Setting up a company in Dubai is an important and exciting investment step in one of the most fascinating and prosperous cities in the world. Dubai has a strong reputation as a preferred business and investment destination, with a dynamic and encouraging business environment and advanced infrastructure. With so many opportunities and benefits available, setting up a company in Dubai requires a thorough understanding of the costs associated with the process.

The costs of setting up a company in Dubai vary based on several factors, such as the type of company, the sector it belongs to, and its geographical location. However, we will review some of the main points that you must take into consideration when starting to establish your company in Dubai. In the next few lines, we will discuss the most important basic costs, based on which you will be able to calculate the costs you need to establish a company in Dubai, and you can seek the help of the experts of the leading Itqan company in The field of establishing companies in the Emirates.

Costs of setting up a company in Dubai

Costs of setting up a company in Dubai

The first step in planning to establish a company in Dubai is knowing all the costs of establishing a company in Dubai. Therefore, you must clearly define your options in order to accurately calculate the cost and know the required fees. In the following lines, we will review the most important points of the costs of establishing a company in Dubai.

Cost of obtaining initial approval:

The cost of obtaining initial approval in Dubai varies depending on the type of license and the company’s activity. This cost usually includes processing and submission fees for the application, and may vary depending on the free zone or government entity providing the approval. It is recommended to review the fee schedule of the concerned authority and verify the necessary fees before applying for initial approval.

Cost of a commercial license (business license):

The cost of obtaining a business license in Dubai (business license) is an important factor that must be taken into consideration when establishing a company. This cost varies based on several factors, including the type of business, company size, geographic location, and administrative procedures required. The cost of a commercial license includes registration fees, license issuance fees, municipal fees, and fees associated with obtaining the necessary approvals from the relevant authorities.

Company website cost:

The cost of a company’s website includes several important factors. If the office is for rent, the annual rental cost should be calculated based on the space required and the location of the office. If purchasing is the option, the total purchase cost must be calculated including additional costs such as taxes and legal fees. In addition, operation and maintenance costs must be taken into account, including public services and utilities such as electricity, water and internet. These factors all greatly affect the final cost of a company’s website.

Company registration fees:

Company registration fees in Dubai vary based on the type of business activity and the legal form of the company. The process begins with submitting an application to the Department of Economic Development (DED) or the relevant authority for initial approval, followed by the trade name registration fee. After that, the commercial license issuance fee is paid, which varies depending on the type of authorized business activity. Additional fees may include Dubai Chamber of Commerce and Industry membership fees, fees for articles of incorporation and legalization of legal documents. It is important to adjust your budget to include these fees to ensure that starting a business is legal and regulated in Dubai.

Costs of the Memorandum of Association and Articles of Association:

The costs of preparing and documenting the company’s articles of association and articles of association include several aspects. It begins with the stage of preparing legal documents, which requires the use of lawyers or specialized legal consultants to ensure their compliance with local laws and regulations. This stage includes drafting the articles of association and articles of association accurately and clearly. After that, these documents must be authenticated with the competent government authorities, such as the Department of Economic Development or the Commercial Registry, which impose fees for the documentation and registration process. Costs also include fees for translating documents into Arabic if they are in English. Entrepreneurs must include these expenses in their company establishment budget to ensure full compliance with the required legal procedures.

Office Rent:

Office rental costs in Dubai or in free zones depend on several factors, including location, space, and available equipment. In Dubai, office rental prices range between neighborhoods and complexes, with prices in major commercial areas such as Dubai Marina, Burj Khalifa and Downtown usually being higher than other areas. For free zones, rental costs vary based on type and location, but are usually suitable for start-ups and medium-sized companies.

Besides the monthly office rent, office rental costs may involve insurance payments, which vary according to each owner or lessor’s policy. You may also need to pay utility fees such as electricity, water and internet, which may be included in the rent or be your responsibility as the tenant. Therefore, it is important to study the lease carefully and include all these potential costs in your financial estimates.

Work visa fees:

Work visa fees are an important part of the recruitment process in the UAE. These fees vary depending on the type of visa and category of company. Companies must submit applications for work visas and pay the required fees to the relevant authorities before receiving the visas. Companies are required to pay these fees regularly and on time to avoid legal problems and ensure that their employees properly enjoy their rights.

Approvals and permits fees:

Obtaining the necessary approvals and permits from the competent authorities in Dubai requires paying additional costs that vary depending on the type of service required. These costs can include legal advice, insurance costs, application processing fees, and any other costs related to legal and regulatory proceedings. Businesses should be aware of these costs and ensure they are met before starting operations in Dubai to ensure legal and regulatory compliance and facilitate smooth operations.

Additional services fees:

In Dubai, new or existing businesses may need additional consulting or legal services to facilitate their operations or resolve some complex legal issues. Fees for these services vary depending on the scope and complexity of the service. It is important to check these fees in advance and ensure they are available should they be needed to ensure continuity of operations without delays or legal issues.

Insurance:

In Dubai, insurances are one of the essential aspects that companies should pay attention to. Insurance costs include health insurance for employees to ensure that necessary health care costs are covered. In addition, companies may also need general liability insurance to cover the potential costs of physical or physical damage to third parties as a result of their business. The costs of these insurances vary depending on the type of company and the size of its operations, and it is important to consider these costs and ensure they are available to ensure comprehensive coverage and legal compliance.

Application fees:

In Dubai, the application fee includes the cost of submitting and processing the commercial registration application. This fee is determined based on the type of company and the size of its operations. Businesses must be aware of these fees and ensure they are provided to ensure smooth application submission and necessary approvals to begin operating legally and regularly.

Office equipment:

Office furnishing in Dubai includes the cost of purchasing equipment and furniture necessary to run the business effectively, such as electronic devices, office furniture, and communications systems. These costs vary depending on the size of the company and its specific needs. Businesses should calculate these costs in advance and allocate an appropriate budget to ensure all necessary equipment and furniture are available to start operating smoothly.

Other government costs:

In addition to the main costs, accommodation costs in Dubai may include other costs such as membership fees in the Chamber of Commerce and Industry. Joining the Dubai Chamber of Commerce and Industry is important for businesses as it can provide networking, training and education opportunities. Membership costs vary depending on company type and size. It is important to consider these costs as part of a company’s financial planning in Dubai.

Marketing costs:

Marketing costs for setting up a company in Dubai depend on the marketing strategy you choose. These costs may include brand and visual identity design, website development, and creating social media and other advertising campaigns. These costs should be part of the business plan and an appropriate budget should be allocated to ensure effective marketing that helps the company succeed in the market.

The hidden costs of establishing a company in the UAE

True, there are many hidden costs that must be taken into consideration when establishing a startup in the UAE. These costs may include:

• The cost of renting or purchasing and equipping the company’s headquarters: The company must secure a place to work, whether it is an office or a commercial store, and the rental price or purchase cost depends on the location and the size of the space required.
• Renting warehouses and manufacturing centers: If a company needs to store or manufacture products, it may need to rent additional warehouse or manufacturing space.
• Residence visa for foreign investors: Foreign investors must obtain a residence visa to work and reside in the country, which has associated costs.
• Residency visas and employment contracts for non-citizen employees: If you need to employ non-citizen employees, there will be costs to obtain residency visas for them and associated employment contract costs.
• Cost of worker housing: If you employ non-citizen workers, you will need to provide housing for them, and the costs associated with this vary by housing type and region.
• The cost of opening bank accounts for founders: The company must open a bank account to carry out financial operations, and there may be fees for opening bank accounts.
• Medical Insurance: You may be required to provide health insurance to employees and investors.
• Municipality fees: The municipality may require the payment of an annual fee to renew the company’s license.
  In addition, there are fees for establishing a company in the UAE, and these fees are related to the documentation of the documents required to establish the company and registration procedures.

If you intend to establish a startup in the UAE, it is important that you take into account all these hidden costs and ensure that you provide the necessary financial resources for it. It may be best for you to consult experts in the field of company formation in the UAE to help you estimate the full costs and understand all the procedures required.

The cost of establishing a company in the Dubai Free Zone

The cost of establishing a company in the Dubai Free Zone varies depending on the type of company and the specific free zone. However, there are some basic fees that can be involved in the company formation process in the Dubai Free Zone:

License fees:

Licensing fees in Dubai include the costs of licensing, classifying and registering the company in the free zone. These fees vary based on the type of company, the size of its operations, and the free zone in which it is located. Businesses should be aware of these fees and ensure they are provided in advance to ensure that licensing procedures are completed smoothly and without delay.

Establishment fees:

Dubai incorporation fees include the costs of establishing and officially registering the company. These fees vary based on the type of company, size of its operations, and legal requirements. These fees typically include company registration fees, application fees, and application processing fees. Investors should be aware of these costs in advance and ensure they are available to ensure the company is established legally and regularly.

Administrative services fees:

Dubai incorporation fees include the costs of establishing and officially registering the company. These fees vary based on the type of company, size of its operations, and legal requirements. These fees typically include company registration fees, application fees, and application processing fees. Investors should be aware of these costs in advance and ensure they are available to ensure the company is established legally and regularly.

Work and accommodation fees:

Work and accommodation fees in Dubai include the costs of obtaining work visas and residence visas for investors and employees. These fees vary according to the type of visa and category of beneficiaries. Companies must provide these fees regularly and punctually to avoid legal problems and ensure that their employees properly enjoy their rights.

Land and real estate fees:

Land and real estate fees in free zones require a monthly or annual rent payment if you are renting space for a company headquarters. If you own a property in a free zone, you may need to pay an annual property fee. These fees vary based on the size and location of the property, and companies should provide these fees regularly to ensure that the place continues to be used legally and regularly.

Procedures for establishing a company in Dubai

The procedures for establishing a company in Dubai require several steps and procedures, including the following:

1. Choosing the type of company: Investors must select the type of company they want to create, such as a limited liability company, sole proprietorship, or joint stock company.
2. Identifying the business activity: Investors must identify the activity of the proposed company and ensure that it complies with the permits and licenses required by local authorities.
3. Choosing a trade name: Investors must choose a name for the company that complies with local regulations and laws and is unique and not similar to the names of other companies.
4. Determine shareholders and capital: Investors must identify the company’s shareholders, determine the capital required to establish the company, and determine the equity shares of each shareholder.
5. Arranging the required documents: Investors must arrange the documents required to establish the company, such as a passport, a copy of the national ID, shareholder contracts, insurance documents, and others.
6. Submitting the application and registration: Investors must submit an application to establish the company to the competent authorities, such as the Department of Economic Development in Dubai, and submit the documents required to register the company.
7. Obtaining licenses and permits: After registration, some commercial activities may require obtaining additional licenses or permits from the competent authorities before starting work.
8. Registration with government agencies: Investors must register with other government agencies, such as the Labor Department and the Tax Department, and adhere to local legislation and laws.
9. Opening a bank account: Investors must open a bank account for the company and transfer the required capital to it to complete the incorporation process.
10. Starting work: After completing all necessary procedures and registrations, the company can start work legally.

The cost of establishing a company in the free zone in Dubai

The cost of establishing a company in the Dubai Free Zone varies depending on the type of company and the specific free zone. However, there are some basic fees that can be involved in the company formation process in the Dubai Free Zone:

• License fees: Includes fees for licensing, classifying and registering the company in the free zone.
• Incorporation fees: Includes fees for establishing and officially registering the company.
• Administrative services fees: These include fees for providing administrative services and supervising the company in the free zone.
• Work and Residence Fees: There may be fees for obtaining work visas and residence visas for investors and employees.
• Land and real estate fees: If you are leasing space for your company headquarters or own a property in a free zone, you may be required to pay rental fees or real estate fees.

It should be noted that these fees are basic costs only and may vary from one free zone to another in Dubai. There may also be additional requirements regarding the capital required to establish the company and obtain a licence, depending on the type of activity and the specific free zone.

The cost of establishing a company depending on the legal form

Cost of establishing a limited liability company:

The cost of establishing a limited liability company in Dubai depends on several factors, including the type of activity and the amount of capital required. These costs usually include company registration fees and other government fees, legal consulting fees if necessary, and costs of preparing the necessary documents. These costs can range from thousands to tens of thousands of UAE dirhams, and investors should inquire with local legal consulting firms to get an accurate estimate of expected costs.

The cost of establishing a one-person company:

The cost of establishing a sole proprietorship in Dubai varies depending on the type of activity and legal requirements. These costs usually include company registration fees, application fees, legal consultation costs if necessary, and legal advertising fees in local newspapers. In general, the costs of establishing a one-person company can range between several thousand and tens of thousands of UAE dirhams, and it is preferable to consult a lawyer or local legal consultant to obtain an accurate estimate of the costs necessary to establish the company.

The cost of establishing a joint stock company in the UAE:

The cost of establishing a joint stock company in the UAE is affected by several factors, such as the type of company (private or public joint stock company), the required capital, the costs of the necessary documents and government fees. Generally, the costs of establishing a joint stock company may start from several thousand to several tens of thousands of UAE dirhams, and these costs include company registration fees, application fees, and legal consultation costs if necessary. It is preferable to consult the experts of Itqan Company to obtain an accurate estimate of the cost of establishing a joint stock company according to your specific circumstances.

Licenses required to start work in Dubai

To start working in Dubai, you need to obtain a set of necessary licenses and permits. These are some of the basic licenses you may need, which may vary depending on the type of activity and sector:

• Business License: You must obtain a license for your business from the relevant authorities, and this is usually done through the Department of Economic Development in Dubai.
• Municipality Permit: Working in some municipal activities requires a special permit from Dubai Municipality.
• Advertising License: You may need a license from the Dubai Media Authority to display commercial advertisements.
• Health Permit: Some activities may require a special health permit from the Dubai Health Authority.
• Building License: If you plan to build a structure or convert a specific space to use as an office or shop, you may need a building license from Dubai Municipality.
• Engineering Works License: If you intend to carry out any engineering works or modifications to existing buildings, you may need a license from Dubai Municipality.
• Work Permit: If you intend to employ employees, you must obtain a work permit from the Dubai Labor Department.

The importance of studying the market before establishing your company in Dubai

Studying the market before setting up a company in Dubai is of crucial importance and can be crucial to the success of the company. Here are some reasons why this step is important:

1. Understanding Demand and Supply: Studying the market helps understand the demand for the products or services the company intends to offer and how to best meet customer needs.
2. Identifying competition: By studying the market, a company can identify potential competitors and understand their strategies, strengths and weaknesses, which can help develop effective competitive strategies.
3. Identify opportunities and threats: A market study can also reveal new opportunities in the market and potential challenges that the company may face, which can help in developing strategies to take advantage of opportunities and overcome challenges.
4. Identifying the target audience: Understanding the market helps identify the target audience accurately, which can help direct marketing and promotional efforts more effectively.
5. Evaluating economic feasibility: A market study can also help evaluate the economic feasibility of a company’s project, including estimating expected revenues, costs, and potential profits.

The most important documents for establishing a company in Dubai

Establishing a company in Dubai requires submitting a number of basic documents. Among the important documents that may usually be required to establish companies in Dubai:

• Registration application form: This is the form that contains basic information about the company, such as the name, type of business activity, shareholders, and proposed capital.
• Company incorporation document: This is the document that specifies the company’s structure and information about shareholders, managers, and members.
• Personal identification documents: copies of passports or identity cards of shareholders and directors.
• Contribution contracts: in the case of limited liability companies.
• Certificate of Insurance: A document proving that the capital required to establish the company has been secured.
• Leases or ownership documents: Confirmation of where the business is located, whether it is a leased or owned property.
• Financial reports: They may be required in some cases, especially if the company is active in the field of financial services.
• Other documents: Local authorities may require additional documents depending on the type of company and its activity.

The advantages we offer to investors

Are you looking for the lowest costs of setting up a company in Dubai ? We are here to help you. Do not hesitate to contact us and our experts will facilitate all necessary procedures, as we offer you many features that help you reduce the costs of establishing a company in Dubai.

• Our support team provides all facilities and clears procedures and papers, which include choosing the trade name and activity and obtaining approvals and documents.
• Dealing with various government agencies to obtain a business license in the shortest possible time and the lowest costs of establishing a company in Dubai.

What is the amount required to invest in the Emirates?

Foreign investors seek to expand their projects by establishing companies in the UAE, which provides many advantages and facilities, such as not imposing any corporate taxes and the possibility of obtaining 100% profits. The state no longer requires the presence of a local partner to open a company as it was previously. Rather, it grants full ownership to the foreign investor and provides him with a residence visa for himself and his family throughout the period of establishing his business project.

In addition, the country offers many additional benefits such as entertainment, educational, and health services that the investor can benefit from. Golden residency is also available, and is granted for a period of approximately 5 to 10 years to the investor and all members of his family.

The cost of establishing a company in Dubai is determined based on several factors, including the type of economic activity, whether industrial or commercial. In addition to the fees for the legal procedures necessary to start the project, you must also take into account the costs of equipping the company itself from internal supplies such as appliances, furnishings and decorations, in addition to the costs of office rentals.

All of these costs are included in determining the value of the capital needed to establish the company, and they include:

• Licensing and registration fees: which vary according to the type of business activity and location.
• Interior equipment: such as office equipment, furniture, and decorations.
• Rents: The rental costs of an office, factory, or other commercial space.
• Legal fees: such as attorney fees and legal consultations.
• Administrative costs: such as staff fees and health insurance.

Thus, it can be said that the cost of investing in the UAE depends on the type and size of the project, geographical location, and legal and administrative requirements. Investing in the UAE provides an encouraging and safe environment for foreign investors, with many advantages that help achieve success and sustainable growth.

The best company establishment offices in the Emirates

Atqan Company is considered one of the best company establishment offices in the Emirates, as it provides a comprehensive range of services for investors wishing to establish their companies in the Emirates. Here are some of the services provided by Itqan Company:

• Company Establishment: Itqan provides company establishment services of all types, including national companies, individual companies, and limited liability companies.
• Trademark Registration: Itqan helps you register your trademark to ensure the protection of your trademark rights in the UAE.
• Legal and Financial Consultation: Itqan provides specialized legal and financial consultation to help you make the right decisions for your company.
• Human Resources Management: Itqan provides human resources management services including employee recruitment, performance management, and training.
• Logistics and International Trade Services: Itqan provides comprehensive logistics services and international trade solutions to support your company’s growth.

The most important tips for establishing a company in Dubai

When you are setting up a company in Dubai , here are some important tips:

1. Study the market and competitive environment: Study the local market and understand customer needs and potential competition before starting work. This helps you develop a successful strategy for the company.
2. Choosing the right business: Choose your business carefully according to your interests, previous experience, and market needs.
3. Develop a detailed business plan: Develop a detailed business plan that defines the company’s goals, strategies, marketing and financial plans.
4. Invest in marketing: Allocate part of your budget to marketing and advertising to increase awareness of your brand and attract new customers.
5. Compliance with local legislation and regulations: Ensure compliance with all local legislation and regulations, including tax, labor and commercial laws.
6. Choose partners and employees carefully: Choose partners and employees who have the right skills and experience to support the company’s success.
7. Maintain sustainable financing: Within your financial plan, determine how to finance your business sustainably without relying too heavily on external financing.
8. Use technology effectively: Use technology to improve your internal processes and enhance the effectiveness of your company’s performance.
9. Develop a strong network: Build important relationships with customers, business partners, and government agencies, as these relationships can be instrumental in supporting your company’s growth.
10. Performance monitoring and continuous improvement: Regularly monitor your company’s performance and look for continuous improvement opportunities to increase business efficiency and achieve sustainable success.

Concluding our article on the costs of starting a company in Dubai, we can conclude that setting up a company in this city is a fruitful and interesting investment. Dubai has a developed and encouraging business environment, which provides multiple opportunities for success and growth.

Although the costs of setting up a business in Dubai vary depending on many factors, investing in this city has many advantages. It provides advanced infrastructure, a strategic location that connects companies to the Middle East and global markets, and an advanced and reliable legal system.

Frequently asked questions about the costs of setting up a company in Dubai