Company Formation in Dubai

Company Formation in Dubai

Company Formation in Dubai is a great idea, as UAE’s economy is rapidly growing. Great lifestyle and fast paced business growth makes Dubai as one of the best corporate business hub in the world. Company Setup in Dubai and UAE has been in demand with young fresh minds promoting themselves.

If you’re considering starting a company in Dubai, you’ll need to navigate the process of company formation.

To incorporate a company in Dubai ,one should keep track of the rules and regulations. B2B Document Clearing is there to support and help you with company formation process. We take care of all the required process involved in new company formation in Dubai. All these services will be provided by B2B documents clearing company at your doorsteps. No matter, where you are in Dubai, our pick and drop service is free of cost.

How to form company in Dubai

Here is a step-by-step guide to help you get started :

  • Choose a business structure: The first step in forming a company in Dubai is deciding on a business structure. The most common options are a sole proprietorship, a partnership, a limited liability company (LLC), or a branch office. Each type has its own advantages and disadvantages, so it’s important to consider your specific needs and goals.
  • Choose a business name: The next step is selecting a business name. It’s important to choose a name that is unique and reflects your brand. There are certain restrictions on business names in Dubai, so it’s a good idea to consult with a professional before making a final decision.
  • Obtain necessary licenses and approvals: Depending on the type of business you are starting, you may need to obtain various licenses and approvals. This can include a trade license, a professional license, and approval from relevant government agencies.
  • Register with the Chamber of Commerce: All companies in Dubai are required to register with the Dubai Chamber of Commerce and Industry. This process includes obtaining a memorandum of association and articles of association, which outline the company’s structure and operations.
  • Set up a physical office: In order to operate a business in Dubai, you’ll need to have a physical office space. This can be a commercial space, a shared workspace, or even a virtual office.

Type of Companies in Dubai

Foreign companies planning to setup a business in Dubai, can get eight main legal entity options. These are as follows :

There are several different types of companies that can be formed in Dubai, including:

  • Sole proprietorship: This is a simple business structure in which a single individual owns and operates the business. This is the easiest and least expensive type of company to set up in Dubai, but it also offers the least liability protection.
  • Partnership: A partnership is a business formed by two or more individuals who share ownership and profits. There are several types of partnerships that can be formed in Dubai, including general partnerships, limited partnerships, and professional partnerships.
  • Limited liability company (LLC): An LLC is a popular business structure in Dubai, as it offers liability protection for its owners (called “members”). LLCs can be owned by a single individual or by multiple individuals or entities.
  • Branch office: A branch office is a foreign company that establishes a presence in Dubai by opening a branch in the city. Branch offices are fully owned and controlled by the parent company and are not separate legal entities.

There are pros and cons to each type of business structure in Dubai. Sole proprietorships and partnerships offer simplicity and flexibility, but provide little liability protection. LLCs offer more liability protection, but also require more paperwork and have more complex ownership structures. Branch offices allow foreign companies to enter the Dubai market without fully incorporating in the city, but are fully controlled by the parent company and do not offer the same level of autonomy.

In addition to the types of business structure mentioned earlier (sole proprietorship, partnership, limited liability company, and branch office), there are also several different locations in Dubai where a company can be formed:


A company formed on the mainland of Dubai is subject to the laws and regulations of the Dubai government. This includes both federal laws and the laws of the specific emirate in which the company is located. Mainland companies can conduct business both within and outside of Dubai.


A freezone is a designated area in Dubai that operates under its own set of laws and regulations. Freezones are designed to encourage foreign investment and offer a range of benefits, such as 100% foreign ownership, tax exemptions, and easy company formation procedures. There are several freezones in Dubai, each with its own focus (such as technology, media, or finance).


An offshore company is a business that is incorporated in a jurisdiction outside of its place of business or operations. In Dubai, offshore companies can be formed in the Dubai International Financial Centre (DIFC) or the Dubai Multi Commodities Centre (DMCC). Offshore companies are not subject to the laws and regulations of the mainland or freezones, and are typically used for asset protection, tax planning, and other business purposes.

B2B Consulting Service for Company Setup in Dubai

We have expertise in forming a compant and we are well known business setup consultants in Dubai.

B2B Document Clearing plays a valuable role in the process of starting a business in Dubai.We can provide a range of services to help you navigate the process, including:

  • Advising on business structure
  • Maintaing neccessary paperwork and documentation
  • Providing guidance on location
  • Assisting with office setup

Overall, we can be a valuable resource when it comes to starting a business in Dubai. B2B can help you navigate the process and ensure that everything is done correctly, so that you can focus on building and growing your business.

How much does it cost?

The cost of company formation in Dubai will vary depending on the type of business structure you choose, the location of your business and the nature of your business activity. Here are some general estimates of the costs you can expect:


Sole proprietorship: The cost of setting up a sole proprietorship in Dubai is relatively low, as this is the simplest and least expensive business structure.

Partnership: The cost will depend on the type of partnership you choose. A general partnership will be less expensive than a limited partnership or professional partnership, as the latter two types require more complex ownership structures and paperwork.

Limited liability Company (LLC): LLC setup cost in Dubai will depend on the size and complexity of your business. In general, you can expect to pay 20-35 thousand dirhams in professional fees, government fees, and other costs.

Branch office: Here the cost will vary depending on the size and complexity of your business, as well as the specific requirements of the freezone in which you are located.


Here is an example of the costs you might expect when forming a small LLC in a Dubai freezone:

  • Professional fees: AED 5,000
  • Government fees: AED 3,000
  • Rent for office space: AED 10,000 per year
  • Insurance: AED 1,000 per year
  • Visas for two employees: AED 10,000 per year

Total: AED 29,000 per year

This is just a rough estimate and the actual costs you incur may be higher or lower, depending on the specific circumstances of your business.

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