Open a company in Dubai

Opening a company in Dubai is an important and exciting investment step, given the vibrant and encouraging economic environment that the Emirate of Dubai provides in the United Arab Emirates. Establishing a company in Dubai requires familiarity with local legal and administrative procedures, and meeting the necessary conditions to successfully establish and operate the company.

This article will explore with you the steps to open a company in Dubai , from choosing the type of company to obtaining the necessary licenses and determining the appropriate location and business address. We will highlight the factors you should consider and common questions you may encounter during this process, with the aim of helping you achieve the success of your business venture in Dubai.

Open a company in Dubai

Investing in Dubai

In 2021, The National News published an article about the volume of foreign investments in Dubai, while the UAE National Economic Register (NER) announced in the same year that the number of foreign companies in Dubai reached 3,209 companies, and 763 of them were branches of foreign companies based outside Dubai. .

All statistics indicate that opening a company in Dubai for foreigners is one of the best investments that you may make. In the following paragraphs, we will learn about the main methods and steps for opening a company in Dubai for foreigners.

Cost of opening a company in Dubai

If you are planning to establish a commercial company in Dubai, you must determine the options; This is in order to be able to determine the cost, such as: Is the company large or small? How many employees? Where do you want to establish the company?

Therefore, you must know the required fees, because there are new commercial licenses that you must obtain for a fee and fees, in addition to obtaining visas for the company’s employees.

There are costs to sponsor employees and provide them with the necessary visas and papers. In order to be allowed to reside in the United Arab Emirates.

We can limit the cost of opening a company in Dubai to several points:

1. The cost of a commercial license “The cost of a commercial license in the Dubai Free Zone” (license to practice business).
2. The cost of the company’s location or the office from which you want to do your business (the annual rent for the office or the cost of purchasing a new office).
3. Costs related to office furniture and decoration.
4. The cost of work permits and visas required for employees sponsored under your company name.
5. Open a bank account in the name of the company and deposit the minimum capital required according to your type of business.

Advantages of establishing a company in Dubai for foreigners:

The UAE offers many advantages to foreign investors, the most important of which are 100% tax exemptions on exports and imports to and from the UAE, and enjoying many facilities in the procedures and processes of owning a special license to run the company’s management within Dubai.

Establishing a company in Dubai for foreigners is considered one of the best cities in which you can guarantee the success of your project, and because it is the basis of investments, it enjoys many services that support and complement the project. In the following paragraphs, learn about the methods of establishing companies in Dubai.

Ways to establish a company in Dubai for foreigners:

Establishing a company in Dubai is not considered a difficult matter in terms of steps and procedures, as the UAE has been lax in procedures, which is considered an attractive factor in addition to other elements, because the most important thing that distinguishes any country is the ease of procedures and laws, especially with foreign investors.

Here are the most important ways to open a company in Dubai for foreigners:

Create an online company

Here are a set of ways that will help you create your own online company regardless of your nationality:

Through Basher services,
investors can establish a company and obtain one of the commercial licenses in Dubai Commercial within just 15 minutes in the United Arab Emirates through the Basher Your Business portal, which is an integrated electronic platform integrated with local and federal government departments and agencies concerned with licensing economic activities in the Emirates within minutes. Just a quick, easy and safe procedure, and without the investor needing to visit any government agency! Its services also include the following:

• Commercial license
• Chamber of Commerce membership number
• Establishment card from the Federal Authority for Identity and Citizenship
• Establishment number from the Ministry of Human Resources and Emiratisation
• 3 work permits from the Ministry of Human Resources and Emiratisation
• Renewal of commercial licenses for more than 1,200 economic activities

Via electronic license (for foreigners only)

Options for establishing a business in Dubai for foreigners only also include the Dubai Virtual Commercial District (VCC) programme, which gives business entrepreneurs and self-employed people in most parts of the world the possibility of starting a virtual business in Dubai, and obtaining a virtual business license, without the requirement to reside or work in UAE! Eligibility requirements for a virtual business license include:

• The applicant must not be a resident of the United Arab Emirates
• He must be a citizen or resident subject to tax from a list of 112 countries around the world
• To engage in global business activities that are not subject to a location in specific sectors focusing on creative industries, technology, and services

Duration of establishing a company in Dubai

In order to be able to establish a company in Dubai in the shortest possible time, you must deal with a management company that performs all the tasks and takes the necessary legal procedures to establish a company, in addition to obtaining initial approvals, then the establishment stage and issuing an investor residency.

The company provides all services with the highest quality of work and the lowest cost that cannot be compared to the prices of other companies.

The best company for establishing companies in Dubai

Itqan Company is the best company for establishing companies in Dubai, while it is one of the leading companies in the field of establishing companies in Dubai. Itqan Company offers a comprehensive range of services to help establish and manage companies in Dubai, making it one of the best options for entrepreneurs seeking to start a business in the emirate, as Itqan Company’s services in establishing companies in Dubai include the following:

• Legal advice: Providing specialized legal advice to help clients understand local regulations and laws and make the right decisions to establish the company.
• Preparing documents: Assisting clients in preparing all documents necessary to establish the company, including the necessary contracts, agreements, and legal forms.
• Arranging regulations and licenses: Assisting clients in arranging all regulations and permits necessary to establish and operate a company in Dubai.
• Business Administration: Providing daily business management services for the company including accounts, auditing and employee management.
• Investor Support: Providing support and guidance to foreign investors who want to establish a company in Dubai and need to understand the local market and legal conditions.

Itqan Company is distinguished by its experience and efficiency in the field of establishing companies in Dubai, and is considered an excellent choice for individuals and companies seeking to benefit from the vibrant and encouraging economic environment in Dubai to start businesses.

Licenses required to open a company in Dubai

To open a company in Dubai, you need to obtain the necessary licenses from the relevant government agencies. The required licenses depend on the type of business activity that you plan to practice. You may need to obtain the following licenses and permits:

1. General Commercial License: Allows you to conduct general commercial activities in Dubai.
2. Professional activity licence: If you work in a specific profession, such as medicine or engineering, you may need a professional activity licence.
3. Permit from the competent governmental body: You may need a permit from the governmental body concerned with your economic activity, such as the Department of Economic Development.
4. Residence permit for employees: If you intend to employ employees, you will need residence visas for them.
5. Expatriate Labor Employment Permit: If you intend to employ expatriate workers, you will need a Expatriate Labor Employment Permit.
6. Occupational Health and Safety Permit: In some cases, you may need a permit from the Occupational Health and Safety Authority.
7. Environmental licence: If your activities are related to the environment, you may need an environmental licence.
8. Licenses for a specific activity: You may need licenses for a specific activity, such as a license for a restaurant or café.

Cost of opening a company in Dubai

Steps to open a company in Dubai

There are some distinct steps about opening a company in Dubai that you must follow when thinking about opening a company in Dubai. These steps are represented in the following points:

1. Determine the type of company: Choose the appropriate company type, such as a sole proprietorship, limited liability company, or joint stock company.
2. Choosing a company name: Choose a name that is unique and appropriate to the company’s activity, and ensure that it is available and not similar to the names of other companies.
3. Defining the business: Determining the type of business the company will do.
4. Identifying partners and shareholders: Identifying the partner persons or companies and their percentage in the company.
5. Determining capital: Determining the capital needed to establish the company, which can vary depending on the type of company.
6. Preparing the necessary documents: Preparing the company’s articles of incorporation and other required legal documents, and having them signed by the shareholders.
7. Obtaining government approvals: Obtaining licenses and approvals from relevant government agencies, such as the Department of Economic Development in Dubai.
8. Signing contracts and registering the company: Signing the necessary contracts, registering the company in the commercial registry, and paying the required fees.
9. Determine location and business address: Determine a location and address for the business that is consistent with local regulations and laws.
10. Opening a bank account: Opening a bank account in the name of the company to manage financial transactions.
11. Compliance with tax and legal controls: Ensure compliance with all tax and legal controls and regulations applicable in Dubai.
12. Legal advice: It is preferable to consult a local legal advisor to obtain the necessary advice during the company opening process.

Establishing a company in Dubai requires familiarity with local legal and administrative procedures, and the steps and requirements may differ based on the type of company and its activity, so it is important to use Itqan Company to ensure full compliance and success in establishing the company.

How to choose the right type of company in Dubai

Choosing the appropriate type of company in Dubai depends on several factors, including the type of business activity, number of partners, financial responsibility, and legal and regulatory restrictions. Here are some common types of companies in Dubai and the factors determining the choice in cooperation with the best company establishment company in Dubai, Itqan:

1. Sole Proprietorship: Suitable for individuals who want to manage the business on their own, in addition to the liability being unlimited and falling on the entire person.
2. Private Shareholding Company: Requires a limited number of shareholders, and shareholders are not personally liable for the company’s debts.
3. Public Shareholding Company: Its shares are sold to the public via the stock exchange, and shareholders are not personally liable for the company’s debts.
4. Limited Liability Company: Allows partners to benefit from legal protection and limited liability. The company can also own real estate without restrictions.
5. Limited Personal Liability Company: It combines the features of a sole proprietorship and a limited liability company, and the primary partner can also be the sole shareholder and general manager.
6. Free Zone Company: Allows companies to benefit from local and international controls and incentives, and also imposes restrictions on where the company can operate.

When choosing the type of company, it is important to take into account the company’s business objectives, number of partners, financial responsibility, and legal and regulatory restrictions. It is beneficial to consult a local lawyer or legal advisor in Dubai to get the necessary advice before making a decision.

The most important tips for the success of your company in Dubai

In order for your company to succeed in Dubai, there are some steps that the best company establishing companies in Dubai, Itqan, which is one of the best reliable companies in Dubai, follows. There are some important tips:

1. Market Study: Study the local market well to understand customer needs, competition, and industry trends.
2. Choose partners carefully: Choose partners who share your vision and interest in the company’s success.
3. Marketing Effectively: Use digital and traditional marketing strategies to attract new customers.
4. Providing excellent customer service: Make customer satisfaction a priority and strive to provide excellent customer service.
5. Continuous innovation and development: Always stay informed of developments in your field and innovate new products and services.
6. Invest in human resources: Recruit, train and motivate talent to increase company productivity.
7. Compliance with Laws and Regulations: Ensure compliance with all local and international laws and regulations relevant to your company’s activity.
8. Environmental and social sustainability: Adopting sustainable and social practices that contribute to creating a positive impact on society and the environment.
9. Digital Presence: Exploiting digital capabilities to reach new customers and expand your customer network.
10. Innovation in Marketing and Promotion: Invent new and creative ways to market and promote your products or services.

As Dubai is a global business hub, implementing these tips well can help you achieve success and continuity in the local and global market.

Learn how to make it easier to open a company in Dubai

At the conclusion of this article, it appears that opening a company in Dubai in cooperation with Itqan Company can be a strategic step towards building a successful business in the Emirate of Dubai. Itqan Company provides specialized consulting services that include licenses, permits, and assistance in the legal and administrative procedures necessary to establish companies in Dubai.

Dubai is considered one of the most important business destinations in the world, and is characterized by a vibrant and encouraging economic environment for investors. In cooperation with Itqan Company, you can benefit from its experience and knowledge of the local market to ensure the establishment of a successful and prosperous company in Dubai.

Do not forget that success requires good planning and adherence to local laws and regulations, and by choosing Itqan Company as a consulting partner, you can guarantee that you will follow the right path towards success in the business world in Dubai.

Conditions for opening a company in Dubai

The conditions for opening a company in Dubai vary based on the type of company you want to create, but there are some general conditions that must be adhered to. For example, to open a company in Dubai, you must:

• Determine the type of company: You must decide the type of company you want to create, whether it is a sole proprietorship, a limited liability company, or a public joint stock company.
• Obtaining a license: You must obtain the appropriate license from the relevant authority, such as the Department of Economic Development in Dubai.
• Capital: The capital required for your company must be determined and provided in the company account.
• Choosing a company name: You must choose a name for the company that complies with local laws and regulations.
• Work Visas: If you plan to hire employees, you must arrange the necessary work visas for them.
• Accommodation Arrangements: You must arrange accommodation for yourself and any other partners or employees you intend to employ.

These are some general conditions that must be adhered to when opening a company in Dubai, but conditions can vary depending on the type of company and the business activity you plan to practice.

Opening a company branch in Dubai

Opening a branch of a company in Dubai is considered an important strategic step due to the economic and geographical advantages that the emirate offers. Dubai is one of the most prominent commercial centers in the world and is characterized by a developed and supportive business environment for companies. Here are some key steps and advantages to take into consideration when opening a company branch in Dubai:

Steps to open a company branch in Dubai
Determine the type of business activity:

Choosing the appropriate business activity is the first step, as you must select the activity that is consistent with the local market and the laws in force in Dubai.
Choosing the legal form of the branch:

The legal form of the branch must be determined, whether it is a branch of a foreign company or a local company. Legal forms include limited liability companies, joint stock companies, and branches or representative offices.
Obtaining approvals and licenses:

Submit a request to the Dubai Department of Economic Development (DED) to obtain the necessary approvals. This includes submitting required documents such as articles of incorporation and commercial certificates.
Obtaining approvals from the competent authorities such as the municipality, civil defense, and regulatory authorities for the activity.
Choosing an office location:

Determining the location of the branch is a vital step, as you can choose between free zones and non-free zones. Free zones offer additional benefits such as full ownership by foreigners and tax exemptions.
company Registration:

After obtaining approvals, the company must be officially registered with the Department of Economic Development and obtain a commercial license.
recruitment:

Recruiting the necessary human resources to operate the branch. It is possible to benefit from local human resources or bring in employees from abroad as needed.

Advantages of opening a company in the free zone in Dubai

Opening a company in the Dubai Free Zone offers many advantages that make it an attractive option for entrepreneurs and investors. Dubai has several free zones, each of which is designed to serve specific sectors and offers various incentives. Here are some of the key advantages of opening a company in the Dubai Free Zone:

Advantages of opening a company in the Dubai Free Zone
with full ownership by foreigners:

Foreign investors are allowed to fully own the company (100%) without the need for a local partner, providing them with complete freedom to manage and operate their business.
Tax exemptions:

Companies registered in free zones enjoy tax exemptions on income and profits for specific periods of up to 50 years, which can be extended. This also includes exemption from value-added tax and customs taxes on imported and exported goods.
Ease of establishment and procedures:

Administrative procedures for establishing a company in a free zone are usually quick and simple compared to other regions. Administrative bodies in free zones provide integrated services that include registration, licensing, and legal and administrative support.
Transfer of profits and capital:

Companies can fully transfer profits and capital without any restrictions, making it easier to manage money and investments.
Integrated work environment:

Free zones provide an integrated work environment that includes equipped offices, warehouses, advanced technological infrastructure, and distinguished logistical services. This makes it easier for companies to focus on their core activity without worrying about the logistical and administrative aspects.
Ease of recruiting workers:

Free zones provide facilities for recruiting workers from abroad, including obtaining visas and work permits quickly and easily.
Access to international markets:

Thanks to Dubai’s strategic geographical location and advanced infrastructure, companies in the free zones enjoy easy access to regional and international markets, facilitating import and export operations.
Intellectual property protection:

Dubai provides a strong legal framework to protect intellectual property rights, which enhances the confidence of foreign companies in protecting their innovations and intellectual assets.
Ease of communication and networking:

Dubai’s free zones are meeting points for companies from around the world, providing great opportunities for networking, building business networks and business cooperation.

The cost of opening a commercial register in Dubai for foreigners

Opening a commercial register in Dubai for foreigners involves a set of costs that vary depending on several factors, such as the type of business activity, the legal form of the company, and the location in which the company is registered. These costs can be divided into several main categories:

The main costs of opening a commercial registry in Dubai
are registration and commercial licensing fees:

Includes commercial registration and trade name registration fees. These fees vary based on the type of trade name (such as restricted, international, or creative) and the legal nature of the business.
Fees for obtaining initial and final approval for a business license.
Office or commercial space rental fees:

Office rental costs vary greatly depending on location (inside the city or in free zones) and the size of the office or commercial space required.
Free zones offer multiple options such as shared offices, serviced offices, and warehouses, each of which has different costs.
Professional and consulting services fees:

You may need legal or business consulting services to help you prepare documents and submit them to relevant authorities. These costs include fees for attorneys and business consultants.
Other government agencies fees:

There are additional fees imposed by different government agencies based on the type of business activity, such as fees from the Department of Economic Development, the municipality, civil defense, and others.
Recruitment and labor recruitment fees:

Includes fees for obtaining visas and work permits for employees. These costs can vary based on the number of employees and their nationalities.
Infrastructure and equipment costs:

Equipping the office or commercial space with furniture, technical equipment, and communication networks. These costs vary depending on the work requirements and the level of equipment.

Frequently asked questions about opening a company in Dubai: