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Establishing a Holding Company in Dubai, UAE: Benefits and Costs

Establishing a Holding Company in Dubai, UAE: Benefits and Costs

Establishing a holding company will be great if you’re considering Dubai UAE as your business destination. There are plenty of benefits associated with setting up a holding company in Dubai UAE, including tax efficiency, protection of assets, and limited liability. What’s more, you don’t need to invest a large amount of capital in establishing your holding company in Dubai, whether you opt for the Mainland or Free Zones.

Interested to establish a holding company in Dubai? Join us as we uncover crucial details about setting up a holding company in Dubai, including benefits and costs.

Benefits: Establishing a Holding Company in Dubai, UAE

Establishing a holding company in Dubai has many advantages, including the following:

Simplified Human Resource Management

With a holding company, you can hire as many foreign employees as possible. You can move employees from one company to another to optimize the utilization of their skills.

Easy Asset Management

You can use the parent company’s trademarks, logo, name, and equipment for your subsidiary company.

UAE Residency

Once you establish a holding company, it’s easier to acquire UAE residency by company formation.

Risk Mitigation and Anonymity

A holding company means all property is registered under the company rather than the individual. Therefore, it reduces personal risk exposure and helps maintain anonymity in investments.

Significant Tax Savings

You pay 0% tax on dividends, capital gains, and corporate profits.


Cost: Establishing a Holding Company in Dubai, UAE

The total cost of establishing a holding company in Dubai comprises various elements, including securing your business license, sorting out visa costs, and registering your company name. However, it varies depending on multiple factors, including the location, Mainland, or free zones.

Establishing a Holding Company in Dubai Mainland

While it may be a bit costlier than setting up your holding company in Dubai free zones, there are several reasons to choose Dubai Mainland instead. For instance:  

  • You can trade anywhere in the UAE and beyond
  • There’s flexibility, allowing you to perform a wide range of business activities
  • Ability and freedom to bid on government-owned projects
  • Ability to rent commercial spaces in any desired area in the Dubai Mainland.
Establishing a holding Company in Dubai Free Zone

There are several reasons why starting a holding company in Dubai Free Zone would be a great idea. Some reasons include the following:

  • 100% business ownershipYou don’t need to partner with a local agency to set up your holding company. Therefore, you have full ownership of the business.
  • Tax efficient. When you base your holding company in Dubai Free Zone, you’ll pay 0% in taxes and VAT.
  • It’s easier and less complicated to set up a business in Dubai Free Zone
  • No minimum share capital requirement for Limited Liability Company (LLC) formation.
  • It’s easier to open a corporate bank account

Whether you’re looking to establish a holding company in Dubai Mainland or Free Zone, Choose UAE is here to help. Our experienced team can help you through every step of your company formation in Dubai, reducing the process to just a few weeks. Contact Choose UAE to find out how much it will cost to set up a holding company in Dubai


Establishing a holding company in Dubai, UAE, is an excellent way to protect and manage your assets. It offers numerous benefits, including greater flexibility, tax efficiency, no particular share capital requirements, and more. Although the process may seem straightforward, you must prepare all the necessary documentation and finalize the paperwork correctly. And that’s where Choose UAE comes in handy.

How Can Choose UAE Help

As a company formation advisory agency, we offer updated and impartial business assistance and advice to investors looking to establish their companies in Dubai. At Choose UAE, we facilitate the entire process, from license issuance to business setup, helping you achieve your desired goals. Contact us for more details.

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