New Business Setup In Dubai – Dubai is an interesting place to consider starting a business. However, there are a lot of things that you need to take care of before you start a business in Dubai, and the most important one is obtaining the necessary permits and documents, so it raises a question regarding the costs of doing all of it, right? In Dubai, there are certain expenses associated with starting a business. They all include licenses, visas, and office space, among many others. This blog will aim to explain the financial aspects in detail if you are considering starting a business in Dubai.
New Business Setup in Dubai Cost for Mainland Businesses
If you want to expand your business anywhere in the United Arab Emirates, a sole proprietorship based in Dubai’s mainland is the smartest idea. Several expenses are usually required, so take the following as a starting point:
- Trade License Registration: Estimation suggests that starting a specific activity will cost you somewhere between AED 10,000 and AED 30,000. Therefore, this license renewal fee is payable yearly.
- Commercial Lease: One is expected to lease an office as a requirement, the affordability of which, is directly proportional to its area and how strategically located it is. Within the limit of around 50 AED, you should also be able to determine the amount and provide a document with a defined location.
- Fees for Registration and Consent: Between AED 1,000 and AED 3,000 are the estimated costs payable for rolling out trademarks, getting initial agreements, approvals, and other documents.
Dubai Free Zone Company Setup Price
Dubai free zones allow 100% foreign ownership and tax exemptions. Such is the case with free zone company formation. Consider the following points:
- License Fee: Free zones also support the form of business communities where the annual license fee ranges between AED 5000 to AED 15000, depending on the requirements of the specific zone-free areas.
- Office Options: There are quite a lot of free zones that help companies locate flexible workspace solutions. It has been observed that a flexi desk can cost AED 10,000 per annum, while dedicated spaces are more expensive.
- Registration Fees: The process of establishing a business or company in a free zone usually commences with a registration fee of AED 1000.
Other Costs
- Visas: To the best of our knowledge, each investor or employee visa costs between AED 3000 and AED 7000.
- Legal and Translation Services: This may be the case whereby some documents must be translated into Arabic, and the translation fee is in the region of AED 2000 per document.
- Opening a Bank Account: Opening a corporate bank account may require a middle-range annual fee of between AED 1000 and AED 5000.
How Companies Can Cut Costs?
- Choose the Right Location: Having a licensed business in a free zone region means your company has the benefit of a cost-effective package, which includes a shared business center without having to pay a high license cost.
- Shared Office Spaces: It is possible to reduce the cost of renting an office by a large margin through sub-renting the office.
- Know Your Business Requirements: Knowing what a business does is also important because it helps in getting the appropriate license that is necessary and does not incur any extra costs.
Conclusion
Understanding how to factor in the costs of a New Business Setup In Dubai can be tricky, but it can be done with sufficient preparation and proper advice. At Business and Beyond, we specialize in guiding entrepreneurs through Dubai’s business landscape. Our comprehensive services ensure a smooth setup process, allowing you to focus on your business vision. Ready to turn your vision into reality? Contact Business and Beyond today to start your journey.
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