Establishing a company in Dubai for foreigners. In recent years, Dubai has become one of the most prominent global centers for investment and business, providing an ideal environment for establishing companies thanks to its advanced and supportive business legislation. Dubai has a developed infrastructure, excellent strategic location, and a stable market, making it a preferred destination for foreigners wishing to establish their companies here.

In cooperation with Itqan Company, foreigners can take full advantage of the services and consultations it provides to facilitate the process of establishing companies in Dubai. The Itqan team provides support in all stages of company establishment, from choosing the appropriate company type, incorporation arrangements, and preparing the necessary documents, to registering the company and obtaining the necessary licenses.

Using its deep experience in the local market, Itqan provides tailored advice to foreigners on investing in Dubai, including local laws and regulations and available investment opportunities. By utilizing Itqan’s services, foreign investors can access the UAE market smoothly and confidently, enhancing the chances of success and growth for their companies in this dynamic and evolving economic environment. 

Establishing a company in Dubai for foreigners is desired by foreign investors of various nationalities. The UAE government provides all services and facilities that facilitate the idea of ​​investing in Dubai for foreigners, which helps support the UAE economy. In this article, here are the most important features that distinguish Dubai to establish a company there.

Establishing a company in Dubai for foreigners

Types of companies that foreigners can establish in Dubai

Dubai is a prime destination for foreign investors looking to establish their companies in a vibrant and advanced business environment. Dubai has a variety of legal structures that foreigners can choose from, depending on the nature of their business and strategic needs. The diversity of these legal structures allows investors to find the right type of company to achieve their goals and achieve sustainable growth. Types of companies that foreigners can establish in Dubai

Free Zone Company:

• Advantages: Foreigners can own 100% of the company, no corporate or personal income taxes, and easy transfer of profits.
• Details: The company must be registered in one of the free zones in Dubai such as Dubai South, Jebel Ali, or Dubai Internet City.

Limited Liability Company (LLC):

• Advantages: Foreign investors are allowed to own up to 100% of the company in some activities, but in other activities they may need a local partner who owns 51%.
• Details: An LLC is a popular choice for commercial and retail businesses.

Branch of a Foreign Company:

• Advantages: A foreign company is allowed to conduct business in Dubai without the need for a local partner.
• Details: Requires submitting parent company documents and obtaining the necessary approvals.

Representative Office:

• Advantages: It can be used for marketing and searching for business opportunities, but it cannot engage in direct commercial activities.
• Details: It is a good option for companies that want to study the market before establishing a full-fledged business.

Professional Company:

• Advantages: Wholly owned by foreigners and suitable for professional activities such as legal, accounting, and engineering consulting.
• Details: Requires the submission of certificates of experience and professional qualification.

Industrial Companies:

• Features: Suitable for companies that want to manufacture and produce.
• Details: Requires obtaining industrial licenses from the relevant authorities.

Holding companies:

• Features: Used to manage assets and investments.
• Details: Could be part of a multinational corporate group.

Dubai offers a flexible and supportive business environment that enables investors to choose the legal structure best suited to their business. This diversity of legal structures allows foreign investors to establish their companies in ways that align with their business strategies and make the most of the opportunities available in Dubai.

Legal requirements and legislation that foreigners must adhere to in establishing a company in Dubai

Establishing a company in Dubai is a strategic step for many foreign investors seeking to benefit from the thriving economic environment in the emirate. However, investors must adhere to a range of legal requirements and legislation to ensure their company is legally and properly established. Understanding these requirements and legislation is key to achieving success and ensuring compliance with local laws, which contributes to avoiding legal problems in the future. Legal requirements and legislation for establishing a company for foreigners in Dubai

• Choosing the legal structure of the company: Investors must choose the appropriate legal structure for their company, such as a free zone company, a limited liability company, or a branch of a foreign company. Each legal structure differs in its requirements and features.
• Registration in the free zone: If the company will operate in one of the free zones, it must register with the body responsible for the chosen free zone. This process includes submitting the required documents and paying fees.
• Obtaining Department of Economic Development approval: Companies that will operate outside the free zones need approval from the Department of Economic Development (DED) in Dubai. This includes submitting a business plan and defining the business.
• Commercial Registration: The company must be registered with the Commercial Registry and obtain a Commercial Registration Number. This procedure is necessary to legally start business operations.
• Obtaining the necessary licenses: You must obtain all necessary licenses for the company’s activity. Some activities may require additional licenses from other government agencies.
• Compliance with labor and employment laws: Companies must comply with UAE labor laws, including submitting employment contracts, adhering to set wages, and providing a safe working environment.
• Health Insurance and Residence: Companies must provide health insurance to employees and ensure they have the necessary residence permits.
• Taxes and fees: Although tax exempt, some activities may require payment of local fees. You must ensure compliance with all financial requirements.
• Data Protection and Privacy: Companies must adhere to data protection and privacy laws to ensure the confidentiality of customer and employee information.

By following these legal requirements and legislation, foreign investors can establish their companies in Dubai in a legal and sustainable manner, helping them achieve their business goals and benefit from the thriving economic environment in the emirate.

Financial and tax benefits of establishing a company for foreigners in Dubai

Financial and tax benefits of establishing a company for foreigners in Dubai

Dubai is considered one of the most attractive destinations for foreign investments in the world, thanks to the dynamic and flexible business environment it offers. Establishing a company in Dubai is not only a strategic move for business expansion, but it also gives foreign investors a wide range of financial and tax benefits that make Dubai an ideal place for business. Financial and tax benefits of establishing a company for foreigners in Dubai

• Comprehensive tax exemption: Dubai provides an almost tax-free environment, as it does not impose taxes on companies or personal income. This significant tax break allows companies to retain a greater proportion of their profits, enhancing their ability to reinvest and grow.
• Full foreign ownership: In many free zones in Dubai, foreign investors can own 100% of a company’s shares without the need for a local partner. This allows companies to have full control over their operations and strategies.
• Ease of transferring profits: Foreign companies can transfer profits abroad freely and without restrictions, which provides greater liquidity and facilitates financial planning at the international level.
• Customs exemption: Companies operating in free zones benefit from customs exemptions on imports and exports, which reduces operating costs and increases competitiveness.
• Financial and banking facilities: Dubai provides a developed and stable banking system with easy access to international banking services, which facilitates the management of corporate financial affairs.
• Investment incentives: The UAE government offers multiple financial and investment incentives, such as granting land at reduced prices and facilitating obtaining business licenses, which makes Dubai a very encouraging environment for investment.
• Advanced infrastructure: Dubai has a modern infrastructure that includes airports, ports, and a developed road network, which facilitates logistical and commercial operations for companies.

All these factors combine to make Dubai an ideal destination for foreign investors looking for a stable and supportive business environment that contributes to achieving sustainable growth for their businesses.

Our company’s role in establishing a company in Dubai 

In conclusion of this discussion, it emerges that establishing a company in Dubai for foreigners represents an important strategic step towards exploiting the potential of the thriving Middle East market. Thanks to its advanced infrastructure and business-friendly laws, Dubai provides an ideal environment for startups and medium-sized companies seeking growth and expansion.

With Itqan, foreigners can benefit from a comprehensive range of services that include company formation consultations, incorporation arrangements, and support in preparing legal documents and obtaining the necessary licenses. Cooperation with Itqan allows foreign investors to enter the Dubai market confidently and effectively, enhancing the chances of success and sustainability of their businesses in this dynamic economic environment.

In addition, access to Itqan’s expertise in local legislation and business practices provides new companies with the opportunity to innovate and develop in line with market needs and customer aspirations. Establishing a company in Dubai in cooperation with Itqan is not just the creation of a company, but rather a strategic investment in the future of the business, providing the flexibility and opportunities necessary to achieve success in the growing global market.

Frequently asked questions about establishing a company in Dubai for foreigners