Start a business in Dubai as a foreign investor

A foreign national can establish a company in Dubai as an individual shareholder or through an overseas corporate shareholder, subject to the requirements applicable to the selected activity and legal structure.

Many Mainland and Freizone businesses can be wholly foreign-owned. Nevertheless, ownership rules should be checked against the exact activity because strategically significant and specially regulated sectors may be subject to different conditions. The VAE Government confirms that full foreign ownership is available for eligible commercial companies, while activity-specific restrictions may continue to apply. VAE Government guidance on foreign ownership

The normal process involves:

Das genaue Verfahren hängt von Tätigkeit, Gesellschaftern, Zuständigkeit, Räumlichkeiten, Regulator und Anzahl benötigter Visa ab.

Dubai wird von Unternehmern für viele Zwecke genutzt. Manche wollen Kunden in den VAE bedienen. Andere gründen eine regionale Zentrale, internationalen Handelsbetrieb, professionelle Beratung, Technologieunternehmen, E-Commerce-Plattform oder Holdingstruktur.

Its appeal is supported by:

Diese Vorteile bedeuten nicht, dass jede Dubai-Struktur für jeden Investor passt. Der kommerzielle Zweck des Unternehmens muss die Gründungsentscheidung leiten.

Viele ausländische Investoren können 100 % eines Mainland- oder Freizonen-Unternehmens besitzen, ohne einen VAE-Staatsangehörigen als Gesellschafter zu benennen.

Das ist eine wichtige Veränderung gegenüber der historischen Regel, nach der bestimmte Mainland-Unternehmen in der Regel mehrheitlich im Besitz von VAE-Staatsangehörigen sein mussten. Der aktuelle Rahmen erlaubt volle Auslandsbeteiligung bei vielen Tätigkeiten — Ausnahmen und Zusatzbedingungen können jedoch für strategisch bedeutsame oder regulierte Tätigkeiten gelten.

Investors should therefore avoid assuming that one ownership rule applies universally. Before incorporation, the proposed activity should be checked for:

A compliant structure should be confirmed before paying Lizenz, office or incorporation expenses.

Choosing between a Dubai Mainland company and a Freizone company is one of the most important decisions for a foreign investor.

Neither option is automatically better. The correct choice depends on where the business will operate, who its customers will be, what activities it will perform, how it will distribute products, how many employees it requires and whether it needs specialised facilities.

A Mainland company is licensed through Dubai's competent economic licensing authority and is generally intended for businesses that require broad access to the VAE market.

Dubai's official investment platform allows investors to search available business activities, review legal forms and apply for a Handelslizenz. Invest in Dubai also provides an official business-activity search facility for categories including trading, services, contracting, manufacturing and hospitality. Search Dubai business activities

A Freizone company is established within a designated economic zone governed by its own licensing authority.

Free Zones may be suitable for:

Certain Free Zones specialise in particular industries and offer sector-specific facilities, regulatory environments or business communities.

Before selecting a Freizone, investors should confirm:

Eine günstige Lizenz ist nicht automatisch die kostengünstigste Unternehmensstruktur über den gesamten Betriebszeitraum.

A company serving VAE consumers directly may need a different structure from one providing international services.

Some activities are available through multiple jurisdictions, while others are limited to specific Behörden or require external approvals.

A consultancy may be able to use a flexible workspace, while a restaurant, warehouse, clinic, school or manufacturing facility requires approved physical premises.

Visa capacity can depend on the jurisdiction, facility, Lizenz package and premises size.

Banks consider the substance, ownership, activity, expected turnover, customer base, source of funds and geographic exposure of the business.

A Freizone Lizenz does not automatically make all company income exempt from Körperschaftsteuer. The tax treatment depends on the company's status, income, transactions and Compliance with the relevant conditions.

A structure suitable for a solo consultant may become restrictive when the business begins hiring, importing products or entering regulated contracts.

Planning a Dubai business? KPM Global Services can assess your activity, market, visa needs and operational model before recommending a suitable jurisdiction.

The activity stated on the Lizenz determines what the company is legally authorised to do.

This selection can affect:

Examples of broad activity groups include:

Investors should describe the actual business model, rather than selecting a broad activity based only on the Lizenz price. The Lizenz must support the real services, products and revenue streams.

Kompatible Tätigkeiten können manchmal unter einer Lizenz zusammengefasst werden — die Genehmigung hängt von der Lizenzbehörde und dem Verhältnis der Tätigkeiten ab.

Combining unrelated or differently regulated activities may require:

Managementberatung, Produkthandel, Gesundheitsdienste und Bauverträge bergen beispielsweise unterschiedliche regulatorische und operative Risiken. Sie sollten nicht kombiniert werden, ohne zu bestätigen, dass die Lizenzbehörde die geplante Kombination erlaubt.

The available legal form depends on the jurisdiction, ownership arrangement and activity. Potential structures include:

For many foreign-owned operational businesses, a limited liability structure may offer a practical separation between the company and its shareholder. However, limited liability is not an excuse for unlawful conduct, personal guarantees, regulatory breaches or improper management.

Ein ausländischer Investor kann das Unternehmen persönlich gründen oder ein bestehendes Auslandsunternehmen als Gesellschafter nutzen, wo Zuständigkeit und Rechtsform dies erlauben.

A corporate-shareholder structure may be useful for:

Ausländische Unternehmensdokumente können je nach Behörde und Ausstellungsland Notarisierung, Legalisierung, Beglaubigung und arabische Übersetzung erfordern.

Der vorgeschlagene Handelsname muss den geltenden Namensregeln entsprechen und von der Lizenzbehörde genehmigt werden.

The name should:

Handelsnamensgenehmigung ist nicht dasselbe wie Markenregistrierung. Investoren, die eine wertvolle Marke aufbauen wollen, sollten Markenschutz separat prüfen.

Eine Erstgenehmigung bestätigt in der Regel, dass die Behörde nicht gegen die geplante Gründung Einwand erhebt. Sie ist nicht immer die Erlaubnis zum operativen Start.

Erforderliche Dokumente hängen von der gewählten Rechtsform und davon ab, ob Gesellschafter natürliche Personen oder Unternehmen sind.

Eine Standard-Wirtschaftslizenz reicht nicht für jede Tätigkeit. Bestimmte Sektoren erfordern vor oder nach Lizenzausstellung die Genehmigung einer anderen Behörde oder eines Fachregulators.

Additional approval may be required for businesses involving:

Der zuständige Regulator kann Qualifikationen, Businesspläne, Fachpersonal, Finanzmittel, Räumlichkeiten, Richtlinien, Systeme oder Gesellschaftereignung prüfen.

Possible arrangements include:

A Mainland company requiring physical premises may need a valid tenancy arrangement and property registration, commonly associated with Ejari in Dubai. Additional municipality, Civil Defence or sector inspections may apply.

Before signing a long-term lease, verify:

Signing an unsuitable lease can create major delays and additional expense.

Requirements vary, but a foreign individual commonly needs:

The passport should be valid and personal details should be consistent across all applications.

Identify the products or services, target customers, operating locations, revenue model, staffing needs and expected transactions.

Match every material revenue stream to an authorised activity. Determine whether any activity is restricted or externally regulated.

Evaluate Mainland and suitable Free Zones based on market access, facilities, visas, banking, Compliance, cost and future expansion.

Select the legal form and decide whether ownership will be personal, corporate or shared with business partners.

Draft and sign the Gesellschaftsvertrag, resolutions or other establishment documents.

Select a workspace or facility that satisfies licensing, visa and operational requirements.

Submit the completed application and pay the applicable government and facility charges.

Obtain the immigration establishment record or card required for company-sponsored residence processing. ICP describes the establishment card as the electronic record containing information such as the trade name, Lizenz number, partners and business activity. ICP establishment services

Where required and eligible, complete entry-status, medical fitness, biometric, Emirates ID and residence procedures.

Prepare a comprehensive banking file demonstrating genuine commercial purpose and transparent ownership.

Assess registration deadlines and obligations immediately after incorporation.

Establish invoicing, bookkeeping, payroll, document retention, tax calendars and regulatory policies before commencing substantial transactions.

How Long Does It Take?

A straightforward non-regulated Lizenz may be issued comparatively quickly once the documents and approvals are complete. However, no universal timeline applies.

The total period can be affected by:

Lizenzausstellung and bank-account opening are separate processes. A Lizenz may be obtained before the bank completes its Compliance review.

The total setup cost depends on the actual structure and should not be calculated from the Lizenz fee alone.

Potential components include:

Promotional packages may exclude visas, establishment registration, refundable deposits, immigration services, facilities or later Compliance expenses. Investors should request an itemised quotation based on the intended activity and operational requirements.

In vielen Fällen muss ein ausländischer Gesellschafter nicht VAE-Ansässiger werden, nur um ein Dubai-Unternehmen zu besitzen. Praktische Erwägungen bleiben jedoch relevant.

Non-resident ownership may affect:

Eine Unternehmenslizenz macht den Gesellschafter nicht automatisch zum VAE-Steueransässigen. Persönliche und unternehmerische Steueransässigkeit erfordern separate Analyse.

A company shareholder may be able to obtain a residence visa through the business, subject to the company's jurisdiction, immigration eligibility and applicable procedures.

The process may include:

Investor residence should not be confused with Golden Residence or Green Residence. Long-term residence categories have separate eligibility conditions. ICP describes Green Residence as a renewable five-year category for eligible groups that allows residence without a sponsor. ICP Green Residence guidance

Golden Residence is also limited to qualifying categories, including certain investors, entrepreneurs and specialised talents; ordinary company ownership does not automatically establish eligibility. ICP Golden Visa information

Ein Mainland-Unternehmen, das Personal einstellt, muss in der Regel die anwendbaren Arbeits- und Einwanderungsregistrierungen abschließen. Freizonen-Unternehmen folgen normalerweise dem Beschäftigungssystem ihrer jeweiligen Zone.

Employment obligations may include:

Visa availability may depend on the company's activity, premises, jurisdiction and workforce classification.

A Dubai Handelslizenz does not guarantee bank-account approval. Banks independently assess every application under their Compliance and risk policies.

The bank may request:

Anträge verzögern sich, wenn das Geschäftsmodell unklar ist, erwartete Transaktionen nicht zur Lizenz passen, Eigentum unnötig kompliziert ist oder die Mittelherkunft nicht ausreichend dokumentiert ist.

KPM Global Services kann die Antragsakte organisieren und passende Banking-Kanäle koordinieren — die endgültige Genehmigung liegt jedoch vollständig bei der Bank.

Incorporating in Dubai does not remove the company from the VAE Körperschaftsteuer framework.

Taxable persons must evaluate their registration, return-filing and payment obligations. The FTA states that taxable persons must register and obtain a Körperschaftsteuer-Registrierung Number. A VAE juridical person established on or after 1 March 2024 is generally required to apply within three months of incorporation, establishment or recognition. FTA Körperschaftsteuer registration guidance and FTA registration-timeframe announcement

Special rules may apply to Qualifying Freizone Persons, large multinational groups and other defined categories.

Ein Freizonen-Unternehmen darf nicht annehmen, dass sämtliches Einkommen für einen 0%-Satz qualifiziert. Die Berechtigung kann von qualifizierendem Einkommen, Substance, geprüften Jahresabschlüssen, Transfer-Preise-Compliance und weiteren gesetzlichen Voraussetzungen abhängen.

Professional advice should be obtained for:

MwSt registration depends on the company's taxable supplies and imports.

The FTA states that In den VAE ansässige Unternehmen müssen sich registrieren, wenn steuerpflichtige Lieferungen und Importe in den vergangenen 12 Monaten AED 375.000 übersteigen oder voraussichtlich in den nächsten 30 Tagen diesen Wert erreichen. Eine freiwillige Registrierung ist in der Regel möglich, wenn steuerpflichtige Lieferungen, Importe oder qualifizierende steuerpflichtige Aufwendungen AED 187.500 übersteigen. FTA MwSt registration guidance

A business should assess:

Ausländische Unternehmen können anderen Registrierungsvorgaben unterliegen; die ordentliche Pflichtschwelle gilt für sie nicht in gleicher Weise, wo Registrierung dennoch erforderlich ist.

Buchhaltung sollte beginnen, wenn das Unternehmen gegründet wird — nicht erst, wenn die erste Steuererklärung fällig wird.

The company should maintain:

A suitable accounting system should separate business and personal expenditure, reconcile bank transactions and produce reliable financial reports.

Good records support tax Compliance, banking reviews, audits, investor reporting and management decisions.

Unternehmen müssen Informationen zu wirtschaftlich Berechtigten, Gesellschaftern, Direktoren und bevollmächtigten Vertretern gemäß den geltenden Regeln korrekt erfassen und pflegen.

Änderungen bei Eigentum, Management, Adresse oder wirtschaftlich Berechtigten sollten innerhalb der vorgeschriebenen Frist gemeldet werden. Unternehmen sollten aktualisierte Satzungsdokumente, Beschlüsse und Register führen.

Eine Nominee- oder komplizierte Holdingstruktur entbindet nicht von der Pflicht, die natürliche Person offenzulegen, die das Unternehmen letztlich besitzt oder kontrolliert.

Certain businesses have enhanced anti-money-laundering responsibilities because of their sector or activity.

Relevant businesses may need to implement:

Höherrisiko-Sektoren können bestimmte Immobilienaktivitäten, Edelmetalle und Edelsteine, Corporate-Service-Aktivitäten, Rechts- und Wirtschaftsprüfungsdienste sowie andere designated non-financial businesses and professions umfassen.

AML Compliance should be operational, documented and proportionate to the company's risk profile.

Eine Handelslizenz berechtigt nicht automatisch zum sofortigen Import oder Verkauf jedes Produkts.

Depending on the goods, the business may require:

Produkte wie Lebensmittel, Kosmetik, Medizinprodukte, Arzneimittel, Chemikalien und Telekommunikationsgeräte können zusätzliche Anforderungen mit sich bringen.

Ongoing requirements may include:

Failure to maintain the Lizenz or regulatory registrations may result in penalties, suspension, transaction restrictions or immigration complications.

A low-cost setup may not provide the required activity, visas, premises, market access or banking suitability.

Operating outside the approved activity can cause contractual, banking and regulatory problems.

The Körperschaftsteuer treatment depends on statutory conditions, income and Compliance—not simply the address printed on the Lizenz.

This weakens accounting records and can create tax and governance difficulties.

Tax, accounting, UBO, AML, employment and renewal requirements continue after incorporation.

Multiple companies or holding layers can increase cost, Compliance and banking scrutiny without creating real commercial value.

Ein Berater mit Übersee-Kunden priorisiert möglicherweise eine Dienstleistungstätigkeit, bescheidenen Arbeitsplatz, ein Investorenvisum, Mehrwährungs-Banking und unkomplizierte Buchhaltung.

Ein Importeur, der in den VAE verkauft, benötigt möglicherweise eine passende Handelstätigkeit, Zollregistrierung, Lager- oder Fulfillment-Regelungen, Produktgenehmigungen, MwSt-Planung und lokale Vertriebsfähigkeit.

Ein Technologiegründer benötigt möglicherweise IP-Planung, Mitarbeitervisa, Software- oder Technologietätigkeiten, investorenreife Unternehmensdokumente und skalierbares Banking.

Ein etabliertes ausländisches Unternehmen kann Tochtergesellschaft und Niederlassung vergleichen. Die Entscheidung sollte Haftung, Kontrolle, Steuern, Banking, Verträge, Dokumentenbeglaubigung und künftige Investitionen berücksichtigen.

Ein Gesundheits-, Finanz-, Bildungs-, Immobilien- oder Virtual-Asset-Unternehmen benötigt möglicherweise vor Geschäftsbeginn die Genehmigung eines Fachregulators.

KPM Global Services provides coordinated support for foreign investors establishing and operating businesses in Dubai.

Depending on the project, our assistance may include:

Recommendations are tailored to the proposed activity, target market, ownership, staffing and operating model.

KPM Global Services does not issue government approvals or control bank decisions. Our role is to help investors choose an appropriate route, prepare the required information and coordinate the process professionally.

Yes. Foreign nationals can establish businesses in Dubai, subject to the requirements of the selected activity, jurisdiction and legal structure.

Full foreign ownership is available for many Mainland activities. Strategically significant and regulated activities may have additional conditions, so the specific activity must be checked.

3. Do I need a VAE national business partner?

Not for many activities. A VAE national shareholder or another local arrangement may still be relevant in limited, specially regulated circumstances.

Mainland may be more suitable for broad VAE-market operations and physical customer-facing businesses. A Freizone may suit international services, specialist sectors, exports or businesses seeking a zone-specific environment. The decision should follow the operating model.

The least expensive advertised package may not be the most appropriate. The total cost depends on the activity, Lizenz, facility, visas, approvals, immigration services and annual Compliance.

Parts of the process may be completed remotely, depending on the authority and structure. Physical presence may still be required for certain signing, immigration or banking procedures.

Not necessarily. A person may be able to own a company without becoming a VAE resident. Residence can nevertheless be useful for managing the business and accessing local services.

No. Visa approval is subject to immigration rules, security checks, company eligibility and completion of the required procedures.

A straightforward Lizenz can sometimes be completed quickly after all documents are ready. Regulated activities, corporate Gesellschafter, premises inspections and external approvals take longer.

Common requirements include a passport copy, photograph, contact details, proposed trade name and activity information. Additional documents may be required for VAE residents, regulated professionals or corporate Gesellschafter.

Certain corporate, educational and professional documents may require notarisation, legalisation, VAE diplomatic attestation or certified Arabic translation.

Compatible activities may sometimes be combined. Unrelated or separately regulated activities may require additional approvals or licences.

It depends on the activity and jurisdiction. Some businesses can use flexible workspace, while retail, healthcare, industrial, food, education and contracting activities may require approved premises.

A Dubai company falls within the VAE Körperschaftsteuer framework unless a specific exemption applies. The applicable liability depends on taxable income, status and relevant statutory conditions.

No. A qualifying Freizone company may receive a 0% rate on qualifying income when all legal conditions are satisfied. Other income may be taxed under the applicable rules.

A VAE-resident business generally must register when its taxable supplies and imports exceed AED 375,000 under the applicable historical or forward-looking tests. Different considerations can apply to non-resident businesses.

No consultant can legitimately guarantee approval. KPM Global Services can help prepare and coordinate the application, but the bank makes the final decision.

Yes, subject to the applicable work-permit, immigration, facility, quota and employment requirements.

An eligible VAE resident may sponsor qualifying family members subject to immigration, income, accommodation, insurance and documentary requirements.

Yes. Accurate records are essential for tax Compliance, financial reporting, banking, audit readiness and business management.

Applicable businesses must identify and maintain accurate information about their ultimate beneficial owners and submit or update required records.

The correct route depends on the activity, products, transaction structure and Freizone rules. Additional licensing, distribution or customs arrangements may be required.

Potentially, yes. The foreign company will generally need appropriately legalised corporate documents and formal approval of the VAE investment.

The company may still need establishment registration, visas, banking, tax registration, accounting, UBO filings, customs registration, sector permits and operational systems.

KPM Global Services can assist with relevant Lizenz renewals, tax registration, MwSt, accounting, UBO, AML, immigration and continuing business-support requirements.