Dubai is one of the most attractive business destinations in the world, offering a convenient and advanced business environment. As investors and entrepreneurs increasingly look to establish their companies in this dynamic city, understanding the cost of establishing a company in Dubai becomes crucial. Costs include a range of elements, such as government fees, licensing costs, rent, and human resources. These costs vary greatly depending on the type of company and the free or local zone chosen. Therefore, it is important to conduct a comprehensive study of the potential costs and procedures required to ensure the success of your investment in Dubai. In this article, we will review the details related to the costs of establishing a company in Dubai, helping entrepreneurs make informed decisions.

Cost of establishing a company in Dubai

The cost of establishing a company in Dubai is affected by several key factors, including:

Type of company: Costs vary depending on the type of company you wish to establish, whether it is a limited liability company, a branch of a foreign company, or a sole proprietorship.

Location: Costs vary depending on the area you choose to establish the company in, whether it is in a free zone or a local commercial zone. Free zones may offer benefits such as tax exemptions, but the costs of establishing a company may be higher.
Type of License: Different types of licenses (commercial, industrial, service) require different costs. Each type requires specific documents and fees.
Rent: The cost of renting an office or commercial space varies greatly depending on the location and space required.
Government fees: These include licensing, registration, and license renewal fees, which vary depending on the type of company and business activity.
Insurance: Companies may need to obtain insurance against various risks, which adds an additional cost.
Human Resources: The costs of hiring employees, including salaries, visas, and health insurance.
Legal and accounting services: The costs of hiring legal advisors or accountants to assist you with the incorporation procedures.
Operational costs: These include daily expenses such as utility bills, office supplies, and general expenses.
Studying these factors requires a comprehensive understanding of the costs of establishing a company in Dubai, which helps in making informed financial decisions.

How to set up a company in Dubai

Establishing a company in Dubai requires following specific steps to ensure compliance with local regulations and laws. Here are the basic steps to establish a company in Dubai:

Determine the type of company: Choose the type of company that suits you, whether it is a limited liability company (LLC), a branch of a foreign company, or a sole proprietorship.
Choose the business activity: Determine the business activity you wish to practice. Ensure that the activity complies with local laws and obtain the necessary permits.
Choose the company name: Choose a suitable name for your company that is in line with the regulations in force in Dubai. The name must be unique and not previously used.
Register the trade name: Register the trade name with the Dubai Department of Economic Development (DED). You will need to submit the required documents and pay the prescribed fees.
Obtain the necessary approvals: Depending on the type of activity, you may need to obtain approvals from other government agencies or competent authorities.
Leasing the office: Rent an office space that suits your company’s requirements. The office can be in a free zone or a commercial area.
Prepare legal documents: Prepare the necessary legal documents, including the articles of association and bylaws. You can consult a legal advisor to help you with this matter.
Applying for licenses: Submit applications for the necessary licenses to the Department of Economic Development, including a trade license.

Opening a bank account: Open a business bank account in the name of the company, and deposit the required capital (if necessary).

Obtaining visas: Apply for work visas for you and potential employees.

Starting operations: After completing all the steps, you can start operating your company.

If you need additional assistance, you can seek the help of companies such as Atqan to facilitate the establishment procedures and provide legal and administrative advice.

Requirements for establishing a company in Dubai

The process of establishing a company in Dubai requires compliance with a set of basic conditions and requirements. Here are the most important of these conditions:

Choosing the type of company: You must determine the type of company to be established (such as a limited liability company, a sole proprietorship, or a branch of a foreign company).

Determining the business activity: You must choose a specific business activity and obtain the necessary approvals from the competent authorities. The activity must comply with local laws.

Trade name: You must choose a unique trade name that complies with the conditions and laws, and do not use reserved or unauthorized names.
Office: An office or workspace must be provided, either in a free zone or a commercial zone. The office must comply with local authorities’ requirements.

Capital requirements: Some types of companies may require a minimum capital, which must be deposited in a bank account in the company’s name.

Legal documents: Submit a set of legal documents, such as the articles of association and bylaws, and submit the required documents to government authorities.

Visas: Work visas must be obtained for you and your employees. Visa requirements vary depending on the type of company and the number of employees.

Insurance: Some companies may need to obtain insurance against various risks, depending on the nature of the activity.

Tax compliance: You must comply with local tax laws, including registering for VAT if applicable.

Obtaining a license: Obtain a trade license from the Dubai Department of Economic Development (DED) or the competent authority if the company is in a free zone.

Identity documents: Provide copies of passports and academic certificates for the founders and directors.

Make sure that all these conditions and procedures are met to ensure the success of the process of establishing your company in Dubai. It is also useful to seek the help of consulting companies such as Atqan for assistance in this regard.

Required documents to establish a company in Dubai South

Establishing a company in Dubai South requires the submission of a set of basic papers and documents. Here is a list of the documents usually required:

Copy of passport: A copy of the passport of the founders and directors must be submitted, and the passport must be valid.

Education certificates: Education or experience certificates may be required for the founders and directors, depending on the type of business activity.
Filling out the application form: The company registration application form must be completed, which can be obtained from the competent authorities or through consulting companies.
Proposed company name: A list of suggested trade names, provided that the name is compatible with local laws and has not been used before.
Articles of Association: Prepare the articles of association and internal regulations of the company, and it is preferable to consult a legal advisor for this purpose.
Workplace: A document proving the lease or ownership of the office or commercial space in the Dubai South area.
Company insurance: You may need to provide a document proving the existence of adequate insurance against risks.
Additional licenses: Depending on the type of activity, you may need additional licenses from the relevant authorities (such as the Ministry of Health, the Ministry of Economy, etc.).
Partners’ statement: If the company is a limited liability company, it may be required to submit approvals from the partners if they are not present.
Registration fees: Submit payment receipts for registration and licensing fees.
Be sure to review the requirements specified by the Department of Economic Development or the Dubai South Authority, as the requirements may vary slightly depending on the type of company and activity. It is useful to consult a consulting firm such as Atqan to ensure that the procedures are completed smoothly.

How to get our service in establishing a company in Dubai

To obtain company establishment services in Dubai with Atqan, you can follow the following steps:

Contact us: You can contact us by phone or email. You can also visit our website for more information.
Identifying needs: We will discuss your needs and requirements for establishing a company, including the type of company and the business activity you wish to practice.
Providing advice: We will provide you with comprehensive advice on the establishment process, including costs, required documents, and necessary steps.
Preparing documents: We will help you prepare and prepare all required legal documents, such as the articles of association and bylaws.
Registration procedures: We will handle the registration procedures with the relevant authorities, including submitting applications and obtaining the necessary licenses.
Office rental: If you need an office, we will help you find the right space according to your requirements.
Obtaining visas: We will help you obtain work visas for you and potential employees.
Ongoing support: After establishing the company, we will provide you with ongoing support in areas such as accounting, taxes, and licenses, to ensure the success of your business.
Follow-up: We will follow up with you throughout all stages of establishment and be in constant contact to ensure that you are satisfied with the services provided.
To get started, please contact us to schedule a consultation or for more information about our company formation services in Dubai. We at Itqan are here to help you every step of the way.

In conclusion to our article on the cost of establishing a company in Dubai, it is clear that investing in the dynamic and thriving business environment of Dubai requires a thorough understanding of the costs associated with this process. Costs vary based on the type of company, business activity, and location, making advance planning of utmost importance. It is also important to take all factors into consideration, including government fees, rental costs, and capital requirements. Dubai is an ideal starting point for many investors and businessmen, due to the availability of diverse opportunities and government facilities. By using specialized consulting companies such as Atqan, the incorporation process can be facilitated and all legal procedures can be ensured. Understanding the cost of establishing a company in Dubai not only helps in making informed investment decisions, but also contributes to laying a strong foundation for future business success.

Frequently Asked Questions About the Cost of Incorporating a Company in Dubai

Is there a minimum capital required to establish a company in Dubai?
The minimum capital depends on the type of company and business activity. For example, limited liability companies may require a certain minimum.

What are the government fees required to establish a company in Dubai?
Government fees vary depending on the type of license and location. These may include registration fees, business license fees, and renewal fees.

Do I have to pay taxes when setting up a company in Dubai?
Dubai offers an attractive tax environment, with no personal or corporate income taxes in general, but there may be taxes on some economic activities.