Dubai is a global hub for business, therefore there are plenty of options for people wishing to establish their own companies. Nowadays, there are many benefits available to Indian business owners and modern investors wishing to open a company in Dubai.
There is no longer a requirement for a local Emirati partner for mainland company formation, and the government continues to introduce several rules that make doing business more accessible. People who are new to this dynamic destination often research well on how to start a business in Dubai.
In this comprehensive guide, you will get a complete understanding of the business setup in Dubai, its process, documents, and more. So let’s dive straight into it.
Types of Business Entities in Dubai
Before jumping into the process, let us first understand what are the various types of business entities in Dubai that one can consider to start any business. Depending on your objectives and type of business, the city provides a variety of business entity types, each with unique advantages:
1. Mainland Company
A mainland corporation is the most wonderful option for companies looking to grow locally because it enables you to operate both domestically and abroad. A local sponsor, an Emirati national, is necessary, and they must own 51% of the business’s shares.
2. Freezone Company
Free zone companies offer 100% foreign ownership which makes them a highly attractive option for business owners seeking complete control. They are particularly suitable for companies involved in trading, services, and technology, especially those focused on exports and imports.
3. Offshore Companies
Offshore companies are created primarily for global trade, acquisition security, and tax optimization. They permit complete foreign ownership but are restricted to function outside the UAE.
Documents Required to Start Any Business in Dubai from India
Gather the following documents when looking to establish your business in Dubai, UAE from India:
- Passport Copies: Copies of the passports of each shareholder and company manager.
- No Objection Certificate (NOC): A letter of consent from the local sponsor or partner (for Mainland companies).
- Memorandum of Association: A legal document drafting the company’s scope, structure, and operational procedures.
- Tenancy Contract: A lease agreement for your office location, along with the Ejari registration certificate.
- Bank Reference Letter: A letter from your bank confirming your financial credibility.
- Approval from Relevant Authorities: Depending on your industry, approval from specific authorities may be necessary.
- Trade Name Reservation Certificate: A certificate of the registration of your company name with the relevant authorities.
How to Register a Company in Dubai from India in 2025?
For individuals searching how to start a business in Dubai, here is the comprehensive guide:
1. Identify your Business Activity
The type of business activity your company will undertake will define the business model and the approvals and certificates needed from relevant authorities. You may opt for a free zone setup if you are considering a specialized business zone, or you can register a sole establishment or LLC if you are concentrating on the mainland.
2. Choose a Company/Trade Name
Selecting the right trading name is a crucial step when registering a company in Dubai. It is also important to comply with UAE regulations when reserving a trade name, avoiding offensive words or any that may violate cultural or religious sensitivities.
3. Decide the Business Location
The location of your business plays a significant role in its success. From one region to another, factors such as infrastructure, tax regulations, resources, and the potential for business expansion differ. After securing your location, you will need to acquire the Ejari to confirm your office space.
4. Create LSA or MOA
If you are registering a mainland company, you will need to engage with a local service agent (LSA), who will assist with applying for licenses and obtaining necessary approvals. The LSA ensures that you can maintain full operational and legal control of your company. Once you have chosen your company structure and business model, you must sign a Local Service Agreement (LSA), which outlines the terms of the partnership.
5. Apply for Business License
Mainland businesses must apply for a business license from the DED. For businesses in a free zone, applications should be made to the respective zone authority. Once your license is granted, additional external approvals may be required, depending on the industry or business activity.
6. Open a Bank Account
After completing all the necessary paperwork, opening a business bank account is the next step. Selecting a bank that helps you reduce expenses and provides competitive services for your business needs is crucial.
Key Benefits of Business Setup in Dubai from India
Here are some key advantages for individuals looking to start any business in Dubai from India:
1. Tax Benefits: Dubai does not impose personal income tax or business tax.
2. Strategic Location: Dubai is a great trading hub because of its closeness to Asia, Africa, and Europe.
3. Ease of Business Setup: In order to give entrepreneurs the best possible support, the UAE government has made the business registration procedure simpler.
4. Diverse Economy: With opportunities across multiple industries, such as technology, retail, and real estate, Dubai is a desirable location for companies of all sizes.
Get Started with Start Any Business (SAB), UAE
The business environment in Dubai is growing, and your decision to start any business here is a wise one. At Start Any Business (SAB), UAE, we assist you in finding the perfect location for your business and help with all the required paperwork. Our team of legal and business experts has already supported various companies in establishing a successful presence in the Dubai marketplace. Reach out to us to start your journey of registering a business in Dubai from India today.
