Cost Guide

Business Setup Cost Dubai 2026,
The Real Numbers Nobody Tells You

The headline licence fee is just the beginning. Here's a complete breakdown of what business setup in Dubai actually costs in 2026, free zone, mainland, visa, banking and everything in between.

By Imran Mirza·Founder, XILLION Group UAE
Updated July 2026
12 min read

The number one question people ask before starting a company in Dubai is "how much will it cost?" The number one answer they get, from websites, from competitors, from comparison tools, is wrong. Not slightly wrong. Wrong in ways that can lead founders to budget tens of thousands of dirhams less than reality requires.

This guide gives you the real numbers, not headline licence fees, but total first-year costs including everything you actually need to get a properly functioning company with a bank account and a visa.

Setup type (2026)Typical first-year total*Best for
Budget free zone (SHAMS, IFZA basic, RAKEZ)AED 12,000 – 24,000Solo founders, freelancers, startups
Mid-range free zone (Meydan, IFZA premium, SPC)AED 22,000 – 42,000Growing companies wanting a stronger brand
Premium free zone (DMCC, DIFC, ADGM)AED 45,000 – 110,000+Finance, trading, prestige address
Dubai mainland (DET-licensed)AED 35,000 – 75,000+Local UAE market, offices, government work

*Indicative all-in ranges covering licence, establishment card, one investor visa, Emirates ID and a basic office or flexi-desk. Actual figures depend on the authority, activity and number of visas, and government fees may change. Try our cost calculator or ask us for a written quotation.

The 7 Cost Components You Must Budget For

Whatever route you choose, your true first-year cost is built from these seven parts. Miss one and your budget will be wrong:

1. Trade licence — the core permit from the free zone or Dubai Economy & Tourism.
2. Establishment / immigration card — lets your company sponsor residence visas.
3. Investor or partner visa — entry permit, status change, medical test and Emirates ID.
4. Office or flexi-desk — required even by most free zones.
5. Corporate bank account — free to open, but carries a minimum balance to maintain (see bank account opening).
6. Corporate Tax & VAT registration — mandatory with the Federal Tax Authority.
7. PRO, attestation & translation — the smaller government-processing costs (our PRO services handle these).

Why Most Cost Guides Get It Wrong

Almost every "business setup cost Dubai" guide focuses on the licence fee. "Get a free zone licence from AED 5,750!" That number is real, in the sense that a licence starting price can be that low. What it doesn't include is the visa, the establishment card, the medical test, the Emirates ID, the office or flexi-desk, the bank account minimum balance, the PRO fees, the notarisation costs if your documents are from overseas, and the renewal costs at the end of year one.

Add all of those together and you're looking at a genuinely different number. The good news is that the real number is still very reasonable for what you get, a properly structured UAE company with a corporate bank account and a residence visa. But you need to know the real number before you start, not after.

The rule I use with every client: Budget the full first-year cost before starting. That means licence + establishment card + visa + medical + Emirates ID + office + bank minimum balance + any professional fees. The total is almost always higher than the licence fee alone.

Free Zone, What It Actually Costs in 2026

Free zone costs vary significantly depending on the zone, the activity and the visa package. Here are realistic full first-year cost ranges for the most common options:

Budget Free Zones (SHAMS, IFZA basic, RAKEZ):
Licence + establishment card: AED 6,000–12,000
Investor visa (medical, entry permit, status change, Emirates ID): AED 4,000–6,500
Virtual office / flexi-desk: AED 1,500–5,000
Total first-year realistic range: AED 12,000–24,000

Mid-Range Free Zones (IFZA premium, Meydan, SPC):
Licence + establishment card: AED 12,000–22,000
Investor visa: AED 4,000–6,500
Flexi-desk or shared office: AED 5,000–12,000
Total first-year realistic range: AED 22,000–42,000

Premium Free Zones (DMCC, DIFC non-regulated, ADGM non-regulated):
Licence + registration + establishment card: AED 25,000–50,000+
Investor visa: AED 4,000–6,500
Office (DMCC business centre or equivalent): AED 15,000–50,000+
Total first-year realistic range: AED 45,000–110,000+

Dubai Mainland, What It Actually Costs

Dubai mainland companies are licensed by Dubai Economy & Tourism (DET), and you can even request a trade licence on the official Invest in Dubai portal. Mainland costs are less package-based than free zones, they depend on the activity, company type and office arrangement. See our Dubai mainland setup page. Here are realistic ranges:

Sole Establishment or LLC (no external approvals):
DED licence + initial approval + name reservation: AED 12,000–20,000
Ejari (office lease registration): AED 4,000–10,000
Office space (minimum required, smallest options): AED 15,000–40,000/year
Investor visa: AED 4,000–6,500
Immigration card: AED 2,000–3,000
Total first-year realistic range: AED 35,000–75,000+

Activities requiring external approvals (healthcare, education, food, financial services, real estate, etc.) add significant cost and time. External approval fees vary by authority from AED 2,000 to AED 20,000+ depending on the activity.

The Bank Account Minimum Balance, Often Forgotten

This is the cost that catches founders most off guard. UAE business bank accounts typically require minimum monthly average balances. These are not fees, you keep the money, but they are capital you need to have and maintain in the account.

Minimum balance requirements vary significantly by bank and account type:

Entry-level business accounts: AED 10,000–25,000 minimum average balance
Mid-tier business accounts: AED 50,000–100,000 minimum
Premium / private banking: AED 250,000+ minimum

If you fall below the minimum balance, banks charge monthly fees (typically AED 200–500 per month). This isn't a disaster, but it's a cost that catches people who don't factor it into their initial capital requirements.

Renewal Costs, Year Two and Beyond

Year-one costs are always higher than renewal costs because they include registration fees that are one-time or infrequent. Year-two and renewal costs typically include:

Licence renewal: 60-80% of year-one licence fee
Establishment card renewal: AED 500–2,000
Visa renewal (every 2-3 years): AED 3,000–5,000
Office / flexi-desk renewal: same as year one
Annual renewal realistic range: AED 10,000–40,000+ depending on zone and setup

The Hidden Costs Nobody Mentions

Document attestation / notarisation. If you're setting up as a corporate shareholder or your documents are from outside the UAE, attestation costs range from AED 1,500 to AED 8,000+ depending on the document type and country of origin.

PRO services. If you use a PRO (Public Relations Officer) to handle government submissions, typing centre visits and document processing, budget AED 1,000–3,000 per transaction or AED 5,000–15,000 for an annual retainer.

Translation. Documents not in Arabic or English typically need certified translation. Budget AED 100–300 per page.

Courier and typing centre fees. Small individually, but add up. Budget AED 1,000–3,000 for the setup process overall.

What You Actually Get for the Money

It's worth stepping back from the cost discussion to remember what a properly established UAE company delivers. You get a legitimate business entity that can issue invoices, enter contracts, hold bank accounts in UAE dirhams and other currencies, sponsor residence visas for yourself and your team, and operate in one of the world's most commercially open and tax-efficient business environments.

UAE Corporate Tax is charged at 9% on taxable profits above AED 375,000, with a 0% rate below that threshold. Every UAE company must still register for Corporate Tax with the Federal Tax Authority, even if it owes nothing. There is no personal income tax and no capital gains tax, and the UAE holds double-tax treaties with over 130 countries. Our UAE Corporate Tax page and 2026 tax guide explain the detail.

Against those benefits, the setup cost, properly understood, is a reasonable investment. The issue is simply making sure you understand the full picture before you start.

Frequently Asked Questions

Is a free zone or mainland cheaper?
A free zone is usually cheaper to start and needs no separate physical office, which is why most first-time founders choose one. Mainland makes sense when you need to trade directly in the local UAE market, take government work, or run a physical shop or office. Compare both in Mainland vs Free Zone.
What is the cheapest free zone in Dubai?
Budget zones such as SHAMS, IFZA basic and RAKEZ have the lowest entry cost (roughly AED 12,000–24,000 all-in with one visa). But the cheapest zone is not always the right one; the correct choice depends on your activity, visa count and where your clients are. See our UAE free zones guide.
Do I pay for the visa and Emirates ID separately?
Yes. The trade licence and the investor visa (entry permit, status change, medical test and Emirates ID) are separate costs. Budget around AED 4,000–6,500 for one investor visa on top of the licence.
What is the minimum bank balance for a UAE company?
It varies by bank and tier, typically AED 10,000–25,000 for entry-level accounts, AED 50,000–100,000 for mid-tier, and AED 250,000+ for premium banking. It is money you keep, not a fee. More in our bank account opening guide.
Do I have to pay corporate tax?
Corporate Tax is 9% on profits above AED 375,000 and 0% below it, but registration with the Federal Tax Authority is mandatory for every company.
Can I set up without visiting Dubai?
Many free-zone setups can be started remotely, though some approvals, biometrics or bank onboarding may need a short visit. Tell us your situation on our contact page and we will confirm what is possible.

Want a Real Cost Breakdown
for Your Specific Situation?

Book a call with Imran Mirza. You'll get a full, itemised cost estimate for the right structure for your business, before you commit to anything.

Imran Mirza, Founder of XILLION Group UAE
Written by Imran Mirza
Founder & Managing Director, XILLION Group UAE
Reviewed by XILLION Group UAE · Published: July 2026 · Reading time: 12 minutes

Related reading: Mainland vs Free Zone · UAE Corporate Tax Guide · Opening a Corporate Bank Account · UAE Golden Visa Guide · Business Setup Dubai · Cost Calculator