Dubai Business Setup in 3 Steps!  Dubai is one of the most attractive destinations in the world for business establishment, thanks to its dynamic economic environment, advanced infrastructure, and flexible laws that encourage investment. Setting up a company in Dubai is not just a step towards financial success, but rather an entry into a world of diverse business opportunities and continuous development. With the investment-friendly policies implemented by the Dubai government, foreign and local investors can benefit from the many advantages that make Dubai a global business hub.

One of the key factors that makes Dubai a preferred destination for setting up a business is the presence of several free zones, such as Jebel Ali, Dubai South and Dubai Marina, which offer tax exemptions, facilities and flexible legislation. These free zones allow foreign investors to establish their companies with full ownership without the need for a local partner, which enhances Dubai’s appeal as a global business hub. In addition, the free zones provide an integrated business environment with advanced infrastructure and excellent logistics services, which facilitates the day-to-day operations of companies.

practical Company formation in Dubai It is simple and transparent, as most procedures can be completed online or through government service offices. The basic steps include choosing the type of business activity, determining the legal form of the company, choosing an appropriate trade name, and obtaining the necessary approvals and permits from the relevant authorities. In addition, it requires submitting some basic documents such as a passport and certificates of incorporation. Once the license is obtained, the company can start practicing its business legally and effectively.

Dubai is also a leading financial hub, home to many global banks and financial institutions that offer advanced financial services, facilitating financing and financial management for companies. In addition, Dubai has an advanced digital infrastructure that supports innovation and technology, making it an ideal environment for startups and technology companies.

Establishing companies in Dubai in 3 steps

Company formation in Dubai It can be done easily by following the right steps. Here is how to set up your company in Dubai in 3 steps:

• Choosing a business activity and legal form:

When choosing the business activity and legal form to establish a company in Dubai, you must first determine the specific activity of the company to be established, and this activity must be in compliance with the applicable government regulations. After that, you must choose the appropriate legal form for your company, such as a sole proprietorship, a limited liability company, or a partnership, depending on the requirements and objectives of your business.

• Submitting the application and obtaining the necessary approvals:

To establish a company in DubaiYou must submit an application to obtain the necessary approvals from the relevant government authorities. You can do this by contacting the relevant authorities or visiting their website to obtain advice on the necessary steps and required documents. After submitting the application, the relevant authorities will review it and issue the necessary approvals, and then you can begin the process of establishing the company and completing the necessary procedures to officially register it.

• Completing legal procedures and registration:

After obtaining the necessary approvals to establish your company in Dubai, you must complete the necessary legal and registration procedures. This includes determining the name of the company, submitting the required documents to the Dubai Department of Economic Development, and paying the prescribed fees. The application and documents will then be reviewed by the relevant authorities, and if approved, a registration certificate will be issued for your company. After that, you can start operating your company and officially conduct your business in Dubai.

By completing these steps, you can establish your company in Dubai and start doing business legally and effectively. You can consult business services offices or lawyers specialized in company formation to get the necessary assistance during this process.

Cost of setting up a company in Dubai

When it comes to the cost of setting up a company in Dubai, it is difficult to give an exact cost without knowing the type, size, and specific requirements of the company you are setting up. It is also important to keep in mind that costs may vary based on the business activities, geographic location, and the laws and licenses required. However, there are some elements that usually make up the cost of setting up a company in Dubai:

• Cost of licenses: You may need to obtain different licenses depending on the company’s activity and geographic location. The cost of these licenses varies depending on the type, complexity and duration.
• Legal consultation costs: You may need to engage the legal advisors of Itqan to assist in preparing the required legal documents and ensuring compliance with local laws and regulations. The cost of this consultation depends on the size of the company and its requirements.
• Rent and office costs: If you plan to rent an office, you will have to pay rent, security deposits, maintenance fees and utilities.
• Labor cost: If you intend to hire employees, you should take into account the cost of salaries, social benefits and employment insurance.
• Registration and permit costs: You may need to pay fees to the local registration and licensing authority to formally establish and register the company.

You should contact the legal advisors of Itqan or the relevant authorities in Dubai to get an accurate estimate of the costs and fees required to establish a company in the city. It may also be useful to inquire about incentives that may be available to new companies or foreign investments.

Legal forms of establishing a company in Dubai

Legal forms that a citizen of the state can exercise

Citizens of the State may practice all activities in any legal form according to the conditions of each activity. They may establish:

• Private or public joint stock company.
• Civil works company.
• Limited liability company, partnership or limited partnership.
• Individual Foundation.

Legal forms that can be practiced by foreign companies

Companies established outside the UAE may practice an activity in one of the legal forms, under the name of a branch of a foreign company. Foreign companies may also open branches in Dubai in some activities such as commercial execution offices and professional activities, but this requires the presence of a local agent for the company. It is also possible to establish:

• A public or private joint stock company, in which there must be one or more partners who are UAE citizens, provided that their share is not less than 51% of the paid-up capital.
• A limited liability company, in which there must be one or more partners who are citizens of the country, provided that their share is not less than 51% of the paid-up capital.

Legal forms that can be practiced by GCC citizens

GCC citizens may engage in most commercial, professional and industrial activities. They may also establish sole proprietorships. This is done through several steps:

• Determine the trade name of the facility, according to the terms and laws, and obtain initial approval.
• Apply to the department to obtain approval from the service centers or the website.
• Determine the legal form of the establishment based on the type of activity required, the number of applicants, and their nationalities.
• Ensure that all licensing requirements and conditions are met.
• Renting a business location and ensuring its suitability for the activity.
• Go to the department to pay the fees and obtain the final commercial license.
• Submit the establishment documents to one of the department’s branches and complete the final procedures.

Legal forms that can be exercised by citizens of other countries

Two persons may establish a civil business company for the purpose of practicing a professional activity, but this requires the appointment of a local service agent from the country’s citizens, or his entry into partnership with them. They have the right to establish:

• Professional sole proprietorship: It is required to appoint a local service agent from among the UAE nationals, taking into account the requirements specific to each activity.
• Private joint stock company: It requires one or more partners who are citizens of the country, and they may own 49% of the company. If it has a Gulf partner, there must be a citizen partner with a share of 51%.

Documents required to establish a company in Dubai

when Company formation in DubaiWhether you are a local company or a subsidiary of a foreign company, you will typically need the following documents:

• Registration application form: The official registration application form must be filled out, containing details of the company, its type and activity.
• Company contract: A copy of the company contract signed between the shareholders or partners, which specifies their rights, obligations and the percentage of profit distribution, must be submitted.
• Power of attorney for legal representative: A power of attorney must be provided allowing the legal person representing the company to deal on its behalf in legal and administrative matters.
• a copy of the passport: A copy of the passport of the shareholders or partners of the company must be provided.
• Certificate of residence: If the company is established by non-UAE nationals, you may need to submit a copy of the residence certificate issued by the relevant authorities.
• Company Address: The registered company address must be provided and either a virtual office address or a physical address can be used.
• Business plan: A detailed business plan must be submitted that includes a description of the company’s activities, business vision, strategy, and financial projections.
• Financial reports: You may need to provide financial reports such as company financial statements or estimates of expected financial costs.
• Private activity licenses: You may need additional licenses for specific activities such as pharmacies, banks, or food industries. The documents required for these licenses vary depending on the type of activity.

Please note that this is a general list of required documents and requirements may vary based on the type of company and geographical location in Dubai. Therefore, it is always advisable to check the current legal requirements and consult with the experts at Itqan to ensure the appropriate documents are prepared and submitted in accordance with the specified procedures.

Business License in Dubai

To obtain a trade license in Dubai, you are usually required to take the following steps:

1. Determine the appropriate type of commercial license according to your business activity and needs.
2. Determine the company name and ensure that it is available and complies with local laws.
3. Submit an application for a commercial license to the competent authority, whether it is the local government authority or the designated free zone.
4. Submit required documents, such as completed forms, contracts, personal documents, and financial documents (if required).
5. Pay the required fees to process the license application.
6. Waiting for the application to be reviewed, approved and the commercial license to be issued.

Here is an explanation of the types of commercial licenses available in Dubai:

Company formation in Dubai

Setting up a company in Dubai is an important strategic step for investors who want to benefit from the emirate’s dynamic business environment and strategic location. With its advanced infrastructure and business-friendly laws, Dubai provides an ideal environment for startups and large corporations alike.

Dubai’s free zones are one of the most attractive options for investors, offering great flexibility in terms and conditions and facilitating access to regional and international markets. Thanks to quick and simple incorporation procedures, investors can start doing business in Dubai quickly and efficiently.

There are different types of business licenses that investors can choose from, such as sole proprietorships, limited liability companies, and partnerships, allowing the company’s organizational structure to be tailored to its needs and strategy.

Briefly, Company formation in Dubai It represents a crucial step towards success and excellence in the global business market, and local experts specializing in this field can play a vital role in guiding investors and helping them make the right decisions to ensure the success of their businesses in this diverse and dynamic market.

Frequently Asked Questions About Company Formation in Dubai