Get benefited from diversified business setup expertise of Jitendra Business Consultants in company formation across the UAE.

Incorporating a company in Dubai comes with a variety of world-famous benefits, such as:

◉ 100% foreign ownership
◉ High growth potential due to the strategic location
◉ Great infrastructure facilities
◉ Unique licenses
◉ Good connectivity through land, sea, & air

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Get benefited from diversified business setup expertise of Jitendra Business Consultants in company registration across the UAE.

Business Setup In Dubai

Dubai tops the list of profitable business hubs that investors from across the world prefer to migrate. Foreign investors are attracted to the environment of business setup in Dubai for a wide range of reasons including the ease of doing business, no corporate taxes, business-friendly policies, a proactive government, robust hard and soft infrastructure, easy connectivity from all major countries in the world etc. Furthermore, Dubai is the ultimate gateway into the lucrative Middle East markets. However, proper groundwork is required to ensure a smooth entry into Dubai.

Foreign investors need to understand the different options and legislations governing the process of company formation in Dubai. Entrepreneurs should be wise enough the make strategic decisions such as choosing between offshore, mainland and free zone options. They should also study the nuances of the immigration and labour laws to properly run a company in Dubai. However, the onus should not be on the entrepreneurs who are naïve about such things. Business setup consultants in Dubai can help entrepreneurs make strategic decisions related to company incorporation. The following are the major aspects of company formation in Dubai.

Business Setup In Dubai Mainland

Setting up a business in Dubai mainland allows the foreign investors to trade anywhere in the UAE directly. They can sell the goods or services even without engaging a logistics partner. A trade license is mandatory for starting a business in Dubai mainland, which is issued by the Department of Economic Development (DED). The DED issues mainly four types of business licenses in Dubai: Professional, Commercial, Industrial and Tourism licenses.

The DED permits more than 2000 activities and the investors need to select their activities corresponding to the license type. Foreign investors are allowed 100% ownership in certain sectors from June 2021. Investors who set up businesses in manufacturing and commercial activities don’t need to appoint a UAE national as a local sponsor. The government recently scrapped the local sponsorship requirement for mainland companies operating in specific sectors.

Business Setup in Dubai Free Zones

Unlike the DED, the free zones offer less stringent regulations for incorporating a company in Dubai. Every free zone is regulated by a specific authority that issues licenses for the companies. The free ones are economic zones where goods and services can be trade at preferential tax & customs rates. There are more than 40 active free zones in the UAE of which 30 plus are within Dubai. The free zones offer easy business setup procedures compared to the company formation process in Dubai mainland. Foreign investors need not bother about running around government departments for license approvals if they are setting up a company in Dubai free zones.

The free zone authorities also provide all the services under one roof, which means the entrepreneurs can obtain a trade license within a few weeks. A free zone license comes with modern office spaces / Flexi-desks, warehouses, labour accommodation etc depending on the activities. Free zones provide 100% foreign ownership but the investors can trade only within the free zone limits or perform exports/ imports. Free zone companies are exempt from import/export tax and can trade without currency restrictions. Business setup consultants in Dubai can make free zone company formation much easier for foreign entrepreneurs.

Offshore Company Formation in Dubai

A typical offshore jurisdiction is a low or no-tax country such as the UAE that offers the investors financial confidentiality and minimum regulatory interference. There are three offshore centres in the UAE: the JAFZA in Dubai, RAK ICC in Ras Al Khaimah and Ajman Offshore. By opening an offshore company in Dubai, investors can set up flexible corporate structures with fewer financial reporting requirements. It is an alternative to a traditional corporate structure found in high-tax jurisdictions.

The investors are not allowed to carry out any business activities as part of offshore company formation in Dubai. They can, however, own real estate properties and protect assets by incorporating an offshore company in Dubai. The offshore companies are provided with a certificate of incorporation as opposed to a trade license. The offshore company incorporation should be done through registered agents in Dubai.

Types of Legal Structures Permitted in Dubai Mainland

A legal structure is essentially the type of company to be incorporated in Dubai. A legal structure is determined based on the number of shareholders. The following are the common legal structures permitted for company incorporation in Dubai.

  1. Limited Liability Company (LLC)
  2. Sole proprietorship
  3. Joint Venture
  4. One Person Limited Liability Company
  5. Branch of a foreign company
  6. Branch of a UAE company

Types of Legal Structures Permitted in Dubai Free Zones

The following are the type of legal structures permitted in Dubai free zones:

  1. Free Zone Establishment (FZE)
  2. Free Zone Company (FZCO)
  3. Branch of a Foreign Company
  4. Branch of a UAE Company
  5. Trusts / Foundations (Dubai International Financial Centre)
  6. Single-Family Offices (Dubai Multi Commodities Centre)

Process of Company Formation in Dubai

The process of business setup in Dubai is straightforward. However, each step needs to be executed properly, otherwise, the license clearance will be delayed. Help from business setup consultants in Dubai is the best solution to expedite the process. The following are the steps:

  1. Select the business activity
  2. Determine the Legal structure
  3. Reserve a company name
  4. Obtain initial approval from licensing authority
  5. Obtain external approvals if the activity bears financial risks (mainly applied to mainland companies)
  6. Rent an office space
  7. Submit the documents
  8. Obtain the license

In the free zones, the office space comes generally comes with the license. The Office space will be located within the free zone premises. In the mainland, investors can rent a space in a business center. For offshore entities, the office of the registered agents in Dubai can be used as the company’s office address.

Benefits of Associated with the Process of Business Setup in Dubai

Dubai provides a host of benefits for foreign investors that explains the steady flow of foreign direct investments into the country. Some of the benefits are:

  • Complete reparation of capital and profits
  • No corporate tax or personal tax (VAT is levied at a nominal rate of 5%)
  • 100% ownership for the free zone, offshore and mainland companies
  • Excellent connectivity through land, sea and air
  • Flexible bank account opening options
  • Ability to sponsor residence visa of dependents
  • Cost-effective business setup options
  • Cheaper and competent labour force

The Best Business Setup Services in Dubai, UAE

There are two ways to set up a company in Dubai: trying it alone, or through business setup consultants in Dubai. Trying to incorporate a company is riddled with huge risks as it increases the burden on the investors. The process of business setup in Dubai will go in the wrong direction if investors try to single-handed lay execute complex processes such as filing license applications, drafting vital documents, applying for visas, opening a bank account, obtaining approval from authorities etc.

The investors will find themselves in a maze struggling to find the right way. On the other hand, the help of company formation specialists in Dubai such as Jitendra Business Consultants (JBC) will help the investors make strategic decisions such as choosing between a free zone opens mainland license, correctly selecting the activities & legal structures etc. JBC’s business setup services in Dubai will enable the businessmen to make the right decisions at the right time.

Our Locations

Dubai - Head Office

Office # 3006,30th Floor, Al Attar Tower Near DIFC, Sheikh Zayed Road Dubai, United Arab Emirates P.O. BOX 43630.

Mobile: +971 50 644 3537

Tel No: +971 4 343 8022

Fax No: +971 4 343 8033


Shams Office

Sharjah Media City, Sharjah, United Arab Emirates

Mobile: +971 50 644 3537


RAKEZ Office

Ras Al Khaimah Economic Zone Al Hamra Industrial Zone- Fz RAK, United Arab Emirates

Mobile: +971 50 644 3537


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