Mainland Company Setup in Dubai Cost
# Dubai Mainland Company Formation Cost – A Complete Breakdown
Setting up a mainland company in Dubai is an attractive option for entrepreneurs looking to establish a strong presence in the UAE. Understanding the cost of Dubai mainland company formation is crucial to budgeting and making informed business decisions. This guide provides a detailed breakdown of the company setup costs in mainland Dubai and factors influencing them.
## How Much Does It Cost to Set Up a Mainland Company in Dubai?
The cost of business setup in Dubai mainland varies depending on multiple factors such as business activity, office space, and government fees. On average, the Dubai mainland company setup cost ranges from AED 15,000 to AED 50,000, depending on licensing requirements and additional services.
Factors That Affect the Cost of Mainland Business Setup
- Business Activity & Industry: Certain industries have higher licensing fees.
- Trade License Type: Professional, commercial, and industrial licenses have different costs.
- Office Space Requirement: Renting an office is mandatory for mainland companies.
- Number of Visas Needed: More employees mean additional visa and labor costs.
- Government Approvals: Some businesses require extra approvals from regulatory bodies.
Government Fees & Licensing Charges
The Dubai Department of Economic Development (DED) is responsible for issuing mainland business licenses. The DED license cost in Dubai starts at around AED 12,000, but additional charges apply based on business activities and approvals.
Hidden Costs to Consider
- Sponsorship Fees (if applicable)
- Municipality Fees
- Translation & Notarization Charges
- Office Rent & Utilities
- Marketing & Branding Expenses
## Cost Breakdown of Dubai Mainland Company Formation
Trade License Fees
The Dubai trade license cost depends on business activity and starts from AED 12,000 to AED 30,000.
Local Sponsor or Service Agent Fees
For businesses requiring a local sponsor in Dubai, annual sponsorship fees range from AED 10,000 to AED 25,000.
Office Space & Rental Costs
- Ejari registration: AED 2,000 – AED 5,000
- Office rent: AED 15,000 – AED 50,000 per year (varies by location)
Visa & Immigration Fees
- Investor Visa: AED 3,500 – AED 7,000
- Employment Visa: AED 3,000 – AED 5,000 per employee
- Emirates ID & Medical Test: AED 1,000 – AED 1,500 per person
Business Name Registration Charges
The business name registration in Dubai costs between AED 600 to AED 2,000, depending on name complexity and category.
PRO & Administrative Costs
For document clearance and government liaison services, businesses may need PRO services in Dubai, costing around AED 5,000 – AED 15,000 annually.
## Cost Comparison: Mainland vs. Free Zone vs. Offshore
| Company Type | Estimated Cost Range | Ownership | Office Requirement |
|---|---|---|---|
| Mainland | AED 15,000 – AED 50,000 | Requires a local sponsor (except certain activities) | Mandatory |
| Free Zone | AED 10,000 – AED 25,000 | 100% foreign ownership | Not always required |
| Offshore | AED 5,000 – AED 15,000 | 100% foreign ownership | Not required |
## Ways to Reduce the Cost of Mainland Business Setup in Dubai
- Choose the right business activity to avoid extra approvals and fees.
- Opt for shared office spaces instead of leasing a full office.
- Use professional PRO services to streamline paperwork and reduce delays.
- Leverage government incentives for startups and SMEs.
## Is Dubai Mainland Business Setup Worth the Investment?
Despite the costs, setting up a business in Dubai mainland offers numerous benefits:
- 100% repatriation of profits and capital
- Access to UAE and international markets
- No restrictions on office location
- Ability to work with government contracts
For entrepreneurs seeking long-term business growth in Dubai, mainland company formation is a lucrative investment.
## FAQs About Dubai Mainland Company Formation Cost
Q: What is the minimum cost to start a business in mainland Dubai?
A: The minimum cost of business setup in Dubai mainland starts at AED 15,000, depending on the trade license and business activity.
Q: Do I need a local sponsor to open a mainland company in Dubai?
A: Certain business activities require a local sponsor in Dubai, but some sectors allow 100% foreign ownership.
Q: Can I set up a Dubai mainland business without renting office space?
A: No, office space in Dubai mainland is mandatory for company formation.
Q: How long does it take to complete mainland company registration?
A: Company registration in Dubai mainland typically takes 7 to 14 business days, provided all documents are in order.
By understanding the cost of setting up a business in Dubai mainland, entrepreneurs can make informed decisions and plan effectively for their company’s success.