Business
Setting up a company in the UAE
A company in the UAE is licensed either by an emirate’s economic department (mainland) or by one of more than 40 free zone authorities. Since 2021, foreign investors can own 100% of most mainland companies.
- Working days to a free zone licence after approval
- 14 days4
- Working days to a free zone licence after approval
The three choices
| Mainland | Free zone | |
|---|---|---|
| Licensed by | The emirate’s economic department | The free zone authority |
| Customers | Anywhere in the UAE, including government | The zone and abroad; the mainland through a distributor, branch or permit |
| Corporate tax | 0% / 9% | 0% on qualifying income if conditions are met |
Source: UAE Government Portal: Full foreign ownership of commercial companies; UAE Government Portal: Running a business in a free zone; Federal Tax Authority: Basic tax information bulletin, Free Zone Person1,5,6
Offshore registries such as the RAK International Corporate Centre set up companies for holding and structuring, not for trading with staff and customers in the UAE. In Dubai, a Free Zone Mainland Operating Permit costs AED 5,000 for six months.7,8
Common legal forms
| Form | Owners |
|---|---|
| Limited liability company (LLC) | Up to 50 partners, any nationality |
| Private joint stock company | Up to 200 shareholders |
| Branch of a foreign company | The parent is liable |
| Free zone establishment (FZE) | One shareholder |
| Free zone company (FZCO) | Two or more shareholders |
Source: Dubai.ae: Business set-up options9
Mainland licence, step by step
- Choose the business activity and the legal form.
- Register the trade name and get the initial approval.
- Sign the memorandum of association and the office lease; in Dubai the lease is attested by RERA.
- Get any approvals the activity needs, pay the fees and collect the licence.
Source: UAE Government Portal: Steps to start a business on the mainland3
After the licence
- File the beneficial owner register within 60 days: anyone with 25% or more of the shares or votes.
- Register for corporate tax on EmaraTax, and for VAT once supplies pass AED 375,000.
- Open a corporate bank account and apply for residence visas for owners and staff.
Source: UAE Ministry of Economy and Tourism: Cabinet Decision No. 109 of 2023 on beneficial owner procedures; Federal Tax Authority: Corporate Tax Registration10,11
Sources
- UAE Government Portal: Full foreign ownership of commercial companies
- UAE Ministry of Economy and Tourism: Free zones for company incorporation
- UAE Government Portal: Steps to start a business on the mainland
- UAE Government Portal: Starting a business in a free zone
- UAE Government Portal: Running a business in a free zone
- Federal Tax Authority: Basic tax information bulletin, Free Zone Person (PDF)
- RAK International Corporate Centre
- Dubai Media Office: Dubai launches Free Zone Mainland Operating Permit (8 October 2025)
- Dubai.ae: Business set-up options
- UAE Ministry of Economy and Tourism: Cabinet Decision No. 109 of 2023 on beneficial owner procedures (PDF)
- Federal Tax Authority: Corporate Tax Registration
Figures checked 21 October 2026. Prepared by Invest-Emirates.ae for general information. It is not investment, tax or legal advice; please confirm details with a qualified adviser before acting.