All You Need To Know About Dubai Business Setup For Non-Residents

Let’s explore what Dubai business setup for non-residents is all about.

Rising skyscrapers. Desert dreams. And business deals that close over coffee with a skyline view. Welcome to Dubai. It’s a place where ambition doesn’t wait for permission.

From its zero income tax to its hyper-connected airport and investor-friendly laws, Dubai isn’t just another dot on the map. It’s a magnet for go-getters. Especially if you’re an expat entrepreneur with big plans and bold ideas.

Over the past decade, this global city has turned into a launchpad for startups, scale-ups, and everything in between. Plus, UAE’s expat residency and citizenship programs make the place much more lucrative. However, you don’t really have to live there to get started as the country offers exceptional advantages for offshore companies as well.

That said, in this guide, we’ll walk you through Dubai business setup for non-residents. Step by step. Whether you’re dreaming of owning 100% of your company or wondering about residency perks, we’ve got the answers. So, let’s break it down and help you build your Dubai company from the ground up.

Can a non-resident open a business in Dubai?

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Yes, you absolutely can open a business in Dubai as a non-resident.

If you’ve been wondering whether Dubai only opens its business doors to residents or UAE nationals, think again. In fact, Dubai business setup for non-residents is not just possible. It’s encouraged. The city has transformed itself into a welcoming haven for foreign investors, digital nomads, and dreamers from every corner of the world.

But let’s not stop at the short answer. Let’s unpack the details that really matter.

Things that you need to know

Non-residents are free to set up a business in Dubai, and thousands already have. The UAE government has rolled out several investor-friendly reforms over the past few years, making it easier than ever for outsiders to step in and build something valuable.

You don’t need to hold a UAE passport. You don’t even need to live there full-time. What you do need is a clear business idea, the right license, and the proper structure. And guess what? There are dozens of pathways for that.

The UAE’s Foreign Direct Investment (FDI) laws, updated in recent years, were a game-changer. These reforms opened up more than 1,000 economic activities across various sectors—think tech, media, e-commerce, manufacturing, and more—to full foreign ownership. That means you can now have full control of your business without needing a local partner.

Pretty good start, right?

Can you own 100% of your business in Dubai?

In the past, if you wanted to own a mainland business in Dubai, you’d need a local Emirati sponsor holding 51% of your company shares. For many foreign entrepreneurs, this was a deal-breaker.

But not anymore.

Thanks to recent changes in the law, 100% foreign ownership is now possible for many types of businesses in the mainland. This means you can own your Dubai company outright, with no need for a local shareholder. Provided your business activity falls under the permitted list.

Now, let’s break down two key options you’ll hear about often:

1. Mainland Companies

These allow you to do business anywhere in the UAE. You can rent office space in prime locations and work with government clients. And now, with the updated ownership rules, many activities no longer require a local sponsor.

2. Free Zone Companies

These are set up within specific economic zones. They offer 100% foreign ownership by default, plus tax exemptions and simplified setup. However, there are limitations: Free zone companies typically can’t trade directly in the UAE mainland without a local distributor.

So, while both options have their pros, they cater to different business needs. The good news? You’ve got choices.

Do you get a residency permit if you own a business in Dubai?

Yes. And this part is especially exciting.

When you register a company in Dubai, you become eligible to apply for a residency visa through investment. This is known as an Investor Visa or Partner Visa, and it gives you more than just bragging rights.

You’ll be able to:

  • Live in Dubai legally
  • Work and manage your business operations
  • Open a local bank account
  • Sponsor your family to join you in the UAE
  • Travel easily in and out of the country

Investor visas are typically issued for 2 to 10 years, depending on your investment amount and business type. Renewal is straightforward, as long as your company remains active and compliant.

It’s a powerful option. Especially for expats looking to settle or build a long-term base in the Middle East.

Can I register a company in Dubai without living there?

Absolutely.

The idea that you have to relocate to Dubai just to get started is outdated. Today, many non-resident entrepreneurs are setting up their businesses remotely, from wherever they are in the world.

How? Through the magic of online company registration services and authorized setup agencies. These firms handle everything from documentation to licensing, bank account opening, visa processing, and more. All on your behalf.

This flexibility is ideal if:

  • You want to test the waters before moving
  • You’re setting up a satellite business while living abroad
  • You’re running a digital or remote-first operation

In fact, many free zones offer fully digital setup options, including e-signatures, remote verification, and even virtual office solutions. You can have a fully licensed Dubai company without ever boarding a plane. Unless you want to.

Overall

The message is clear: Dubai wants your business.

With 100% foreign ownership now widely available, flexible visa options, and a strong support system for remote setup, Dubai business setup for non-residents is not only achievable. It’s designed to be smooth, fast, and empowering.

Whether you plan to live in Dubai or manage things from a distance, the door is wide open. And behind it? A world of opportunity.

Is it worth setting up a company in Dubai?

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Dubai isn’t just hype. Rather, it’s a carefully built ecosystem that gives entrepreneurs room to grow, scale, and thrive. Especially if you’re a non-resident chasing global ambitions, Dubai business setup for non-residents is more than just doable. And it’s incredibly rewarding.

Let’s dive into the perks that make it all worth it.

No taxes? Yes, please

One of Dubai’s biggest flexes? Zero personal income tax. That’s right. Your hard-earned money stays in your pocket.

For most businesses, there’s also no corporate tax, especially if you’re operating within a free zone and not dealing with the mainland market. That’s a massive relief compared to places where tax eats up a chunk of your profits.

Now, to be fair, the UAE introduced a 9% corporate tax on profits over AED 375,000. But here’s the catch. It applies mainly to larger mainland businesses. So, if you’re running a small-to-mid-sized venture or a startup in a free zone, you’re likely untouched.

Less tax = more room to reinvest, expand, or simply breathe easy.

In the middle of the world…Literally

Dubai isn’t just a city. It’s a global intersection.

Nestled perfectly between Europe, Asia, and Africa, it connects you to over two-thirds of the world’s population in under 8 hours. That’s no exaggeration. And when it comes to logistics, few places do it better.

The city is home to world-class ports and airports. Whether you’re shipping products, flying in clients, or importing goods, Dubai makes movement fast and efficient. That’s why global businesses—from tech startups to fashion empires—set up shop here.

It’s not just about location. It’s about access.

A playground for expat entrepreneurs

Starting a business as a foreigner used to feel complicated. But in Dubai it is encouraged.

There are over 40 free zones across the UAE. And many are custom-built for expat entrepreneurs. Each one is like a little business community, offering perks like 100% foreign ownership, simplified paperwork, and zero customs duty.

But the support doesn’t end there.

Dubai is packed with coworking spaces, business accelerators, and digital licensing platforms. You can literally start a business on your laptop and grow it in a shared workspace surrounded by like-minded entrepreneurs from every continent.

It’s inclusive. It’s global. And it’s built for dreamers.

A system you can trust

No one wants to build a business on shaky ground. The good news? Dubai’s got your back.

The UAE offers a strong legal and financial framework that’s built for international business. There’s legal clarity, transparent processes, and a serious commitment to investor protection.

Need a business bank account? You’ve got options. Local and international banks are eager to serve entrepreneurs. Want legal help? English-speaking lawyers and global-standard law firms are right there.

In short, Dubai isn’t just easy to enter. It’s safe to stay.

The bottom line

So, is it worth it? Definitely.

Whether it’s the tax freedom, unbeatable location, or the entrepreneur-first attitude, Dubai ticks every box for ambitious non-residents. It’s more than a business destination. Rather, it’s a launchpad. If you’re thinking about making your move, you’re not just setting up a company. You’re setting yourself up for global opportunity.

How can non-residents set up a business in Dubai?

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Dubai business setup for non-residents might sound like a faraway dream if you’re sitting halfway across the world. However, it’s way more doable than most people think.

In fact, Dubai business setup for non-residents has never been easier, more flexible, or more inviting. Whether you’re a solopreneur with a laptop or a seasoned investor looking to expand globally, Dubai rolls out the red carpet for you. All you need is a smart plan, the right structure, and a little bit of local insight. Which is exactly what we’re about to give you.

Let’s break it down step by step.

Choose the right business structure

First, you’ve got to pick a structure that fits your goals. Dubai isn’t one-size-fits-all. It gives you options.

1. Mainland Company

A mainland company allows you to operate anywhere in the UAE, including direct dealings with the local market. These businesses are regulated by the Department of Economy and Tourism (DET).

For a long time, foreign entrepreneurs needed a local partner who held 51% ownership. But now? That’s changed. In many sectors, 100% foreign ownership is finally allowed. This makes mainland businesses more appealing than ever. Especially if you want to grow big and work with government or local clients.

2. Free Zone Company

This is the go-to choice for many non-residents. Why? Because it offers:

  • 100% foreign ownership
  • Full repatriation of profits
  • Zero import/export duties
  • Tax-free incentives

Free zones are self-regulated, meaning they simplify a lot of red tape. They’re perfect for expat entrepreneurs who want a quick, clean start and don’t need to sell directly in the mainland market.

3. Offshore Company

Offshore companies are mostly used for international business operations. They’re great for holding assets, opening global bank accounts, and enjoying zero taxation. However, you can’t trade inside the UAE with this setup.

Dubai Business Setup: Summary Table

Here’s a table to compare these three precisely.

AspectOffshoreFree ZoneMainland
Ownership100% foreign ownership allowed100% foreign ownership allowed100% foreign ownership allowed (as per recent reforms)
Business ScopeCannot do business inside UAE; international onlyBusiness limited within the free zone and outside UAECan do business anywhere in UAE and internationally
Physical Office RequirementNot required (can use virtual office)Required (flexi-desk or physical office in the zone)Required (depends on activity, must lease office space)
Licensing AuthorityOffshore authority (e.g., JAFZA Offshore, RAK ICC)Specific Free Zone authority (e.g., DMCC, DAFZA, etc.)Department of Economic Development (DED)
Visa EligibilityNot eligible for UAE residence visasEligible (depends on office size and package)Eligible (unlimited depending on office size)
TaxationNo corporate tax; no VAT0% corporate tax (in most cases); VAT applicableSubject to UAE corporate tax and VAT (if applicable)
Audit RequirementsUsually not requiredVaries by free zone (some require annual audit)Mandatory for most legal forms
Bank Account OpeningAllowed but may be more difficult than other setupsAllowed (easier than offshore)Allowed (most straightforward)
Cost of SetupLowest setup costModerate setup costHigher cost due to office and license fees
Ideal ForInternational trading, holding companies, asset protectionSMEs, startups, tech firms, import/export, consultantsLocal services, large businesses, government contracts
Reputation in Business DealsLimited credibility for local dealingsModerate (depends on zone)Highest credibility in UAE
Ability to Bid for Govt ProjectsNot allowedNot allowedAllowed
Time to Setup1–3 weeks1–4 weeks2–4 weeks (can be longer depending on approvals)

So, what’s the best structure for you?

  • If you’re running an online business or consultancy from abroad, a free zone is likely the easiest and most cost-effective route.
  • If you’re building something bigger and need access to the entire UAE market, mainland is the way to go.
  • And if you’re just setting up a holding company, offshore might be your sweet spot.

Steps to setting up your Dubai company

Now that you’ve picked your structure, let’s walk through the actual process. It’s smoother than you might expect.

1. Decide your business activity

Dubai requires you to be very specific about what your business will do. There’s a list of over 2,000 approved activities. From digital marketing and trading to food services and fintech.

Pick the one(s) that fit you best, because this affects your licensing, your zone options, and even your visa eligibility.

2. Choose your company name

There’s a bit of art and a bit of law here.

The UAE has strict naming rules. You can’t use anything offensive, religious, or political. Also, your name can’t duplicate an existing registered business. Want to include your own name in the company title? Totally doable, as long as you use it in full.

You’ll need to reserve your name during registration, so it’s smart to brainstorm a few options upfront.

3. Select your jurisdiction

Based on your business activity and goals, you’ll choose between mainland and one of the many free zones. Each free zone has its own focus. Some cater to tech startups, others to creatives or traders. Make sure the zone aligns with your industry.

4. Apply for a business license

This is your official permission slip to operate. There are different types of licenses, such as:

  • Commercial license – for trading
  • Professional license – for services
  • Industrial license – for manufacturing
  • E-commerce license – for online stores

You’ll apply through the DET (mainland) or the respective free zone authority.

5. Register with the relevant authorities

Your company must be legally registered. This usually involves:

  • Submitting legal documents
  • Paying registration and licensing fees
  • Signing your Memorandum of Association (MOA)

For free zones, the entire process can often be done remotely, with digital signatures and scanned documents.

6. Open a corporate bank account

Now it’s time to set up a UAE-based business bank account.

While this step may take a little time (due to bank verifications and compliance checks), it’s crucial for doing business legally in the country.

Pro tip: Work with a business consultant who can help you navigate the documentation requirements here. It’ll speed things up.

7. Apply for a visa (if needed)

Want to live in Dubai? Apply for a residency visa once your business is registered. Don’t want to move just yet? That’s okay too. Many non-residents run their Dubai companies remotely without a visa.

So, these are the basic steps for setting up a business in Dubai as a non-resident. Now, if you’ve chosen the free zone setup, then here are the main free zones to choose from.

Free zones for foreign entrepreneurs

If Dubai had a theme park for startups, its free zones would be it. These zones are tailor-made for expat entrepreneurs and come loaded with benefits. Let’s spotlight a few top ones:

1. Dubai Multi Commodities Centre (DMCC)

Regularly voted the #1 free zone in the world, DMCC is home to over 22,000 companies. It’s perfect for trading, commodities, crypto, and consultancy businesses.

2. Dubai Internet City (DIC)

Tech founders, this one’s for you. DIC is the heart of Dubai’s digital revolution, hosting global giants like Google and Facebook, plus thousands of startups.

3. Dubai International Financial Centre (DIFC)

If you’re in fintech, finance, or legal consultancy, DIFC is a powerhouse with international courts and its own legal framework.

Free zones offer:

  • Easy setup processes
  • Flexible office options (even virtual desks)
  • Full foreign ownership
  • No customs duties

If you want simplicity with benefits, free zones are gold.

That said, if you’re going for the mainland route, then you need to understand how LSAs work.

Local Service Agents (for mainland companies)

Now let’s talk about Local Service Agents (LSAs). They are especially relevant if you’re setting up a mainland company in Dubai and offering professional services.

An LSA is not a shareholder. They’re a UAE national who acts as your representative in front of government bodies. Their role is administrative, not operational. And they don’t get a cut of your profits.

The great news? They’re no longer required in many business sectors, thanks to the new foreign ownership laws. But if you do need one, LSAs are paid a fixed annual fee. And that’s it.

It’s a small step in the process, but knowing how it works saves time and stress.

The launchpad is ready

And there you have it. This is a full breakdown of how non-residents can launch a business in Dubai.

From choosing the right structure to finding your place in a free zone, the path is surprisingly smooth. Dubai has evolved into a global launchpad that welcomes international minds and digital nomads alike.

So, if you’ve been waiting for a sign—this is it. You don’t have to live in Dubai to start a Dubai company. You just have to take the first step.

How much does it cost to set up a company in Dubai?

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So you’re sold on the dream. A thriving business in Dubai, built from anywhere in the world. Now comes the big question: How much does it actually cost?

The short answer? It depends.

The longer answer? We’re about to break it down for you. Line by line, dirham by dirham.

Whether you’re setting up a tech startup from Lisbon, running a consultancy from London, or building an online brand from Bali, knowing your costs is key. And when it comes to Dubai business setup for non-residents, the city is surprisingly budget-friendly if you play your cards right.

Let’s dive in.

Here’s a breakdown of typical costs

Every business setup comes with a checklist. And a price tag. But don’t worry; Dubai gives you plenty of options to tailor the process to your budget.

1. Business License Fees (Free Zone vs. Mainland)

The business license is your golden ticket. You can’t operate without it.

Free zone license fees generally range from AED 5,000 to AED 15,000, depending on the zone and your activity. Some even bundle this into all-inclusive startup packages (more on that soon).

Mainland license fees are typically a bit steeper. For example, expect to pay AED 10,000 to AED 25,000. The price varies based on the business type, number of partners, and legal structure.

Pro tip: If you don’t need a physical store or office in the mainland, a free zone license might be your most cost-effective bet.

2. Company Registration Costs

This is the official “let’s make it real” fee. Expect to pay AED 2,000 to AED 5,000, depending on your jurisdiction. Some free zones already include this in their licensing packages, which saves you a chunk upfront.

3. Visa & Immigration Charges

Want to live in Dubai while running your business? Then add visa costs to the list.

A typical Investor or Partner Visa costs AED 3,500 to AED 7,500, depending on medical tests, Emirates ID, and processing.

Free zones often allow 2–6 visas per license, while mainland businesses can apply based on office size.

Even if you’re managing remotely, you might want a visa later to unlock perks like residency, banking, or family sponsorship.

4. Office Rental (Including Virtual Offices)

Here’s where things get flexible.

Virtual offices or flexi-desks start from just AED 5,000/year in free zones.

Dedicated office spaces (in mainland or upscale zones) can run from AED 15,000 to AED 50,000+ annually, depending on location and size.

Many free zones let you run your business from a shared space. That is ideal for solo founders or online businesses. And yes, it’s 100% legal.

5. Sponsor or Service Agent Fees (If Required)

If you’re setting up a mainland company under certain licenses, you might still need a local service agent (LSA). But don’t panic. You won’t be giving away equity.

LSAs are paid a flat annual fee, usually around AED 5,000 to AED 10,000. Their job is mostly paperwork and government coordination. With new laws offering 100% foreign ownership, this step is often avoidable.

6. Legal Documentation & Notary Fees

You’ll need to notarize some documents. Like your Memorandum of Association or power of attorney.

These costs vary but are usually around AED 1,000 to AED 2,500. Some setup agencies or free zones include this in your total package.

Free Zone Packages for startups

Now for the good stuff—startup bundles. Many free zones roll out the red carpet with all-inclusive packages that cover everything from licensing to workspace and visas. Here’s what you can expect:

  • Packages starting from AED 6,000 to AED 12,000/year
  • Options for 0-visa and multi-visa setups
  • Flexi-desk or virtual office included
  • Free business consultation and document processing
  • Fast-track setup—some in under 48 hours

These are perfect for expat entrepreneurs testing a new market, freelancers launching solo ventures, or remote-first founders who want UAE legitimacy without high overheads. Popular zones like IFZA, SHAMS, Meydan Free Zone, and RAKEZ offer such bundles with complete transparency. No hidden charges. No surprise costs.

Ongoing costs to consider

Setting up is just the first chapter. Let’s not forget the cost of staying compliant year after year.

1. Renewal Fees

You’ll need to renew your trade license annually.

  • Free zone license renewals typically cost AED 5,000 to AED 10,000, similar to setup.
  • Mainland license renewals might include additional municipal or chamber fees. Up to AED 15,000 or more.

Always check your zone’s fee structure in advance.

2. Office Maintenance / Flexi-Desk Fees

Even virtual offices have annual renewal costs.

Expect to pay AED 3,000 to AED 8,000 to maintain your space, depending on the zone and whether you upgrade.

Some zones also charge small admin fees for desk usage or shared meeting rooms. Nothing major, but worth noting.

3. Accounting & Compliance Fees

The UAE is tightening its grip on financial transparency.

  • You may need to hire an accountant or bookkeeping service. Budget around AED 5,000 to AED 12,000/year.
  • VAT registration (required for revenue over AED 375,000) can also cost AED 2,000 to AED 4,000 annually.
  • Larger companies may need audited financials, especially in free zones like DMCC or DIFC. 

Good news? If you’re a small company or startup, compliance remains light and manageable.

4. Local Bank Account Maintenance

Most UAE business accounts charge monthly or quarterly fees, usually between AED 100 and AED 300. Some also require a minimum balance of AED 25,000 or more. So choose your bank wisely.

Digital banks like WIO and Zand are beginning to change the game with flexible, low-fee options for startups.

So, what’s the bottom line?

If you’re launching lean, you can set up a Dubai company for as little as AED 6,000 to AED 12,000. Especially in a free zone.

Want a more premium mainland presence with visas and office space? You could spend anywhere from AED 20,000 to AED 50,000+, depending on how fancy you go.

The beauty of Dubai business setup for non-residents lies in its flexibility. You get to choose the path that suits your ambition. And your wallet. So whether you’re bootstrapping a solo venture or building the next global brand, Dubai has a setup that fits you. All you have to do is start.

Your Dubai business journey starts here

So, let’s recap. Dubai offers more than just skyscrapers and sunshine. It gives non-resident entrepreneurs the chance to own 100% of their company, enjoy tax perks, and tap into a booming global market. Whether you choose a free zone or go mainland, the flexibility is unmatched.

More importantly, Dubai business setup for non-residents is no longer wrapped in red tape. It’s fast, smooth, and incredibly doable. Even if you’ve never set foot in the UAE.

If you’ve been waiting for the right moment to take that leap, this is it. Explore your options, pick your path, and take the first step. Because Dubai isn’t just a place to do business. Instead, it’s where global ideas take off, grow wings, and soar. Your business deserves a world-class home. Why not make it Dubai?