Emirates Business Lounge
Company formation

Business setup and trade licence costs in Dubai

Real ranges, itemised by line, for mainland and free zone structures — including the costs that rarely appear in a headline quote: establishment cards, medicals, Emirates ID, attestation, audit and the year-two renewal.
From AED 12,500

Zero-visa free zone licence, first year

+ AED 4,000–6,500

Per residence visa, all-in

AED 30,000–55,000

Typical mainland with office and visas

The short answer

Four realistic budgets

These are fully loaded first-year totals: government fees, authority charges, office, visas and professional fees together. They assume complete documents and standard, non-regulated activities.
ScenarioFirst year (AED)What it covers
Solo consultant, free zone, no visa12,500 – 16,000Licence, registration, flexi-desk, corporate tax registration. Owner stays non-resident or holds a visa elsewhere.
Solo founder, free zone, one visa20,000 – 27,000Adds establishment and immigration cards, entry permit, medical, Emirates ID and visa stamping for the owner.
Small team, free zone, three visas30,000 – 45,000Larger package with a dedicated desk or small office and three residence visas.
Mainland LLC, office, three visas38,000 – 62,000DET licence, Ejari tenancy, market fee, MOA notarisation, establishment card and three visas.

Ranges reflect what our clients actually paid across 2025 and 2026 for standard activities. Regulated sectors, large activity lists and premium zones sit above these bands.

Line by line

Free zone cost breakdown

Cost lineTypical (AED)When you pay it
Licence & registration fee9,000 – 20,000On incorporation, annually thereafter
Additional activities beyond the bundle500 – 2,500 eachOn incorporation
Flexi-desk / shared workstationOften bundled – 8,000Annually
Establishment card1,200 – 2,000One-off, then renewed
Immigration (e-channel) card1,200 – 1,800One-off, then renewed
Residence visa, inside country4,000 – 6,500Per person, per 2–3 years
Medical fitness & Emirates IDUsually included abovePer person
Corporate tax registrationGovernment fee nil; advisory from 1,500Within registration deadline
VAT registration (if applicable)Government fee nilOn crossing the threshold
Statutory audit, where required5,000 – 15,000Annually before renewal
EBL advisory & PROQuoted for your fileShown separately from government fees
Line by line

Mainland cost breakdown

Cost lineTypical (AED)Notes
Trade name reservation620 – 2,000Higher for foreign-language names
Initial approval120 – 500Per application
DET licence fee7,000 – 15,000By activity group and count
Market fee2.5% of annual rentCalculated on the Ejari value
MOA drafting & notarisation1,500 – 3,500Scales with shareholders
Office lease & Ejari registration12,000 – 45,000+Sets your visa quota
Local Service Agent, where required5,000 – 15,000Annual, professional licences
Establishment & immigration cards2,000 – 3,000One-off per company
Residence visa4,000 – 6,500Per person
External approvals1,000 – 15,000Municipality, DHA, KHDA, RERA, Civil Defence
EBL advisory & PROQuoted for your fileShown separately from government fees
The costs quotes leave out

Budget for these or they will surprise you

Document attestation

Notarisation at home, foreign ministry legalisation, UAE embassy attestation and legal translation. For a corporate shareholder with several documents this can reach AED 5,000–12,000.

Audited financial statements

Several free zones will not renew a licence without audited accounts. AED 5,000–15,000 a year depending on transaction volume.

Bank minimum balances

Most UAE business accounts carry an average balance requirement of AED 25,000–150,000. Fall below it and monthly fees apply.

Employee health insurance

Mandatory in Dubai for every resident you sponsor, from roughly AED 900–3,500 per person annually depending on the plan.

Licence renewal in year two

The licence, office, establishment card and visas all renew. Plan for 65–85% of your first-year figure.

Corporate tax and VAT compliance

Registration is only the start. Returns, bookkeeping to support them and, for VAT, quarterly filings are an ongoing annual cost.
Questions

Cost questions, answered without hedging

The lowest genuine entry points are a zero-visa free zone licence, from roughly AED 12,500, and the DET E-Trader permit for eligible sole traders, which is cheaper still but restricted in who can hold it and what it allows. Anything advertised far below that usually excludes the establishment card, the immigration file, VAT registration or the first renewal — costs you will meet within twelve months regardless.

Three reasons. First, activity count: many zones bundle three activities and charge for each additional one. Second, visa allocation: a zero-visa package and a three-visa package can differ by AED 15,000 for the same licence. Third, what is excluded: establishment card, immigration card, medical tests, Emirates ID, document attestation, translation and the tax registrations are often left out of the headline number and invoiced later.

Renewal typically runs 65–85% of the first year, because the one-off incorporation items fall away but the licence fee, office fee, establishment card and visa renewals do not. Visas renew on a two or three-year cycle depending on type, so year two is sometimes lighter and year three heavier. If your zone requires audited accounts, add AED 5,000–15,000 annually. We publish a three-year view in every proposal for exactly this reason.

Not hidden, but easy to miss. The most commonly overlooked are the Dubai municipality market fee of 2.5% on annual rent for mainland licences, knowledge and innovation fees added per transaction, external regulator approvals for activities such as healthcare, education, recruitment and real estate, and the cost of attesting foreign documents, which can run into thousands of dirhams if your home country has a long legalisation chain.

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