Company Formation in Dubai: Complete 21-Day Timeline & Checklist 2025

Planning to form a company in Dubai but unsure how long the process takes? While Dubai touts its business-friendly environment, the reality of company formation involves navigating multiple government departments, submitting dozens of documents, and coordinating with several authoritiesa process that typically takes 21 days for straightforward setups but can extend to 45-60 days if you're unfamiliar with the requirements.

As Ministry-approved business consultants with 37 years of Dubai experience (having formed over 28,000 companies), we've refined company formation into a predictable, efficient process. This comprehensive guide provides a day-by-day timeline for Dubai company formation, complete with checklists, required documents, and insider tips to avoid the delays that add weeks to most first-time setups.

Understanding Dubai Company Formation

Company formation in Dubai refers to the legal process of establishing a business entity registered with UAE authorities. This process involves selecting a business structure, obtaining necessary approvals, securing a trade license, and completing all regulatory registrations required to legally operate in Dubai.

Types of Business Structures in Dubai

1. Mainland Company (DED-Registered)

• 100% foreign ownership permitted (since June 2021)
• Can operate anywhere in UAE and internationally
• Can trade directly with UAE market
• Requires physical office space in Dubai mainland
• Subject to UAE Companies Law
• Higher flexibility in business activities

2. Free Zone Company (FZ)

• 100% foreign ownership
• 100% profit repatriation
• No currency restrictions
• Exempt from import/export duties
• Limited mainland trading (requires distributor)
• Must operate from free zone premises
• Each free zone has specific permitted activities

3. Offshore Company

• Asset protection and wealth management
• Cannot conduct business in UAE
• Used for international trade, holdings
• No physical office required
• Minimal reporting requirements

For this guide, we focus on mainland and free zone formation (most common for operational businesses).

Mainland vs Free Zone: Which Formation Path?

Choose Mainland if you:

• Need to trade directly with UAE customers
• Want unlimited business activity flexibility
• Require government contracts (many require mainland)
• Plan significant UAE market presence
• Need multiple branches across UAE

Choose Free Zone if you:

• Primarily export or trade internationally
• Want 0% corporate tax (qualifying free zone person)
• Need faster, simpler setup process
• Require lower initial capital
• Prefer bundled office space options

The 21-Day Company Formation Timeline

This timeline assumes straightforward business activity, proper documentation, and no complications. Complex businesses (financial services, healthcare, education) may require 45-60 days.

Days 1-3: Planning & Pre-Application

Day 1: Business Structure Decision

Morning Tasks:

• Determine mainland vs free zone based on business model
• Research applicable free zones if choosing FZ route
• Identify 3-5 potential trade names (Arabic and English)
• List intended business activities (be specific)

Afternoon Tasks:

• Verify capital requirements for chosen structure
• Research office space options and costs
• Understand visa allocation based on business size
• Initial budget calculation (license + office + visas)

Documents to Prepare:

• Passport copies (all shareholders/partners)
• Proof of UAE address (if available)
• Draft business plan (if required by activity)

Dubai Context: Dubai Economic Department (DED) for mainland, specific free zone authority for FZ (DMCC, DAFZA, etc.).

Day 2: Trade Name Reservation

Mainland Process (DED):

1. Submit name reservation via DED portal or Tas'heel center
2. Propose 3 alternative names (DED may reject first choice)
3. Pay AED 620 name reservation fee
4. Receive approval within 24-48 hours

Free Zone Process:

1. Submit via specific free zone portal
2. Faster approval (often same day)
3. Lower fees (AED 200-500 depending on zone)

Naming Rules (Critical for Approval):

• Cannot include religious references
• Cannot be similar to existing companies
• Cannot include profanity or offensive terms
• Cannot include "UAE" or "Dubai" without permission
• Must match business activity
• Arabic translation must be semantically accurate

Common Rejection Reasons:

• Name too similar to existing business
• Activity-name mismatch (e.g., "Trading" in name but activity is "Consulting")
• Prohibited words without approvals

Expert Tip: Submit 5 names ranked by preference. Our 37 years of experience show names with location references ("Dubai Tech Solutions") and activity clarity ("Gulf Marketing Services") have 85% first-time approval rates vs generic names ("Innovative Solutions LLC") at 40%.

Day 3: Initial Approval & External Approvals

Mainland:

• Apply for initial approval via DED portal
• Upload passport copies, name reservation certificate
• Specify business activities (select from DED list)
• Pay initial approval fee (AED 1,000-3,000 depending on activities)

If Your Activity Requires External Approval:

Some activities require approval from regulatory authorities BEFORE DED issues license:

Examples:

• Food Trading: Dubai Municipality approval
• Medical/Healthcare: Dubai Health Authority (DHA)
• Educational Services: Knowledge and Human Development Authority (KHDA)
• Security Services: Dubai Police
• Real Estate: Dubai Land Department (DLD)
• Tourism: Dubai Department of Tourism and Commerce Marketing (DTCM)

Timeline Impact: External approvals add 7-21 days. Apply on Day 3 to run parallel with other processes.

Free Zone:

• Most activities don't require external approvals
• Free zone handles approvals internally
• Faster timeline (advantage of FZ)

Days 4-7: Legal Documentation

Day 4-5: Memorandum of Association (MOA) Preparation

Mainland LLC:

Required MOA Contents:

• Company name (Arabic and English)
• Registered address
• Business activities
• Capital amount
• Share distribution among partners
• Manager appointment and powers
• Profit distribution mechanism

Minimum Capital Requirements:

• Most activities: No minimum capital requirement
• Professional firms (legal, accounting): AED 300,000
• Financial services: AED 1 million+

Shareholders Structure:

• Limited Liability Company (LLC): 2-50 shareholders permitted
• One Person Company (OPC): Single shareholder (100% ownership)
• Shareholding can be 100% foreign (since June 2021)

Free Zone Company:

• Free Zone Establishment (FZE): Single shareholder
• Free Zone Company (FZC): 2+ shareholders
• Simpler MOA (free zone provides templates)
• Less stringent capital requirements

Day 6: Notarization

Mainland:

1. Draft MOA reviewed by approved legal firm
2. Notarization at Notary Public (DED-approved locations)
3. All shareholders must be present (or provide POA)
4. Cost: AED 2,000-5,000

Power of Attorney (POA): If shareholders cannot be present:

• POA must be notarized in shareholder's home country
• UAE Embassy attestation required
• Translation to Arabic if original not in Arabic
• This process adds 14-21 days if not prepared in advance

Free Zone:

• Simpler process (many free zones don't require notarization)
• Digital document signing often accepted
• Faster turnaround

Critical Insight: 63% of delayed company formations we encounter stem from POA issues. If shareholders are outside UAE, prepare and attest POA documents BEFORE starting the formation process.

Day 7: Office Space Lease Agreement

Why Required: All UAE company formations require proof of physical office/premises. No exceptions.

Mainland Requirements:

Office Space Options:

1. Ejari-Registered Office: Traditional office lease

   • Minimum 100-300 sq ft depending on activity
   • 12-month lease standard
   • Ejari registration required (AED 220)
   • Cost: AED 25,000-80,000/year (varies by location)

2. Business Center/Flexi-Desk: Shared office space

   • Lower cost option
   • Ejari-registered business centers
   • Cost: AED 12,000-35,000/year
   • Limited to certain business activities

3. Ejari-Registered Home Office: Limited cases

   • Only for certain professional activities
   • Requires landlord and Owners Association approval
   • Cost: AED 5,000-15,000/year

Required Documents:

• Tenancy contract (Ejari-registered)
• NOC from landlord for business use
• Office layout plan
• Title deed copy

Free Zone:

• Office packages bundled with license
• Flexi-desk: AED 10,000-25,000/year
• Small office: AED 25,000-60,000/year
• Warehouse/Industrial: AED 40,000-200,000/year
• Simpler process (all handled by free zone)

Days 8-14: License Application & Processing

Day 8-9: Submit Complete Application

Mainland Submission (DED):

Upload to DED portal or submit at Tas'heel center:

Required Documents Checklist:

• Completed application form
• Name reservation certificate
• Initial approval letter
• Notarized MOA
• Passport copies (all shareholders/managers)
• Passport-size photos (shareholders/managers)
• Ejari-registered tenancy contract
• Office layout plan
• External authority approvals (if applicable)
• Manager Emirates ID (if UAE resident)
• Share capital proof (bank statement)

License Fees (Mainland):

• Professional License: AED 15,000-25,000
• Commercial License: AED 15,000-30,000
• Industrial License: AED 20,000-40,000
• Tourism License: AED 25,000-50,000

Fees vary based on activity, location, and whether new or renewal

Free Zone Submission:

Required Documents:

• Application form (free zone-specific)
• Business plan (some zones require)
• Passport copies
• Bank reference letter (some zones)
• Share capital proof (if minimum required)
• Office lease agreement (via free zone)

License Fees (Free Zone):

• Single activity: AED 8,000-15,000
• Multiple activities: AED 12,000-25,000
• Industrial: AED 20,000-50,000

Plus office space costs

Day 10-12: DED Review Process

During this period, DED/Free Zone reviews your application for:

• Document completeness
• Activity-name alignment
• Office suitability for activities
• Shareholder eligibility
• Capital adequacy

Possible Outcomes:

• Approved: Proceed to payment and license issuance
• Query Raised: Respond within 48 hours or application may be cancelled
• Rejected: Typically due to activity restrictions or document issues

Common Query Reasons:

• Missing documents or poor quality scans
• Office space insufficient for declared activities
• Activity requires external approval not obtained
• Name-activity mismatch identified
• Capital declaration issues

Response Requirements:

• Submit clarifications via portal within 48 hours
• Upload corrected documents
• Provide additional information requested

Dubai Context: DED's review team processes 500+ applications daily. Complete, high-quality submissions move faster than those requiring queries.

Day 13-14: License Payment & Issuance

Upon Approval:

1. Receive Payment Invoice:

   • License fees
   • Innovation fees (AED 0-5,000)
   • Registration fees
   • Total: AED 15,000-50,000+ depending on license type

2. Payment Methods:

   • DED portal (credit card)
   • Bank transfer
   • Tas'heel center (cash/card)

3. License Issuance (same day or next business day after payment):

   • Trade License (digital + physical)
   • License contains: License number, activities, validity (1 year)
   • Instant Licence certificate (temporary until physical received)

Free Zone:

• Similar process but faster (24-48 hours typical)
• Digital license issued immediately
• Physical license couriered within 3-5 days

Days 15-18: Post-License Registrations

Your trade license is issued, but you're not done. Several mandatory registrations follow:

Day 15: Chamber of Commerce Membership

Why Required: Mandatory for all mainland businesses. Free zone companies optional but recommended.

Dubai Chamber of Commerce:

1. Visit Dubai Chamber or submit online
2. Submit trade license copy + shareholder passports
3. Pay membership fee: AED 1,000-3,000 (annual, based on activity)
4. Receive membership certificate (same day)

Benefits:

• Required for visa processing
• Certificate of Origin issuance
• Access to business networks
• Governmental tender participation

Day 16: Emirates ID & Visa Application

For Company Owners/Partners:

1. Medical Fitness Test:

   • Book at approved medical center
   • Cost: AED 300-500 per person
   • Results: 24-48 hours
   • Valid 3 months

2. Emirates ID Application:

   • Submit via authorized typing center
   • Provide: Photo, trade license, medical, passport
   • Biometrics at registration center
   • Cost: AED 370 (2 years) or AED 770 (3 years)
   • Processing: 7-10 days

3. Visa Processing:

   • Investor visa (mainland owners): 2-3 years
   • Partner visa (free zone): 2-3 years
   • Cost: AED 5,000-8,000 per person (all-inclusive)

Visa Allocation:

• Mainland LLC: Visas based on office size and capital

  • Small office (100-200 sq ft): 2-4 visas
  • Medium office (200-500 sq ft): 5-10 visas
  • Large office (500+ sq ft): Unlimited (with quota approval)

• Free Zone: Visa allocation per license package

  • Flexi-desk: 1-3 visas
  • Small office: 4-6 visas
  • Medium/Large: 10+ visas

Day 17-18: Corporate Bank Account Opening

Required for Business Operations:

UAE Bank Account Requirements:

• Trade license copy
• MOA/Share certificate
• Emirates ID (shareholders/signatories)
• Passport copies
• Proof of address (shareholders)
• Business plan (some banks)
• Initial deposit: AED 5,000-25,000 (varies by bank)

Popular Banks for SMEs:

• Emirates NBD: Most popular, fastest processing
• Dubai Islamic Bank: Sharia-compliant, good for SMEs
• ADCB: Competitive fees
• Mashreq Bank: Startup-friendly
• RAK Bank: Fast approvals

Timeline:

• Application submission: Day 17
• Bank visit for signatures: Day 17-18
• Account approval: 3-5 business days
• Debit card issuance: 7 days

Banking Challenge: Bank account opening has become the slowest part of company formation. In our experience (28,000+ companies formed), prepare a comprehensive business plan, clear source of funds documentation, and expect 3-5 bank visits. Pre-arrange appointments to avoid walk-in queues.

Days 19-21: Final Compliance & Activation

Day 19: VAT Registration (if applicable)

Mandatory VAT Registration if:

• Taxable supplies > AED 375,000 annually
• Expected to exceed threshold in next 30 days

Voluntary VAT Registration:

• Taxable supplies > AED 187,500
• Beneficial for input tax recovery

Process:

1. Create account on FTA portal (eMarTax.gov.ae)
2. Upload trade license, MOA, bank details
3. Submit application
4. Receive TRN within 20 business days
5. Display TRN on invoices

Cost: Free (no registration fee)

Day 20: Corporate Tax Registration

Required for all businesses (effective June 2023):

1. Register on EmiraTax portal
2. Upload corporate documents
3. Receive Tax Registration Number (TRN)
4. Timeline: 20 business days

Registration Deadline:

• Within 3 months of license issuance (new companies)
• Before first tax return filing deadline

Related: Complete Corporate Tax Registration Guide

Day 21: Business Activation & Operations

Final Checklist Before Trading:

• Trade license received and verified
• Chamber membership certificate obtained
• Bank account active (cheque book received)
• Corporate signage ordered (legal requirement)
• VAT registration complete (if required)
• Corporate tax registration submitted
• Emirates ID application in process
• Accounting software setup
• Invoice templates created (with TRN)
• Statutory registers established

You can now:

• Issue official quotations and invoices
• Sign contracts with customers/suppliers
• Open additional bank accounts if needed
• Hire employees (after visa quota confirmed)
• Apply for additional business permits/approvals

Complete Document Checklist

For All Company Types

Shareholder Documents:

• Passport copy (full, color, valid >6 months)
• Passport-size photos (white background, 2 copies each)
• Proof of address (utility bill <3 months)
• Emirates ID (if UAE resident)
• Bank reference letter (some cases)
• Police clearance (for some activities)

Company Documents:

• Completed application form
• Trade name reservation certificate
• Memorandum of Association (notarized)
• Tenancy contract (Ejari-registered for mainland)
• Office layout plan
• No objection letter from landlord

Financial Documents:

• Share capital proof (bank statement)
• Initial deposit confirmation (bank account)

Additional (Activity-Specific):

• Professional qualifications/degrees (professional licenses)
• Experience certificates (3-5 years for consultancies)
• Regulatory approvals (healthcare, education, etc.)
• Industry-specific certifications

Mainland-Specific

• DED initial approval
• External authority approvals (if required)
• Ejari registration certificate
• Title deed copy (office premises)

Free Zone-Specific

• Free zone application form
• Business plan (some zones require detailed plans)
• Bank reference letter (DMCC, DIFC require)
• Lease agreement (free zone office)

Common Delays & How to Avoid Them

Based on 37 years forming companies in Dubai, these are the top delays we've identified:

1. Trade Name Rejection (Adds 2-5 Days)

Common Causes:

• Name too similar to existing companies
• Prohibited words without permission
• Activity-name mismatch

Solution:

• Submit 5 name options ranked by preference
• Research existing companies in DED database before proposing
• Align name with business activity clearly
• Avoid generic names ("Excellence Trading LLC")

2. Power of Attorney Issues (Adds 14-30 Days)

Common Causes:

• POA not attested properly in home country
• POA doesn't include specific powers required by UAE
• Missing UAE embassy attestation

Solution:

• Prepare POA before starting formation process
• Use DED-approved POA template
• Complete full attestation chain: Notary → Foreign Ministry → UAE Embassy → UAE Ministry of Foreign Affairs
• Consider traveling to UAE for signing instead

3. Office Space Challenges (Adds 5-14 Days)

Common Causes:

• Ejari registration delays
• Landlord refuses NOC for business use
• Office size insufficient for planned activities
• Residential unit used for commercial activity

Solution:

• Use pre-approved business centers (guarantee Ejari)
• Verify business use permission before signing lease
• Match office size to visa requirements from day 1
• Avoid residential apartments for commercial licenses

4. External Approval Delays (Adds 7-45 Days)

Common Causes:

• Healthcare: DHA approval requires detailed facility plans
• Education: KHDA approval requires curriculum details
• Food: Municipality approval requires facility inspection

Solution:

• Start external approval applications on Day 1 (parallel process)
• Prepare detailed documentation (business plans, facility layouts)
• Use specialized consultants for complex approvals
• Consider simpler activity classification if timing critical

5. Bank Account Opening Delays (Adds 7-21 Days)

Common Causes:

• Incomplete documentation
• Unclear business model explanation
• Source of funds concerns
• Multiple bank rejections

Solution:

• Prepare comprehensive business plan (even if bank doesn't explicitly require)
• Clear source of funds documentation for all shareholders
• Consider business banking specialists for complex cases
• Build relationship with bank before application
• Book appointments instead of walk-ins

What Others Won't Tell You: ~40% of company formations experience bank account opening as the critical path bottleneck. While company formation itself completes in 21 days, first transaction can be delayed 30-45 days waiting for bank accounts. We recommend starting bank relationship discussions before license issuance and having shareholders present in UAE during account opening week.

Costs Breakdown: Complete Budget

Mainland Company Formation Costs

Government Fees:

• Name reservation: AED 620
• Initial approval: AED 1,000-3,000
• Trade license: AED 15,000-40,000 (depending on activity/location)
• Chamber membership: AED 1,000-3,000

Legal & Documentation:

• MOA drafting: AED 2,000-5,000
• Notarization: AED 2,000-5,000
• Typing center services: AED 500-1,000

Office Space (Annual):

• Business center flexi-desk: AED 12,000-35,000
• Small office (100-200 sq ft): AED 25,000-60,000
• Medium office (200-500 sq ft): AED 40,000-100,000
• Ejari registration: AED 220

Visa & Emirates ID (per person):

• Medical fitness: AED 300-500
• Visa processing: AED 3,000-5,000
• Emirates ID (3 years): AED 770
• Typing services: AED 500-1,000

Total Mainland Formation: AED 45,000-120,000 (first year, including office)

Free Zone Company Formation Costs

Free Zone Fees (varies by zone):

• License fee: AED 8,000-25,000
• Registration fee: AED 1,000-5,000
• Immigration card: AED 2,000-5,000
• Share capital (some zones): AED 50,000-1,000,000 (deposited, can be used)

Office Space (Annual):

• Flexi-desk: AED 10,000-25,000
• Small office: AED 25,000-60,000
• Medium office: AED 40,000-100,000
• Warehouse: AED 50,000-200,000+

Visa Package (per person):

• Most free zones offer all-inclusive visa packages: AED 5,000-8,000

Total Free Zone Formation: AED 30,000-80,000 (first year, including office)

Optional/Additional Costs

• Professional consultancy: AED 5,000-15,000 (accelerates process, reduces errors)
• Corporate bank account (minimum deposit): AED 5,000-25,000
• Accounting software setup: AED 2,000-10,000
• Logo design & corporate identity: AED 2,000-15,000
• Website development: AED 5,000-50,000
• Business cards & stationery: AED 500-2,000

Industry-Specific Timelines

Standard 21-day timeline applies to most commercial/trading/consulting activities. These industries have extended timelines:

Healthcare/Medical (45-60 Days)

• DHA approval required: +21-30 days
• Facility inspection: +7-14 days
• Equipment approvals: +7-14 days
• Professional licensing: +7 days

Critical Path: DHA facility approval (most time-consuming)

Education/Training (45-75 Days)

• KHDA approval required: +21-45 days
• Curriculum approval: +14-21 days
• Facility compliance: +7-14 days
• Teacher licensing: +7-14 days

Critical Path: KHDA curriculum review (detailed requirements)

Food & Beverage (30-45 Days)

• Dubai Municipality approval: +7-14 days
• Food safety certificate: +7 days
• Facility inspection: +3-7 days
• FSSAI permits (if manufacturing): +14-21 days

Critical Path: Municipality facility inspection

Financial Services (60-90 Days)

• DFSA/SCA approval required: +30-60 days
• Compliance officer appointment: +7-14 days
• AML procedures review: +14-21 days
• Capital deposit verification: +7 days

Critical Path: Regulatory authority approval (extensive documentation)

Professional Services (Standard 21 Days)

• Legal, accounting, consultancy: No external approvals typically
• Follows standard timeline
• Professional qualifications verified

After Formation: Ongoing Compliance

Formation is just the beginning. UAE companies must maintain compliance:

Annual Obligations

License Renewal:

• Deadline: Before expiry (45-60 days advance recommended)
• Cost: Similar to initial license fee
• Requirements: Updated tenancy, no violations

Audited Financial Statements:

• Required: All mainland companies (except sole establishments <AED 1M revenue)
• Deadline: Within 90 days of financial year-end
• Appointment: Must appoint approved auditor
• Cost: AED 5,000-30,000 (depending on company size)

Related: External Audit Requirements UAE

Corporate Tax Return:

• Deadline: 9 months after financial year-end
• First return: For tax periods starting after June 1, 2023
• Requirement: All companies regardless of profit
• Related: Corporate Tax Deadlines 2025

VAT Returns (if registered):

• Frequency: Quarterly (most SMEs) or Monthly (>AED 150M revenue)
• Deadline: 28 days after period end
• Requirement: File even if no transactions (nil return)

Ongoing Costs (Annual)

• License renewal: AED 15,000-40,000
• Office rent: AED 12,000-100,000+
• Visa renewals: AED 5,000-8,000 per person
• Audited accounts: AED 5,000-30,000
• Accounting services: AED 12,000-60,000
• PRO services: AED 6,000-20,000

Total Annual Operating Costs: AED 60,000-200,000+ (depending on size)

Free Zone Comparison for Company Formation

Different free zones offer different advantages. Here's our quick selection guide based on 28,000+ companies formed:

Best Overall: DMCC (Dubai Multi Commodities Centre)

Best for: Trading, commodities, professional services

• Setup time: 3-5 days
• Cost: AED 30,000-50,000 (including flexi-desk)
• Visa allocation: 1-6 (based on office)
• Mainland trading: Yes (with local distributor)
• Advantages: Prestigious address, excellent infrastructure, fast processing

Best for Startups: Dubai Silicon Oasis (DSO)

Best for: Technology, innovation, startups

• Setup time: 5-7 days
• Cost: AED 20,000-35,000 (including flexi-desk)
• Visa allocation: 1-5
• Advantages: Lower costs, tech-focused community, startup support programs

Best for E-Commerce: Dubai CommerCity

Best for: E-commerce, online businesses

• Setup time: 3-5 days
• Cost: AED 25,000-40,000
• Advantages: E-commerce specific, logistics support, lower costs than DMCC

Best for Manufacturing: JAFZA (Jebel Ali Free Zone)

Best for: Industrial, manufacturing, logistics

• Setup time: 7-14 days
• Cost: AED 50,000-200,000+ (warehouse space)
• Advantages: Largest free zone, Jebel Ali Port access, customs advantages

Best for Professional Services: DIFC (Dubai International Financial Centre)

Best for: Financial services, legal, consulting

• Setup time: 14-21 days
• Cost: AED 50,000-150,000+ (higher-end)
• Advantages: Common law jurisdiction, financial services focus, prestigious

Best for Media/Creative: Dubai Media City / Dubai Production City

Best for: Media, advertising, production, creative

• Setup time: 5-7 days
• Cost: AED 25,000-50,000
• Advantages: Industry-specific, creative community, media infrastructure

Professional Formation Services

DIY formation is possible but risky. Common costly mistakes:

• Wrong business activity selection (limits operations, difficult to change)
• Insufficient visa quota (requires costly license upgrades)
• Inappropriate free zone selection (limits growth)
• Missing deadline (penalties, potential license cancellation)

Our Company Formation Services

We provide end-to-end company formation:

Business Structure Consulting: Mainland vs free zone, activity selection Document Preparation: MOA, applications, all paperwork Government Liaison: DED/free zone submissions, follow-ups Office Solutions: Pre-approved business centers, Ejari registration Banking Support: Bank introductions, account opening assistance Visa Processing: Medical, Emirates ID, visa stamping coordination Post-Formation Compliance: Accounting setup, audit, tax registrations

Timeline: 15-18 days (faster than DIY due to priority processing relationships)

Cost: AED 5,000-15,000 professional fees (saves AED 10,000-30,000 in mistakes/delays)

Call: +971 42 500 251 Email: info@auditfirmsdubai.ae Website: https://auditfirmsdubai.ae

Frequently Asked Questions

Q: Can I form a company in Dubai as a non-resident? A: Yes, 100%. You don't need UAE residency to form a company. You can be anywhere in the world. However, you (or your partner) will need to visit UAE for:

• Bank account signature
• Emirates ID biometrics
• Document signing (unless you prepare POA)

Many investors form companies remotely and visit Dubai once for 3-4 days to complete these steps.

Q: How long does company formation really take? A: Realistic timeline:

• Straightforward trading/consulting: 21-30 days
• With external approvals: 45-60 days
• Complex activities (healthcare, education, financial): 60-90 days
• Bank account opening adds: 7-21 additional days

The "form company in 48 hours" claims you see advertised refer only to license issuance after all documents are readynot the complete end-to-end process.

Q: What's the minimum cost to form a company in Dubai? A: Absolute minimum (free zone flexi-desk, single shareholder, no frills):

• Free zone license: AED 10,000
• Flexi-desk office: AED 12,000
• Visa processing: AED 6,000
• Total: AED 28,000-35,000 (first year all-inclusive)

Realistic budget (proper setup): AED 45,000-60,000

Q: Do I need a local sponsor/partner in Dubai? A: No (as of June 2021 for most activities). UAE law now permits 100% foreign ownership for mainland companies in most commercial, professional, and industrial activities.

Exceptions still requiring UAE national partners:

• Strategic activities (oil & gas exploration)
• Some utilities
• Certain defense-related activities

95% of new company formations now have 100% foreign ownership.

Q: Can I run business from home in Dubai? A: Technically yes, but practically difficult.

Requirements:

• Landlord permission (most refuse)
• Owners Association approval (many refuse)
• Ejari registration for commercial use
• Activity must be professional/consultancy (no trading, retail, food)
• Limited to certain free zones (some allow virtual offices)

Recommendation: Use business center flexi-desk (AED 12,000-25,000/year) for hassle-free compliance.

Q: How many visas can my company sponsor? A: Mainland: Based on office size and capital

• Small office (<200 sq ft): 2-4 visas
• Medium office (200-500 sq ft): 5-10 visas
• Large office (>500 sq ft): 10+ visas
• Additional quota requests possible with justification

Free Zone: Based on license package

• Flexi-desk: 1-3 visas
• Small office: 4-6 visas
• Medium/large: 10+ visas

Q: Can I change business activity after formation? A: Yes, but it requires license amendment:

• Submit amendment request to DED/free zone
• Pay amendment fees: AED 1,000-5,000
• May require new approvals if different activity category
• May require larger office space
• Timeline: 5-10 days
• Easier to select comprehensive activities from the start

Your Next Steps

Ready to form your Dubai company? Follow this action plan:

Week 1: Planning

• Decide mainland vs free zone based on business model
• Research free zones if choosing FZ route
• Prepare 5 potential business names
• List all intended business activities
• Calculate capital requirements
• Budget for formation costs (AED 45,000-120,000)

Week 2: Documentation

• Gather shareholder passports (valid >6 months)
• Prepare proof of address for all shareholders
• If shareholders cannot visit: Prepare POA (attest in home country)
• Draft initial business plan
• Identify office space options

Week 3-4: Execution

• Submit name reservation
• Apply for initial approval
• Engage typing center or PRO service
• Sign office lease/Ejari
• Prepare and notarize MOA
• Submit complete application
• Pay license fees upon approval

Week 4-5: Post-License

• Apply for Chamber membership
• Submit visa applications
• Book medical fitness tests
• Open corporate bank account
• Register for VAT (if applicable)
• Register for corporate tax

Week 6+: Activation

• Receive trade license
• Activate bank account
• Set up accounting system
• Hire employees (if planned)
• Start trading

Professional Support Available:

Our team handles the entire process while you focus on your business. With 37 years of Dubai experience and 28,000+ companies successfully formed, we navigate the bureaucracy so you don't have to.

Contact us today for a free consultation on your Dubai company formation.

Call: +971 42 500 251 Email: info@auditfirmsdubai.ae

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