How much does it cost to establish a new company in the Emirates for foreigners? Establishing a new company in the Emirates for foreigners is an important strategic step towards exploiting the wide opportunities offered by the country as a global investment destination. This work requires a careful and organized process, as it is necessary to adhere to local government laws and procedures that regulate the establishment of companies. Itqan Company is a reliable partner for individuals and companies seeking to establish and expand their businesses in the Emirates, providing the necessary services to complete procedures smoothly and effectively.

The costs of establishing a new company in the UAE for foreigners vary according to the type of company, the economic sector to which it belongs, and the emirate in which the establishment takes place. Generally, the incorporation procedure involves determining the type of company such as a local company, sole proprietorship, or limited liability company, and then preparing the required documents such as the partnership agreement and articles of association.

In addition, the incorporation process requires providing the necessary capital and paying government and registration fees, which vary depending on the type of company and the emirate. Investors typically require advice from experts in corporate law and tax consulting to ensure full compliance with local laws and to make the most of tax incentives and regulatory facilities.

How much does it cost for foreigners to establish a new company in the UAE?

The different types of companies that can be established

The United Arab Emirates is one of the best destinations for establishing companies in the world, as it provides an advanced and diverse investment environment that provides broad opportunities for individuals and companies from different parts of the world. Itqan is a distinguished strategic partner that provides comprehensive support to investors seeking to establish and expand their businesses in this dynamic market. The different types of companies that can be established in the UAE

• Local Company (Public Joint Stock): This company requires a partnership with an Emirati citizen of no less than 51% of the capital. It has full rights to operate in the local market.
• Limited Liability Company (LLC): This is a popular form of company for foreigners, as foreign partners can hold up to 49% of the capital. There must be a 51% UAE national partner.
• Sole Proprietorship: Allows an individual to establish a company under his own responsibility without the need for a partnership with an Emirati citizen. This is the least expensive option and quickest to set up.
• Free Zone Company: Free zones in the UAE provide an encouraging investment environment for foreigners, as foreign companies can retain 100% of the company’s ownership without the need for an Emirati partner. It has great flexibility in the legal and regulatory system.
• Individual company in the free zone (Free Zone Establishment): It allows individuals to establish individual companies within the free zones, which makes it easier for them to benefit from the tax and administrative facilities provided by the free zone.

These different types of companies in the UAE provide multiple options that suit the needs of international and local investors, which enhances the attractiveness of the market and contributes to enhancing economic activity and sustainable development in the country.

Basic steps to establish a company in the UAE

The United Arab Emirates is one of the most prominent global destinations for establishing companies, as it enjoys an advanced investment and regulatory environment that encourages innovation and economic growth. If you are thinking about starting a company in the UAE, here are the basic steps you must follow to successfully achieve this goal. Basic steps for establishing a company in the UAE

• Determine the type of company: Before starting anything, you must determine the type of company you want to establish, whether it is a local company, a limited liability company, or a company in a free zone. This depends on the chosen business, financing and ownership requirements.
• Choosing a trade name: A name must be chosen that complies with local laws and does not conflict with the names of existing companies. You can check the availability of the name and register it with the local Department of Trade and Industry.
• Preparing legal documents: Establishing a company requires preparing legal documents such as the partnership agreement (if that is the case), and the articles of association, and documenting them in the required legal manner.
• Determining capital: The necessary capital for the company must be determined, and it depends on the type of business activity and the conditions of local law.
• Obtaining licenses and approvals: Some commercial activities in the Emirates require obtaining special licenses and approvals from the competent authorities, such as government agencies or relevant regulatory bodies.
• Registration in the Commercial Registry: Once the documents are prepared and the necessary licenses are obtained, the registration application is submitted to the local commercial registry, where it is ensured that all legal and administrative requirements are met.
• Compliance with local taxes and laws: The new company must comply with all tax controls and local laws, including registering with the relevant tax authorities and adhering to annual financial reports.
• Opening a bank account for the company: Establishing a company requires opening a bank account for the company to manage financial transactions and commercial transactions efficiently.

By following these basic steps carefully and systematically, investors can create a successful company in the UAE, benefiting from the dynamic economic environment and outstanding regulatory support that the country offers.

Advantages of establishing a company in the UAE

Advantages of establishing a company in the UAE

Establishing a company in the United Arab Emirates is considered an important strategic step towards exploiting the vast opportunities offered by this country as a global investment center. The UAE is characterized by an advanced investment environment, combining political and economic stability, and modern legislation that facilitates the process of establishing and managing companies with high efficiency. Advantages of establishing a company in the Emirates An advanced investment environment: The Emirates has an advanced infrastructure and excellent financial and logistical services that support all types of businesses, which facilitates access to local and global markets efficiently.

• No corporate income taxes: The UAE provides an income tax-free environment for most economic sectors, with the exception of the oil, gas, and banking sectors. This helps companies achieve higher net profits and increase investments.
• Access to the regional and global market: Thanks to its strategic location and advanced logistics facilities, the UAE is a natural gateway to access the markets of the Middle East, South Asia and Africa.
• Flexibility in the regulatory system: Free zones and special economic zones provide a flexible and well-regulated environment that allows foreign companies 100% ownership of their companies without the need for a local partner.
• Government support and integrated accompaniment: The UAE government provides effective support to emerging and medium-sized companies through tax and financial incentives, in addition to consulting services and technical support to facilitate business operations.
• Strong legal and judicial structure: The judicial system in the UAE is transparent and efficient, ensuring that commercial rights are protected and disputes are resolved in fair and effective legal ways.

Learn about the costs of establishing a new company in the UAE

Establishing a company in the UAE for foreigners represents a strategic investment that requires careful planning and a good understanding of the costs and procedures required. Collaborating with Itqan is a crucial step to facilitate this process and ensure compliance with legal and regulatory standards in the country.

The costs of establishing a company vary according to several factors, including the type of company and the region in which you choose to establish it, such as free zones or special economic zones. Major costs include registering the company with the local commercial registry, paying government fees, and the company’s organizational structure needs, such as necessary licenses and approvals. The necessary capital must also be provided according to the type of company chosen.

Besides financial costs, starting a company requires tax planning and compliance with local tax laws, including value-added tax (VAT) and other potential taxes. This aspect is important to maintain lasting financial and operational stability for the company.

In short, establishing a company in the UAE represents a great opportunity for foreign investors looking to benefit from the dynamic economic environment and regulated legislation. By cooperating with Itqan Company, complications can be reduced and the start-up process can be accelerated, ensuring a successful start and a prosperous future for the company in this dynamic and competitive market.

Frequently asked questions about the costs of establishing a new company in the UAE