Cost of Opening a Commercial Register in Dubai
Starting a business in Dubai requires entrepreneurs to register their commercial entity with the relevant authorities. Understanding the cost of opening a commercial register in Dubai is essential for budgeting and a smooth business setup.
What is a Commercial Register in Dubai?
A commercial register is an official record where businesses in Dubai are legally documented. It includes essential details such as the company’s name, legal structure, business activities, and ownership information.
Key Costs Associated with Business Registration in Dubai
Entrepreneurs planning to establish a commercial entity must consider several costs:
- Trade Name Reservation: AED 620 – 2,000, depending on exclusivity.
- Initial Approval: AED 120 – 220.
- Commercial License Fees: Ranges from AED 10,000 to AED 50,000 annually.
- Office Space Costs: Varies between AED 10,000 and AED 100,000, depending on the location.
- Sponsorship Fees: Cost depends on whether selecting a free zone or mainland setup.
Mainland vs. Free Zone: Cost Differences
Business Setup in Mainland Dubai
The mainland setup requires a license issued by the Department of Economic Development (DED). Costs may vary due to local sponsorship fees, rentals, and governmental approvals.
Business Setup in Dubai Free Zones
Setting up in a Dubai free zone offers cost benefits such as no local sponsorship requirements and streamlined registration processes. Free zone packages start from AED 12,000 annually.
Steps to Register a Business in Dubai
- Choose a Business Activity: Define your business type.
- Decide on Mainland or Free Zone: Select a jurisdiction coordinating with business needs.
- Reserve a Trade Name: Register your company’s name with the authority.
- Obtain Initial Approvals: Get approvals from authorities based on business activity.
- Secure Office Space: A physical address is required for licensing.
- Submit Documents and Pay Fees: Proceed with the final registration.
Additional Considerations
Additional costs such as visa fees, customs clearance, and professional consultancy services should be taken into account during budgeting.
For more official details, visit the UAE Government Portal.
Explore more about different business setup options in Dubai on our Best Free Zones in UAE for Business Setup page.