Establishing a company in Dubai for foreigners: Procedures and steps, Dubai is a prime destination for foreign investors looking to enter the Middle East market thanks to its strategic location, diversified economy, and modern infrastructure. Opening a company in Dubai for foreigners is an attractive option given the city’s many advantages, such as tax exemptions and diverse business opportunities. However, the incorporation process may require a thorough understanding of the legal and administrative procedures in place. This is where Etqan comes in as a specialized advisor that can help facilitate this complex path.

Itqan provides comprehensive support to foreign investors by providing the necessary advice and services to establish companies in Dubai. From choosing the right legal structure for your business, to completing all legal and procedural requirements, Itqan ensures that every aspect of the incorporation process is tailored to meet your needs and aspirations. This includes identifying the most appropriate type of company, such as limited liability companies or joint stock companies, as well as providing support in preparing and submitting the necessary documents to the relevant authorities.

In addition, Etqan helps guide you through the steps of registering with government entities, ensuring that all terms and requirements for business licenses are met. By providing guidance and supervision, Etqan helps speed up the establishment process and minimize potential obstacles, allowing you to focus on developing and growing your business. By leveraging its extensive expertise and experience, foreign investors can start their business operations in Dubai with confidence and ease, making Etqan a vital partner in your journey to establish your company in this dynamic market.

Licenses required to establish a company in Dubai

Establishing a company in Dubai requires obtaining specific licenses that are compatible with the type of business activity and services the company intends to provide. Dubai, thanks to its strategic location as a global trade hub, provides an ideal environment for businesses, but to operate a company legally, it is necessary to meet all legal requirements and obtain the necessary licenses. These licenses ensure that the company adheres to local standards and enhances its ability to conduct business successfully.

Licenses required to establish a company in Dubai :

• Commercial License: The commercial license is one of the most important basic licenses for establishing any company in Dubai. This license is granted for general commercial activities that include buying, selling and trading products and services. The commercial license is granted by the Department of Economy in Dubai after fulfilling all the required conditions.
• Professional License: A professional license is granted to companies that provide professional or consulting services such as law, financial consulting, or engineering. This license is issued after submitting an application to the Dubai Department of Economy and specifying the nature of the service that the company will provide.
• Manufacturing License: If the company’s business activity includes manufacturing products, obtaining a manufacturing license is necessary. This license is issued by the Economic Development Authority or the relevant authorities in the free zone in which the company operates.
• Free Trade License (For Free Zones): Companies operating in Dubai’s free zones need to obtain a free trade license. This license covers all business activities permitted in the specific free zone and allows the company to avail tax exemptions and other privileges offered in the free zones.
• Tourism License: If the company is operating in the field of tourism or related services such as organizing trips or providing tourism services, obtaining a tourism license is necessary. This license is issued by the Department of Tourism and Commerce Marketing in Dubai.
• Retail License: For commercial activities that include retail sales, a retail license is required. This license is issued based on the type of products or services you will be selling and the company’s registration with the Department of Economy.
• Educational License: If the company provides educational or training services, it needs an educational license. This license is issued by the Ministry of Education or the competent educational authority in Dubai.

Obtaining these licenses requires submitting a set of documents and papers, which usually include a copy of passports, a lease contract, a business plan, and other documents that prove compliance with government requirements.

Cooperating with a specialized company such as “Itqan” can greatly contribute to facilitating obtaining the required licenses and avoiding any delays in the establishment process, ensuring that your business in Dubai starts smoothly and effectively.

Basic steps to establish a company in Dubai for foreigners

Establishing a company in Dubai for foreigners is an important strategic step that opens doors to vast business opportunities in a dynamic global market. With its unique geographical location, advanced infrastructure, and favorable business environment, Dubai is an ideal destination for international investors. However, the process of establishing a company in Dubai requires following specific steps to ensure compliance with local laws and achieve success in the market. Here are the basic steps to establish a company in Dubai for foreigners:

• Determine the type of company and its activity: The first step is to determine the type of company you want to establish, whether it is a limited liability company (LLC), a joint stock company, or a sole proprietorship. You must also determine the business activity you will be conducting, as this affects the type of license you need and the registration requirements.
• Choosing a location and registering your company: Deciding where to operate your company, whether in a free zone or on the mainland of Dubai, is a crucial decision. In free zones, foreigners can own 100% of the shares, while on the mainland, a local partner with 51% of the shares is required. Once the location is decided, the company registration application is submitted to the relevant government authorities.
• Preparing the necessary documents: The incorporation process requires the submission of a set of basic documents such as copies of passports, proof of address, lease agreement, and business plan. Documents may vary depending on the type of company and business activity, so it is important to ensure that all specific requirements are met.
• Obtaining the necessary licenses: Depending on the type of business activity, you may need to obtain different licenses such as a trade license, professional license, or manufacturing license. Each license requires the submission of specific documents and the fulfillment of certain conditions. Obtaining licenses usually requires submitting applications to the Dubai Department of Economy or the relevant authorities in the free zones.
• Opening a bank account for the company: After completing the registration procedures and obtaining licenses, you must open a bank account in the name of the company. This requires submitting documents proving the existence and activity of the company, such as the company registration certificate and the lease contract.
• Recruiting and registering employees: If you plan to hire employees, they must be registered with the relevant authorities such as the Ministry of Human Resources and Emiratisation. It also requires providing work visas and health insurance for the employees.
• Starting Business: Once you have completed all the above steps, you can start the actual business activities and run your company in Dubai. It is important to be aware of all local laws and regulations to ensure your full compliance.

Establishing a company in Dubai for foreigners requires careful planning and comprehensive knowledge of legal and administrative procedures. Working with consulting firms such as “Itqan” can help simplify this process and ensure that you comply with all requirements, allowing you to focus on successfully achieving your business goals.

Our company’s role in establishing a company in Dubai

Establishing a company in Dubai for foreigners is a strategic step that can open wide doors to business and economic opportunities in one of the most attractive global markets for investment. The incorporation process, although it may be complex and requires compliance with many legal and administrative procedures, can be smoother when working with a specialized company such as “Itqan”.

By partnering with Etqan, you can benefit from its extensive experience and deep understanding of local laws and regulations, which will help speed up the incorporation process and avoid any potential obstacles. Etqan contributes to providing comprehensive support from the first steps, starting from choosing the appropriate legal structure for the company, through preparing and compiling the required documents, and ending with submitting applications to the relevant government agencies.

Itqan also ensures that all aspects of the establishment are in line with local requirements, allowing you to devote yourself to developing your business strategies and achieving your goals without having to worry about complex procedural details. Itqan’s support does not end when the registration process is completed, but extends to providing ongoing advice and answering any inquiries that may arise after the establishment.

With Etqan, you can ensure that your Dubai company formation process is efficient and reliable, increasing your chances of success in the market and putting you on the right track to achieving your business goals. With this specialized support, you can move smoothly into the actual operation phase, benefiting from all the advantages that Dubai has to offer as a global hub for business and investment.

Frequently Asked Questions About Starting a Company in Dubai