The cost of forming a company is one of the major concerns of every business owner or investor. While you have decided and planned everything, the cost can emerge as a massive obstacle in the process of company formation. Therefore, before you consider setting up your business in UAE, you will need to be sure about many essential factors.
To start with company formation and understanding its setup cost, it is always better you take advice from professional business setup consultants in Dubai. Whether it is a business license, company formation, registration, or trade license registration, an experienced business setup firm in UAE can help work on all your concerns and assist you in company formation in UAE.
For investors, the accessible taxation business environment is the most luring factor that brings investors of all types to Dubai from around the globe. However, there are many hidden charges at the beginning of establishing a business, like – approval of trade name, instant license or authorization, memorandum of association, court agreement attestation, admin services costs, rent office, contract drafting, public waste municipality fee, economy fee, and more. Additionally, there are annual expenses to sustain or market fees to survive.
Free Zone Business Setup in Dubai
Free zone business setup in UAE is the most preferred choice for investors looking for smooth business operations. A free zone company et easy tax concessions and customs duty benefits to getting 100% foreign ownership, smooth staffing, financial privacy, residence in UAE, instant employment, trouble-free immigration, and a simple visa process. Many startup consulting companies in UAE offer many reasonably priced packages like free zone license registration based on the location, office provision, and business activities. In addition, you can hire a professional business setup company in Dubai for assistance in the incorporation process.
Free Zone License Registration Cost
The cost is variable based on the type of business, jurisdiction, and more. Each establishment has different startup fees and processes. Some free zones want the company owner to get the minimum amount of capital to incorporate the business. The other running cost of a free zone is sponsoring visas for startups, guarantee from banks, and more.
The Business Setup Cost of Mainland
Setting up a business in mainland Dubai is similar to the free zones. However, the expenses are in certain areas – the type of business activity, visa grant tallies, and business locations.
Government Charges
Some of the mandatory charges of the government are – legal charges, exchange license, trade name registration, registering with the government bodies, and legal understandings. These are either one-time charges or yearly.
Business Integration Fees
Business interaction or incorporation fees are one-time charges and include record entries, a plan of reviews, and some other expenses. Additionally, there are some compulsory fees like – new company registration with migration and labor ministry. Legal expenses are one-time, and company location and visa according to individual business needs. If you want to build a limited liability company (LLC), the minimum capital required is approximately AED 300,000.
Limited Liability Company Setup in Dubai(LLC)
When you plan for an LLC, a foreign entity will hold a share of only 49% of the total share. LLC required a local partner (UAE national) or service agent with a 51% stake in the company. If you want to keep the foreign branch in UAE, you will need to pay the below charges based on the location every year.
- Fee for the ministry for startup companies’ registration
- Free zone license registration issued
- Expert assistance expenses for exchange permit management
- Initial charges of the chamber of commerce registration
- Auditor’s fee
- Fee for approval of the leading company
- Waste management fees
Start your Business in UAE
Setting a business in UAE is a simple process but, if you hire a professional consultant to business setup in Dubai, the process can become hassle-free and less tiring for you.