Starting a business in the UAE opens a lot of doors, but figuring out how to register a company in UAE on your own? That can feel like a maze at first.
Luckily, the UAE has made things much easier lately. You can set up your business in the UAE in just 15 minutes with the government’s Basher online service.
The trickiest bits? Picking your business activity, choosing the right legal structure, and dealing with all the licensing requirements across the emirates.
This guide covers everything from why the UAE is so popular with startups to getting your business license and handling taxes.
You’ll see the best locations, what documents you need, and how Legal Nodes can really make things smoother if you want to avoid the headaches that trip up a lot of new founders.
Key Takeaways
- Starting a new company in the UAE is a streamlined process, with clear documentation and approvals, making it easy and cost-effective for entrepreneurs to launch a new company.
- UAE startup registration comes with big tax perks—0% corporate tax on profits up to AED 375,000 (~$100,000), then 9% above that. You get full foreign ownership and access to some of the best business infrastructure around.
- Free zones are ideal for tech startups, remote-first teams, and companies focused on exports. They’re quick to set up, help with visas, and might save you on taxes. Mainland companies give you full UAE market access but have their own set of rules.
- You’ll need a UAE residence visa to open a corporate bank account. Most free zones help you get this, but it does add a bit of time to your setup. Still, it’s worth it for the access to regional banking.
- Pick your business structure carefully. Limited Liability Company (LLC) works for most startups, but it doesn't have share classes for more complicated investor deals. If you’re thinking about raising VC money, keep that in mind.
- Professional and commercial licenses cover most tech requirements. The license you pick decides what you can actually do—and how long registration takes.
Legal Nodes helps you launch your company remotely and quickly.
Our experienced team combines expert legal coordination with an AI-powered platform to manage your incorporation from start to finish.
Skip delays, prevent wasted filings, and replace guesswork with a clear, guided process.
Book a free discovery call to explore your UAE options.
Why The UAE Is A Top Destination For Business Setup
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The UAE is a global business magnet thanks to its location, government backing, and top-tier infrastructure. You’ll find easy processes and strong incentives that make company formation pretty painless.
Strategic location benefits
Your business gets instant access to Asia, Europe, and Africa. The UAE sits right at the crossroads, with Dubai International Airport and Jebel Ali Port both ranking among the world’s busiest.
Government support for startups
The UAE government offers strong support for new founders through quick registration with government entities and fast-track licensing. You’ll breeze through documentation compared to most places.
Business-friendly policies
According to Federal Decree-Law No. 26 of 2020, you can own 100% of your company in most sectors. The UAE’s friendly policies and tax breaks keep it at the top for startups.
Economic development advantages
Foreign investors are drawn to the UAE’s booming digital economy. The government aims for US$140 billion in digital growth by 2031.
There is no personal income tax on salaries or dividends. Corporate tax is 9% on profits above AED 375,000, but some free zone companies can get exemptions.
Infrastructure excellence
Your business in the UAE gets reliable banking and a solid legal system. Most companies are up and running within a few weeks.
If you need global company maintenance, the UAE has the connectivity and professional services to support international operations.
Legal Nodes: Your Best Partner For UAE Company Registration
As a founder, you probably face these four main obstacles:
- Unclear Free Zone vs Mainland rules
- Licenses that don’t guarantee full approval
- Banking delays due to visa requirements
- Investor-unfriendly Mainland share structures
Legal Nodes streamlines UAE company formation with an AI-powered legal platform and efficient and cost-effective incorporation services.
We help you solve common hurdles like picking the right jurisdiction, sorting licensing, securing banking, and preparing for fundraising.
Our team handles the entire process, connecting you with vetted UAE legal experts.
You can expect:
- Jurisdiction analysis to decide if mainland or free zone is the best for your needs
- Direct access to authorized lawyers
- Banking and investor-ready company structures
- Real-time progress dashboard
Most companies register in 5–10 business days, with all certificates and filings and no hidden fees.
Legal Nodes takes care of the legal work so you can build your startup. Our experts set you up for fundraising and future growth, too.
Book a free discovery call to talk through your UAE incorporation plans.
How To Select The Best UAE Business Location
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The UAE gives you three main choices: mainland, free zone, and offshore.
Mainland companies can work across the UAE and bid for government contracts.
They're ideal for accessing the full market and have benefited from recent legal changes allowing full expatriate ownership in many sectors. Some activities still require a local partner or sponsor.
Mainland setups must follow legal structures and regulations set by local authorities.
Free zone establishment offers 100% foreign ownership, tax advantages, and sector-specific hubs. With over 40 free zones, each has unique benefits and licensing rules. Initially, operations are limited to the chosen zone.
These companies can’t trade in the UAE mainland without appointing a local distributor or agent.
Offshore company registration suits international trade, asset protection, and holding structures. They can't do business in the UAE, but they provide privacy and flexible ownership options.
Consider customers, office needs, industry focus, budget, and growth plans. Each choice affects licensing, market reach, and long-term scalability.
How To Get Your UAE Business License
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Getting your UAE business license starts with choosing the right business activity, as it determines your license type, location, costs, and legal structure.
Activities fall into commercial, professional, industrial, or service categories—each with its own rules and eligibility.
License types
- Commercial: Trading, import/export, retail—ideal for LLCs and free zone companies.
- Professional: Consulting, legal, healthcare—often require qualifications; suited to civil companies or professional entities.
- Industrial: Manufacturing and production—needs special permits and facilities.
- Service: IT, marketing, and business support—flexible and work for different legal forms like a private joint stock company.
Apply at your emirate’s Department of Economic Development or via digital platforms. Requirements include an approved business name, office or flexi-desk agreement, passport copies, photos, and NOC letters.
The process takes 3–7 working days after submission, costing AED 10,000–25,000 depending on license and emirate.
Free zones offer sector-specific licenses, 100% foreign ownership, and simplified setup for qualifying startups.
How To Register A Company In UAE
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Registering a company in the UAE takes around 15 to 30 business days and costs AED 15,000–30,000.
Step 1: Choose business activities
Select from over 2,000 activities. Your choice determines one of six license types.
Step 2: Reserve the company name
Submit your trade name to the Department of Economic Development (DED) in your emirate. Follow naming rules and include your business structure acronym—think LLC or FZE.
Step 3: Get initial approval
Provide passport copies and a business plan. Foreign investors need approval from the General Directorate of Residency and Foreigners’ Affairs.
Step 4: Prepare documents
Draft your Memorandum of Association and local service agent agreement if required. Add initial approval receipts and lease contracts.
Step 5: Secure location and finalize
Find a physical office that meets requirements. Submit all your documents to complete your business registration. You can also use company online registration platforms for faster processing.
Once you receive your trade licence from the economic development authority, you’re ready to operate.
Key Documents Required For UAE Company Registration
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UAE company registration needs key documents: passports and proof of address for all shareholders/directors, plus entry permits for non-residents.
Company papers include a trade name reservation certificate, notarized and Arabic-translated Memorandum and Articles of Association, and an initial approval receipt from the Department of Economic Development or free zone authority.
A valid office lease—physical or virtual—is mandatory. Financial requirements may include bank reference letters and proof of capital deposits.
If using a representative, a Power of Attorney is needed.
Foreign documents often require UAE consulate attestation, and all Arabic translations must be certified. Keep originals ready for repeated verification.
Taxation And Insurance Obligations In The UAE Company Setup
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You’ll need to register for corporate tax within deadlines based on your license date. All UAE businesses must understand registration obligations to avoid hefty penalties.
Free zone companies can still get 0% tax rates if they meet substance requirements and stick to qualifying activities.
If your annual revenue tops AED 375,000, you must register for VAT. Voluntary registration is possible for businesses earning between AED 187,500 and AED 375,000.
The UAE requires certain insurance coverage for your company and employees:
- Medical insurance for all employees (minimum coverage varies by emirate).
- Work injury insurance through approved providers.
- Professional indemnity insurance for some licensed activities.
Your insurance broker must be licensed in the UAE to offer compliant coverage for your business activities.
Tax rules can get complicated fast. It’s smart to consider tax consultations for both company and personal founder obligations.
Conclusion On How To Register A Company In UAE
UAE company registration is now faster with digital processes, letting startups launch within weeks.
Choose your jurisdiction: Mainland for full UAE market access, free zone for tax perks but limited local trade, or offshore for international operations.
Corporate tax is 9% on profits above AED 375,000, though many free zone activities remain at 0%.
Your license type—commercial, professional, or industrial—affects office space needs, visas, and compliance.
Success depends on selecting the right activity codes, legal structure, meeting substance rules, and opening a local bank account.
Legal Nodes guides you through jurisdiction selection, licensing, tax planning, and paperwork, ensuring a smooth, efficient setup.
FAQs on How to Register a Company in UAE
How much does it cost to register a company in the UAE?
Company registration costs range from AED 20,000 to AED 30,000, depending on your structure and location. Costs can vary a lot between mainland and free zone companies.
Mainland companies are often cheaper up front, but may need local sponsorship fees. Free zone companies cost more initially, but give you 100% foreign ownership.
Other expenses include office rent, visa processing, and document attestation. Professional service fees add AED 5,000 to AED 15,000 to your budget.
Can a foreigner register a company in the UAE?
Yes, foreigners can now own 100% of companies in many UAE sectors. It is a big change aimed at attracting international investors.
Free zones have always allowed full foreign ownership. Mainland companies now let you own 100% in most business activities, too.
You’ll need approval from the General Directorate of Residency and Foreigners’ Affairs. Some restricted sectors still need local partners.
Can a US company operate in the UAE?
US companies can set up operations in the UAE in a few different ways. You might open a branch office, a subsidiary, or even a representative office if that fits your needs.
Branch offices let you run things directly under your US company name. Subsidiaries work as separate legal entities, fully incorporated in the UAE.
Most US businesses lean toward free zone setups. It's just a smoother process, and you get full ownership rights, which is a big deal for many people.
The UAE has over 40 free zones, each with its own industry focus. So, there's probably something that matches what you're looking for.
