How do I open a company in Dubai? Dubai is one of the world’s most prominent investment destinations, thanks to its thriving economic environment and advanced infrastructure that attract entrepreneurs from around the world. Opening a company in Dubai offers numerous unique investment opportunities, as the emirate boasts flexible commercial laws, attractive tax exemptions, and quick company formation procedures. With a variety of options available, such as free zones and local companies, entrepreneurs can choose the legal form that best suits the nature of their business and future goals. In this article, we’ll cover the basic steps for opening a company in Dubai, the legal requirements, and the benefits investors can enjoy, ensuring successful business establishments in one of the world’s most advanced cities.
How to Open a Company in Dubai
Establishing a company in Dubai requires following a set of simple steps, including the following:
Determine the type of business activity – You must choose the appropriate activity for your company, whether commercial, industrial, or service-related, as this affects the type of license required.
Choose the legal form – You can open a limited liability company, a sole proprietorship, or a free zone company, depending on your needs.
Determine the company name – You must choose a trade name that complies with local laws and ensure that it is not duplicated by other companies.
Apply for a trade license – After determining the activity and legal form, you must submit an application to the Department of Economic Development or the selected free zone authority.
Determine the company location – You need to rent an office or workspace in Dubai, as most commercial activities require an approved physical address.
Obtain the necessary approvals – Some activities may require additional approvals from the relevant government authorities before starting operations.
Register the company and obtain the license – After completing all requirements and paying the fees, the trade license is issued, allowing you to legally practice your activity.
Opening a Company Bank Account – A business bank account must be opened to manage the company’s financial transactions.
Tax Registration (if applicable) – If the activity is subject to Value Added Tax (VAT), you must register with the Federal Tax Authority.
Starting a Company – After completing all the procedures, you can legally start your business and take advantage of investment opportunities in Dubai.
You can expedite these procedures and benefit from additional facilities by hiring a specialized company like Atqan to help you establish your company easily.
Cost of Opening a Company in Dubai
The cost of opening a company in Dubai depends on several key factors. Costs vary based on the type of company, location, and required licenses. Here are the most important factors that affect the cost:
Type of Business Activity – Fees vary depending on the activity, as some sectors require additional licenses or higher regulatory fees.
Location (Free Zone or within Dubai) – Establishing a company in a free zone may be less expensive than establishing a company within Dubai, but it imposes some restrictions, such as dealing with the local market.
Type of Business License – There are several types of licenses, such as commercial, industrial, and service licenses, each with different issuance and renewal fees.
Office or commercial space rental – Establishing a company requires a legal address, and rental costs vary depending on the location and size of the office.
Government fees and permits – These include company registration fees, issuing a trade license, and obtaining other government permits, if required.
Number of partners and employees – The number of partners and employees affects visa and residency fees, as each individual requires a residency permit and work visa.
Legal and consulting costs – You may need the services of a lawyer or legal consultant to ensure all formal requirements are met.
Bank guarantees and capital – Some businesses require a minimum capital requirement, and bank guarantees may be available in some cases. You can reduce costs and streamline procedures by consulting with experts like Atqan, who provide comprehensive solutions tailored to the needs of investors.
How to Start a Business in Dubai with the Help of Itqan
Starting a business in Dubai is a strategic step that allows investors to benefit from the thriving business environment and advanced infrastructure. With numerous procedures and legal requirements, establishing a business in Dubai can be a complex process. That’s why Itqan plays a vital role in facilitating this process and ensuring full compliance with local laws.
The first step begins with determining the appropriate type of business activity, as the nature of the activity affects the type of license required. Next, the legal form of the business is chosen, whether a Limited Liability Company (LLC), a sole proprietorship, or a free zone company. Itqan experts help you make the best decision based on your investment needs.
This is followed by registering the trade name and ensuring its compliance with local laws. The trade license application is then submitted to the relevant authorities, whether within Dubai or in a free zone. Itqan also helps provide a suitable legal address for your business and complete the office leasing process, if necessary.
The final steps include obtaining government approvals, opening a business bank account, and registering for taxes (if required), ensuring you launch your business without any legal obstacles. With its extensive experience, Atqan provides integrated solutions, making it easy and efficient for you to establish your company in Dubai, while minimizing costs and ensuring compliance with local laws.
Licenses Required to Open a Business in Dubai
The licenses required to open a business in Dubai depend on the nature of the business and the location where the business is established. Here are the most important types of business licenses available in Dubai:
1. Commercial License: Granted to companies engaged in commercial activities such as wholesale and retail, export and import, distribution, and warehousing.
2. Industrial License: Granted to companies operating in the manufacturing and production sector, such as factories and workshops, and requires additional approvals from relevant authorities such as Dubai Municipality and the Environment Agency.
3. Professional License: Granted to individuals or companies providing professional or consulting services, such as law, financial auditing, IT services, and engineering services.
4. Tourism License: Granted to companies operating in the tourism sector, such as travel agencies, hotels, and tour operators, and requires approvals from the Dubai Department of Tourism and Commerce Marketing.
5. Free Zone License: Issued by the free zone authorities, it allows companies to operate within the zone without the need for a local partner, with benefits such as tax exemption and 100% foreign ownership.
6. Freelance License: Designed for individuals who wish to provide independent services in areas such as graphic design, digital marketing, and consulting.
You can expedite the licensing process and ensure compliance with regulations by utilizing the services of Atqan, which provides full support in selecting the appropriate license and completing the procedures with ease.
Itqan Investment and Company Formation Services in Dubai
Itqan offers a comprehensive range of services to support investors and entrepreneurs in establishing companies and investing in Dubai. With its extensive experience and in-depth knowledge of the UAE market, Itqan provides professional solutions that ensure easy and quick company formation, in full compliance with local laws. Itqan’s most important services:
Companies Establishment in Dubai and Free Zones
Assistance in selecting the type of company (LLC, sole proprietorship, branch, etc.)
Obtaining the appropriate trade license for the activity.
Registering the trade name and preparing legal contracts.
Obtaining commercial licenses and government approvals.
Issuing and renewing various types of commercial licenses.
Obtaining approvals and permits from the relevant authorities.
Following up on legal procedures to ensure full compliance.
Residency and Visa Services
Obtaining visas for investors and employees.
Facilitating residency procedures in the UAE.
Assistance in opening bank accounts for individuals and companies.
Finding offices and commercial spaces.
Providing virtual and physical offices according to the company’s requirements.
Providing economic solutions that suit the needs of new investors.
Providing specialized consultations on commercial and investment laws.
VAT registration when required.
Preparing legal contracts and agreements.
By choosing Atqan, you can start your investment in Dubai with confidence, with comprehensive support throughout all stages of establishing your company.
In conclusion, starting a company in Dubai is a strategic step that allows investors to benefit from the emirate’s thriving economic environment and competitive advantages. Despite the many procedures and requirements, the process can be greatly facilitated with careful planning and the assistance of specialized experts. Atqan provides comprehensive support throughout all stages of company establishment, from selecting the appropriate activity and obtaining the necessary licenses to obtaining residency and opening bank accounts. With its extensive experience and knowledge of local laws, Atqan helps investors start their businesses smoothly and efficiently, ensuring a successful launch in Dubai’s promising market.
Frequently Asked Questions About How to Start a Company in Dubai
Can a foreign investor fully own a company in Dubai?
Yes, this is possible in free zones and in certain activities within Dubai following the amendment of the laws, allowing 100% foreign ownership without the need for a local partner.
How much does it cost to start a company in Dubai?
The cost depends on several factors, such as the type of license, location, company size, and incorporation fees. You can consult Atqan to accurately determine the costs according to your needs.
How long does it take to establish a company in Dubai?
The duration varies depending on the type of business and the required procedures, but incorporation can be completed within a few days to several weeks if all paperwork is in place.
