Company Incorporation Guide

Company registration in UAE: setup options

Applicable country/region: AE - United Arab Emirates

Published: September 19, 2026Updated: September 23, 2026

Written by our advisory team
United Arab Emirates rules and requirements
Checked against official sources

Guide overview

What the license is and the choices before it

Company registration in UAE ends with a trade license, the document that lets a company legally do business. It is issued for a set business activity, and one license can cover several. Who issues it turns on the first choice, between the mainland and free zones in the UAE. On the mainland, each of the emirates licenses its own companies, in Dubai through the Department of Economy and Tourism (DET). A free zone company gets its license from the zone's own authority. Foreign companies and investors then settle the legal structure and who owns and controls the company. The premises and any approvals the activity needs come next. The first tax step and the bank account come after the license.

COMPANY TYPES

Two routes for company registration in UAE and who each suits

The mainland and free zone company routes differ in where they can sell. A Dubai mainland company is a DET-licensed limited liability company (LLC), free to trade across the UAE. Sharjah Publishing City Free Zone (SPC Free Zone) began in 2017 with publishing and now licenses trading, consulting and e-commerce. It suits consultants and traders with international clients. 100% foreign ownership applies in the zone and, since 2021, to most mainland activities. The free zone establishment is a generic form. SPC's business structure is FZE-LLC, FZC-LLC or branch. A foreign parent weighs a branch, part of itself, against a subsidiary. Selling directly to mainland customers needs a mainland branch or another allowed route. That income can affect free zone tax.

Reading the company types

Rows cover ownership, shareholder and director rules, capital and notes for each company type.

United Arab Emirates LLC Basic Information

Ownership:

Consolidated Ownership

Limited Liability:

Positive

Publicly Participates In Capital Market:

Negative

United Arab Emirates LLC Shareholder / Director / Secretary Requirements

Requirements For Shareholders:

At least one shareholder

Requirements For Directors:

At least one director

Legal Representative Not Mandatory:

Positive

Local Directors Not Mandatory:

Positive

Local Secretaries Not Mandatory:

Negative

United Arab Emirates LLC Registered Capital Requirement

Minimum Registered Capital Requirement:

No single UAE-wide minimum; it depends on the licensing authority and the legal structure

Capital Injection Not Required:

Positive

Capital Injection Requirement:

Depends on the licensing authority and the legal structure.

United Arab Emirates LLC Memo

Memo:

Unless exempt, UAE limited liability companies, free zone companies included, are within the scope of federal corporate tax as taxable persons: they must register for corporate tax and file a corporate tax return for each tax period. In addition, depending on the nature of the business, companies need to apply for licenses.

REQUIRED DOCUMENTS

Why the authority needs the beneficial owners

To register a company, the licensing authority must know who stands behind it, not just who signs. Under Cabinet Decision No. 109 of 2023, the Ultimate Beneficial Owner (UBO) is always a natural person. That is anyone with 25% or more of the capital or votes, directly or through a chain of companies. Control by other means, such as appointing most directors, also counts. Failing that, the senior manager is recorded. A foreign parent shareholder adds its own corporate documents, and the chain is traced to the people behind it. The free zone authority or DET reviews the application and who owns and controls the company. It can ask for more information. The record stays live after the license.

Reading the documents

Rows are document types grouped by who provides them; each entry ends with its process and format.

Natural Person Shareholders & Directors's Required Documents

Company Formation in Sharjah Free Zone UAE

Company Formation in Dubai Mainland UAE

Passport:

Scan copy of the entire passport, including hardcover

Process: Not ApplicableFormat: Scan Copy

Passport:

Scan copy of the entire passport, including hardcover

Process: Not ApplicableFormat: Scan Copy

Proof of Address:

English translated

Process: Not ApplicableFormat: Scan Copy

Proof of Address:

English translated

Process: Not ApplicableFormat: Scan Copy

Premises, license type, trade name and approvals

Each route asks for one address, but the premises and their costs differ. A Dubai office or warehouse lease is registered through Ejari at the Dubai Land Department (DLD). SPC Free Zone premises sit inside the zone, from a flexi desk to office space. The right one usually depends on the activity and the business operations. The activity also sets the license type, such as commercial or professional. The trade name must match the licensed activity. On the mainland, initial approval comes from the emirate's Department of Economic Development, DET in Dubai. The Ministry of Economy and Tourism (MoET) calls it a no-objection that does not yet allow trading. Some activities need their regulator's approval before the license.

Reading the requirements

Base cost is the service and government fees; each requirement shows if it is included and what solving it costs; the estimate adds them up.

Base Cost

Company Formation in Sharjah Free Zone UAE

Company Formation in Dubai Mainland UAE

Service Fee:

AED 10,250

Service Fee:

AED 19,250

Government Fee:

AED 450

Requirements

Company Formation in Sharjah Free Zone UAE

Company Formation in Dubai Mainland UAE

Registered Address: Need Registered Address in Sharjah Publishing City Free Zone

You have to obtain a registered address in Sharjah Publishing City Free Zone to register a company in the Free Zone. If you do not have a Sharjah Publishing City Free Zone address, you can choose the registered address provided by TKEG Expat™ (DE).

Included: No · Solution availableEstimated Cost: AED 750

Registered Address: Company registered address

To register a Dubai Mainland Company, a Dubai address is necessary. If you do not have a Dubai address, you can choose the address hosting service provided by TKEG Expat™ (DE).

Included: No · Solution availableEstimated Cost: AED 6,000

Estimated Cost

Company Formation in Sharjah Free Zone UAE

Company Formation in Dubai Mainland UAE

Estimated Cost:

AED 10,250 – 11,000

Estimated Cost:

AED 19,700 – 25,700

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TAX

Free zone companies still register for corporate tax

A free zone license is not a tax exemption. As the Ministry of Finance (MoF) explains, a free zone company is a taxable person like other businesses in the UAE. Corporate tax registration with the Federal Tax Authority (FTA) is due within three months of incorporation. Late registration costs AED 10,000. Free zone treatment belongs only to a Qualifying Free Zone Person (QFZP), and only on qualifying income. It must have adequate substance in the zone and audited financial statements. Its other revenue has to stay under a de minimis limit. Services or goods sold to mainland customers can change how income is taxed. So each revenue stream is classified first. VAT is separate, with its own registration threshold.

Reading the tax data

Rows cover corporate income, withholding, value-added and capital gains tax, plus effective rates, for each jurisdiction.

PwC World Tax Summary OECD Statistics

Corporate Income Tax (CIT)

CIT Return Due Date:

According to the UAE CT law, all taxable persons must submit the company tax return within nine months after the end of the relevant tax period.

CIT Payment Due Date:

According to the UAE CT law, all taxable persons must pay corporate tax within nine months after the end of the relevant tax period.

CIT Estimated Payment Due Date:

According to the UAE CT law, there is no need to estimate/prepay taxes.

Withholding Tax (WHT)

Resident Withholding Tax (Dividend/Interest/Royalty):

Non-Resident Withholding Tax (Dividend/Interest/Royalty):

Value-Added Tax (VAT)

General VAT Rate:

Learn More Value-Added Tax (VAT)

Conclusion

Keeping the license and records current

Once the license is issued, the next step in starting a company in the UAE is to open a corporate bank account. Each bank sets its own rules. The license also starts a recurring cycle. In SPC Free Zone the annual license renewal runs through the zone's portal. A Dubai mainland license is renewed before it expires. Corporate tax records are kept for seven years. A corporate tax return is filed for each tax period, and VAT returns start once the company registers for VAT. When ownership or control changes, the UBO record is updated within 15 days, or at once in SPC Free Zone. One compliance calendar keeps the renewal, the returns and the UBO updates in view.

United Arab Emirates

Jurisdiction Overview

About United Arab Emirates

The United Arab Emirates is a strategically located trade and financial hub in the Middle East, offering tax advantages and openness to foreign direct investment.

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