Opening a company in Dubai for foreigners

Dubai is one of the most attractive cities for foreign investors seeking to open their companies in a dynamic and thriving business environment. In this article, we will explore the opportunity of opening a company in Dubai for foreigners and how Itqan can be the partner of choice in this process.

Itqan Company has extensive experience in the field of establishing companies in Dubai for foreigners. The company provides comprehensive services that include establishing companies in Dubai for foreigners, registering them, and providing legal support and strategic advice.

Opening a company in Dubai allows foreigners the opportunity to enjoy benefits such as freedom of foreign ownership of the company, access to a diverse global market, and benefit from advanced infrastructure and flexible government facilities.

Through Itqan, foreign investors can benefit from deep experience and local knowledge to simplify the process of opening a company in Dubai. You will be guided through all the required procedures, from choosing the right type of company to obtaining the necessary licenses and complying with legal requirements.

Depending on Itqan Company, you will enjoy a reliable and professional experience in opening your company in Dubai for foreigners . Benefit from the company’s personal support and specialized services to achieve your business goals and succeed in Dubai’s dynamic business environment.

Opening a company in Dubai for foreigners

Opening a company in Dubai for foreigners can be a straightforward and convenient process for many foreign investors. Here are general steps to open a company in Dubai as a foreigner:

1. Choose the type of company: Determine the type of company you wish to establish, whether it is a sole proprietorship, a limited liability company, or a joint stock company.
2. Location selection: Select the free zone or commercial area in which you wish to establish the company. The location should be chosen based on the type of business and the needs of the company.
3. Determine the business activity: Determine the type of business activity you wish to engage in in the company, and ensure that it is compatible with local regulations and legislation.
4. Obtaining licenses and permits: Submit an application to obtain the necessary licenses and permits from the competent authorities, such as the Free Zone Authority or the Department of Economic Development in Dubai.
5. Complete the required documents: Prepare the documents required to establish the company, such as application forms, passports, company documents, and any other documents required according to the type of company.
6. Signing contracts and agreements: Sign the necessary contracts, such as the company contract and employee contracts, in addition to any other relevant agreements.
7. Opening a bank account: Open a bank account in the company’s name in one of the approved banks in Dubai, and make sure to provide the documents required for this process.
8. Registering the company and receiving the license: After meeting all conditions and requirements, the application to establish the company will be processed and you will be granted the necessary license to start work.

Basic steps to establish a company in a free zone in Dubai

Establishing a company in a free zone in Dubai can be a strategic move for many businessmen and investors seeking to take advantage of the benefits available in these areas. Below are basic steps to establish a company in a free zone in Dubai:

1. Research and Planning: Before embarking on the incorporation process, you must conduct the necessary research to understand the type of company that suits your business needs and check the opportunities available in the free zone in which you intend to invest.
2. Choosing a free zone and business activity: Next, choose the free zone in Dubai that suits your business activities and needs. Laws and regulations may differ between free zones, so you must ensure that your company plans match local laws.
3. Determine the company type: Choose the appropriate company type, such as sole proprietorship, limited liability company, or joint stock company, according to the company structure and your business requirements.
4. Name selection and registration: Select a name for the company and ensure it is available and conforms to local laws. Then submit the registration application and submit the required documents to the free zone authority.
5. Obtaining the necessary licenses and permits: Once the company is registered, you will need to obtain the necessary licenses and permits to start the business, and this may include professional licenses or business licenses specific to your business.
6. Open a bank account: Open a commercial bank account in approved banks in Dubai to facilitate your company’s financial business operations.
7. Renting and Infrastructure: Book the right office or commercial space for your business, and ensure the necessary infrastructure such as telecommunications, power and water is provided.
8. Labor Recruitment: Start hiring the labor needed to start the business, and ensure compliance with local labor and labor laws.

Necessary conditions for foreigners to establish a company in Dubai

For foreigners wishing to establish a company in Dubai , there are several terms and conditions that must be taken into account. Here are some basic conditions:

• National partner: In the UAE, a national company (owned by Emiratis) must own at least 51% of the registered capital of the company. Therefore, foreigners have to look for an Emirati partner who complies with this condition.
• Type of license: Foreigners must choose the type of license that is appropriate for their business activity and that is compatible with local regulations and laws in Dubai.
• Permits and Licenses: Some economic activities in Dubai may require special permits or specific licenses, which must be obtained before starting the business.
• Compliance with Laws and Regulations: Foreigners must comply with all local and federal laws and regulations related to establishing and managing companies in Dubai.
• Obtaining visas and residency: Foreigners must obtain the necessary visas and residency to work and reside in Dubai, and visa and residency requirements can vary depending on the type of license and company activity.
• Financial Compliance: Local authorities may require the submission of financial statements and documents required to confirm the financial ability to establish and operate a company.
• Contracts and Agreements: Foreigners must draw up partnership contracts and agreements to establish and manage the company in accordance with local and international laws.
• Trademark Registration: Some businesses may require trademark registration, which is a basic requirement for legal trademark protection.

Expected costs for foreigners to establish a company in Dubai

Here is an overview of the expected costs for foreigners to establish a company in Dubai without mentioning specific numbers:

1. Registration and license fees: These fees include the costs of registering the company and obtaining the necessary business license from local authorities.
2. Consulting and Legal Assistance Costs: You may need legal advice or assistance from local advisors to assist you in the company formation process and compliance with local laws.
3. Real estate costs: You will need to pay the rental or purchase costs for the office or commercial space needed for your company.
4. Labor costs: These include the costs of hiring and securing the labor needed to start a business.
5. Marketing and Advertising Costs: Marketing and advertising costs should be included to attract customers and enhance your company’s brand.
6. Visa and residency costs: The process may require obtaining visas and residency to work and reside in Dubai, and these include visa and residency costs and associated fees.
7. Maintenance and Renewal Costs: There can be annual maintenance and renewal costs for the business license and licenses needed for your company.

Opportunities for foreigners to do business in Dubai

There are many business opportunities available for foreigners to do business in Dubai and in the UAE in general. Some of these opportunities include:

• Real Estate Sector: Dubai has an active real estate market that provides investment opportunities in commercial and residential properties, hotels and entertainment facilities.
• Tourism and Hospitality: Dubai is a popular tourist destination and provides opportunities to invest in hotels, restaurants, tourism services, and entertainment.
• E-commerce: With the increasing use of technology, there are great opportunities to build and operate an online business, whether it is for retail or digital services.
• Technology and Innovation: Dubai is developing a strong technology infrastructure, providing opportunities for investment in the technology and innovation sector.
• Financial services: Foreigners can work in financial services, such as banks, investment companies, and insurance.
• Manufacturing: Dubai encourages investment in manufacturing and processing industries, providing investment opportunities in areas such as food industries, chemical industries, and engineering industries.
• Education and Training: Foreigners can provide educational and training services in various fields, including higher education and vocational training.

Conditions for opening a company in Dubai for foreigners

Taxes that must be paid by foreigners when establishing a company in Dubai

In the UAE in general, the emirate does not impose many direct taxes on companies. However, there are some other fees and taxes that businesses may have to pay. Here’s an overview of some of the fees and taxes that may be required:

1. Registration fees: These fees are paid when registering the company and reach a certain amount that depends on the type of company and its location.
2. Government Licenses: There can be annual fees for obtaining government licenses such as a company license and a business license.
3. National Office Fees: There may be annual fees for the National Offices and the Chamber of Commerce and Industry.
4. Business fees: If you have employees, you may need to pay fees to the Ministry of Human Resources and Emiratisation.
5. Value Added Tax (VAT): VAT was introduced in the UAE in 2018, and applies to goods and services at a rate of 5%. VAT registered companies must file returns and pay the tax due.
6. International Taxes: Companies operating in the UAE may have to pay taxes on income or taxes on profits in other countries depending on local legislation and international tax agreements.

Types of business licenses available to foreigners in Dubai

Here is a table showing the types of business licenses available to foreigners in Dubai:

Documents required for foreigners to establish a company in Dubai

To establish a company in Dubai as a foreigner, the documents required are usually similar to those required for UAE nationals, but you may need some additional documents or certified translations if you are a non-UAE citizen. Here is a general list of required documents:

• Incorporation application form: A form containing company details such as company name, type of business activity, and details of shareholders and directors.
• Passport copy: A certified copy of the passport for each shareholder and director in the company.
• Residence Permit: If you have residency in the UAE, you may need to submit a certified copy of your residence permit.
• Memorandum of Association: A document that defines the structure and objectives of the company, as well as information about shareholders and officers.
• Power of Attorney: If there are legal representatives appointed to represent the company, you may need a notarized power of attorney.
• Bank certificate: A bank certificate proving the deposit of the required capital into the company’s account.
• Introduction letter from the bank: A letter from the bank proving that you have a bank account in the UAE.
• A form to fill out shareholders’ and directors’ data: A form that contains personal information about shareholders and directors, such as address and contact information.

In conclusion of this article, we realize the importance of opening a company in Dubai for foreigners and the crucial role that Itqan Company plays in this process. Opening a company in Dubai is an exciting opportunity for foreign investment, as the city provides a developed and encouraging business environment for investors.

Through Itqan Company, foreigners can benefit from extensive experience and specialized services to facilitate the process of opening a company in Dubai. The company provides comprehensive support at all stages of the process, from determining the appropriate type of company to obtaining the necessary licenses and providing legal support.

Opening a company in Dubai for foreigners gives you complete freedom of company ownership and the opportunity to access a thriving global market. Thanks to Itqan Company, you will be able to achieve your business goals and develop your activity with confidence and stability in this thriving economic environment.

The most important frequently asked questions about opening a company in Dubai for foreigners