Dubai Company Setup Cost for UK Residents: All You Need to Know
Checking about Dubai company formation setup cost? We bet you do! Dubai is a thriving cosmopolitan city, that has become a central hub for global trade and business This city is offering numerous advantages for entrepreneurs. This includes tax benefits, a supportive business environment, quality of life, and state-of-the-art infrastructure. By far Dubai presents an enticing opportunity for UK residents looking to establish their companies. However, it is crucial to understand the cost associated with starting a business in Dubai. The cost can vary depending on several factors. In this article, we will explore the key elements that contribute to the overall cost of setting up a company in Dubai as a UK resident. We will be ensuring a comprehensive understanding of the financial commitments involved.
Dubai Company Setup Cost Made Simple:
For UK residents and other ex-pats alike, there are a number of factors that contribute to the total cost of starting a business in Dubai. Let’s look at a few of these factors and their financial implications:
- Business License: Obtaining a business license is a fundamental requirement when establishing a company in Dubai. The cost of a free zone general trading business license, for example, typically amounts to AED 6,500. However, depending on the legal structure and location of your business, the business registration fees within the free zone authority or Dubai Economic Department (DED) may range from AED 9,000 to AED 10,000.
- Share Capital: The required share capital varies based on the legal structure of your company. For example, if you are joining an existing Limited Liability Company (LLC), the minimum contribution would be approximately AED 72,000. However, for Public Joint Stock Companies (PJSC) or Private Joint Stock Companies (PrJSC), the share capital can range upwards of AED 1,000,000.
- Trademark Registration Fees: To protect your brand and intellectual property, trademark registration is essential. Trademark registration fees are paid annually, with costs ranging from AED 500 to AED 10,000. Failure to renew the registration on time may result in penalties.
- Visa Issuance: When relocating to Dubai, obtaining residence visas for yourself and your employees is a vital step. The cost of a single residence visa starts from AED 2,500. This will have additional charges for annual renewal and medical fitness tests.
- Lease: An annual lease for office space is necessary for your business operations. The cost of office space can range from AED 20,000 to AED 500,000. Everything is depending on the location and size of the rented space.
Dubai Business Office Space Options:
Dubai offers various office space options to cater to different business needs and budgets. There are a few different options preferred by certain professionals and business owners just starting out in Dubai. We’ll highlight the two most popular choices:
- Virtual Offices: Virtual offices such as flexi-desks and workstations are popular options, due to their relatively cheap leases. With shared business spaces, these options provide cost-effective solutions. However, it’s important to note that banks often require a physical office lease for certain transactions. This is making this option less favourable in such cases.
- Conventional Office Spaces: Conventional office spaces include dedicated floors in commercial buildings, showrooms, warehouses, and production sites. The choice of office space depends on the type of business activity and whether it operates in the mainland or a free zone.
About Dubai company setup cost as a UK resident:
What is the cost of obtaining a business license in Dubai?
The cost of obtaining a business license in Dubai can vary depending on several factors. While the minimum cost for a small business license is approximately AED 6,500 to AED 10,000, it’s important to note that various contributing factors can collectively increase the overall cost.
Factors that may influence the cost of a business license in Dubai include the type of license required and the nature of the business activity. Additionally, any other approvals or permits are needed for specific industries.
What are the trademark registration fees in Dubai?
The trademark registration fees in Dubai and the UAE may vary depending on certain factors. Typically, the fees to pay are around AED 8,700 for trademark registration in the UAE.
It’s important to note that this fee is a general indication and may not cover all possible scenarios. The actual trademark registration fees are influenced by factors such as the number of classes of goods or services being registered. Also, whether it’s a local or international application and any additional legal or professional fees associated with the registration process.
How much does office space rental in Dubai typically costs?
Office space rental costs in Dubai can vary significantly depending on factors such as location, size, facilities, and amenities provided. On average, for a single individual, annual office space rental in Dubai can range from AED 20,000 to AED 500,000. It’s important to note that prices can vary based on several factors. Prime locations in popular business districts or free zones may command higher rental prices. The other option is office spaces in less central areas that may be more affordable.
In Dubai, there are various types of office spaces available, including traditional offices, serviced offices, co-working spaces, and virtual offices. Serviced office spaces, in particular, offer business-ready facilities that are cleaned and serviced by a facilities company (often third-party asset/property management companies). They often include amenities such as kitchens, networking spaces, and staffed reception desks. The costs associated with these serviced office spaces are typically higher due to the added convenience and services provided.
Get an Accurate Quote for Your Business Setup:
As a Dubai-based team of experts, we specialise in providing legal advice and services for UK residents. Especially for the Brtits looking to set up businesses in Dubai and the UAE. With extensive knowledge and experience, we assist at every stage of the company formation process. We will guide you from selecting the appropriate free zone to evaluating the total business setup costs. Contact us to schedule a one-on-one session tailored to your specific requirements.
The cost of setting up a company in Dubai as a UK resident varies based on factors such as business license type, location, visa requirements, and office space options. Understanding the unique needs of your business is crucial to estimate the overall costs accurately. By consulting with professionals like us, you can navigate the process more efficiently and gain insights into your individual requirements and associated costs. Take the first step towards establishing your business in Dubai. Unlock the numerous opportunities that await in this dynamic global city.