Business Setup in UAE – The Easy Way

Business Setup in UAE – The Easy Way


Over the past few years, the UAE trading industry has outgrown into a famous and prestigious business hub for international trade. You will find numerous businesses and startups blooming in UAE, from tourism, technology, trading, and healthcare to manufacturing top-notch products.

Setting up a business from scratch is a time-consuming procedure, However, you will find a simplified UAE Business Setup to cater to your entrepreneurial needs through a hassle-free registration process. If you have been planning for a business setup in the UAE and you don’t know how to begin it, then this guide is for you.

How to do Easy Business Setup in UAE?

Here is a step-by-step guide to setting up a business in the UAE

Step 1: Define the nature of your Business Activity

This step includes choosing your business activities keeping in view the types of business licenses. You will find many options for business activities from which you can decide and prepare a complete business plan before the UAE business setup. It is advised to choose the name of your business prior to license application to make sure that your business name is available for registration.

Step 2: Mainland Zone or Free Zone Business Setup

The next step involves choosing between the mainland zone and the free zone to set up your business in the UAE. Setting up your desired business in mainland or free zone subjects under their rules and regulations respectively.

Free Zone Business Setup

If you choose to trade B2B outside the Free Zone region, you won’t be allowed to do B2C outside Free Zones. With a Free Zone license, you cannot establish a physical office outside the Free Zone.

However, you are allowed to do B2C business, if a customer reaches out to you through a virtual source online.

Mainland Business Setup

On the other hand, choosing a Mainland region that is outside Free Zones gives you permission to start a business in UAE or outside the UAE. However, making a choice between the two zones depends upon the business activity.

Step 3: Determine the Legal Structure of your Business

Defining the legal structure of your free zone or mainland business is important. If you have a business setup in UAE for a free zone company, you have 3 legal structures;

Free Zone Limited Liability Company (FZ LLC)

Free Zone Company (FZ Co.)

Free Zone Establishment (FZE)

If your UAE business setup is in the mainland, then you can select legal structures from 9 given options.

  • Sole Establishment
  • Branch of a GCC company
  • Civil company
  • Branch of a local company
  • Limited liability company
  • Public joint stock company
  • Private joint stock company
  • Holding company
  • Representative office of a foreign company

Step 4: Register your Trade Name

This step involves choosing a Trade Name for your easy business setup in Dubai. While making a choice about Trade Name, you must abide by the following terms and conditions;

  • The trade name must contain an abbreviation stating the suffix for the legal structure of a company such as, an LLC.
  • It must not contain any inappropriate words that may offend the general public.
  • Your trade name must be in line with your chosen business or economic activity.
  • It must not be registered as a name of any other business.
  • Make sure that the trade name must not be the name of government bodies, rulers, or logos and names of government authorities.
  • The trade name and trademarks must be approved by the concerned authorities such as the Ministry of
  • Economy and Department of Economic Development.
  • These certificates are also subject to renewal

Step 5: Initial Approval for the Business Setup in Dubai

You have to apply for the initial approval of your business setup for a no-objection certificate from the UAE government. This step is a way forward for the investors to set up a business and get your business a license to perform business activities in the region.

LSA or MOA Creation

For limited liability, public shareholding, civil or private shareholding company, a Memorandum of Association (MOA) is required. On the other hand, Sole proprietorship requires a Legal service agent agreement (LSA).

Step 6: Business Location and Office Space Selection

In this step, you have to rent an office, purchase land to set up an office, or use a business activity to start your business activities. Choose your office place according to your workforce and business type. Moreover, make sure that the office has all the services and facilities such as; Telecommunications, labor accommodation, meeting rooms, printing facilities, and internet connection.

Your physical office must abide by the requirements of the Department of Economic Development of Emirates. It must follow the policies and regulations of concerned authorities and local municipalities. Once your business location is finalized, you must register your tenancy contract from the Ejari Portal of the Land Department Dubai.

Step 7: Business License

Choose your business license, as per your business activity. Dubai company formation services offer 6 economic licenses for business activities.

  • Commercial License
  • Professional License
  • Tourism License
  • Agriculture License
  • Occupational License
  • Industrial License

Step 8: Documents Submission

You must submit the following documents to reach the final stage of business setup.

  • Copies of previous documents with receipt of initial approval.
  • Attested copy of lease contract
  • Memorandum of Association
  • Approval received from other government entities

Step 9: Pay Fees and Collect your License

After completion of the approval process and fee submission, you can receive a license from the economic department’s service center or online through the website.

Step 10: Registration from the Chamber of Commerce Industry

Your business or company must be registered by the Chamber of Commerce Industry as mentioned.

Make sure that your business or company is registered in the same emirate where the office is located physically. Your company must be registered under any one of the following Chamber of Commerce Industry.

  • Federation of UAE Chambers of Commerce & Industry
  • Abu Dhabi Chamber of Commerce and Industry
  • Dubai Chamber of Commerce and Industry
  • Sharjah Chamber of Commerce and Industry
  • Ajman Chamber of Commerce and Industry
  • RAK Chamber of Commerce & Industry
  • UAQ Chamber of Commerce and Industry
  • Fujairah Chamber of Commerce and Industry


Business setup in Dubai is an amazing opportunity to expand your company operations in UAE. Extending your professional business network in UAE requires you to fulfill above mentioned requirements and complete procedures.

Business setup services in UAE help you gather knowledge about already established businesses as well as startups. Bestax is considered one of the leading business consultancy firms in Dubai. Choosing Bestax will help you get high-quality business setup services in UAE.

However, if you need any guidance for easy business setup in UAE, you can reach out to Bestax for business consultancy services. Bestax Chartered Accountants has experienced professionals who are dedicated to providing Business Setup Services in the UAE. From paperwork, registering your business, choosing an office place to fee submission, and acquiring a business license, Bestax assure you to give you a complete guide until you start your business operations smoothly in UAE. Contact us right now, and let us setup your business in UAE in no time!