Business guide for Dubai: how to set up

What you need to know

1. Can a foreigner own 100% of a Dubai mainland company?

   Business structure in Dubai, Mainland company (LLC) licensed by DET, what it may do: Up to 100% foreign ownership since 2021. Still not fully open to foreign owners: security and defence, telecoms, banking, exchange, finance and insurance, commercial agencies, Hajj and Umrah, Quran institutes, fishing and pearling. Some others need the sector regulator’s approval. Legal forms: LLC (1 to 50 owners, no minimum capital), general or limited partnership, private or public joint-stock company, sole establishment, civil company. A foreigner’s sole establishment or civil company (the forms used for professional licences) needs a UAE national as local service agent. An LLC owned by foreigners does not. You must hold a valid tourist or visit visa when you apply.

   Where this comes from

   • u.ae, Full foreign ownership of commercial companies (updated 06 Apr 2026), read 25 October 2026

2. What taxes does a company pay in Dubai?

   Business taxes in Dubai: Company profit: 0% to AED 375,000; 9% above; Free zone (qualifying): 0% on qualifying income; Small firms: Relief at AED 3 million revenue or less, to 2029; VAT: 5%; register at AED 375,000; Customs: 5% on most imports to the mainland.

   Where this comes from

   • u.ae, Corporate tax (updated 30 Mar 2026), read 25 October 2026

3. Can a free zone company sell directly to Dubai customers?

   Business structure in Dubai, Free zone company (DMCC, IFZA, Meydan, JAFZA and others), what it may do: Each zone sets its own activity list, forms and office rules. You can apply from abroad. Selling directly to mainland customers needs a mainland licence, a distributor, or a DET branch licence or temporary permit for free zone firms. Qualifying free zone companies pay 0% Corporate Tax on qualifying income, if they keep substance in the zone, have audited accounts and keep other income under the lower of 5% of revenue or AED 5 million.

   Where this comes from

   • Invest in Dubai, Regulations, legal compliance and taxation, read 25 October 2026

4. Which office licenses mainland companies in Dubai?

   Office for setting up a business in Dubai: Department of Economy and Tourism (DET). What it handles: Mainland trade names, licences, renewals (applications on Invest in Dubai). Address: One Central, Building 2, 4th floor, PO Box 594, Dubai. Phone: +971 600 55 55 59 (Sun–Fri 08:00–17:00). Email: info@dubaidet.ae. Website: https://www.investindubai.gov.ae.

   Where this comes from

   • DET, Contact DET, read 25 October 2026

5. Can my foreign company open a branch in Dubai?

   Business structure in Dubai, Branch of your foreign company (mainland), what it may do: Any foreign company that does not already have a commercial agent registered with the Ministry of Economy and Tourism (MoET). The branch has no separate legal personality: the parent is liable.

   Where this comes from

   • u.ae, Full foreign ownership of commercial companies (updated 06 Apr 2026), read 25 October 2026

6. When does a Dubai freelancer pay company tax?

   Business structure in Dubai, Freelancer licence (Dubai Development Authority), its tax: Corporate Tax applies to an individual only when business turnover passes AED 1 million in a calendar year (wages and personal investments do not count). VAT 5%: register when sales pass AED 375,000 in 12 months (or will within 30 days); you may register from AED 187,500. A foreign business has no threshold. Returns are usually due within 28 days of each quarter (monthly above AED 150 million turnover).

   Where this comes from

   • Dubai Development Authority, Freelancer licence registration, read 25 October 2026

7. Can one person work alone under a Dubai freelancer licence?

   Business structure in Dubai, Freelancer licence (Dubai Development Authority), what it may do: One person working under their own name in DDA’s listed activities. The other official route is the MOHRE freelance work permit, for people on self-sponsored residence visas.

   Where this comes from

   • Dubai Development Authority, Freelancer licence registration, read 25 October 2026

8. What companies set up in Dubai's financial centre?

   Business structure in Dubai, DIFC company (financial centre), what it may do: Holding companies, family offices, special purpose vehicles, foundations and financial firms. Financial services need the Dubai Financial Services Authority (DFSA).

   Where this comes from

   • DIFC Registrar of Companies, Table of Fees (updated 25 Dec 2025), read 10 November 2026