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Requirements for establishing a company in Dubai

١٠ يناير Requirements for establishing a company in Dubai

Establishing a company in Dubai is a strategic and important step for many entrepreneurs and investors around the world. Dubai is one of the most prominent global destinations for business, thanks to its distinguished geographical location, advanced infrastructure, and flexible economic environment. Dubai is a vital economic hub that attracts companies from all over the world, providing a favorable business environment and advanced facilities that allow companies to grow and prosper.

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In addition to these advantages, Dubai offers many flexible systems for establishing companies, whether in free zones or commercial zones. Foreigners can establish companies with up to 100% ownership in free zones, giving them complete flexibility in managing the business without the need for a local partner. Dubai also offers attractive tax exemptions for new companies, which enhances the opportunities for profit and growth.

The procedures for establishing a company in Dubai are easy and fast, as entrepreneurs can take the necessary steps to register the company and obtain commercial licenses in record time. With strong government support and advanced commercial facilities, Dubai is the ideal choice for many startups and international businesses.

In this article, we will discuss the most important steps required to establish a company in Dubai, from choosing the type of activity to the required legal procedures, in addition to the associated costs. We will also discuss the advantages that Dubai offers to encourage investments, making it an ideal hub for business opportunities in the Middle East.

Requirements for establishing a company in Dubai

Establishing a company in Dubai requires compliance with a set of legal and administrative requirements. Here is a general list of some of the requirements that are usually necessary to establish a company in Dubai:

Choosing the type of company: Determining the legal structure of the company such as a limited company, partnership, or sole proprietorship.

Company name: Choosing a unique name for the company and ensuring that it complies with the company naming laws in Dubai.

Company activity: Determining the company’s activity and the commercial activities that you intend to practice.

Registered address: Providing a correct registered address for the company’s office in Dubai.

Capital: Determining the capital required to establish the company and its conditions.

Articles and contracts: Preparing the company’s articles of association and the necessary official contracts.

Licenses and permits: Obtaining the necessary licenses and permits to practice the company’s activity in Dubai.

Work permit: Obtaining the work permit necessary to start the business.

Tax registration: Registering the company with the tax authorities and complying with tax controls.
Commercial Register: Register the company in the local commercial register.
Commercial Bank: Open a commercial bank account in the name of the company.
Company Insurance: Insure the company according to the requirements of the local authorities.
Compliance with local laws: Comply with all relevant local laws and regulations.

Dubai Company Formation Fees

The fees for establishing a company in Dubai vary based on several factors such as the type of company, location, and size of the business. Here are some points that determine the fees in general:

Type of company: Companies established in free zones are often less expensive than companies established within Dubai itself (such as limited liability companies). Limited liability companies may require additional fees compared to free zones due to capital requirements.
Place of incorporation: If you choose to establish the company in a free zone, the fees may include licensing, office rental, and some government registration fees. Companies established within Dubai require additional procedures such as registering the company with the Department of Economic Development, which may increase the costs.
Support services: Fees may include additional costs such as office rental, commercial registration, licensing fees, as well as service fees for legal or consulting agencies that help in establishing the company.
Number of partners and employees: If the company requires a large number of partners or employees, these factors may affect the final cost of incorporation, as you may need additional licenses or special permits.
Other government procedures: Other fees may include employee insurance, residence visa fees, and health permit fees for some business activities.

Licenses required to set up a company in Dubai

To set up a company in Dubai, you usually need to obtain some licenses and permits necessary to conduct your business activities legally. Here is a list of some common licenses that you may need when setting up a company in Dubai:

Company License: A license that proves the legitimacy of the company and its right to conduct business activities.
Building License (If the company owns a building): If the company owns a commercial building, you may need a building license issued by the local authorities.
Advertising and Advertisement Permits: You may need special permits to display advertising banners or conduct advertising campaigns.
Professional License: If you practice a specific profession, you may need a professional license for that.
Work Permit: You must obtain a work permit issued by the government authorities to employ workers in the company.
E-commerce License (If your business is online): If your business is online, you may need a special license for e-commerce.
Environmental and Health Licenses: You may need special licenses if your activities require compliance with specific environmental and health standards.
Food and Beverage License (If the company is in this sector): If your company operates in the food and beverage industry, you may need a special license.

Itqan Company Services for Establishing a Company in Dubai

Itqan Company provides a range of integrated services for establishing companies in Dubai, and specializes in facilitating the process of starting a business and achieving success in the UAE market. Here are its most prominent services:

Legal and commercial consultations: Itqan Company provides specialized consultations on the best legal structures that suit your type of business, whether it is a limited liability company (LLC) or a free zone company, in line with local and international regulations.

Establishing companies in free zones: Itqan Company helps in registering companies in free zones in Dubai such as “Dubai South”, “DAFZA” and “JAFZA”, which provides various business opportunities and significant tax benefits.
Procedures for obtaining a commercial license: Itqan Company facilitates the procedures necessary to obtain a commercial license in Dubai, including preparing all necessary documents and ensuring that they comply with local requirements.
Finding Rental Offices: Itqan provides office rental solutions in Dubai that suit the needs of businesses, including virtual offices or ready-made offices, making it easier for businesses to start their operations quickly.
Opening Business Bank Accounts: It helps in opening bank accounts for companies in Dubai, and provides advice on banks that provide the best services for businesses.
Visa and Residency Services: Itqan provides work and residency visa services for foreigners, making it easier for qualified employees to move to Dubai.
Ownership Transfer Procedures and Digital Transformation Solutions: It provides company ownership transfer services and digital transformation solutions to ensure that businesses are integrated with the latest technologies.

In conclusion, establishing a company in Dubai is a strategic and fruitful step for investors from all over the world, thanks to the advanced business environment and unique advantages that the city offers. From its strategic location to tax exemptions and legislative benefits, Dubai provides a strong and supportive platform for businesses, whether they are startups or global companies looking to expand into new markets.

Establishing a company in Dubai can be an attractive option, as the opportunities vary to suit all types of business activities, from e-commerce and financial services to industry and logistics. Companies established in Dubai enjoy great facilities, including the possibility of full foreign ownership in free zones, and an environment that encourages innovation and growth. Registration procedures are also quick and simple, allowing investors to start quickly and achieve success.

On the other hand, investing in Dubai is an opportunity to grow in an open and thriving market, as it provides great potential to access the markets of the Middle East, North Africa and Asia. In addition, the continuous government support and initiatives that support entrepreneurs contribute to strengthening the culture of entrepreneurship and innovation in the city.

When considering establishing a company in Dubai, investors and business advisors should consider aspects such as choosing a location, compliance with legal requirements, and access to qualified human resources. In short, establishing a company in Dubai is a smart move for individuals and ambitious companies looking for a thriving business environment and unlimited growth opportunities.

Top FAQs about setting up a company in Dubai

What types of licenses are available to set up a company in Dubai?
Licenses vary depending on the type of business activity, such as a commercial, industrial, or professional license. The appropriate license should be chosen according to the nature of the work.

Can foreigners set up a company in Dubai?
Yes, foreigners can set up companies in Dubai, whether in the free zones or the mainland, as the authorities allow foreign ownership of up to 100% in some free zones.

Are there tax breaks for companies?
Dubai offers several tax incentives, such as tax exemptions for up to 50 years in some free zones, in addition to no income tax on companies in many sectors.

How long does it take to set up a company?
The company set-up process usually takes from a few days to a few weeks, depending on the type of activity, legal structure, and location.