Setup a company in Dubai

Establishing a company in Dubai represents an important strategic step for ambitious individuals and companies seeking to benefit from the thriving economic environment and vast opportunities available in the United Arab Emirates. Through cooperation with Itqan Company, establishing the company in Dubai becomes an easy and efficient process, as the company provides expertise and comprehensive services that ensure that procedures are completed easily and smoothly.

Dubai features advanced infrastructure, a flexible legislative and tax environment, and easy access to regional and global markets, making it an ideal destination for doing business. In this article, we will explore together the process of establishing a company in Dubai in cooperation with Itqan, and how this cooperation can facilitate the path towards success and prosperity in the UAE and global market.

Establishing the company in Dubai

Steps to establish a company in Dubai

Establishing a company in Dubai requires following several stages and procedures in order to obtain all procedures cleared smoothly and distinctly.

The basic stages of establishing a company in Dubai are as follows:

• Determine the type of company: You must decide what type of company you want to establish in Dubai. Options can be an LLC, a Free Zone Company, a Public Joint Stock Company, or other legal forms available.
• Choosing a company name: You must choose a unique and appropriate name for the company. The name must comply with local laws and regulations and be available for registration.
• Identifying shareholders and shareholding: The shareholders who will own shares in the company must be identified and shareholding percentages determined. In the case of a local company, you must have local shareholders and UAE nationals must retain a certain percentage of ownership.
• Preparing legal documents: The legal documents required to establish the company must be prepared, such as contracts, charters, and agreements. You can obtain assistance from an attorney or legal consultant to prepare these documents and ensure compliance with local laws.
• Registration and obtaining licenses: You must submit a registration application to the competent authorities in Dubai, such as the Department of Economic Development or the authority responsible for the free zone if you are establishing a free company. You must submit the required documents and pay the fees related to registration and obtaining various licenses.
• Opening a bank account: After registering the company, a bank account must be opened in the name of the company to manage financial matters related to the company.
• Compliance with legal requirements: After establishing a company, other legal requirements must be complied with, such as preparing annual financial reports, filing tax returns, and complying with practical laws.

Documents and transactions necessary to establish a company in Dubai

Establishing a company in Dubai usually requires many necessary documents and transactions. Here is a list of the basic documents and transactions that you may need. However, you should check the exact requirements for the type of company you wish to establish and consult with Itqan Company, which provides specialized consultants for establishing companies in Dubai to ensure Full compliance:

• A copy of the founders’ passport: A copy of the passport of all founders of the company must be submitted.
• Company Name: You must specify the proposed company name and ensure that it is compatible with corporate laws in Dubai.
• Incorporation Agreement: You must prepare and sign an incorporation agreement or contract that sets out the terms, conditions, and details of your company.
• Company name reservation: The company name must be reserved in the Department of Commerce and E-Commerce in Dubai.
• Company certificate: A company incorporation certificate must be obtained from the competent government authority.
• Authorization letter: If an executive director or agent of the company is appointed, an authorization letter specifying their powers may be required.
• The company’s official headquarters: The address of the company’s official headquarters in Dubai must be provided.
• Special licenses: You may need to obtain licenses specific to the company’s activity from the relevant government agencies, such as a building license or health license.
• Bank Account: A bank account must be opened in the name of the company to conduct financial transactions.
• Subscription to Social Security: The company must be registered to obtain Social Security for employees.
• Other permits and licenses: You may need additional permits and licenses depending on the type of activity the company conducts.

Company establishment fees in Dubai

When you are thinking about setting up a company in Dubai , one of the important factors to take into consideration is the expected fees and costs. You must be aware of the potential costs of starting a company so that you can do proper financial planning and ensure the sustainability of your business success.

Expected fees and costs for incorporating a company in Dubai vary based on several factors, including the type and activity of the company, the desired geographic location, and local legal and regulatory requirements. I will give you an overview of some of the potential fees and costs you may encounter during the company formation process:

1. Company registration fees: These fees include government fees related to company registration and company name reservation. This may require an upfront registration fee and annual fee.
2. National Finance Office fees: When you incorporate a company in Dubai, you may need to pay National Finance Office fees to obtain specific licenses and to comply with financial disclosure requirements.
3. Work visa fees: If you plan to employ foreign employees in your company, you will need to pay work visa fees and permit fees related to foreign employment.
4. Legal and accounting consultants’ fees: You may need to engage legal and accounting consultants to provide advice and support during the incorporation process, and fees will be determined according to the services provided.
5. Administrative Services and Virtual Office Fees: If you plan to rent a virtual office or utilize shared administrative services, you will incur additional fees.
6. Rental costs and finishes: If you intend to rent a space for your company headquarters, you will face monthly rental costs and may also need interior finishes costs.
7. Insurance costs: Because insurance coverage is required for a company in Dubai, you need to pay insurance costs related to property, liability and workers.
8. Labor costs: You may need to provide for the costs of salaries, benefits, and health insurance for the employees you will hire into the company.
9. Legal and Accounting Services Fees: If you seek legal or accounting consulting services to assist you in preparing and submitting financial reports and complying with accounting regulations, you will incur additional costs for these services.

These are some of the potential fees and costs for setting up a company in Dubai. You should contact our company to obtain more detailed and accurate information based on your company’s activity and its compliance with current local laws. It is also recommended to prepare a comprehensive financial plan that takes into account all expected expenses and determine appropriate sources of funding to ensure the sustainability of your business’s success in the future.

Types of companies allowed in Dubai

In Dubai, there are several types of company establishment in Dubai , so every investor must know them. These are some of the common types of companies in Dubai:

• Local Company (Limited Liability Company – LLC): A local company is a popular form of company in Dubai. This company requires local and foreign shareholders, and has flexibility in management and operation.
• Free Zone Company: There are free zones in Dubai that allow the establishment of free companies. These companies offer many advantages such as full foreign ownership, tax exemptions, and ease of exporting and importing.
• Public Joint Stock Company (PJSC): A public joint stock company is a form of company that can be listed on a stock exchange. This company has the ability to attract capital from the public through the sale of shares.
• Limited Liability Partnership – LLP: This company allows partners to share limited liability and business benefits. It is a popular form for professionals such as lawyers and accountants.
• Sole Proprietorship: Individuals can establish a sole proprietorship in Dubai, and the sole owner is personally responsible.

These are some of the main types of companies in Dubai, and local laws and regulations can vary regarding each type of company. Contact us to get accurate and updated information before establishing any type of company in Dubai.

Main economic sectors for establishing a company in Dubai

Establishing a company in Dubai, as Dubai has diverse and thriving economic sectors that contribute to enhancing economic growth and providing many opportunities for companies and investors. Here is an overview of some of the main economic sectors for setting up a company in Dubai:

1. Real Estate and Construction: The real estate and construction industry is considered one of the most important economic sectors in Dubai. The city is witnessing continuous development in the field of residential, commercial and hotel real estate, which provides opportunities for investment and development of real estate projects.
2. Financial Services: Dubai includes many leading banks and financial institutions, and is considered an important financial center in the region. Financial services in Dubai provide banking, insurance, investment, asset management and Islamic banking.
3. Trade and Distribution: Dubai is a major destination for international trade and distribution, as it enjoys a strategic location and advanced infrastructure. The city provides free zones and modern seaports that facilitate the circulation of goods and promote commercial activity.
4. Tourism and Hospitality: The tourism and hospitality industry is a major driver of the economy in Dubai. The city has luxury hotels, shopping centers and world-famous tourist attractions, attracting tourists from all over the world and contributing to the development of the tourism industry.
5. Technology and Innovation: Dubai seeks to develop the technology and innovation sector, promote digital transformation and apply advanced technologies. There are many startup companies, technology centers and research institutions in the city, which supports innovation and technological development.
6. Creative Industries: Creative industries are an emerging field in Dubai, with the city encouraging the development of arts, culture, film, music and design. Dubai provides space and support for creatives, artists and designers to enhance the cultural and artistic innovation sector.

This is just an overview, there are many other important sectors in Dubai, such as industry, energy, education, and health. Dubai has a strategic vision aimed at diversifying its economy and promoting sustainable development. If you would like more specific information about any specific sector or activities in Dubai, we are ready to provide you with more details.

The importance of choosing the appropriate legal structure for the company

Choosing the appropriate legal structure when establishing a company in Dubai is of great importance and can affect many aspects of the business and future success of the company. Here are some reasons why choosing the right legal structure is important:

1. Legal Responsibility: The legal structure affects the degree of responsibility you have as a company and the members of the company. There are legal structures such as limited liability companies that protect shareholders from personal liability for the company’s debts and obligations. In contrast, there are other structures such as sole proprietorships in which the company owner bears full personal responsibility.
2. Financing and investment: The legal structure affects the ability to attract financing and attract investors. Some legal structures allow a company to obtain business loans or larger investments, while other structures may be limited in this regard. Some investors may prefer to work with LLCs because of the legal protection they provide.
3. Management and Organization: The legal structure affects the internal organization and management of the company. A legal structure can define the authority and responsibility of managers and company members and how important decisions are made. Different legal structures may have different requirements regarding financial reporting, accounting and disclosure.
4. Taxes and Financial Benefits: The legal structure can affect a company’s tax liabilities and financial benefits. There are legal structures that provide tax concessions and exemptions to companies, and this can affect the costs and ultimate profitability of the company.
5. Expansion and Collaboration: The legal structure can affect the ability to expand and collaborate with other companies. There may be specific legal requirements for companies that wish to merge or partner with other companies. The importance of choosing the appropriate legal structure for the company is evident in its impact

On legal responsibility, finance and investment, management and organization, taxation and financial benefits, expansion and cooperation. Business owners must evaluate their own needs and goals and review local laws and regulations to make the right decision on the most appropriate legal structure for establishing a company in Dubai. It may be beneficial to consult a solicitor or specialist legal advisor for specialist legal advice in this regard.

Legal services available to facilitate the establishment process

There are many legal services available in Dubai provided by Itqan to facilitate the process of establishing a company in Dubai. Here are some of the legal services available:

1. Assistance in preparing legal documents: Lawyers and law offices can help you prepare incorporation documents and other important contracts, such as participation contracts and investment contracts.
2. Legal advice: Lawyers can provide legal advice related to the incorporation process, including the appropriate choice of company type, legal requirements, and rights and duties related to partners and shareholders.
3. Document translation: Legal offices can translate legal documents into the required language, making it easier to handle and understand the documents correctly.
4. Legal documentation: Lawyers can document legal documents related to the incorporation process, such as contracts and agreements, to ensure their validity and legality.
5. Legal representation: In case of need, lawyers can represent you before government agencies and legal institutions in establishment procedures, including submitting the required documents and following up on the procedures.
6. Financial and tax consultations: Establishing a company may require financial and tax consultation to understand the financial and tax obligations related to the company, and legal offices can provide this consultation or work in cooperation with financial and tax advisors.

Tips to facilitate the process of establishing a company in Dubai

• Research and advance planning: Before starting the company formation process, conduct thorough research on the local laws and regulations related to company formation in Dubai. Check the required legal, regulatory and financial requirements. Prepare a detailed business plan that includes goals, strategies, and available financial resources.
• Consult a lawyer or legal advisor: It is recommended to cooperate with a local lawyer or legal advisor with experience in the field of company formation in Dubai. They will be able to guide you on the correct legal procedures and provide the necessary legal advice to choose the appropriate legal structure for your company.
• Get accounting support: You may need to hire a specialized local accountant to help you prepare financial statements and statements and comply with local accounting regulations. You will have a need to organize financial records accurately and regularly and comply with financial disclosure requirements.
• Find a local partner: If establishing a joint venture company in Dubai, you may consider utilizing a local partner. A local partner has knowledge and experience in the local market and can help you facilitate the process and overcome cultural and linguistic hurdles.
• Obtain licenses and permits: Make sure to obtain the necessary licenses and permits for the company from the relevant government agencies. You may need a professional or business license and license depending on the business.
• Use consulting services: You can benefit from consulting services specialized in establishing companies in Dubai. These consulting companies provide support and guidance in all aspects of the incorporation process, including legal, administrative and financial procedures.
• Ensure compliance with local laws: You must comply with all local laws and regulations in Dubai, such as labor laws, taxes, and business practices. Ensure you have a good understanding of local legislation and work with corporate law advisors to ensure full compliance.
• Find a suitable location: Choose a strategic location for your company headquarters in Dubai. You may need to consider its proximity to target customers, essential business services and appropriate infrastructure. It may be advantageous to take advantage of tax exemption zones or free zones that offer business advantages such as customs exemptions and bureaucratic ease.
• Look for financing opportunities: You may have a financing need to get the company up and running initially. Explore available financing options such as business loans, investors and local investment companies. Set up a sustainable financing program that meets your corporate needs and helps you with future growth.
• Building a network: Build a strong network in Dubai. Participate in local business events, conferences and trade shows. Network with local entrepreneurs, investors and government officials. You may find opportunities for cooperation, partnership, and expansion of your network.

Remember, setting up a company in Dubai requires good planning and adherence to local legal and financial procedures. Obtaining the right support and advice from local experts can facilitate the establishment process and increase the chances of the company’s success.

The benefits and advantages you get from establishing a company in Dubai

Establishing a company in Dubai is a great strategic choice that provides many important benefits and advantages that can contribute to the success of the business. Dubai is considered one of the most important economic and commercial centers in the world, and has a flexible and modern legal and economic environment that provides great opportunities for emerging and expanding companies. Below we will take a comprehensive look at the main benefits and advantages that you can get from establishing a company in Dubai:

• Encouraging business environment: Dubai is considered an encouraging and innovative business environment, as it enjoys ease in establishing companies and encouraging international trade. Foreign investors can own 100% of a company’s share in specific free zones and special business zones, allowing them to gain full profit and full control of their business.
• Strong and Diversified Economy: Dubai’s economy is strong and diversified, with multiple sectors such as real estate, finance, trade, tourism, and professional services. This provides ample opportunities for businesses to grow and expand across various industries.
• Access to global markets: Dubai’s distinguished location in the heart of the Middle East is an ideal starting point for accessing global markets. Businesses in Dubai can easily reach over a billion people in the MENA region, and this enhances opportunities for expansion and increased customers and business contracts.
• Advanced Infrastructure: Dubai has a sophisticated and advanced infrastructure, including world-class airports, seaports, highways and modern communications. This facilitates the movement of goods, travel and communication with customers and business partners.
• Government Facilities: The Dubai government provides facilities and flexibility in establishing companies and lax government procedures. Companies can easily obtain licenses, register companies and obtain visas for employees, which greatly facilitates the establishment and daily work processes.
• Political Stability and Security: Dubai enjoys political stability and security, providing a safe and reliable environment for businesses and investors. This enhances confidence and makes Dubai a preferred destination for business.
• Cultural and linguistic pluralism: Dubai is a multicultural and multilingual city, where people from all over the world live and work. This provides opportunities for international cooperation and cultural communication, and facilitates engagement with customers and partners from different backgrounds.

At the conclusion of our article, we talked about establishing a company in Dubai in cooperation with Itqan Company, which represents a favorable and reliable investment option for individuals and ambitious companies. Dubai is considered one of the most attractive cities for business in the world, thanks to its thriving economic environment, advanced infrastructure, and flexible legislation that supports business.

Using Itqan’s expertise and comprehensive services, investors can successfully build their companies in this competitive environment, achieving success and sustainable growth. If you are looking to take advantage of the business opportunities available in Dubai, working with Itqan Company will be the right step towards achieving your goals and aspirations in the Emirati and global business market.

The most frequently asked questions about establishing a company in Dubai