Start a New Business In Dubai As Foreigner- Topis, Tricks and Methods

Dubai is a famous place and home for many new business people, not just from Dubai but worldwide. Every year foreign investors from all corners of the world gather and come to Dubai for doing business.

Dubai now allows foreigners to have 100% of their businesses in many cases. Changes that only apply in recent years. Together with the introduction of a long-term visa, it has further strengthened Dubai’s reputation as the perfect location for overseas entrepreneurs.

Although it doesn’t have to be complicated, starting a business here does need some local expert knowledge, so read to find out how to start a business in Dubai as a stranger.

How Can Foreigners Start Business in Dubai?

Dubai, amongst all emirates, actively welcomes foreign investors and entrepreneurs.

Emirates is home to many experts forming companies and setup agents, guiding foreign entrepreneurs through business permits, visas, and incorporation.

As foreign entrepreneurship who plans for business setup in Dubai, your first assignment is getting used to local business habits and practices. There are several settings for the process of forming companies here that will be foreign to many people. Getting an initial understanding of these steps will help make a smooth process.

That’s why your first task is to find a company setting agent that can guide you through every step, offering suggestions and support along the way.

There are some norms and rules while registering company in Dubai-

  • It may not violate the public morality or public order of the country.
    – Must be followed by a form of corporate law, for example (LLC, FZE, etc.)
    – May not be registered before
    – Must be compatible with the types of activity and legal status needed
    – Should not contain any religious names, or government authority, or name or logo of each external body

If you want to enter your name in your company name, you also have to use it in full rather than just a family name or initial.

The setting agent you choose can help you with each step, and by aligning your company with one of the 2,000-plus permitted business activities.

Types of Business License

There are several types of trade licenses in Dubai, including commercial, industrial, and professional professionals.

The types of businesses following each license category are quite clear and determined by your business activities. If you do commercial activities – such as buying and selling products or services – then in many cases, you need a commercial license, for example.

After you determine the type of license you need, you can make your application. While 100% of foreign ownership of the mainland business in many cases, it is usually wiser for overseas entrepreneurs to start a free zone business, where ownership is 100% guaranteed.

And allows you to take the benefits of the 0% Dubai tax regime; the free zone company also benefits from customs tax exemption, lack of currency limits, and the ability to repatriate all capital and profits.

To create your free zone application, give your company setting agent some essential documentation and some details about your business, and they will take care of the rest.

Documents Required For Company Formation

The rules of each free zone regulate the company established in the free zone. Therefore, the required documentation will depend on the free zone that you created your application. The required documentation can include:

  • The application form is complete.
    – Business plan
    – A color passport copy of the company’s shareholders and the manager/directors appointed for new companies.
    – A copy of the trade registration certificate (if you are a current company, only applies to local companies)
    – The company’s shareholder signature specimen and manager/directors appointed for new companies.
    – Two-year-audited financial statements for corporate entities or reference certificates from individual shareholders individuals
    – NOC from current sponsors (for individuals).

Cost Of Company Formation in Dubai

Another reason behind Dubai’s popularity with entrepreneurs worldwide is the relatively low cost to do business.

The company’s formation in Dubai costs varies depending on where you choose to set up, whether you take place, how many employees you have – and more.

The company’s formation in the cost of Dubai’s free zone, for example, is often much lower than when setting on land. Same, if you choose to use a shared workspace than a permanent office, your setting costs are likely to be lower.


When you use a business setting service, you also get peace of mind that your visa license and application are free of errors and negligence – both can cause delays and rejection.

When you work with the business setup consultants in Dubai, all you need to give is essential documentation and little information about your business’s nature. Then, sit and let the experts take care of the rest – manage your license and visa application, communicate with all relevant departments and authorities, and report back when you are ready to start trading. It’s effortless.