Cost of Setting Up a Company in Dubai (2026 Breakdown)

The cheapest UAE setup quote you'll see online is "AED 5,750 — start your dream business today!" The honest answer is more like AED 25k–60k for year-1 all-in. Here's where that number comes from, line by line, with no upsell.

(Want to play with the numbers for your specific case? Use our setup cost calculator.)

The four cost buckets

1. Service fee — what an advisor like us charges to do the paperwork
2. Authority fee — what the free zone or DED charges for the licence
3. Visa fees — investor visa, dependent visas, employee visas
4. Add-ons — bookkeeping, VAT, mail handling, etc.

Every quote is a sum of these. When a competitor advertises AED 5,750, they're showing bucket #2 only (and only for the cheapest jurisdiction with zero visas).

Bucket 1 — service fee

Our flat fee depends on the setup type. From our pricing page:

• Launch ($3,997 = ~AED 14,700): basic free-zone setup, 1 visa channel, bank intro
• Grow ($7,997 = ~AED 29,400): mainland setup or richer free-zone, up to 3 visas, VAT + corporate tax registration, monthly bookkeeping
• Operate ($14,997 = ~AED 55,100): DIFC SPV or ADGM Foundation, senior advisor on call, family-office plumbing

That's our service margin. Government fees pass through at cost — we don't mark them up.

Bucket 2 — authority fees (the government's slice)

This depends heavily on jurisdiction. Year-1 ranges:

| Jurisdiction | Year-1 authority fee (AED) | Notes | |---|---|---| | RAKEZ (free zone) | 11,000–13,000 | Cheapest serious free zone. 1 visa quota included. | | IFZA (free zone, Dubai-issued) | 12,900–14,900 | Broad activity list. 0 visa quota by default. | | DMCC (free zone, Dubai) | 25,000+ | Premium Dubai. Strong for trading + commodities. | | DIFC (free zone, Dubai financial) | 40,000+ | For SPVs / Foundations / regulated activities. | | ADGM (free zone, Abu Dhabi) | 38,000+ | Common-law equivalent to DIFC. | | Mainland — Dubai DED | 18,000–25,000 | Required if trading inside the UAE. | | Mainland — Abu Dhabi | 18,000–22,000 | Same logic. |

These numbers move year to year — the FTA, DED, and free zones all publish updated fee schedules each January. Verify against our calculator for the current month's pricing.

Bucket 3 — visa fees

A residence visa in the UAE in 2026 costs about AED 4,500–6,000 per person depending on jurisdiction. That covers:

• Entry permit
• Medical (chest x-ray, blood tests)
• Emirates ID
• Visa stamping
• The visa channel (some jurisdictions charge this separately)

Most free zones include 1 visa quota in their authority fee, so the "first visa" cost is bundled. Extra visas — for spouses, kids, employees — add on top.

A common scenario: founder + spouse + 2 kids. That's the founder visa (often bundled) + 3 dependent visas at AED 4,500 each = AED 13,500 in extra visas.

Bucket 4 — add-ons (optional)

These are services you can layer in. Roughly:

• Monthly bookkeeping (year 1): AED 6,000–9,000 depending on transaction volume
• VAT registration + first return: AED 2,500
• Corporate tax registration: AED 1,500
• Mail handling / virtual office: AED 1,200–3,500 annually
• PRO services / amendments: AED 500–2,000 per change

Most founders we work with skip the add-ons in year 1 and pick them up only when their business actually triggers them (e.g., crossing the VAT threshold).

Three real examples

Example 1 — solo founder, online services, RAKEZ

• Launch package: AED 14,700
• RAKEZ authority fee: AED 11,000 (includes 1 visa)
• No extras
• Year-1 all-in: AED 25,700

This is roughly the cheapest viable setup with a residence visa.

Example 2 — founder + spouse, e-com, IFZA, bookkeeping

• Launch package: AED 14,700
• IFZA authority fee: AED 12,900
• 2 visas (founder + spouse) at AED 4,500 each: AED 9,000
• Monthly bookkeeping: AED 6,000
• Year-1 all-in: AED 42,600

Example 3 — HNW family, DIFC SPV + RAKEZ operating company

• Operate package: AED 55,100
• DIFC SPV authority fee: AED 40,000
• RAKEZ operating company authority fee: AED 11,000
• 2 visas: AED 11,000
• Bookkeeping for both entities: AED 12,000
• Year-1 all-in: AED 129,100

This is what the "Operate" tier looks like — premium, but cheap relative to the assets being structured.

Year 2 onwards is much cheaper

Year 1 carries the setup cost. Year 2+ is renewal only:

• Authority renewal: roughly the same as year 1 (sometimes slightly less)
• No service-fee resetup (you pay us only for renewal coordination, AED 1,500–3,000 depending on jurisdiction)
• Visa renewals every 2 years (Emirates ID renews every 2 years too)
• Ongoing bookkeeping if you opted in
• Corporate tax + VAT filings if applicable

Typical year-2 cost for Example 2 above: about AED 22,000.

What's NOT in this breakdown

• Office lease — we don't include this because most free-zone packages use the flexi-desk / shared office that's included in the authority fee. Real office leases start at AED 25,000/year for a small private space and go up from there.
• Bank account — opening the account is included in our Launch package (we do the intro letter + accompany you to the first meeting). The bank doesn't charge a setup fee in most cases.
• Sharia compliance / Islamic structure conversions — niche, costs depend.
• Cross-border tax planning — if you need treaty analysis for your home country, that's an extra advisory engagement.

Where it could go wrong

The cheap "AED 5,750 your business in days!" quotes you see online are real — but they usually mean:

• No visa (so you can't actually move to the UAE)
• Smallest free zone (Ajman, Fujairah) with minimal activity list
• Authority fee year 1 only, no renewal context
• No bookkeeping, no compliance, no support beyond the licence print

If that's what you want, that's fine — we can help you set up there too. Just know what you're paying for.

How to actually decide

Pick a setup type (free zone for online, mainland for UAE-trading, holding for assets). Plug the numbers into our setup cost calculator for an all-in. Then run the 5-min diagnostic and we'll email a real proposal with the firm number for your exact situation. No sales call required.