Company Registration in Dubai
Dubai remains the UAE's leading destination for company formation, offering mainland licences through the Department of Economy and Tourism (DET) and more than 40 free zones. Since the 2021 reforms, most commercial and industrial activities allow 100% foreign ownership on the mainland, so you no longer need a local Emirati partner. This guide explains the routes, authorities, costs and compliance obligations for registering a company in Dubai in 2026.
Mainland vs Free Zone in Dubai
A DET mainland licence lets you trade directly across the UAE market and bid for government work, with no restriction on office location within Dubai. A free zone company is registered with an independent authority, offers 100% foreign ownership by default and simplified setup, and can access a 0% Corporate Tax rate on qualifying income if it meets the Qualifying Free Zone Person conditions. The right choice depends on your customers, activity and visa needs.
The DET Licensing Authority
The Department of Economy and Tourism issues and renews mainland trade licences and approves company names and activities. DET has streamlined much of the process onto digital platforms, and some straightforward activities can be licensed quickly. Certain regulated activities still require external approvals from bodies such as the Dubai Municipality, KHDA or the Central Bank.
100% Foreign Ownership
Following amendments to the Commercial Companies Law, the requirement for a 51% Emirati shareholder was removed for over a thousand commercial and industrial activities. A foreign investor can now be the sole owner of many mainland companies. A small number of strategic-impact and regulated activities may still carry ownership conditions or need specific approvals.
Choosing a Trade Licence Type
Dubai issues commercial licences for trading and general commerce, professional licences for services and consultancy, and industrial licences for manufacturing and processing. Your licence must match the activities listed on it, and adding unrelated activities later means amending the licence. Selecting the correct activity codes at the outset avoids costly changes.
Steps to Register
The core steps are choosing your activity and legal form, reserving a trade name, obtaining initial approval, drafting the memorandum of association, securing a tenancy or flexi-desk (Ejari for mainland), and paying fees to issue the licence. You then apply for establishment cards and residence visas. Free zone routes follow a similar but authority-specific sequence.
Costs and Timelines
Cost drivers include the licence type, number of visas, office or flexi-desk requirements, external approvals and share capital where relevant. Free zone packages can start from a few thousand dirhams, while mainland setups vary by activity and premises. Straightforward companies can be licensed within days, though regulated activities and visa processing extend the timeline.
Tax and Ongoing Compliance
UAE Corporate Tax applies at 9% on taxable profit above AED 375,000, with registration required through the FTA EmaraTax portal. VAT registration is mandatory once taxable turnover exceeds AED 375,000. Companies must also maintain Ultimate Beneficial Owner (UBO) records and keep proper accounting records, making early engagement with an accountant important.
How an AOPA Accountant Helps
A qualified accountant helps you pick the right structure, register for Corporate Tax and VAT on time, set up bookkeeping and meet UBO and audit obligations. Many free zones and lenders expect audited financial statements. You can find a vetted firm through the AOPA UAE member directory to guide your Dubai setup from day one.
Frequently asked questions
Can a foreigner own 100% of a Dubai mainland company?
Yes. Since the 2021 reforms, most commercial and industrial activities allow full foreign ownership with no Emirati partner. A limited set of strategic-impact or regulated activities may still carry ownership conditions or require specific approvals.
Which authority registers companies in Dubai?
Mainland companies are licensed by the Department of Economy and Tourism (DET, formerly the DED). Free zone companies are registered with their respective free zone authority, such as DMCC, IFZA or DIFC.
How long does company registration take in Dubai?
Simple activities can be licensed within a few days once documents and approvals are ready. Regulated activities, external approvals and residence-visa processing can extend the overall timeline to two or three weeks.
Do Dubai companies pay Corporate Tax?
UAE Corporate Tax is charged at 9% on taxable profit above AED 375,000, with 0% below that threshold. Qualifying Free Zone Persons can access a 0% rate on qualifying income if they meet the required conditions.
Is a physical office required to register?
Mainland companies generally need a tenancy registered with Ejari, though flexi-desk options exist for some activities. Most free zones offer flexi-desk or shared-desk packages that satisfy the office requirement for smaller businesses.
Do I need an accountant to set up in Dubai?
It is not legally required to form the company, but an accountant is strongly advised for Corporate Tax and VAT registration, bookkeeping and UBO compliance. You can find a suitable firm through the AOPA UAE directory.