Dreaming of launching your own business in Dubai? You’re not alone — every year, thousands of entrepreneurs choose Dubai to kick-start their ideas thanks to its low taxes, supportive business environment, and easy company setup options.
In this 2025 guide, you’ll learn exactly how to start a startup in Dubai, what it costs, what documents you need, and why working with an experienced consultant like Raes Associates makes it much easier.
Why Start a Business in Dubai in 2025?
Dubai remains one of the best places in the world to launch a startup — whether you’re a tech innovator, e-commerce seller, freelancer, or service provider.
Here’s why:
- Zero personal income tax: More profit stays in your pocket.
- Strategic location: Connect easily with Asia, Europe, and Africa.
- World-class infrastructure: From coworking spaces to smart freezones.
- Startup support: Various incubators and freezones offer incentives, grants, and business setup assistance.
Requirements to Start a Startup in Dubai
To register a company in Dubai, you’ll need a few things ready:
- Valid passport copies for all shareholders.
- Proof of address (utility bill, tenancy contract).
- Proposed company name (must follow naming rules).
- Business plan for certain sectors.
- Minimum investment capital — some freezones have low-cost business setup options starting from AED 5,500.
- A registered office address.
If you’re a foreigner, Dubai makes it simple with options like 100% foreign ownership in many freezones.
How to Register a Company in Dubai – Step-by-Step
Here’s a simple breakdown of how to start a business in Dubai in 2025:
Choose Your Business Activity
Decide exactly what products or services you’ll offer — this determines the license type.
Select Freezone or Mainland
Freezones allow full foreign ownership and easy processes. Mainland lets you trade directly within the UAE market.
Not sure which suits you? Raes Associates can help you choose the best structure for your goals.
Reserve Your Company Name & Apply for License
Pick a unique trade name, submit it for approval, and apply for your business license with the relevant authority.
Open a Corporate Bank Account
Once you have your license, open a UAE corporate account to handle transactions legally.
Secure Office Space
Some freezones offer flexi-desks or virtual offices to keep costs low. Mainland setups may require a physical office.
Cost to Start a Business in Dubai
Many entrepreneurs ask, how much does it cost to register a startup in Dubai?
The cost varies depending on your business activity, number of visas, office space, and whether you choose freezone or mainland.
Average costs:
- Freezone company setup: AED 5,500 – AED 15,000
- Mainland company setup: AED 15,000 – AED 35,000+
- Visas, health insurance, and other approvals are additional.
If budget is a concern, explore low cost business setup in Dubai — some freezones bundle licenses, visas, and co-working spaces into one affordable package.
Tips for Starting a Business in Dubai as a Foreigner
Many expats and investors worry if they can legally run a company here. Good news — Dubai welcomes foreign entrepreneurs!
- Use a trusted business setup consultant Dubai to guide you through approvals.
- Make sure you understand visa rules, tax requirements, and annual renewals.
- Always check if your activity needs extra approvals (like healthcare or education).
Thinking about working from home instead? Check out our guide to the Best Home-Based Business Ideas in the UAE.
Common Mistakes to Avoid
- Picking the wrong business activity on your license.
- Not budgeting for annual renewals and hidden fees.
- Choosing an unsuitable freezone.
- Not opening a UAE corporate bank account in time.
- Missing visa deadlines.
Avoid these headaches by working with experts like Raes Associates.
Why Work with Raes Associates
Setting up a startup in Dubai can feel overwhelming — but it doesn’t have to be. At Raes Associates, we help entrepreneurs like you handle every step of the process, from choosing the right license and business activity to registering your company quickly and taking care of all the legal paperwork. We also assist with opening your UAE corporate bank account and applying for your investor visas, so you can focus on building your business with total peace of mind.
Ready to launch your startup in Dubai? Talk to Raes Associates on WhatsApp — your first consultation is FREE!
Learn How to Get a Media License in Dubai if you plan to run a creative or online content business.
Frequently Asked Questions
How much does it cost to register a startup in Dubai?
It depends on your chosen freezone or mainland license, number of visas, and office type. Expect AED 5,500–35,000+.
How to open a startup in Dubai?
Decide your business activity, choose freezone or mainland, reserve your name, apply for a license, open a bank account, and get your visas.
Is Dubai good for startups?
Yes — tax benefits, global connectivity, easy regulations, and foreign ownership make Dubai one of the world’s top startup hubs.
Can foreigners start a company in Dubai?
Absolutely! Many freezones allow 100% foreign ownership with no local sponsor.
How long does it take to start a business in Dubai?
With the right documents, you can get licensed in just 5–10 days for most freezones.
