How much does it Cost to Start a Business in Dubai?

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Dubai is not a city; it's a dreamland for Australian business people. With its booming economy, tax-friendly incentives, and international-standard infrastructure, no wonder thousands of them prefer Dubai to give life to their business ideas. 


Whether you're a first-time founder or a seasoned business owner, the city offers unparalleled global access.However, before you dive in, let’s discuss one of the most critical things you need to know: the Cost of Starting a Business in Dubai. 

 

Knowing precisely how much it will cost to start a business here will keep you from being caught off guard down the line and enable you to make wise, strategic decisions.In this comprehensive guide, we'll take you through the Dubai company setup cost step by step, so you know what to anticipate and can begin your entrepreneurial journey with complete confidence.

 

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FREE Consultation Get a tailored, transparent cost breakdown from our experts.
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All-Inclusive Packages Affordable Free Zone options starting from AED 12,900*
100% Ownership Guaranteed full ownership for most activities.
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Factors That Determine Business Setup Expenses in Dubai

 

When drafting your business expansion plan from Australia, it is crucial to realize the major factors that directly influence the overall Business setup cost in UAE. Each firm differs from the other, and hence your ultimate Dubai company setup expense will rely on the following decisions:

 

1. Jurisdiction: Free Zone, Offshore, or Mainland

 

Your operational zone of choice largely determines your cost profile and business range.

 

Dubai Mainland: Offers unhindered access to the UAE local market. Tends to have higher licencing costs and usually a physical office, which contributes to your total cost of doing business in Dubai.

Dubai Free Zone: The most affordable business setup in Dubai. Provides 100% foreign ownership, 100% repatriation of profits, and tax-free status. Free Zones are perfect for service and international trade businesses, with flexible office solutions such as Flexi-desks.

Offshore Company: The cheapest option for businesses that require a UAE address for international activities or asset holding but no physical presence or visas.

 

2. Type of Business Activity & Trade License Fee

 

The type of your business has a direct impact on the Dubai trade license fee.

Professional License: (For services, consultancies, and IT) Usually has the least expensive annual Professional license fee in Dubai.

Commercial License: (For trading, retail, and sales) Tends to have a higher annual fee.

Industrial License: (For production/manufacturing) Needs extra approvals and tends to have the highest price tag.

 

3. Office Space Needs and Visa Limit

 

Office leasing is the most important aspect.

 

Mainland: Must have a physical office registered with Ejari (compulsory tenancy agreement).

 

Free Zone: Provide affordable Flexi-desks or common workstations, which slash the Dubai Free Zone setup fee significantly and qualify you for an Investor Visa. The number of visas that can be applied for is dependent directly on your space size.

 

4. Number of Visas Needed

 

The more employees and partners you plan to sponsor, the higher the total cost. Each visa comes with mandatory government fees, medical tests, Emirates ID costs, and is a key part of the total Dubai investor visa cost.

 

What is the Cost of Starting a Business in the UAE?

 

The average cost of starting a business in Dubai can range widely depending on your structure. A very economical zero-visa Free Zone package can begin from AED 9,000*, whereas a full-fledged Mainland setup with an office and a single visa can cost anywhere from AED 30,000* to AED 50,000*.

 

Following is a concise summary of approximate UAE business setup prices for the best-sought options:



1. Mainland Company Setup Cost in Dubai (LLC)

 

Setting up a Mainland company enables entrepreneurs to trade across the UAE without any limitations.

 

Cost Component (Commercial License Estimate) Initial Approval & Name Reservation MOA Notarisation (Legal Document) Commercial Trade License Cost Office Rent & Ejari Registration Investor Visa (3-year validity) Estimated Total 1st Year Cost (1 Visa)
One-Time Fees (Approx.) AED 740 – AED 1,000 AED 1,000 – AED 2,000 AED 220 (Ejari) AED 4,000 – AED 6,000 AED 5,960 – AED 9,000
One-Time Fees (Approx.) AED 10,000 – AED 14,000 AED 15,000 – AED 30,000+ AED 25,000 – AED 44,000+

 

Key Takeaway: The most expensive component is the Office Rent/Ejari. This compulsory requirement from Mainland companies greatly adds to the overall expenditure in comparison to a Free Zone.

 

2. Free Zone Business Setup Cost in Dubai (FZC)

 

Setting up a business in a Dubai Free Zone is one of the least expensive and most flexible means of opening your company, particularly if you are looking for the lowest cost business setup in Dubai.

 

Free Zone Type & License (Example) Package Cost (1 Year) Visa Quota Notes
Zero Visa License Package AED 9,000* – AED 15,000* 0 Ideal for remote, holding, or non-resident owners.
1-Visa Flexi-Desk Package AED 17,000* – AED 25,000* 1 Best for owner-operated ventures; includes a Flexi-desk/co-working space.
2-Visa Office Package AED 28,000* – AED 40,000* 2 Suitable for small teams needing basic office presence.

 

Additional Costs in Free Zone Cost (Approx.)
Investor Visa Setup (per person) AED 3,500 – AED 6,000
Company Registration & Admin Fees AED 2,000 – AED 4,000

 

Key Takeaway: Free Zones are extremely scalable. You can begin with a low-price, zero-visa package and then move up as your business demands.

 

3. Offshore Company Formation Fees in the UAE

For low-budget asset holding or international invoicing without UAE rights of trade.

 

  • Approx. Establishment Fee: AED 12,000* – AED 20,000*
  • Advantages: No office needed, no visa eligibility, very confidential.

 

Start your Business with Flyingcolour®

 

Business SetupWe know how confusing it can be to determine the cost of setting up a business in Dubai.

 

Being the UAE's top business setup consultants for more than 20 years, Flyingcolour® delivers clarity, transparency and confidence.

 

We guide you to the most cost-effective structure that is ideally suited for your Australian-based business strategy.

 

We Streamline Your Costs & Compliance:

 

Personalised Cost Breakdown:

 

We provide you with a complimentary, tailored quotation outlining every government charge, license fee, and visa cost depending on your activity.

 

One-Stop Solution:

 

From preliminary name approval and preparation of necessary documents to processing your visas and helping you open your bank account—we do it all.

 

Competitive Free Zone Packages: We have special partnership pricing with all prominent Free Zones (IFZA, Meydan, DMCC, etc.), providing you with the best possible price for your Dubai Free Zone business setup cost.Investor Protection.



Contract: For Mainland setups with a Local Service Agent requirement, Flyingcolour® offers you a court-apostatographed Investor Protection Contract to guarantee 100% financial and operational control over your company.Don't let setup fees be an obstacle.

 

Schedule a FREE consultation with a Flyingcolour® specialist today to have your exact cost estimate and learn our current budget-friendly packages.

 

FAQs:

 

Q1. What is the minimum initial cost of a business license in Dubai?

The minimum business setup in Dubai begins with a Zero-Visa Free Zone License or a Freelancer Permit, which can be availed for as low as AED 9,000* to AED 12,000* annually. These economical options suit solo consultants and entrepreneurs who may not need instant UAE residency.

 

Q2. Is the Dubai investor visa cost included in the total setup fee?

It depends on the package. Basic license packages often exclude visa fees. When reviewing your quote, ensure the cost of the Investor Visa (AED 3,500 – AED 6,000), medical test, and Emirates ID are all clearly itemised and accounted for to calculate your true Dubai investor visa cost.

 

Q3. In what ways does Flyingcolour® save me money on my Business setup fee in UAE?

Flyingcolour® saves you money by: Avoiding Costly Mistakes: Managing complicated documentation and regulatory procedures properly the first time. Best Choice of Jurisdiction: Steer you clear of costly Mainland fees if a more affordable Free Zone option is available for your needs.Special Offers: Offering license packages through our affiliations that are frequently less costly than applying in-house.

 

Q4. How much does it cost me on an annual recurring basis to renew my Professional license fee in Dubai?

The annual renewal fee is usually the same as the original yearly license fee, which for a Professional license fee in Dubai is about AED 5,600 – AED 8,000 in the Mainland. Don't forget to include the annual office rent cost (Ejari) or Free Zone Flexi-desk.

 

Q5. How long does it take to register the company formation process?

With Flyingcolour®'s streamlined process, a Free Zone company can be registered and licensed in 3 to 7 working days. The entire process, including the Investor Visa issuance, normally takes 15 to 25 working days in total.

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