FAQs
Frequently Asked Questions
How Long Does It Take to Register a Company in Dubai?
Setting up a company in Dubai can take as little as 3–10 working days, depending on the type of business license, documentation, and jurisdiction selected.
We help you fast-track the process with expert preparation.
Can I Own 100% of My Business in the UAE?
Yes. Most business activities in Mainland and all activities in Free Zone jurisdictions now allow 100% foreign ownership, without the need for a local sponsor. However, for a few strategic sectors in the Mainland, a UAE national partner may still be required.
What’s the Difference Between a Mainland Company and a Free Zone Company in Dubai?
Choosing between Mainland and Free Zone depends on your goals. Mainland companies can trade across the UAE and work with government entities. Free Zones offer cost-effective setups, ideal for international trade, service and consultancy businesses. We’ll guide you to the best option for your needs
Features
- Business Scope
- Business Activities
- 100% Ownership
- Corporate Tax
- VAT
- Office Requirement
- Visa Eligibility
- UAE Market Access
- Setup Cost
- Setup Process
- Ideal For
Mainland Company
- Trade within UAE and internationally
- Wider range (including retail, services)
- Allowed for most activities
- 9% on profits above USD 100,000
- 5% VAT on most activities
- Physical office space mandatory
- Unlimited visas (based on office size)
- Full access, government contracts possible
- Generally higher starting from ~ USD 6,500
- Physical presence required
- Businesses targeting UAE market, government contracts
Free Zone Company
- Mainly Free Zone and international trade
- Limited (mainly services, trading)
- Allowed for all activities
- 0% for qualifying income; 9% if not
- 0% VAT for overseas activities; 5% if not
- Flexible (office or flexi-desk options)
- Limited visas (depends on package)
- No direct UAE market access (via distributor)
- More cost-effective starting from ~ USD 3,500
- Fully online
- International businesses, startups, consulting and tech companies
Mainland Company
Advantages:
- Access to the entire UAE market
- Ability to work directly with UAE government projects
- 100% foreign ownership for most activities
- More prestigious for certain industries
Disadvantages
- Higher setup and operational costs
- Mandatory physical office space
- Longer setup process with additional approvals
Free Zone Company
Advantages:
- Lower setup costs and simplified online registration
- 100% foreign ownership for all activities
- Ideal for online businesses, consulting, and international trade
- Possibility of 0% taxation if certain conditions are met
Disadvantages
- Limited ability to trade directly inside the UAE (requires a local distributor)
- Not ideal for businesses needing government contracts
Not sure which option suits you best? Book a free consultation and we’ll guide you.
What Should I Know About the UAE Tax System?
- Value Added Tax (VAT) :
A federal VAT of 5% applies to most goods and services, with certain items taxed at 0% or exempt. All businesses must register for VAT if annual taxable turnover exceeds USD100,000, and may register voluntarily if above USD50,000. Registration is mandatory even for zero-rated or exempt activities.
- Income Tax:
There is no personal income tax in the UAE – salaries, dividends, and other personal earnings are fully tax-free. - Corporate Tax:
Effective June 2023, a 9% Corporate Tax applies to business profits exceeding approximately USD100,000. Small businesses earning below this threshold are exempt. Eligible Free Zone companies can maintain a 0% Corporate Tax rate if they meet the criteria. All businesses, including Free Zone entities and those claiming exemptions, must register with the UAE Federal Tax Authority.
Are Free Zone Companies Fully Tax-Free?
Some Free Zone companies may qualify for 0% VAT or exemption if specific conditions are met.
But, if a Free Zone company regularly trades within the UAE, Corporate Tax (9%) and VAT (5%) may apply.
What Documents Are Needed to Start a Company?
Typical documents include:
Passport copies of shareholder(s) and director(s)
Business activity details
Company name options
Our team provides a full checklist and assists you with document preparation.
Do I Need to Be Physically Present in Dubai to Setup a Company?
In many cases, company formation can be initiated remotely. However, for residenct visa, bank account opening, and final approvals, a short visit may be required.
We will guide you through each step.
How Much Does It Cost to Open a Company in Dubai?
Free Zone setups can start from approximately US$3,500, while Mainland licenses vary based on activities and location.
Exact pricing depends on your business structure and needs. Use our Business Setup Cost Calculator for a personalized quote based on your specific needs, or book a free consultation.
