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Dubai Mainland License Cost 2022: Business Setup

dubai mainland license cost 2022

Dubai is the Middle East’s business hub, with a strategic location that connects Asia to Africa and Europe. Dubai has attracted so much attention from any corner of the world in the last decade: its growing economy, fantastic tax regime, and excellent business strategies. As the UAE government continues to facilitate these advantages, they can assure entrepreneurs that their businesses are within a safe environment. Businessmen have understood that starting a business in Dubai is highly lucrative. They are trying to expand their business in Dubai and take advantage of the unique business opportunities that the government is providing them. However, a Dubai Mainland License Cost 2022 estimation is vital before getting involved in registering a company. 

Business Setup: Dubai Mainland License Cost 2022

Dubai Mainland License Cost 2022 change from time to time and highly depend on:

  • The nature and size of the business,
  • The opted jurisdiction, 
  • The approvals, certifications, and documents.

These factors and their associated costs can be summarized as follows:

Initial Approval

This is a one-time fee paid to the government and costs around AED 120.


Trade Name Approval

This is the payment that should be done once the government approves the company’s trade name. The amount is a one-time fee paid to the government and costs around AED 650-800.


Notarization of MoA

This payment is made after an MoA written in a legal firm signed by all shareholders (if applicable) is approved by the government. Then the one-time fee will be paid to the government for the government services.


License Fee

This is the only government license fee that is renewed every year and costs from AED 14,500.


Other Costs

There is an additional cost if the picked company name follows specific criteria like unique abbreviations or is a foreign name. 

 

Dubai Mainland Business Setup Procedures

The procedures behind the government’s documents and licenses are usually straightforward to understand. Here is a brief description:

Initial Approval issued by Dubai Economy Department (DED) 

The initial Approval is given by DED so that entrepreneurs can start their business right after submitting their application for six months before their documents are processed. A nominal fee (one-time payment) is paid at this phase to the government. 

Trade name approval

After checking the availability and making sure the chosen name abides by the government’s criteria, this is the one-time fee paid to the government. As described before, an additional fee will be charged if the trade name is foreign. The trade name registration involves some costs such as reservation fees, commercial name fees, and foreign company name fees. 

Renting an office for LLCs

This is essential for those entrepreneurs who wish to register an LLC, as renting a place to associate it with the company officially ensures the government of the business’s legitimacy. This is because registering an office allows the government to conduct inspections, monitor operations, and check the immigration laws enforced at the workplace. This is a standard termly cost based on the signed contract. 

Attestation of the Memorandum of Association

This memorandum is signed between the business owner and shareholders (if applicable). Depending on the share capital, the government fees may vary. 

Drafting the LLC contract in Arabic and English

According to the UAE’s business laws, the company’s business contract should be provided in English and Arabic. The translation costs are considered at this stage which may not have been included in the initial drafting. This is a one-time payment. 

DED fee

DED will charge a nominal, one-time fee for LLC registration. There are also annual fees paid for a trade license acquired for any operative business in the UAE, and mainland trade licenses may require a deposit while various departments’ business activities are under scrutiny and can involve probable cost intervals. 

Ejari/Commercial space cost

Commercial license, also known as ejari, needs to be renewed annually for those engaged in commercial activities.   

The Dubai chamber of commerce fee should be paid annually

for various trading activities and businesses. 

Commercial services improvement fee

This fee should also be paid every year to improve government departments’ performance.

Administrative services fee

This is a one-time payment paid to the government for all the paperwork done.

How Choose UAE Can Help

Choose UAE‘s Company Formation Specialists can provide professional business setup guidance and assist you in your decision-making by providing well-informed options from the suitable business activity and the right license option. 

Get the most out of Choose UAE’s optimal customer service experience, hassle-free, efficient licensing services with a dedicated account manager. Learn more about how we can help you.

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