Find out The cost of establishing a company in Dubai

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Due to the great commercial, industrial and professional development in the Emirates, the city of Dubai has become one of the best international cities for establishing companies and businesses, and for this reason many people resort to establishing their own companies within this city, and in the lines of today’s article we will talk about the cost of establishing a company in Dubai, and we will mention to you all the information you should know about this topic.

The cost of establishing a company in Dubai

Speaking of the cost of establishing a company in Dubai, there are many different factors that must be taken into consideration, as establishing some types of companies requires large amounts of money, while establishing and establishing others requires acceptable or moderate amounts. In any case, there are some amounts that must be paid when establishing a company in Dubai. Among the most prominent of these amounts we mention to you:

1- Company registration fees

Company registration fees are defined as a one-time fee when establishing a company. That is, the person wishing to establish a company must pay these fees once when establishing his company, and there is no need to pay any additional amounts after that at any time period.

These fees range between approximately 9,000 and 10,000 AED. Note that these fees are determined according to the legal structure of the company, in addition to the region in which it is established.

2- Commercial license fees

Obtaining a commercial license is considered one of the first and most important steps for establishing any business or company within Dubai or any other city in the Emirates. In general, the fees for obtaining this license vary based on the type of business of the company, in addition to the region in which it will be established.

The costs of obtaining a commercial license in Dubai range between 1,000 and 50,000 AED, which is part of the cost of establishing a company in Dubai. Note that you must pay these fees annually once your commercial license expires.

3- Cost of capital

The capital of each company in Dubai varies depending on the company’s economic activity. This is in addition to the difference in the nature of the company’s work and the region in which the company will be established.

In Dubai, it is possible to establish companies with a capital between 1,000 and 1,000,000 UAE dirhams, which makes the cost of establishing a company in Dubai vary from one person to another.

4- Entrance fees to the market

In addition to the fees mentioned previously. There are some additional fees that you must be aware of before establishing your company in Dubai, the most prominent of which we mention to you:

Market entry costs subject to the local law system are 5% of the value of the company’s lease contract.
Additional fees are determined by a committee affiliated with the competent authorities in Dubai for foreign investors.
Residence fees for foreign investors in Dubai, which are estimated at approximately 5% of the value of the housing contract.
In addition to waste-related fees, which are assessed by the Dubai Waste Committee.

5- Office space costs

In order to be able to establish your own company in Dubai, you must also take into consideration the office space that must be provided to serve as the business headquarters for the company.

Office spaces in Dubai vary according to the type of company and the number of employees in it, in addition to the company’s needs and the nature of its work. You should also know here that the city of Dubai provides office spaces suitable for most companies, so that these spaces are equipped with all the supplies and services necessary for most companies.

The cost of these spaces provided by the city ranges between approximately 10,000 and 50,000 AED. Which leads to the cost of establishing a company in Dubai varying depending on the office space chosen by the client.

Advantages of establishing a company in Dubai

Although establishing some types of companies in Dubai requires spending a lot of money, the UAE offers many legal and economic facilities for establishing companies within it, especially in the city of Dubai. Among the most prominent of these facilities we mention to you:

The UAE raises taxes on certain types of companies within it, such as natural resource extraction companies and others.
The corporate tax with an income not exceeding AED 375,000 is 0%. That is, these companies are also exempt from taxes.
The tax rate within the UAE is low compared to other countries.
The state provides many facilities during the process of establishing and establishing companies, such as legal facilities, in order to encourage foreign investors.