Business Setup in Dubai Mainland: Cost Breakdown & Guide 2025

Dubai is the most appropriate destination for investors and businesses due to its strategic position, business-friendly policy, and superb infrastructure.

The emirate is also attractive to a dynamic start-up culture, with numerous incubators and accelerators for start-ups. Dubai has received high FDI over the past few years, with recent reports indicating a steady rise in investments in most industries. The Dubai mainland is ideal for setting up a business as it ensures unrestricted access to the whole UAE market and even overseas.

For anyone planning to set up in Dubai, understanding the cost of setting up a business in the Dubai Mainland in 2025 is essential so that you can plan and budget accordingly. The price is determined by your business type, the size of your team, office space needs, and any additional licenses you might require.

Dubai Mainland Business Setup

A mainland company is a company registered in mainland Dubai territory within the Department of Economic Development (DED).

Mainland companies can be set up in any area in the UAE and conduct any type of business activity. Setting up a company in the Dubai Mainland offers direct access to the UAE’s local market and government tenders.

It allows greater flexibility in choosing business activities without geographical restriction. This allows businesses to tap a wider clientele base and extend operations smoothly.

When opening up a company in the Dubai Mainland, the most popular legal structure is the Limited Liability Company (LLC).

It’s also the most popular option because it gives liability protection to the owners but is still versatile in terms of managing various business activities.

Another possibility is a Sole Proprietorship, which is best for individuals who would like to control their company entirely but at the expense of unlimited personal liability.

Business Setup Cost Breakdown in Dubai Mainland

Comprehending the cost factors involved in business setup in the mainland is imperative for a successful business setup in Dubai. Here’s an exhaustive breakdown:

Initial License Fees

• Company Registration Fee: This is the registration fee for a company in Dubai, which varies depending on the nature of the business. As an example, a trading license may cost between AED 10,000 and AED 20,000, and a professional license may cost between AED 10,000 and AED 18,000.
  Issue of Trade License: This is a component of the registration fees mentioned above.
• License Issuance Fee: The license fee is an annual fee and varies based on the nature of business activity and the legal structure of your company. For instance, a company that offers professional services will have a license fee of AED 10,000, while a trading company will have to pay a fee of AED 15,000 or above.
• Local Sponsorship or Local Service Agent (LSA) Fee: Some business industries need the involvement of a UAE national, so a local sponsor is needed. The ownership would be divided as 51% for the local sponsor and 49% for the foreign investor in LLC format.

Sponsorship fees usually start at AED 15,000 annually on the basis of business activity and in accordance with the sponsor.

Office Space Rental

A mainland business must have an office, and rent varies widely based on location –

• Prime locations (Downtown, Business Bay): Begins from AED 80,000 per year
• Lower-cost regions (Deira, Al Qusais, Al Barsha): Begins from AED 30,000 per year
• Virtual offices (if permitted): From AED 10,000 per year
• Ejari (rental contract) charges: From AED 220
• DEWA deposits (utility deposits): Begins at AED 2,000

MOA Drafting and Notarization

Drafting

The drafting cost of the Memorandum of Association (MOA) is generally between AED 500 and AED 2,000, depending on the business structure complexity and the service charges of the legal firm.

Notarization

Notarization of the MOA via the Dubai Department of Economic Development (DED) typically costs between AED 500 and AED 1,000.

Visa Fees

The UAE permits companies to apply for a specific number of visas depending on office size – Visa Charges: AED 3,000 to AED 6,000 per visa (based on visa category and processing time).

Immigration Card and Establishment Card

Establishment Card Charge: AED 2,000

An establishment card is required for the conduct of certain business activities such as opening a corporate bank account. The charge for obtaining the card is AED 2,000.

Immigration Card Charge: AED 1,100

An immigration card is required for the business owner and workers in order to legally stay and work in Dubai. The charge per individual is AED 1,100.

Extra Government and Admin Charges

There are some businesses that need special government approvals or further permits, which will cost between AED 2,000 and AED 5,000.

Factors That Determine Setup Cost in Dubai Mainland

Type of business activity

Dubai Mainland provides a vast array of trendy business activities across major sectors.

They range from hospitality services such as restaurants and cafés to retail trading of commodities, as well as healthcare facilities such as clinics and pharmacies.

Companies also flourish in import-export, event management, and industrial manufacturing, thus making the mainland a universal hub for businessmen.

Size and Location of Physical Office:

Mainland businesses need to rent a physical office (Ejari). Rent and overheads are heavily determined by the size and location (e.g., central business district vs. outskirts).

Number of Employee Visas Required:

The greater the number of visas, the more you will pay. Visa costs entail application fees, medical tests, Emirates ID, and insurance for every employee.

Local Sponsor Requirement:

Although 100% foreign ownership is permitted for most activities today, some continue to need a UAE national as a local service agent or sponsor, which could incur an annual charge.

Consultant vs. DIY Approach:

Employing a business setup consultant simplifies the process but incurs a professional charge. Alternatively, doing it yourself (DIY) can be cost-saving but time-consuming and complicated without knowledge of the area.

Comparison: Mainland vs Free Zone Setup Costs

Mainland or Free Zone setups are determined by your business objectives and budget.

Mainland firms have slightly higher setup costs because of compulsory office space, but provide complete access to the UAE market.

Free Zones are cheaper for startups, with package deals, 100% foreign ownership, and flexible office arrangements, although local market access is restricted.

Aspect	Mainland Company	Free Zone Company
Initial Setup Cost	AED 15,000 – AED 30,000+	AED 12,000 – AED 25,000 (varies by zone/package)
License Renewal	Required annually; fees vary by activity	Required annually; often lower, with fixed packages
Office Requirements	Mandatory physical office (Ejari required)	Flexi-desk or shared office is often acceptable
Visa Quotas	Based on office size (more space = more visas)	Limited with flexi-desk; upgrade for more visas
Local Market Access	Full access across the UAE without restrictions	Limited; must appoint a distributor for local trade
Ownership	100% foreign ownership allowed (as of new laws)	100% foreign ownership

5 Trade License Types That Influence Business Setup Prices in Dubai Mainland

The trade license you opt for will have a bearing on the overall business setup price in the Dubai Mainland. The following are the most important types of licenses:

Commercial License: Suitable for trading businesses and selling commodities. The cost depends on the size and character of the trading operations.

Professional License: This license is Suitable for service providers, consultants, and freelancers. Charges are determined by the nature of professional services to be provided.

Industrial License: Needed by companies involved in manufacturing or industrial production. Charges are based on the facility size and government approvals required.

Tourism License: Suitable for travel agencies, tour operators, and allied services. Establishment charges are based on the variety of tourism-related services to be provided.

E-commerce License: Intended for companies that conduct business online. Fees vary depending on the extent of online activities and organizational structure.

How to Reduce Business Setup Costs in the Mainland 

Setting up a mainland company can be costly, but there are several strategies to reduce expenses:

Start Small: Use Co-Working or Flexi-Desk Office Options

Instead of renting a traditional office, opt for co-working spaces or flexi-desks. These flexible and affordable alternatives provide essential office services without the high overhead costs.

Bundle Services Through Business Setup Consultants

Opt for bundled services provided by business consultants, which include company formation, visa processing, and other services. This approach often provides savings compared to purchasing each service separately.

Outsource PRO and Accounting Services

Outsourcing the services of a Public Relations Officer (PRO) and accounting to third-party companies is usually more cost-effective than hiring full-time employees.
Source: General industry knowledge

Research Payment Plans in Installments

Many service providers offer flexible payment options, allowing companies to pay for services, licenses, and other essentials in installments, making the setup process more affordable.

Estimated Total Cost for a Basic Mainland Setup (2025)

Cost of a consultancy license in the UAE

The cost of obtaining a consultancy licence in the UAE depends on several factors. In general, you can expect to pay between AED 15,000 and AED 30,000 to set up your consultancy business.

Professional license 

A professional license in Dubai costs between AED 10,000 and AED 15,000 annually. The cost includes registration fees (AED 1,000-2,000), license fees (AED 7,000-10,000), and visa costs (AED 3,000-5,000 per visa). Costs vary based on location (mainland or free zone) and the number of activities. For example, a free zone license might cost less initially but requires annual renewals.

Company formation cost

The Dubai mainland company formation cost varies depending on factors such as business activity, license type, and office space requirements. On average, the setup cost starts from AED 15,000 but can increase based on additional approvals, visa applications, and other regulatory fees

Conclusion

Creating a venture in the Dubai Mainland has unparalleled opportunities, yet achievement begins with solid planning and budgeting. From picking the best license to tapping into visa quota and office space requirements, every decision influences your startup’s cost and viability over the years. By providing for every aspect of costs necessary—be it government fees to legal documents—you prepare your enterprise for effortless future operation and adherence.

By collaborating with the services of an experienced business advisor, you can simplify it, save unnecessary costs, and avert delays. This is whether you’re opening a consultancy firm, a retail shop, or an industrial unit. Intelligent planning today means that you are creating a strong foundation for the future.