A Complete Guide on New Business Set Up in Dubai

by Zaara 10, Oct 2022

new business set up in

UAE’s growth is humongous— be it government policies, law building, business opportunities—you name it, UAE works hard to improve in all those sectors. Not even a week goes by without us witnessing another spectacular reform introduced by the government and the growth projections are increasing every year increasing the demand for business setup in UAE.

The country is strategically located in such a way that it facilitates global connections, which in turn gives businesspeople extra leverage for their new business setup in UAE. When it comes to the emirates, each one has its own benefits and importance, and especially Dubai, known as ‘the city of the future’, is leading the business front. Hence, Dubai is no less than a blessing for anybody who wishes to start their entrepreneurial journey.

Reasons to Plan for a New Company Setup in Dubai

Anybody, be it an amateur or a business tycoon, would almost always prefer planning their new company setup in Dubai. Why is it so?

  • Easy business set-up
  • Allows non-native recruitment
  • Friendly laws
  • No tax policy
  • Technological developments
  • Well-developed infrastructure

So on and so forth. Being one of the most significant emirates with a high global position, Dubai welcomes a lot of new investors.

Points to Remember While Setting up a New Company in Dubai

There are tons of subjects to look into before setting up a new company in Dubai, and the most important is choosing your jurisdiction. It is so because every other step depends on your location.

Mainland – Having a company on the Mainland itself is a major gain. The global reach, the ability to conduct business all over the country, and the freedom to choose your location allows you to establish a strong presence. When opening a company on the mainland, it should be noted that it requires a local Emirati to be a major shareholder on the papers. After all, you can even work for the government if you own a business on the mainland.

Free Zone– Freezone presents you with 100% foreign ownership. In a free zone, there are no currency regulations. Thus, making financial transactions easier. Other benefits like import and export duty exemptions promote international trade. Additionally, investors can gain more profit with no income tax and corporate tax in place. 

Offshore– If you wish to expand your business and increase your output at the same time at a low cost, hassle-free and evade the skilled labor shortage, then Offshore is your game.   

Out of these three types of formation, carefully and with precision choose where you want to start considering the geography, ownership limitations, and the requirement of your business.

Want to Setup New Business in Dubai? Make Sure You Know This

If you want to set up a new business in Dubai, you cannot evade this crucial step—opting for a suitable license for your business. There are three predominant license types for company formation in Dubai.

  • Commercial license - A Commercial license is required for any firm that deals with the purchasing and selling of products and commodities or any other type of trade activity.
  • Industrial license - Companies who seek to engage in industrial or manufacturing operations
  • Professional license – Before providing any kind of professional services to clients, businesses and entrepreneurs require a Professional license that can be issued after exhibiting the skills or training required.

Though the Department of Economic Development (DED) provides all the licenses in Dubai, certain activities like alcohol, medicines trading, etc. need permission from specific authorities and additional approvals will be required for certain industrial licensing activities.

Procedure for New Company Formation in Dubai

Focus on the objective of your company, the product, and the services it offers, and decide accordingly. Since it is a long-term association, be more attentive. Now you may proceed to other steps for your new company formation in Dubai.

  • Choose an appropriate trade name that goes well with the business
  • Prepare for share capital though mostly paying minimum share capital is not required
  • Prepare for initial approvals to proceed with confidence
  • lookout for office location if it is a mainland or Freezone business
  • Submit all your documents for final approval

Cost of New Company Registration in Dubai

The cost of new company registration in Dubai depends on several factors.

  • The location of your business
  • The business activity you choose
  • The scale of your business
  • Visa and other requirements
  • The choice of business set up consultant etc

If you choose the right business setup consultant, you will be able to start your business in a cost-effective and


With all this information, you would by now be elated about your journey of business set up in Dubai. However, little do you know about the procedures and hassle it involves to reach that position, and any new company registered in Dubai would have undergone all these formalities.

Do not worry; we at Commitbiz work day and night for you to have a seamless process in setting up your dream business. With expertise in business licensing, Visa services, Accounting and Tax, Intellectual property, and much more sub-sectors, we provide you with the best suitable assistance. For more details and guidance, contact us. Our dedicated team is here to put everything aside and help you.


Can a non-resident open a company in Dubai?

Yes. Dubai allows remote investments.

Do I require a local sponsor for a new company formation in Dubai freezone?

No, Dubai Freezone allows 100% foreign ownership.

How long does it take to Setup New Business in Dubai?

Usually takes 48 hours to 6 weeks depending upon the location you choose, shareholder details, etc.

Is it easy to start a new business in Dubai?

It is pretty easy with the proper documents, information, and most importantly, a trusted consultant's help. 

Which is the best location for a new business set up in Dubai?

It depends on the activity you choose.

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