General Business Setup FAQs
What is UAE business setup?
It is the process of registering a company in Mainland, Free Zone, or Offshore UAE.
Can foreigners start a business in UAE?
Yes, foreigners can fully own companies in most Free Zones and many Mainland activities.
How long does setup take?
Typically 2–7 working days depending on activity and approvals.
Do I need an office?
Mainland requires physical office; Free Zones may allow virtual offices.
What is a trade license?
Official permission to conduct business legally in UAE.
Can I include multiple activities?
Yes, depending on authority and license type.
What is MOA?
Memorandum of Association defines company rules and ownership.
Can I change business activity later?
Yes, licenses can be updated or upgraded following UAE rules.
Can I register remotely?
Many Free Zones allow remote setup; Mainland may need personal signatures.
Which is cheaper, Mainland or Free Zone?
Free Zone is usually cheaper; Mainland is needed for local operations.
Do I need a UAE partner?
Most Free Zones allow 100% ownership; Mainland may require local partner for some sectors.
What documents are required?
Passport, photo, business plan, and UAE contact details.
Can I sponsor employees?
Yes, based on license type and office space.
Are there taxes?
UAE has 0% corporate tax for qualifying Free Zone income; Mainland taxable if above threshold.
Can I open bank account?
Yes, after trade license and establishment card issuance.
Is VAT mandatory?
Yes, if revenue exceeds AED 375,000.
Do I need accounting records?
Yes, bookkeeping is mandatory for compliance.
What is UBO declaration?
Declaration of Ultimate Beneficial Owner of the company.
Is annual audit required?
Some Free Zones and most Mainland companies require annual audit.
What is a Flexi Desk?
A shared or virtual office facility approved for license requirements.
Can Free Zone trade inside UAE?
Yes, but requires distributor or Mainland branch license.
Which Free Zones are low-cost?
IFZA, SHAMS, SPC, RAKEZ, Ajman Free Zone are popular for startups.
Can I get investor visa?
Yes, company owners are eligible for UAE investor/partner visa.
Do I need health insurance?
Yes, mandatory for visa and residency in UAE.
How long is investor visa valid?
Typically 2–3 years depending on authority.
Can I sponsor family?
Yes, meeting income and accommodation requirements.
What is DED license?
Department of Economic Development license for Mainland company operations.
Do I need personal presence for bank?
Yes, banks require owner presence for corporate account verification.
Can I upgrade visa quota?
Yes, most licenses allow increasing number of employee visas.
Do I need UAE phone number?
Yes, required for company registration and government communication.
Can I register e-commerce business?
Yes, via Mainland or Free Zone depending on activity type.
Is VAT filing required?
Yes, companies must file quarterly VAT returns if registered.
Do I need UAE bank account for VAT?
Yes, VAT payments are linked to UAE bank accounts.
Can I start business without residence visa?
Yes, company formation is possible, but visa is needed to work and sponsor.
Which Mainland emirates are cheaper?
Sharjah, Ajman, and Ras Al Khaimah often have lower setup costs than Dubai or Abu Dhabi.
Do I need UAE local sponsor for Free Zone?
No, Free Zones allow 100% foreign ownership without local sponsor.
Can I run multiple businesses under one license?
Yes, allowed depending on license type and compatible activities.
Can I open bank account remotely?
Most banks require physical presence; some Free Zones offer partner services for account opening assistance.
Do Free Zone companies pay corporate tax?
Qualifying Free Zone income is usually 0% corporate tax if compliant with regulations.
Can I get Golden Visa?
Business owners investing above certain thresholds may qualify for UAE Golden Visa.
Do I need Emirates ID?
Yes, required for residency visa and official documents.
Can I apply for investor visa from abroad?
Some Free Zones allow remote application, but biometrics must be completed in UAE.
Do I need approval from other authorities?
Depends on business activity; some sectors need Ministry or municipality approvals.
Is there age limit for company owner?
Generally 18+ years old; some Free Zones require 21+ for investors.
Can I sell products online with Mainland license?
Yes, Mainland license allows e-commerce and retail trading with permits.
Do I need UAE address for bank?
Yes, banks require a valid UAE office address for corporate account.
Do I need to file tax for overseas income?
Free Zone companies may not pay UAE tax on overseas income if compliant; Mainland rules differ.
Can I convert Free Zone to Mainland?
Yes, with NOC and approvals from authorities, conversion is possible.
What is license renewal period?
Most licenses are valid 1–3 years and require renewal before expiry.
Can I hire staff from abroad?
Yes, UAE companies can sponsor foreign employees via labor visas.
Do I need a business plan?
Yes, banks and some authorities require a simple business plan for setup and account opening.
Can I register consulting business?
Yes, Professional License allows consultancy and service activities.
What is a UBO form?
Declaration of Ultimate Beneficial Owner required by UAE authorities.
Have questions about general business setup in Dubai? FZC Business has compiled answers to the most common queries about company formation, licensing, and Freezone options in the UAE. Our goal is to make your business setup journey simple and stress-free.