Cost of Starting a Company in Dubai – Updated Breakdown

Starting a business in Dubai is an attractive prospect for many entrepreneurs globally, but understanding the associated costs is critical for effective financial planning. Here’s an updated breakdown of the costs involved in setting up your company in Dubai:

Mainland Company Costs

• Trade License: AED 10,000–25,000 per year, varying based on business activity and industry.
• Office Space: AED 15,000–50,000 per year depending on location, size, and facilities.
• Government Fees: AED 5,000–10,000 including fees for initial approvals, trade name reservations, and registration processes.
• Residence Visas: AED 3,000–7,500 per visa, depending on visa category and validity.
• Professional Services (Accounting & Compliance): AED 5,000–15,000 annually, depending on service scope.

Free Zone Company Costs

• License Packages: AED 12,000–30,000 annually, inclusive of basic office facilities or flexi-desks.
• Office or Workspace: AED 8,000–40,000 annually, with options ranging from virtual offices to premium physical spaces.
• Registration Fees: AED 2,000–10,000, varying by free zone authority and business activity.
• Visa Costs: AED 2,500–6,000 per person, depending on visa type and duration.
• Annual Compliance: Typically lower compared to mainland setups, though still mandatory.

Additional Business Setup Costs

• Bank Account Setup: Opening a bank account is free, but some banks may require a minimum balance (often between AED 10,000–50,000 depending on the bank).
• Insurance and PRO Services: AED 2,000–10,000 annually, based on specific business needs and services availed.
• Audit Fees: AED 5,000–15,000 annually, required for certain company structures and business types.

Recent Regulatory Updates 

• VAT: Standard VAT remains at 5%; adherence to reporting and compliance has become stricter.
• Corporate Tax: Effective from June 2023, businesses meeting certain criteria face a 9% corporate tax rate.
• Visa Regulations: Recent reforms provide increased flexibility for entrepreneurs and investors, simplifying residency requirements.

Expert Financial Planning with Caspian Accounting and Bookkeeping
Navigating these costs and regulatory requirements can be complex without expert advice. Caspian Accounting and Bookkeeping provides transparent, customized financial planning solutions to ensure your business setup is smooth, compliant, and cost-effective.

Ready to accurately budget your business startup in Dubai? Contact Caspian Accounting and Bookkeeping for expert assistance tailored to your financial strategy.