The UAE (United Arab Emirates) sits at the eastern end of the Arabian Peninsula. Its maritime borders with Qatar and Iran are in the Persian Gulf, and it also has land borders with Oman and Saudi Arabia.
Seven emirates make up the UAE, with Dubai and Abu Dhabi being the two most well-known.
For more than 20 years, investors and businesses looking for the ideal location with a favorable business environment have coveted the idea for company formation in Dubai.
We advise you to follow simple guide to company formation In Dubai, UAE to set up your business professionally and legally if you are an investor, entrepreneur, or businessman looking to launch a business in Dubai or any other emirate in the UAE.
To start a business in UAE, you will need a business license.
Below are the steps in obtaining a license.
Identify Your Desired Business Activities
Before applying for a business license in Dubai and the UAE, it’s of utmost importance to first identify your desired business activities.
You can apply for 1 of the four main business licenses in Dubai, UAE based on your business activities.
Commercial Business License: For commercial purposes such as trading, import/export, general trading, ETC.
Professional Business License: For professional services such as Business Consultancy Services, Designing, IT Services, ETC.
Industrial Business License: For activities such as manufacturing, packaging, production, ETC.
Tourism Business License: This license is provided for those who want to start a tourism business in Dubai and the UAE.
Sample of a Business License in Dubai
Identify The Target Jurisdiction Where your Customer Base is.
After you have identified your business activities and selected a suitable business license, you will have to choose a jurisdiction for your company formation in Dubai, UAE.
Dubai offers the opportunity for any investor desiring to start a business in UAE to have 100% ownership of their business with a 0% corporate and personal tax.
Depending on your business goals and objectives, you can choose from the following jurisdictions to set up your business.
Each has its pros and cons.
Mainland Business Setup: A Business setup in Dubai mainland can benefit from a range of customers since there are no restrictions on trading/services with the opportunity to open a branch office anywhere in the UAE.
Freezone Business Setup: Dubai Freezone Business Setup is an excellent option for many businesses since it offers 100% foreign ownership of your business, 100% repatriation of capital and profits, no customs duty fee, and a 0% tax rate.
Though setting up a business in Dubai is straightforward, it can be very frustrating if not done correctly.
It is also advisable to get the help of a professional business setup consultant like Company Setup in UAE.
You can also get a free consultation here.
Procedures for Company Formation in Dubai
- Choose your business activities
- Choose a trading name for your business ( At least 3 options)
- Fill out and submit an application form to the Department of Economy Development (DED)
- Draft a Memorandum of Association (MOA)
- Apply for your trade license
Apply for Visas(s) - Open a Bank Account
Required Documents for Business Setup a Dubai:
An application form
Memorandum of Association (MOA)
Passport Copy for Share Holders ( If more than one)
Certificate of Good Conduct