How to incorporate a company in UAE: A complete guide (2025)
UAE 
Updated on January 12 
Verified by GLA Experts 
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- 1. Top 4 benefits of setting up a company in the UAE
- 2. Requirements for registering a company in the UAE
- 3. What type of company should you choose to register in UAE?
- 4. Easy step-by-step guide to register a company in UAE
- 5. Annual compliance requirements for UAE companies
- 6. How will Global Links Asia support businesses to set up companies in the UAE?
- 7. FAQs about UAE company incorporation
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Ranked 7th best country in the world in 2024, Best Ranking Countries, according to US News, UAE or United Arab Emirates is one of the largest economies in the world with a diverse and vibrant culture.
Many businesses consider incorporating a company in the UAE because of its strong economy and fast-growing trade. However, the complex registration process is a major challenge that makes some businesses hesitate.
To help you open a company in the UAE the right way, GLA has created a step-by-step guide. This article will explain everything you need to know about setting up a company in the UAE.
1. Top 4 benefits of setting up a company in the UAE
1.1. Foreigner or foreign company can own 100% of the company incorporated in the UAE
To attract foreign investment, the UAE Government allows foreign businesses and individuals to establish companies with 100% foreign ownership in designated free zones (Freezone Companies).
Additionally, some types of companies in the mainland, such as Limited Liability Companies (LLC) and Joint Stock Companies (JSC), also allow full foreign ownership. This gives investors more flexibility when setting up their businesses in the UAE.
1.2. Access to a highly educated workforce
The UAE, located in West Asia, serves as a gateway connecting Europe, Asia, and Africa. It offers a young, multicultural, and highly educated workforce. With nearly 1,8 million highly skilled workers out of the UAE’s 9 million population, businesses can easily find talent to meet their needs across various industries.
1.3. Modern infrastructure and business-friendly laws.
The UAE is recognized for having some of the best infrastructure in the world, ranking 1st in many categories and 8th globally for infrastructure (just after Singapore) in the 2024 Global Competitiveness Index report. In addition, the UAE continuously improves regulations, laws, and investment incentives to attract international investment, making it a business-friendly environment.
1.4. Tax incentives and financial benefits in the UAE
Businesses choosing to open a company in the UAE will enjoy many attractive tax incentives as follows:
- 0% corporate tax on foreign income for UAE companies.
- 0% contractor tax on dividends, interest, royalties.
- 0% personal income tax in UAE.
- 0% capital gains tax.
- More than 90 double taxation agreements between the UAE and other countries.
2. Requirements for registering a company in the UAE
Foreigners wishing to establish a company in one of the UAE's 1 emirates must meet the following requirements:
2.1. Company name
The company name must be in either English or Arabic. It must be unique, not repetitive, and cannot use trademarked terms or words related to the government, such as banking, tax, military, etc., in either language.
2.2. Information of shareholders and directors
Shareholders and directors must be individuals aged 18 or older, with clear and valid records. Both directors and shareholders can also be legal entities with transparent corporate records.
Neither shareholders nor directors need to be permanent residents of the UAE to open a company. However, shareholders who want to open a bank account with a UAE bank will need a UAE work visa to enter the country and meet the bank officer in person.
2.3. Minimum capital
The minimum capital required for setting up a company in the UAE depends on the type of business license (industrial, agricultural, tourism, etc.) and the specific requirements of the chosen free zone or emirate (such as Dubai, RAK, or Abu Dhabi).
2.5. UAE company Address
Both Freezone and Mainland companies must have a registered company address in the UAE. However, offshore companies in RAK and Dubai Freezone are not required to have a company address in the UAE.
GLA will assist businesses in registering a suitable company address at affordable costs, ensuring efficient operations with the lowest expenses.
2.6. Business license
Companies operating in certain sectors must obtain a license to operate in the UAE. The specific requirements for obtaining a license will depend on the type of business activity, such as automobile trading, vehicle manufacturing, food manufacturing, oil trading, marketing, e-commerce, and more.
3. What type of company should you choose to register in UAE?
3.1. Comparison of Freezone company, Mainlaind company and Offshore company when establishing a company in UAE
When setting up a company in the UAE, you can choose from three types of companies:
- Freezone company
- Mainland company
- Offshore company
Among these options, the Freezone company is the most popular choice for foreign businesses due to its favorable conditions.
| Mainland Company | Freezone company | Offshore company | |
| Definition |
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| Best for |
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Level of ownership | 100% foreign ownership for certain types of enterprises from 2020.
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| Business scope |
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| Business license required |
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| UAE registered address requirement / UAE company office requirement | Requires physical office space of 200 square feet (20 m2) or more. |
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| Audit Request | Mandatory audit required. | Mandatory audit required. |
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| Minimum capital requirement | Minimum capital requirements depend on the type of company and industry. | Minimum capital requirements depend on the type of company and industry. | Minimum capital requirements depend on the type of company and industry. |
| Information security |
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Popular locations for opening a company |
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3.2. Which Emirate within the UAE should you choose to open a company?
Opening a company in the UAE is similar to setting up a company in the US or Canada, as the UAE is a federation of 7 emirates. Therefore, businesses need to choose a suitable emirate to open their company in the UAE.
The most popular emirates for foreign companies when opening a business in the UAE are Dubai and RAK (Ras Al Khaimah). These locations are preferred due to their business-friendly environments and economic opportunities.
4. Easy step-by-step guide to register a company in UAE
After selecting the emirate and the appropriate type of company, GLA will assist you in incorporating a company in the UAE in full compliance with the law. We ensure optimal operating and setup costs with the following process:
GLA will advise on the type of company and the emirate that suits the needs of the Enterprise. In general, establishing a Freezone company in the UAE is the most popular choice for many foreign investors.
In addition, you can also refer to information about the 3 types in the following article: Top 3 types of UAE companies you need to know.
You should contact us immediately for detailed advice on choosing the most suitable business type based on the company’s operations and business goals when registering a company in the UAE.
For any company registered in the UAE, choosing the right name is an important step and is carefully reviewed to ensure it suits the business operations. Therefore, the enterprise should prepare a list of three potential company names, ranked in order of priority.
GLA will then assist you in checking the availability of the company name before submitting it for registration with the UAE authorities.
The documents and records required by businesses when registering to establish a company in the UAE include:
- Company information.
- Company name.
- Brief description of business activities
- Director information, shareholder information.
- Company office address.
\After completing the above three steps, all documents and registration forms will be submitted to the Department of Economic Development (DED) or the Enterprise Management Agency of the chosen Free Zone. In some special cases, you must also submit additional documents as part of the registration process.
Once the UAE company registration form is approved, GLA will send you the Formation deed/Establishment card, Memorandum and articles of association and other documents.
After opening a company in the UAE, the Enterprise will need to register for EID, residence visa and health insurance. These are mandatory requirements when the Enterprise wishes to open a company in the UAE and are also required when opening a bank account in the UAE.
Global Links Asia will accompany and ensure 100% successful registration for businesses when registering for EID, Residence Visa and health insurance.
A bank account is a basic requirement for any business in dealing with domestic and foreign partners and customers.
Global Links Asia, with extensive experience in assisting businesses to establish companies in the UAE, will support businesses in registering, opening, and authenticating accounts at reputable, large banks in the UAE, as well as financial centers like Singapore, the US, and Hong Kong.
GLA will support you in registering business licenses based on your desired business field and establishment location.
In general, businesses opening a company in the UAE can register for business licenses such as:
- Commercial license for commercial activities (Commercial licence).
- Industrial license for production activities, establishment of industrial zones (Industrial license).
- Service license for professional activities such as consulting, accounting (Professional license).
- Tourism licence for tourism activities (Tourism licence).
- Other licenses. (Depending on business field)
Global Links Asia will assist businesses in registering VAT and Tax ID numbers (corporate income tax numbers) with the Federal Tax Authority.
5. Annual compliance requirements for UAE companies
Businesses should be aware of the following annual requirements to ensure their UAE company operates efficiently, smoothly, and legally.
5.1. Auditing
UAE companies are required to have their financial statements audited and filed as mandated by the UAE tax authorities.
Therefore, businesses must follow UAE accounting standards for corporate accounting before conducting mandatory audits and submitting annual tax returns.
5.2. Pay maintenance fees to the government
Businesses need to pay annual maintenance fees for their company set up in the UAE. These fees include the business license registration fee, UAE registered address, UAE registered company, health insurance, visa, and EID (every 3 years).
To avoid unnecessary fines, UAE companies must comply with and complete all annual obligations within the prescribed deadlines.
GLA offers financial reporting, tax, and accounting services for UAE companies, ensuring compliance with UAE accounting standards and government policies.
For more details about Global Links Asia's financial reporting services in the UAE, please contact us to receive the most suitable advice at a preferential cost.
6. How will Global Links Asia support businesses to set up companies in the UAE?
As a consulting partner with more than XNUMX years of experience helping entrepreneurs open a company overseas and manage sustainably, GLA can help you with the following services:
- Consult and support for UAE company formation
- Advise on choosing the right Emirate
- Recommend the right company type based on your business model.
- Prepare necessary documents for company formation
- Advise on tax, tailored to the specific business activities of the company in the UAE.
- Assit in registering various types of business licenses in the UAE.
- Open physical bank accounts and set up online banking services in the UAE.
- Preparing financial and tax reports that meet UAE accounting standards
7. FAQs about UAE company incorporation
1. How many types of companies are there when setting up a company in the UAE?
Businesses opening a company in the UAE can choose one of the following three types of companies:
- Mainland Company.
- Freezone Company.
- Offshore Company.
Of the above 3 types, forming a Freezone company in the UAE is the most popular choice for many businesses.
Contact GLA today for detailed advice on which type of company is most suitable for your business and the benefits that come with it.
2. How much does it cost to set up a company in the UAE?
Depending on each type of business and service package for opening a company in the UAE, Global Link Asia Consulting will provide detailed quotes for each service (no hidden fees) to the Business.
Contact Global Links Asia for detailed advice on company formation in UAE and all-inclusive fees for company formation services today.
3. How long does it take to open a company in the UAE?
The time required to set up a company in the UAE can range from 2-3 days to a month or even longer. It all depends on the type of company chosen, the Free Zone chosen and the type of license required.
Contact Global Links Asia for detailed advice on company establishment in UAE and the time required to establish a company in UAE for your Business.
4. Where should businesses choose to establish an Offshore company in the UAE?
You can choose to establish an Offshore company in either RAK (Ras Al Khaimah) or JAFZA (Jebel Ali Free Zone), with each location offering distinct advantages:
If establishing an Offshore company in RAK allows Enterprises to open a company at a cheaper cost than JAFZA, then JAFZA (Freezone in Dubai) allows Enterprises to legally own assets.
Highlights- You can incorporate a company in any of the seven UAE emirates, with the Freezone company being the most popular choice. Dubai is the most commonly selected emirate.
- To successfully open a company, you need sufficient capital, at least 1 director and shareholder, a legally compliant company name, and a company address (if applicable).
- You must have the appropriate business license and a personal EID number to operate efficiently and open a bank account.
- UAE companies must prepare audited financial reports and pay annual government maintenance fees to keep operations running smoothly.
This article was published by GLA on 01/07/2021. Copyright and accompanying content are intellectual property of GLA. All rights reserved.
The guidance and content are for general information only and are not intended to provide specific guidance and advice on accounting, tax, legal or other professional advice. Readers should consult professional advisors on specific issues.
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