✓ Last verified: 8 August 2026 · Live free-zone price lists

Business Setup Cost Calculator — Dubai

Setup companies quote you a license price and stay quiet about the rest. This calculator shows the honest first-year range — license, establishment card, visas, office — plus what renewal actually costs in year two.

Free zone: 100% yours, fast, but mainland clients/tenders may need a mainland license. Mainland: full UAE market access; 100% foreign ownership now covers 1,000+ activities.

First-year cost

License / package
Establishment card
Visas (all-in each, incl. medical + EID + insurance)
Office
Year 1 total
Renewal (year 2+)

Two costs nobody quotes upfront: corporate-tax registration is mandatory for every company — even at 0% tax — with an AED 10,000 fine for missing it; and a business bank account takes 2–6 weeks of compliance checks, with traditional banks wanting AED 25–50K minimum balances (digital banks: zero).

Real 2026 price anchors

  • Cheapest legitimate entry: Sharjah free zones (SHAMS, SPC) from AED 5,750 — zero visas, license only.
  • Dubai free zones: IFZA AED 12,900 (0 visas) / 14,900 (1-visa quota); Meydan AED 12,500 + ~3,500 per visa. A realistic Dubai free-zone package with 1–2 visas lands at AED 18–28K all-in.
  • Mainland: license AED 10–20K + trade name + MOA notarisation + Ejari office + establishment card → AED 25–60K first year with a flexi-desk.
  • Each visa all-in (entry permit, status change, medical, Emirates ID, stamping, basic insurance): free zone AED 4–7K, mainland AED 5–9.5K. By law the employer pays these — they can't be deducted from staff salaries.

Frequently asked questions

Do I still need a local sponsor for mainland?

For most activities, no — since the 2021 reform, 1,000+ mainland activities allow 100% foreign ownership (IT, e-commerce, consulting, trading and most professional services). Strategic-impact sectors (defence, parts of banking/insurance/telecom, oil & gas) still require Emirati participation, and some professional structures keep a Local Service Agent at AED 5–15K/year.

What's the cheapest way to start in 2026?

A zero-visa license in a Sharjah free zone from AED 5,750 (SHAMS/SPC published rates). Add a visa and you're at AED 8.5–12K. Dubai free zones start around AED 12.5–15K before visas — you're paying for the Dubai address and ecosystem.

Free zone or mainland — which do I need?

Free zone: 100% ownership always, faster setup (3–7 days), cheaper — but selling onshore may require distributors or a branch, and government tenders need mainland. Mainland: full UAE market access, unlimited visas scaling with office size, but a physical Ejari office is mandatory.

How long does setup take?

Free zone: 3–7 working days for the license, then 1–3 weeks for visas. Mainland: 1–3 weeks for the license depending on approvals. The slowest step is usually the bank account (2–6 weeks).

What are the yearly running costs after setup?

License renewal runs 90–100% of the year-one license price (IFZA ~AED 11–13.5K, mainland AED 10–25K plus office), plus visa renewals every 2 years, mandatory health insurance per employee (from AED 320–750/year basic), and corporate-tax + VAT filings once you cross thresholds.

Do I pay corporate tax as a small company?

Registration is mandatory regardless. Profits up to AED 375K are taxed at 0%, and Small Business Relief can zero the rest if revenue is ≤ AED 3M — but 2026 is its final year. Run the numbers in our Corporate Tax Calculator.

Sources

Price anchors pulled from live published rate cards on 8 August 2026. Setup-company quotes vary — treat ranges as negotiation ammunition.

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