Everything You Need To Know About Opening a Company In Dubai! (FAQs)
Table of Contents
Introduction
After helping hundreds of individuals establish companies, obtain residency visas, and open bank accounts in Dubai, we at GenZone are here to share the most common insights and frequently asked questions about this journey. Whether you’re a seasoned entrepreneur or just starting, this guide will provide you with all the information you need to make your move to Dubai seamless and stress-free.
Why Choose GenZone?
With so many companies offering business setup services in Dubai, it can be challenging to find a reliable partner. At GenZone, we pride ourselves on our responsiveness, expertise, and commitment to giving our clients the peace of mind they deserve. Here’s what sets us apart:
- All-in-One Service: From company setup to visa processing and bank account opening, we handle it all.
- Experienced Team: Our consultants are well-versed in UAE regulations and processes.
- Client Testimonials: Hundreds of satisfied clients can vouch for our reliability and professionalism.
Frequently Asked Questions
1. How Long Does the Process Take?
The entire process of setting up a company in Dubai, obtaining a residency visa, and opening bank accounts takes approximately 30 days. Here’s a breakdown:
Before Arrival: Half of the process, including company registration and initial visa application, is completed remotely.
After Arrival: The remaining steps, such as medical tests, biometrics, and finalizing your residency visa, take about 15 days.
For those in a rush, expedited options allow you to complete the process in as little as one week inside the country.
2. Do I Need a Local Sponsor?
No, you can own 100% of your Dubai company as a foreigner. Previously, a local sponsor was required to hold 51% ownership, but this rule no longer applies. Additionally, you can repatriate 100% of your profits without any taxes.
3. What Type of Company Should I Establish?
The two main types of companies in Dubai are Mainland and Free Zone companies:
Mainland Companies: Ideal for businesses involved in physical trade or providing services within the UAE.
Free Zone Companies: Perfect for online businesses or professional services like marketing, consulting, or eCommerce. Free zone companies don’t require a physical office and can operate virtually.
4. Can Free Zone Companies Do Business in the Mainland?
Yes, but with some limitations. Free zone companies can provide online or professional services to mainland clients. However, they cannot sell physical goods in the mainland without a mainland license or a third-party distributor.
5. Do I Have to Pay the 9% Corporate Tax?
Most UAE businesses will pay 9% corporate tax on net profits exceeding $102,000 (approximately AED 375,000). However, there are exceptions:
Qualifying Free Zone Activities: Certain free zone businesses are exempt from the tax.
Small Business Relief: Companies earning less than AED 3 million annually are exempt from the tax until December 31, 2026.
6. Is It Difficult to Open a Bank Account?
Opening a bank account in Dubai can be challenging if you don’t work with experienced consultants. Factors like your nationality and business activities play a significant role in the approval process. At GenZone, we use our contacts and expertise to ensure your personal and business bank accounts are opened without hassle.
7. Can I Sponsor Family Members?
Yes, you can sponsor your spouse, children, or other family members as dependents. Additionally, you can sponsor employees under your company. Sponsored individuals receive a 2-year residency visa, allowing them to live and open personal bank accounts in the UAE.
8. Which Free Zone Should I Choose?
Choosing the right free zone depends on your business activities. For general businesses, we recommend Dubai-based free zones for their efficiency, communication, and banking partnerships. At GenZone, we help you select the best free zone for your needs.
9. Do I Have to Live in Dubai to Operate My Business?
No, you don’t have to live in Dubai to run a business here. However, certain visas require you to visit the UAE periodically to keep them active. If you’re looking to become a tax resident, you must live in Dubai for at least three months annually and ensure you’re not a tax resident elsewhere.
Why Dubai?
Dubai is an attractive destination for entrepreneurs and businesses for several reasons:
0% Income Tax: Individuals and businesses benefit from one of the world’s most favorable tax regimes.
Strategic Location: Dubai’s geographic position makes it a global business hub.
World-Class Infrastructure: From state-of-the-art facilities to efficient processes, Dubai offers unparalleled support for businesses.
High Quality of Life: A safe environment, modern amenities, and vibrant lifestyle make Dubai an ideal place to live and work.
How GenZone Can Help
At GenZone, we make your transition to Dubai smooth and efficient. Our services include:
Company Formation: Whether Mainland or Free Zone, we handle all the paperwork and approvals.
Residency Visas: From application to biometrics, we’ve got you covered.
Bank Account Opening: We leverage our network to ensure seamless account approvals.
Tax Residency Guidance: We help you navigate UAE’s tax laws to maximize benefits.
The GenZone Promise
At GenZone, our mission is to make your business setup journey seamless and stress-free. We take pride in:
- Listening to Your Needs: Every client is unique, and we tailor our services to your specific requirements.
- Delivering Excellence: From start to finish, we’re committed to providing the best possible experience.
- Building Long-Term Relationships: Many of our clients come back to us for additional services or recommend us to others.
