What is the Business Setup in Dubai Cost?
Business setup in Dubai cost depend on various factors such as the business activity, the jurisdiction, and other licensing needs, among others. In the general sense, average initial costs can be from AED 12,000 to AED 34,340 based on the number of requirements depending on the business.
Breakdown of Costs
Licensing Fees:
- Toward getting a trading permit in a free zone, it is about AED 10, 000 to about AED 50,000 per year.
- Mainland licenses may be as cheap as about AED 10,000 too. The documentation required by the Mainland companies may include the following:
Office Space:
- It is mandatory for almost all sorts of commercial ventures to rent an office. Prices differ across the companies, and on average, prices range from AED 15,000 to AED 20,000 for the small office.
Initial approval and registration:
- Costs for initial permits from DED start at AED 235 and can go up to AED 3000 depending on a business activity.
Additional Costs:
- Other costs may comprise trade name registration, which is about AED 620; attestation of documents, which costs about AED 1,200; and visa charges for the employees.
Sponsorship Fees:
In case you are starting a business in the Mainland, you need a resident sponsor who should own not less than 51% of the company’s shares. It can cost between 10,000 AED and 30,000 AED annually. This is the annual cost for sponsorship.
Employee Costs:
Recruiting employees comes with other cost impacts included in the employee cost, such as salaries and other remunerations. Again, there are variations when it comes to average salary for every industry in Dubai, but the average salary for skilled workers is between 5,000 AED and 15,000 AED per month.
Low-cost Business Setup in Dubai:
Generally, there are avenues of low cost business setup in Dubai for anyone who wants to start a business in Dubai. Some Free Zones have a base price of AED 12,500, which covers basic Free Zone licensing and a space for offices.
Additionally, consider these business ideas in Dubai with low investment:
- E-commerce: Today, with the increase in the use of online shopping, the establishment of online shopping can be done without a significant investment.
- Consulting Services: Of course, if you have some experience and specialization in certain areas, becoming an independent consultant means having your knowledge plus a computer.
- Digital Marketing: With the continuing expansion of the internet and its effects on markets and consumers, services relating to digital marketing are currently in high demand.
- Freelance Graphic Design: One can certainly turn creativity into actual cash with little or no overhead by taking up freelance graphic designing.
Many of these sectors may demand relatively little start-up capital yet present superb prospects for growth.
Opening a Business Bank Account
After you register your business, you should open a business bank account for your company.
you typically need:
- Photocopies of passports of the owners
- Trade license
- Company documents
This is true today because many banks have adopted the use of the internet to allow people to open bank accounts online.
How to Open a Bank Account Online
To open a bank account online, follow these steps:
The Role of Business Setup Experts in Dubai
It is not easy to embark on a small business venture, especially when one has no experience in the business venture. It is therefore useful to seek the services of business setup experts in Dubai. They offer services that include:
- guidance on legal requirements
- Assistance with documentation
- Affordable services and the best approach determined by the client’s needs
The consultants on the market can help you about these and other mistakes and guarantee compliance with the local legislation.
Key Considerations When Setting Up Your Business
When planning your business setup in Dubai, keep these key considerations in mind:
- Market Research: The second important tip to observe when engaging in e-business is to gather enough information on the target market.
- Legal Structure: Choose the status of your operation, whether you want to be a sole trader, a partner, or a company depending on your objectives.
- Location Selection: Mainland and Free Zone have their specifications that may be catered depending on the operations context and targeted clients.
- Networking Opportunities: Instead, attend conferences and other similar events and use the opportunity to market your services and hence find new clients and partners in the likes of LinkedIn.