Business Setup & Compliance in Dubai

Answer:
Choosing the right jurisdiction is one of the most critical decisions; it sets your legal framework, tax obligations, ownership structure, and market access. Here’s a breakdown with Arrifqa helping you navigate the nuance:

Because Arrifqa handles both setup and compliance, we’ll assess your business model, target clients, and long-term strategy to advise the best jurisdiction for you.

Here’s a rough but realistic checklist and timeline which Arrifqa will help you streamline:

Typical documents & approvals:

• Passport copies and ID proofs of shareholders, directors, and beneficial owners

• Business plan / description of activities

• Memorandum & Articles of Association (or equivalent)

• Office lease / tenancy contract (or virtual office in certain zones)

• Initial approval from relevant authority (e.g. Department of Economic Development for mainland, or Free Zone Authority)

• Additional approvals specific to your business activity (e.g. health, environment, telecom)

• License application & payment of fees

Timeline estimate:

• Name reservation & initial approval: 1 - 3 days

• Document preparation & notarization, lease signing: 2 - 7 days

• License issuance & final approvals: 2 - 5 business days

• Visa / immigration / Labor approvals (if applicable): additionally 7 - 14 days (can overlap)

In some free zones (e.g. Meydan Fawri), an “instant license” process exists, issuing licenses in as little as 60 minutes for qualifying businesses.

Arrifqa coordinates all these in parallel to minimize waiting times and avoid bottlenecks.

Generally, yes; most licensing authorities require proof of a physical (or virtual) address. But there are flexible models:

• Many free zones allow flexi-desk / co-working space / shared office models, especially in early stages

• Some zones permit virtual offices or business centers when your operations are primarily digital

• For mainland setups, a proper commercial tenancy agreement is more often necessary

Arrifqa can help you source compliant office or flexi-workspace options, even negotiate lease terms, so you don’t get tripped up by address nonconformity.

Yes, one of the perks of setting up a company in the UAE is securing residency for owners/employees.

Key facts:

• Once your trade license is active, you can apply for an employment visa / work permit via GDRFA (General Directorate of Residency & Foreigners Affairs).

• The visa holder must not remain outside the UAE for more than 180 days (6 months) consecutively, or the visa risk cancellation.

• Different visa categories exist (investor, partner, employment), and Arrifqa will help choose the optimal one for your status

• Sometimes medical exams, Emirates ID, labor contracts, and health insurance are required as part of visa processing

Arrifqa integrates visa processing into the setup workflow so you don’t finish your license only to be stuck on immigration.

Compliance” isn’t a one-off task; it’s ongoing. Here’s what you must manage and where Arrifqa gives you peace of mind:

• Corporate tax: UAE introduced a 9% corporate tax on profits exceeding AED 375,000 for onshore businesses. Free zones may still qualify for 0%, but only if certain criteria are met (e.g. “qualifying income,” substance)

• VAT: If your annual turnover exceeds AED 375,000, you are required to register for VAT and submit periodic VAT returns.

• Annual audits / financial statements: Many jurisdictions mainland and certain free zones require audited accounts and submission to regulatory bodies.

• Renewal of trade license: Licenses must be renewed annually; late renewals attract penalties.

• Regulatory obligations (AML / UBO reporting): You may need to report your Ultimate Beneficial Owners (UBO) and comply with anti–money laundering rules.

• Local compliance, permits, and sectoral approvals: Depending on your activity (e.g. health, environment, telecom), additional permits may require ongoing renewals.

Arrifqa's value is ensuring that compliance is baked into your process; you won’t be blindsided by fines or missed deadlines. We also monitor regulatory changes and adjust strategies proactively since UAE law evolves.