How Much Does It Cost to Set Up a Business in Dubai?

Thinking of starting a business in Dubai but unsure about the costs involved? You’re not alone. Understanding the cost to set up a business in Dubai is one of the most common — and critical — concerns for entrepreneurs and investors alike.

Whether you’re launching a consultancy, a trading firm, or an online business, here’s a complete breakdown of what you can expect to pay when setting up a company in Dubai in 2025.

Is It Expensive to Start a Business in Dubai?

Not necessarily. While Dubai is seen as a premium business destination, reforms over the past few years have introduced many cost-effective company formation options, especially for startups and solo entrepreneurs.

Today, you can legally start a company in Dubai for as low as AED 5,750 — and scale up as your business grows.

Key Cost Components of Business Setup in Dubai

Let’s look at where your money goes:

✅ 1. Trade License Fee

This is the main cost and depends on your business activity and jurisdiction.

Free Zone license: AED 5,750 – AED 15,000+
Mainland license: AED 12,000 – AED 25,000+
E-commerce or freelance license: AED 5,000 – AED 10,000

✅ 2. Business Name Registration

Usually costs AED 500 – AED 1,000 depending on complexity.

✅ 3. Office Space (or Flexi-Desk)

Virtual offices: AED 2,000 – AED 5,000
Shared/flexi-desks: AED 5,000 – AED 10,000+
Dedicated office space: AED 10,000 – AED 30,000+ per year

Some Free Zones include a virtual office in their package.

✅ 4. Visa Costs (Optional)

Investor/partner visa: AED 3,000 – AED 5,000+
Medical test & Emirates ID: AED 1,000 – AED 2,000+

✅ 5. Bank Account Setup

Generally free, but some banks may require a minimum deposit of AED 10,000 – AED 50,000 depending on account type.

✅ 6. Other Optional Costs

Trademark registration: AED 8,000 – AED 10,000+
Legal translation & document drafting: AED 1,500 – AED 3,000
VAT registration (if required): Free – AED 3,000

Sample Business Setup Cost Packages (2025)

Type of Setup	Starting Cost
Freelance Permit (Free Zone)	AED 5,750
Single-owner Free Zone Company	AED 8,000 – AED 12,000
Mainland Business with Visa	AED 18,000 – AED 25,000
Retail/Commercial Mainland License	AED 30,000+

???? Note: These are estimates. Actual pricing may vary based on the Free Zone, activity, and services included.

How to Reduce Business Setup Costs in Dubai

Here are a few smart strategies:

✅ Choose a Free Zone that offers bundled packages (license + visa + workspace)
✅ Go for a virtual company license if you don’t need a physical office
✅ Start with a freelance permit if you’re a solo founder
✅ Avoid unnecessary add-ons (visas, contracts, translation) until needed

???? Need help selecting a budget-friendly setup?
Explore tailored options at Axiom Mark

Things to Watch Out For

Hidden charges in low-advertised packages
Non-compliance fines for the wrong activity/license
Mandatory renewals — most licenses must be renewed annually
Scam consultants offering setups that aren’t DED or Free Zone approved

Work with licensed business setup experts like Axiom Mark to avoid mistakes that can cost you time and money.

FAQs – Cost to Start a Business in Dubai

Q: What is the cheapest way to start a business in Dubai?
A freelance or virtual company license in a Free Zone — starting around AED 5,750.

Q: Are business setup costs in Dubai tax-deductible?
There’s no corporate tax for most small businesses under AED 375,000 annual revenue — but consult a VAT advisor.

Q: Can I pay for company formation in installments?
Yes. Some Free Zones and consultants offer installment plans or flexible packages.

Final Thoughts

The cost to set up a business in Dubai depends on many variables — your business model, jurisdiction, office needs, and whether or not you require visas. But with the right setup partner, you can keep it affordable without compromising compliance.

???? Get your personalized estimate today at Axiom Mark — the trusted name for cost-effective and professional business formation in Dubai.

Blog