COST BREAKDOWN FOR SETTING UP A BUSINESS IN DUBAI

Cost Breakdown for Setting Up a Business in Dubai

Cost Breakdown for Setting Up a Business in Dubai

Blog Article

Starting a business in Dubai offers exciting opportunities, but understanding the costs involved is crucial for proper planning. Company Set-up Dubai involves several key expenses that vary depending on business type, location, and structure.



1. Business License Fees


The most fundamental cost is the business license. Dubai offers various license types:





  • Commercial License (for trading activities)




  • Professional License (for services)




  • Industrial License (for manufacturing)




Cost Estimate: AED 10,000 to AED 25,000 depending on the license type and authority.



2. Trade Name Registration


Registering your company’s trade name is mandatory. The cost may increase if you choose a premium or foreign name.


Cost Estimate: AED 600 to AED 2,000 depending on the name type and approval speed.



3. Office or Virtual Space Rental


Depending on the business activity, you may need a physical office or a flexi-desk. Most free zones provide cost-effective shared spaces.


Cost Estimate:





  • Flexi-desk/Shared space: AED 10,000 to AED 15,000/year




  • Private Office: AED 20,000 to AED 50,000/year




4. Government and Approval Fees


Some businesses require external approvals from government departments or industry-specific regulators.


Cost Estimate: AED 1,000 to AED 10,000 (varies by activity)



5. Immigration and Visa Costs


If you plan to sponsor employees or yourself, you’ll need to factor in visa costs. This includes Emirates ID, medical tests, and residency processing.


Cost Estimate per visa: AED 3,000 to AED 7,000



6. Local Sponsor Fees (Mainland Only)


For mainland businesses, a UAE national is required as a sponsor or service agent. Some businesses offer sponsorship on a fixed-fee basis.


Cost Estimate: AED 8,000 to AED 20,000/year



7. Miscellaneous and Setup Services


Other minor expenses may include documentation, legal translations, attestation, and consultancy fees if you hire a PRO or business setup service.


Cost Estimate: AED 2,000 to AED 10,000






Conclusion


Setting up a business in Dubai is a strategic move, but it requires clear budgeting. Understanding each cost component helps ensure smooth planning and avoids surprises. Whether you choose a Company Set-up Dubai free zone or mainland route, being informed empowers better financial decisions.

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