigration File & Establishment Card

  • Investor/Partner/Employee Visas — entry permit, status change, medical, Emirates ID, visa stamping

  • Bank Account Opening Support

  • Optional Approvals — media, health, education, finance, food, transport

  • Renewal/Compliance — annual licence renewal, UBO, ESR, accounting/audit (where required)

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4) Step-by-Step Process (from idea to licence)

  1. Choose activities & legal form — LLC, Sole Establishment, Civil Company, Free-Zone Company, Branch.

  2. Pick jurisdiction — mainland vs a free zone aligned with your activity and budget.

  3. Reserve trade name & get initial approval.

  4. Prepare corporate documents — shareholder IDs, MOA, lease/facility agreement.

  5. Pay fees & issue licence.

  6. Immigration & visas — establishment card, entry permits, medicals, Emirates ID, visa stamping.

  7. Open corporate bank account — prepare KYC pack (business plan, invoices/contracts, proof of address/source of funds).

  8. Register for VAT / corporate tax if required; set up accounting and compliance.

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5) Popular Free Zones at a glance

(Snapshot to help users shortlist; tailor with your packages.)

  • DMCC (JLT) — trade, commodities, crypto/web3, professional services; strong reputation.

  • IFZA / Meydan / SPC Free Zone / SHAMS — entrepreneur-friendly, flexible packages, quick setup.

  • JAFZA — logistics/industrial near Jebel Ali Port; large facilities and visas.

  • DIFC — financial & regulated firms; separate regulator, global credibility.

  • Dubai Internet/Media/Design City (TECOM) — tech, media, creative clusters with sector-specific activities.

  • RAKEZ / KIZAD / SAIF / HFZA — cost-effective options across the UAE, industrial footprints.

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6) Mainland company setup (DED specifics)

  • Ownership: many activities now permit 100% foreign ownership; certain strategic activities may still need a UAE partner.

  • Legal forms: LLC (most common), Sole Establishment/Professional licence, Branch of Foreign Company.

  • Premises: Ejari-backed office lease typically required (size depends on activity/visa quota).

  • Approvals: regulated activities (health, education, transport, food, legal, engineering) need external approvals.

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7) Low-cost business setup in Dubai — realistic options

  • Free-zone starter packages with flexi-desk and 0–2 visas are the typical low-cost route.

  • Service/consulting activities are cheaper than retail/industrial.

  • Watch for hidden add-ons: establishment card, visa quota activation, name changes, obligatory insurance, external approvals.

  • Plan Year-1 + renewal costs before committing; pick a zone with stable renewal pricing.

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8) Bank account opening, VAT & corporate tax basics

  • Banking: expect robust KYC. Prepare business plan, sample contracts/invoices, residency visas, proof of address, and source of funds.

  • VAT (5%): register if you cross the mandatory threshold or voluntarily if it benefits your input VAT recovery.

  • Corporate Tax: standard corporate tax applies to UAE business profits (with thresholds/exemptions depending on your facts). Maintain proper bookkeeping, UBO, and ESR where applicable.

9) Timelines, renewals & ongoing compliance

  • Licence issuance: often 3–10 working days once documents and premises are in place; regulated activities take longer.

  • Visas: allow 1–3 weeks from entry permit to stamping (faster with VIP medical).

  • Renewals: annual licence renewal; keep lease, insurance, UBO/ESR, audit (if required) up to date.

  • Changes: activity add/remove, share transfer, manager change, and branch additions are straightforward with filings.

10) Common mistakes & pro tips

  • Picking a zone before confirming activities (mismatch = hidden costs).

  • Under-budgeting renewal and visa expenses.

  • Ignoring bank requirements until after licence (prepare KYC early).

  • Renting the wrong office size for your intended visa quota.

  • Not planning tax/VAT from day one; get an accountant.

  • Forgetting dependents’ visas and timing their status changes.


11) FAQs (People Also Ask)

Q1: What is the cheapest way to set up a business in Dubai?
Free-zone starter packages with flexi-desk and minimal visas are typically the most budget-friendly.

Q2: How long does business setup in Dubai take?
Simple free-zone setups can issue a licence in 3–10 working days; banking and visas add time.

Q3: Can I own 100% of a mainland company in Dubai?
For many activities, yes. Some strategic/regulated activities may still require special approvals or local participation.

Q4: Can a free-zone company sell in the UAE market?
Direct onshore trading generally needs a local distributor/agent or an onshore branch arrangement.

Q5: What documents do I need to open a company bank account?
Licence, establishment card, visas/EIDs, MOA, lease, business plan, sample contracts/invoices, and source-of-funds proofs.

Q6: Do I need an office to get visas?
Yes—visa quota is tied to your facility type and size (even flexi-desk counts in many zones).

Set up your business in Dubai — the smart way.

We handle licensing, visas, banking, VAT/tax registrations, and renewals with transparent pricing.

Call / WhatsApp: +971 56 371 7885
Email: hello@thedubaipro.com

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