Business Formation in Dubai: The 2022 Guide

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Despite the lockdowns and restrictions in movement caused by the pandemic, business owners and entrepreneurs from different parts of the globe continued setting up a business in Dubai.

Over the years, Dubai has been a top choice for start-up businesses and those brands who wish to grow their business. If you wish to set up company in Dubai, there are certain requirements and legal processes that you must complete before you can legally operate.

Decide on the nature of the business

Before you can start processing any legal requirement, you need to determine what kind of business activity you would like to focus on. You can choose from around 2,000 business activities under the commercial, industrial, professional, and tourism categories. If you have not decided on this one, you may visit the Department of Economic Development (DED) website to see all available options.

Pick a name for your business

Your company name must reflect the essence of the business you are trying to establish or register in Dubai unless it is just a branch or extension of an existing firm or business. It is also crucial to choose a name that follows the strict naming conventions set by the UAE. Your chosen company name must be approved before you can continue with the registration.

Determine the jurisdiction

Choosing which jurisdiction will work well for your business highly depends on your needs and the essence of your business. When establishing a business in the UAE, you can choose to establish your business in the Mainland, Free Zone, and Offshore. Keep in mind that each jurisdiction has its own set of business-related laws and regulations and caters to various company requirements. It may also be helpful to investigate information about business setup in Dubai cost to help you make informed decisions.

Choose legal structure

A crucial aspect that you must consider when establishing your business is the legal structure of your business or organization. Consider how you will be dealing with earnings and losses, and how to organize your resources and assets. If you have not decided yet you may consult with firms who specialize in PRO Services for advice. Here are some of the structures you may consider:

  • Limited liability company (LLC)
  • Sole establishment
  • Civil company
  • Local or foreign company branch
  • Free zone company branch

Submit requirements to the DED

Once you have completed the required documentation and your chosen business name has been approved, you or your PRO may submit the completed requirements to the DED. After this has been processed, wait for the approval of your business and the issuance of your license to operate.

Whether you need an office for rent in Dubai or you need advice in handling legal procedures for your business and other PRO services in Dubai, Austria Business Center offers a range of business solutions and offices for rent in Dubai to meet all your business needs.


    Jumeirah Bay X2 Tower (3rd Floor)
    Email: office@austriabc.com
    Phone: +971 (0)4 427 3600

    Jumeirah Bay X2 Tower (3rd Floor)
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    Phone: +971 (0)4 427 3600

    Jumeirah Bay X2 Tower (16th Floor)
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    Phone: +971 (0)4 437 5700

    Opal Tower
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    Phone: +971 (0)4 427 3700