Data reference · Updated 18 July 2026

UAE business setup: facts, costs & figures (2026)

A single, sourced reference for what it actually costs and takes to start a business in the UAE in 2026 — every cost figure tiered (zero-visa vs with a visa, low-cost zone vs Dubai), alongside the tax, VAT, ownership and timeline rules that shape a real setup. Free to cite; please link back.

At a glance

The 2026 numbers, in one place

Each figure below is a quotable starting point. Full tables and sources follow.

AED 5,555

Cheapest zero-visa free zone license — Ajman. Dubai zones start from AED 12,500 zero-visa.

AED 17,900–23,000

A Dubai free zone company with one residence visa (IFZA, Meydan, Dubai South).

AED 15,000

Typical starting cost of a mainland company. Offshore starts from around AED 8,000.

9%

Corporate tax above AED 375,000 profit; 0% below it, and 0% on qualifying free zone income.

5%

VAT rate. Registration is mandatory once turnover crosses AED 375,000 a year.

100%

Foreign ownership allowed for free zone and offshore, and most mainland activities since June 2021.

3–7 days

Typical free zone license issuance. Mainland takes 5–10 working days.

AED 3,000–5,000

Cost per residence visa, including medical and Emirates ID.

AED 8,000–15,000

Annual license renewal — the recurring cost most first quotes omit.

Cost data · by free zone

Free zone license cost by zone (2026)

Indicative starting license cost in AED. "Zero-visa" is the license only; "with 1 visa" adds one residence-visa allocation and the establishment card.

Free zoneEmirateZero-visa (from)With 1 visa (from)
Ajman Free ZoneAjmanAED 5,555AED 12,000–13,000
SHAMS / SPCSharjahAED 5,750–6,500AED 12,500–16,000
RAKEZRas Al KhaimahAED 6,000–7,500AED 13,000–17,000
IFZADubaiAED 12,900AED 17,900–21,000
Meydan Free ZoneDubaiAED 12,500AED 21,500–23,000
Dubai SouthDubaiAED 12,500AED 21,500–23,000

Figures are indicative 2026 starting packages; the exact price depends on your activity, number of visas and office type. General trading is priced from the same starting point in most zones, with each additional activity adding roughly AED 1,000–2,500.

Cost data · by structure

Setup cost by company type (2026)

StructureStarts fromWhat it includesAnnual renewal
Free zone (zero-visa)AED 5,555License only, low-cost zone (Dubai zones from AED 12,500)AED 5,000–8,000
Free zone (with 1 visa)AED 12,000License + flexi-desk + 1 visa (Dubai zones AED 17,900–23,000)AED 8,000–13,000
MainlandAED 15,000Professional license + initial approval + Ejari tenancyAED 10,000–15,000
OffshoreAED 8,000RAK ICC / JAFZA Offshore + registered agent (no visa, no office)AED 6,000–9,000
Each residence visaAED 3,000–5,000Entry permit, medical, Emirates ID and stamping per personSimilar (2–3 yrs)
Tax & compliance figures

UAE tax, VAT and ownership rules (2026)

Figure2026 value
Corporate tax rate9% on taxable profit above AED 375,000; 0% at or below AED 375,000
Free zone corporate tax0% on qualifying income for a Qualifying Free Zone Person; 9% on non-qualifying income
Corporate tax registrationMandatory for taxable persons, including most free zone and mainland companies
VAT rate5%
VAT registration thresholdMandatory at AED 375,000 taxable turnover; voluntary from AED 187,500
Foreign ownership100% for free zone and offshore; 100% for most mainland activities since June 2021
Personal income taxNone
What changed in 2026

Free zone companies can now operate onshore

The most significant 2026 change for founders: under Dubai Executive Council Decision No. 11 of 2026, qualifying Dubai free zone companies can apply for a Free Zone Mainland Operating Permit to legally do business in the onshore Dubai market without setting up a separate mainland entity or taking a local sponsor. In practice this narrows the old, hard line between "free zone" and "mainland" — a free zone company can increasingly serve mainland customers directly, which changes the free-zone-vs-mainland decision for many activities.

Methodology & sources

How this data was compiled

Cost figures are Kinzaad's compiled 2026 market data, drawn from live free-zone and government quotes we process for clients across Ajman, Sharjah (SHAMS/SPC), RAKEZ, IFZA, Meydan and Dubai South. They are indicative starting points in AED, not fixed quotes — the real figure depends on your activity, visa count, office type and the emirate, and government fees change through the year. Every cost states its tier so a zero-visa price is never confused with a with-visa one.

Tax, VAT, ownership and timeline figures reflect UAE public regulation as of mid-2026: the Federal corporate tax regime (9% above AED 375,000; the Qualifying Free Zone Person 0% band), the 5% VAT regime and its AED 375,000 / AED 187,500 thresholds, the foreign-ownership reforms effective June 2021, and Dubai Executive Council Decision No. 11 of 2026. Always confirm the current rule for your case with the Federal Tax Authority or your advisor before relying on it.

Cite this page. Source: Kinzaad Business Setup Consultants — UAE Business Setup: Facts, Costs & Figures (2026), https://kinzaad.com/uae-business-setup-facts-2026.html. Journalists and writers are welcome to use these figures with a link back; contact [email protected] for a comment or a custom breakdown.

Quick answers

UAE business setup — frequently asked

How much does it cost to set up a business in the UAE in 2026?
A zero-visa free zone license starts from around AED 5,555 in a low-cost zone like Ajman, or AED 12,500 in a Dubai zone like IFZA or Meydan. With one residence visa, budget from around AED 12,000 in a low-cost zone or AED 17,900–23,000 in a Dubai zone. Mainland starts from around AED 15,000 and offshore from around AED 8,000. These are indicative starting points, not quotes.
What is the corporate tax rate in the UAE?
UAE corporate tax is 9% on taxable business profit above AED 375,000, with a 0% rate on the first AED 375,000. A qualifying free zone person can benefit from 0% on qualifying income. VAT is 5%, with mandatory registration once taxable turnover crosses AED 375,000 a year and voluntary registration from AED 187,500.
Can a foreigner own 100% of a UAE company?
Yes. Free zone and offshore companies have always allowed 100% foreign ownership. Since the reforms effective June 2021, most mainland commercial and industrial activities also allow 100% foreign ownership with no local sponsor.
How long does it take to form a company in the UAE?
Most free zone licenses are issued within 3 to 7 working days; mainland generally takes 5 to 10. Offshore incorporations complete within a few working days. Visa processing and bank account opening are separate and take longer.
What is the annual cost to keep a UAE company running?
Annual license renewal typically runs AED 8,000 to 15,000 depending on zone, activity and visas — the cost most first quotes leave out. Each residence visa adds roughly AED 3,000–5,000 on renewal, and mainland companies also renew an Ejari tenancy.
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