Business setup cost in Dubai: license, visa and extra fees explained
What a Dubai company costs in year one and after: license fees, multi-year savings, visa costs, optional extras and the yearly costs to plan for.
The business setup cost in Dubai starts with your trade license. At DHCC Free Zone, a license starts from AED 12,500 a year, including a flexi-desk and up to 3 activity groups, and residence visas and optional services are added on top.
This guide breaks down each cost using our indicative figures at the time of writing, shows which costs repeat every year, and explains how to get an exact figure for your own company. All figures are indicative until confirmed by DHCC Free Zone.
Key takeaways
- A DHCC Free Zone trade license starts from AED 12,500 a year, with a flexi-desk and up to 3 activity groups.
- A 2 or 3 year license saves 15% on the license fee.
- Each residence visa adds a visa fee and a yearly visa allocation, and your company needs an establishment card.
- Extras such as bank account assistance and VAT registration are optional and priced separately.
- The cost calculator shows an exact figure for your activities, license term and visas.
What makes up your setup cost
Most founders pay for three things in their first year:
- The trade license, which covers your business activities and comes with a flexi-desk.
- Residence visas, if you or your team will live and work in the UAE.
- Optional services, such as bank account assistance, tax registration or bookkeeping.
Some costs are one-off, such as a visa application fee. Others repeat every year, such as the license fee, the establishment card and each visa allocation. Planning for both gives you a realistic budget for year one and beyond.
Your business activities also affect the total. Activities from more than 3 groups cost extra, and some activities need a regulator's approval, which may involve its own process and fees set by that authority. Use the Ask DHCC search on our business activities page to see which authority, if any, approves your activity.
Trade license cost
At DHCC Free Zone, the trade license includes a flexi-desk, so you do not need to rent a separate office to get licensed. Choosing a longer term lowers the cost per year.
| License term | What is included | Indicative total |
|---|---|---|
| 1 year | License, flexi-desk and up to 3 activity groups | From AED 12,500 |
| 2 years | The same, with 15% off the license fee | AED 21,363 |
| 3 years | The same, with 15% off the license fee | AED 32,044 |
A multi-year license suits founders who are confident in their plans and want to lower their yearly license cost.
If you need activities from more than 3 groups, the license costs more. The exact amount depends on your selection, so check it in our cost calculator rather than estimating.
If you outgrow the flexi-desk, you can move to a fixed desk or a private office. See our office space options for what is available.
Visa costs for you, your team and your family
Visa costs depend on how many people you sponsor and whether they are already in the UAE. These are our indicative fees:
| Item | Indicative cost |
|---|---|
| Investor visa | AED 4,000, plus a visa allocation of AED 1,850 a year per visa |
| Employee visa | AED 3,500, plus a visa allocation of AED 1,850 a year |
| Family (dependent) visa | AED 6,000 |
| Establishment (immigration) card | AED 2,000 a year, needed once you hold any visa |
| Change of status inside the UAE | AED 1,500 per person |
| Medical test and Emirates ID (optional add-on) | AED 2,250 per person |
The establishment card is a company-level cost: your company holds one card, renewed each year, once it sponsors any visa. The visa allocation applies to each investor and employee visa, every year.
The medical test and Emirates ID biometrics are part of every residence visa and take place in person in the UAE. We offer them as an optional add-on, priced per person. Sponsoring family members also means meeting a minimum salary or income requirement set by the authorities. Our visa services page explains the full process.
Example: one founder with an investor visa
Using the indicative figures above, a founder already in the UAE, with a 1-year license and one investor visa, would budget for:
- Trade license with flexi-desk: AED 12,500
- Investor visa: AED 4,000
- Visa allocation: AED 1,850
- Establishment card: AED 2,000
- Change of status: AED 1,500
- Medical test and Emirates ID add-on: AED 2,250
That comes to AED 24,100 before any other extras. Your own total depends on your activities and choices, so treat this as a guide and confirm it in the calculator.
Optional extras and services
These services are optional. Add them if they save you time, or skip them if you prefer to handle the task yourself.
| Service | Indicative cost | Useful if |
|---|---|---|
| Bank account assistance | AED 1,500 | You want help preparing your bank application |
| Corporate tax registration | AED 1,200 | You want us to handle your registration |
| VAT registration | AED 1,500 | You must register, or choose to register voluntarily |
| Company stamp | AED 200 | You need a stamp for documents |
| Bookkeeping | AED 1,000 | You want help keeping your records up to date |
| PO box | AED 1,700 | You want a postal address for your company |
| E-commerce starter | AED 1,000 | You plan to sell online |
Bank account assistance helps you prepare a complete application, but the bank makes its own decision. Our guide to opening a corporate bank account in the UAE explains what banks look for.
Corporate tax registration applies to every UAE company, even one that expects to pay 0%, so plan for it whether you use our service or register yourself with the Federal Tax Authority through EmaraTax. VAT registration becomes mandatory once taxable supplies and imports exceed AED 375,000 over 12 months. For advice on your own tax position, speak to a registered tax agent or adviser.
Costs that repeat every year
After year one, your running costs are mostly renewals of what you already hold:
- License renewal, at the license fee for your chosen term
- Establishment card, AED 2,000 a year while you hold any visa
- Visa allocation, AED 1,850 a year for each investor or employee visa
- Services you keep using, such as bookkeeping
Residence visas are renewed on their own cycle when they expire. Ask your adviser for the current renewal costs when the time comes.
Some companies also need audited financial statements. For example, a free zone company that wants to pay 0% corporate tax on qualifying income as a Qualifying Free Zone Person must prepare them. If this applies to you, budget for an auditor each year. Our trade license renewal guide covers the yearly renewal process step by step.
How free zone and mainland costs compare
The biggest cost difference is usually the office. A mainland company is licensed by Dubai's Department of Economy and Tourism (DET) and needs a physical office with a registered lease (Ejari), so rent is part of your setup cost from day one. Our free zone license includes a flexi-desk.
Other differences affect cost less directly:
- Ownership: free zones have always allowed 100% foreign ownership, and since 2021 many mainland activities allow it too.
- Selling goods into the mainland: free zone companies trade freely within the free zone and internationally, but selling goods directly into the UAE mainland usually needs a local distributor or extra permits, which can add cost.
- Serving mainland clients: whether a free zone company can provide services to mainland clients depends on the activity, so check with an adviser.
For a fuller comparison, read our guide to free zone vs mainland companies in Dubai.
How to keep your setup cost down
A few choices make a real difference to your total:
- Keep activities within 3 groups if your plans allow, since more groups cost extra.
- Consider a multi-year license to save 15% on the license fee.
- Start with the flexi-desk and move to a larger space when you need it.
- Sponsor only the visas you need now. You can add employee visas as you hire.
- Check regulator approvals early, so extra steps for your activity do not surprise you.
- Add only the extras you will use.
The quickest way to a reliable figure is our cost calculator. Choose your activities, license term, visas and extras, and it shows your total before you apply. If anything is unclear, one of our advisers can go through the numbers with you.
Frequently asked questions
At DHCC Free Zone, a trade license starts from AED 12,500 a year, including a flexi-desk and up to 3 activity groups. Activities from more than 3 groups cost extra.
Yes. A 2 or 3 year license saves 15% on the license fee. Indicative totals with the flexi-desk are AED 21,363 for 2 years and AED 32,044 for 3 years.
At DHCC Free Zone, an investor visa is AED 4,000 and an employee visa AED 3,500, each plus a visa allocation of AED 1,850 a year. Your company also needs an establishment card at AED 2,000 a year once it holds any visa.
Usually the yearly ones: the establishment card, visa allocations and, for some companies, audited financial statements. The cost calculator shows the fees for your selection before you apply.
About DHCC Free Zone
We license companies in Dubai across 2,000+ business activities, from trading, e-commerce and consultancy to technology, media, education and healthcare, and support them from setup to every renewal.
This guide is general information about doing business in Dubai at the time of writing, not legal or tax advice. Fees are indicative until confirmed by DHCC Free Zone.
