Setting Up a Company in Dubai: What You Need to Know Before You Start

There’s a reason why so many entrepreneurs, investors, and professionals choose Dubai when they want to launch a business. It’s not just the tax advantages or the shiny towers — it’s the energy of the place. It’s the access to global markets. It’s the sense that anything is possible.

But Setting up a company in dubai isn’t as simple as filing a form and getting a license. It’s not complicated — if you know what you're doing. But that’s the problem: most people don’t.

At A&H Consultants, we’ve helped countless clients open businesses in Dubai — from small consultancies and tech startups to logistics companies and retail outlets. And if there’s one thing we’ve learned, it’s this: no two businesses are the same, and the setup process should never be one-size-fits-all.

First: Decide Why You’re Setting Up in Dubai

It sounds obvious, but it’s often skipped. Are you moving here to live and operate full-time? Are you just looking for a regional presence? Do you need a visa? Are you targeting local clients or international ones?

Your answers to those questions will directly impact:

The kind of license you need

Whether you choose mainland or free zone

What documents and approvals you’ll require

How long the process will take

So before anything else — know your objective.

Mainland or Free Zone? That’s the First Big Choice

One of the biggest decisions you'll need to make is where to set up: in the mainland or in a free zone.

Free Zone:

100% foreign ownership

No need for a local sponsor

Easier setup in many cases

Often includes office space in the package

But — you’re usually restricted from directly doing business with the UAE mainland (unless through a distributor or agent)

Best for: international trade, consulting, e-commerce, and services not targeting local consumers.

Mainland:

Can trade anywhere in the UAE

Can take government contracts

Now allows 100% foreign ownership in many activities (no sponsor required for most sectors)

Requires more regulatory compliance

Best for: retail, restaurants, construction, logistics, and service businesses with UAE-based customers.

There’s no universal “best” — it depends on your business model. At A&H Consultants, we help you figure out which structure suits your goals — not just what’s easiest on paper.

The Paperwork Isn’t Complicated — If You Do It Right the First Time

One of the most common complaints we hear from people who try to set up their company themselves or through low-cost “agents” is this: they didn’t know what they were signing up for.

Either the license didn’t match their real business activities, or the visa options were limited, or they were locked into an expensive office lease. It’s usually not fraud — just bad advice.

Here’s what’s typically involved in a proper setup:

Deciding your business activity (or activities)

Choosing the right jurisdiction (Dubai mainland, DMCC, Dubai South, etc.)

Choosing your company name and getting initial approval

Preparing documents (passport copy, photos, application forms, etc.)

Submitting for license approval

Visa application (if needed)

Opening a corporate bank account

Sounds simple? It can be — but missing a single step or choosing the wrong activity code can lead to major delays.

What About Costs?

This is one of the most common questions we get: “How much does it cost to start a business in Dubai?”

The honest answer? It depends.

Costs vary based on:

The type of license (commercial, professional, industrial)

The jurisdiction (some free zones are more affordable than others)

Visa requirements (some packages include visa quotas, others don’t)

Office space (mandatory in most mainland setups)

Roughly speaking:

A simple free zone setup can start from AED 12,000–15,000.

A mainland license (with a visa) can range between AED 15,000–25,000 or more depending on activity.

But don’t just look at cost. Look at value. We’ve had clients go for the cheapest package, only to find they couldn't operate legally or access the services they needed.

Opening a Bank Account: The Silent Hurdle

A lot of people don’t realize this until it's too late: opening a business bank account in the UAE is not always easy.

Banks will want to understand your business activity, cash flow projections, source of funds, and often request your personal financial history as well. If your setup isn’t clean or your documents aren’t clear, your application can drag on for weeks — or be rejected outright.

This is where working with experienced consultants helps. We know what banks are looking for. We help you prepare everything properly. And in many cases, we introduce you directly to the right banking contacts.

Final Thought

The process of Setting up a company in dubai can be smooth, fast, and efficient — if you know what you’re doing. But if you rush, skip details, or get bad advice, it can turn into a costly mess.

At A&H Consultants, we don’t just process your paperwork. We sit with you, understand your vision, and guide you through every step. We explain what you’re signing, help you make long-term decisions, and stay with you even after setup — with accounting, VAT, compliance, and more.

Thinking of setting up your company in Dubai? Let’s talk. We’ll give you honest answers, clear pricing, and a roadmap that’s tailored to your business — not a template.