
Unlocking UAE markets! Essential insights for successful company incorporation
By Kitaab on October 10, 2025
The United Arab Emirates (UAE) remains one of the most attractive destinations globally for entrepreneurs, startups, and multinational corporations. Its tax-friendly environment, strategic location, and world-class infrastructure make it a gateway for business expansion across the Middle East, Africa, Asia, and Europe.
Foreign nationals and non-residents can form companies in the UAE, often remotely. However, high-risk sectors like crypto, fintech, and iGaming require careful navigation due to stricter regulatory requirements.
The UAE offers two main routes for starting a business in the UAE: online in minutes or through the traditional company incorporation process. Here’s a step-by-step guide for both.
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Kitaab provides finance, accounting and tax services for freelancers, start-ups and businesses in the service sector
Learn more1. How to start a business in the UAE online
The UAE Government offers the Bashr eService, a unified online platform that allows investors to get a commercial licence within 15 minutes. Bashr connects with federal and local government entities, providing a seamless UAE business setup process.
Abu Dhabi: The Department of Economic Development offers instant licence services online.
Dubai and other emirates have similar services to streamline company formation and incorporation.
2. Step-by-step guide for traditional UAE mainland company incorporation
This route involves several steps and approvals from the Department of Economic Development and other government authorities.
Step 1: Decide on your business activity
Your business activity shapes your licence type, legal structure, and jurisdiction.
Licence types: Commercial, Professional, Industrial
High-risk niches (crypto, fintech, iGaming) require specialized licencing and additional approvals
Step 2: Choose your business jurisdiction
Your legal structure must match your business activity. Options include:
LLC, Limited/General Partnership
Public/Private Joint Stock Company
Civil Company
Branches (local, foreign, GCC, Free Zone)
Sole Establishment
Holding Companies
Match your business to the right jurisdiction for speed, cost, and market access during your UAE business setup.
Step 3: Reserve a trade name for your business
Trade name rules: Must reflect business activity, avoid offensive/religious/political terms, follow DED or free zone naming conventions.
Trade names often registered in English and Arabic.
Initial approval confirms your structure, activity, and jurisdiction comply with UAE regulations during company incorporation.
Step 4: Obtain initial approval from UAE authorities
Confirms the UAE government has no objection to your business setup
Foreign investors require approval from the General Directorate of Residency and Foreigners’ Affairs
Certain activities (legal, financial, security) require additional pre-approvals
Step 5: Choose a business address
A registered UAE business address is mandatory for:
Receiving trade licence and official correspondence
Registering your company with authorities
Opening a corporate bank account
Applying for employee/residence visas
Demonstrating operational legitimacy to clients, banks, and partners
Office Options:
Office Type | Where It's Used | Best For |
Dedicated Office | Businesses with staff and physical operations | |
Flexi-Desk | Selected Free Zones | Startups, freelancers, solopreneurs |
Virtual Office | Offshore & Some Free Zones | Holding companies, online businesses, non-residents |
Step 6: Obtain your trade licence
Upon approval, you’ll receive:
Official Trade Licence – Specifies business activity and jurisdiction
Company Registration Certificate – Confirms legal incorporation
Chamber of Commerce Certificate – Required for trade and contracting
Establishment Card – For visa and immigration services
This is the final step in the company incorporation process for your UAE business.
Step 7: Open a corporate bank account in the UAE
Upon approval, you’ll receive:
Official Trade Licence – Specifies business activity and jurisdiction
Company Registration Certificate – Confirms legal incorporation
Chamber of Commerce Certificate – Required for trade and contracting
Establishment Card – Needed for visa processing and immigration services
Banks enforce strict KYC/AML procedures, especially for high-risk sectors. Non-residents may face additional scrutiny or delays.
Step 8: Collect your UAE business licence
Documents required:
Initial approval receipt and previously submitted documents
Attested lease agreement
Attested Memorandum of Association (MoA)
Approvals from relevant authorities
Attested Local Service Agent (LSA) contract (for 100% foreign-owned entities)
Notes:
Trade license payment must be made within 30 days of receiving the payment voucher.
Failure to pay in time cancels the application.