Dubai is considered one of the most prominent global destinations for investment and business, thanks to its vibrant commercial environment and modern infrastructure that provides great opportunities for growth and expansion. For foreigners wishing to enter the UAE market, Dubai provides a favorable business environment with a flexible legal system and distinct facilities for establishing companies. Establishing a company in Dubai for foreigners combines many advantages, starting from full ownership of companies in free zones, to tax exemptions and facilities for transferring profits. The city also provides a variety of business options that suit various activities, making it a starting point in establishing a company in Dubai

Ways to establish a company in Dubai for foreigners 2023
Establishing a company in Dubai for foreigners
Dubai is considered one of the most prominent business destinations in the world, thanks to its advanced investment environment and modern infrastructure. For foreigners wishing to establish a company in Dubai, the city provides a range of distinct opportunities that contribute to enhancing economic growth and expanding business scope. Establishing a company in Dubai combines the advantage of an encouraging tax system, flexible laws that support entrepreneurship, and simple procedures that facilitate the registration and operation process. Dubai also offers free zones with tax exemptions and trade facilities, making it an attractive option for foreigners wishing to enter global markets. In this article, we will review the steps for establishing a company in Dubai for foreigners, highlighting the advantages they can obtain, and the best practices to ensure the success of their project in this competitive environment.
When considering setting up a company in Dubai , foreign investors need to be aware of some of the basic steps and legal procedures required. First, you must determine the type of commercial activity and the legal system that suits the nature of the business, as you can choose between establishing a limited liability company, a branch of an existing company, or even a free company in one of the free zones.
Dubai free zones are an excellent choice for many foreigners, as they offer multiple benefits such as full foreign ownership, tax exemptions on profits, and easy transfer of profits abroad. Among the most prominent free zones that attract investors are the Jebel Ali Free Zone, the Dubai Airport Free Zone, and the Dubai Outsourcing Zone.
Types of companies in Dubai
In Dubai, different types of companies can be established depending on the type of business, ownership requirements, and location. Here are the most prominent types of companies in Dubai in tabular form:
Type | Main characteristics | Requirements |
---|---|---|
Limited Liability Company (LLC) | 51% local ownership, limited liability for partners, flexibility in distributing profits. | 51% local partner, commercial registration, office in Dubai. |
Free Zone Company | Full foreign ownership, tax exemptions, easy transfer of profits. | Office in a free zone, specific types of activities, special licenses. |
Branch of an international company | A branch of a company established outside the Emirates, whose activity may be identical to that of the parent company. | Branch registration, proof of parent company registration, office in Dubai. |
Public Joint Stock Company | To be able to list its shares on the financial market, it needs to be established on a large scale. | Big capital, strict regulations, Securities Commission. |
Private Joint Stock Company | Private property, can be closed to the public, limited liability. | Minimum capital, more flexible rules than public shareholding. |
Individual companies | Single-person ownership, unlimited liability, simpler incorporation procedures. | Individual license, commercial registry, office. |
Partnership company | A partnership between two or more people, sharing profits and losses, unlimited liability. | Partnership contract, commercial registration, office. |
Advantages of establishing a company in Dubai for foreigners
Establishing a company in Dubai for foreigners has many advantages, as Dubai is considered the center of investments in the Middle East, and there are many advantages provided by the government that encourage the establishment of a company in Dubai for foreigners .
- Tax exemption: The UAE does not impose any taxes on establishing a company in Dubai for foreigners, as companies and individuals are fully tax exempt.
- Strength of infrastructure: The UAE has an advanced infrastructure that helps facilitate transportation to and from the country. Examples of these include an international airport in Dubai and an advanced metro network, in addition to Jebel Ali Port, which is considered a global port that receives huge quantities of goods from various countries of the world.
- Diversity of business facilities: The UAE provides many business facilities that contribute to establishing a company in Dubai for foreigners. These facilities depend on the type of activity and capital, and include shopping centers, towers, and the diversity of industrial areas.
The cost of establishing a company in Dubai for foreigners
The cost of establishing a company in Dubai for foreigners depends on several factors depending on the nature of the activity, and these factors are constantly changing and are as follows:
- This type of business requires a local partner, and may cost more due to partnership and licensing requirements.
- They offer significant advantages such as full foreign ownership and tax exemptions, and their establishment costs are usually lower compared to limited liability companies.
- The cost of setting up varies based on location, whether it is in a free zone or in a commercial area within Dubai. Free zones offer financial incentives and special offers to reduce costs.
- Different businesses require different licenses, and the costs of licenses and insurance may affect the cost of setting up. Some activities may require special permits or additional approvals.
- The cost of incorporation can be affected by the size of the company and the number of expected employees. Larger companies may need greater investments in facilities and staff.
- Rents for offices and utilities can make up a large portion of the cost. Prices vary based on office location, size and equipment.
- Businesses may need legal and accounting consulting services, and these services have additional costs. Consulting companies like Atqan provide integrated services that may impact the final cost.
- Obtaining the necessary licenses and insurances represents an essential part of the cost. This varies based on the type of license and type of insurance. Staffing costs, salaries and benefits for employees also affect overhead cost.
All of these factors must be taken into consideration when planning to establish a company in Dubai, and specialized consultations from companies such as Atqan may help you accurately determine the cost of incorporation and ensure compliance with all requirements.

Establishing a company in Dubai for foreigners
How long does it take for foreigners to establish a company in Dubai?
Establishing a company in Dubai for foreigners can take a varying amount of time based on several factors, but in general, the time it takes to establish can be summarized as follows:
- Choosing the type of company and location : Determining the type of company and the appropriate location (free zone or commercial zone) takes about 1-2 weeks, depending on the clarity of the investor’s vision and the type of business activity.
- Preparing documents : Preparing required documents such as passports, rental contracts, and a business offer can take 1-2 weeks.
- Submitting applications and obtaining licenses : If the company will be operating in a free zone, the application process for obtaining a license may take 2-4 weeks. If the company will be based in a commercial area, the procedures at the Department of Economic Development will be more complicated and may take 4-6 weeks.
- Registration and obtaining licenses : After submitting applications, investors must wait for final approvals and licenses, which may take an additional 1-2 weeks.
- Office setup and equipment : Setting up the office and dealing with logistical matters such as installing phones and internet can take 1-2 weeks.
In general, setting up a company in Dubai for foreigners can take from 4 to 8 weeks, depending on how quickly the procedures are completed and documents and licenses are prepared. Timing may also vary depending on the complexities associated with the type of activity and the requirements of local authorities.
Using specialist consulting services such as Atqan can help speed up the process by providing the expertise and guidance needed to avoid delays and achieve incorporation faster.
Frequently asked questions about establishing a company in Dubai for foreigners
What are the documents required to establish a company in Dubai?
Documents include a passport, personal photos, office lease contract, business activity description, and forms required by local authorities.
How long does it take to establish a company in Dubai?
Incorporating a company in Dubai usually takes 4 to 8 weeks, depending on the type of company, location and procedures required.
What types of companies can foreigners establish in Dubai?
Foreigners can establish limited liability companies (LLC), free companies in free zones, branches of international companies, and public or private joint stock companies.