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.
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.
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 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 (DED) costs are less package-based than free zones — they depend on the activity, company type and office arrangement. 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 1,000 — 3,000
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.
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.
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
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.
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.
Corporate tax in the UAE is 9% on profits above AED 375,000, with a 0% rate for businesses below that threshold. There is no personal income tax. There is no capital gains tax. The UAE has double tax treaties with over 130 countries.
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.
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.