If you’re looking for a low-cost business setup in Dubai, you’ll be pleased to know that the UAE government has introduced various measures to facilitate business setup in Dubai. The government continues to lower the cost of business setup in Dubai to provide lucrative business and investment alternatives. They also ensure that no additional payments are demanded to start your business in the United Arab Emirates. Registering a company in Dubai involves filling out a business license application, which incurs a nominal fee for initial registration. After that, an annual fee needs to be paid depending on the type of business. Below is an outline of the cost of business setup in Dubai for 2022.
Company Formation Cost in Dubai
All kinds of businesses and partnerships in the UAE must have a valid license for operating freely in the Emirates. They are classified into three categories:
- Professional License
- Commercial license
- Industrial License
We are providing a table that contains all the information on company formation cost in Dubai 2022.
| INITIAL COSTS INVOLVED | |||
| Particulars | Professional License (AED) | Commercial License (AED) | Industrial License (AED) |
| Initial Approval | 135 | 135 | 135 |
| Final Submission Fee | 116 | 116 | 116 |
| License Fees | Approx. 10000 | Approx. 15000 | Approx. 15000 |
| Court Fees | Approx. 2000 (Sole)Approx. 3200 (Civil) | Approx. 2000 | Approx. 2000 |
| Tasheel Fee for Initial Approval | 116 | 116 | 116 |
| Trade Name Reservation | 620 | 620 | 620 |
| Ministry of Economy Fees | N/A | N/A | 15000 |
| Total (AED) | 12,987 | 17,987 | 32,987 |
| ADDITIONAL COSTS INVOLVED | |||
| Particulars | Professional License (AED) | Commercial License (AED) | Industrial License (AED) |
| Additional partners | 1000 for each additional partner | 1000 for each additional partner | 1000 for each additional partner |
| Market Fees | 2.5% of office annual rent | 2.5% of yearly rent office | 2.5% of yearly rent office |
| Office Rent | As per the client’s budget | As per the client’s budget | As per the client’s budget |
| Foreign Trade Name | 2000 | 2000 | 2000 |
Various Costs Of Setting Up Business In Dubai
1. Registration fees
The final cost of the business depends on visa application, commercial activities, and shareholders. So, there is a nominal registration fee that allows the company to run in the state. But any additional enhancement will cause any extra amount.
2. Cost of office space
To conduct a business, you must have a specific area and address. Choosing the right location for the company is also an important step required for the growth of the company. All the official documents and notices will be transferred to the specified location. The cost ranges from AED 15000 to AED 20000.
3. License payment
A license is an essential requirement for running a business. Any license is approved when the company fulfills all the rules and regulations of business. These licenses need to be renewed every year.
The Dubai government provides different types of licenses for different types of businesses.
• Industrial License
• Commercial license
• Professional license
4. Visa payments
Dubai allows clients from all around the world to set up their businesses. These clients require a residential visa for residing and running the business. The business owners can even hire people for the company from different countries; for working, they also require a visa.
5. Ranking notes payment
These include payments for the general trading license, Dubai Municipality, Ministry of Economy, and Dubai Chamber of Commerce, etc.
Cost of Free Zone Business Setup in Dubai
The costs of setting up a free zone business in Dubai depends on several factors. The first of these is the license fee. This varies for different free zones but typically ranges from AED 2,500 to AED 50,000.
The amount also depends on the type and quantity of business you want to operate. In the first year, you must pay an annual fee, which will vary depending on the type and amount of work you want to undertake. Other costs include taxes and additional government fees. Doing business in the UAE offers many benefits, including a 100% customs tax exemption, zero currency restrictions, and the freedom to repatriate profits, making it a cost-effective option for setting up a business in the UAE.
Cost of Instant License in Dubai–
For entrepreneurs looking to set up a low-cost business in Dubai, the UAE government offers an option for an instant license. These are for those who want to experience the current market scenario with specific market fees of AED 3000. This does not include the rent of the office for the first year of setup, thus resulting in a total cost of AED 15,000 to 20,000.
Why Clever Corp Business Advisors?
Our customized solutions are focused on your particular business and market, with strategies designed to achieve continuous growth and scale sustainably. To discuss your business plan in more detail, reach out to us and we’ll provide you with a suitable solution. Our expert advisors are available 24/7 to help turn your ideas into reality. Contact us at +971586412031 to discuss low-cost business setup options in Dubai with our experts or mail us at info@theclevercorp.com.
