Dubai Business Setup Cost
Calculate Your Business Setup Cost
Starting a business in Dubai can be a dream come true for many entrepreneurs. However, the cost of setting up a company can be a major roadblock. In this article, we will provide a comprehensive guide on the cost of Dubai business setup. We will cover everything from the cost of licensing to the cost of office space, visa fees, and more. By the end of this article, you will have a clear understanding of the expenses involved in starting a business in Dubai, and you will be able to plan your budget accordingly.
Dubai is one of the most business-friendly cities in the world. It is home to some of the largest and most successful businesses in the world, and has a thriving startup ecosystem. However, starting a business in Dubai can be expensive. The cost of setting up a company can vary depending on several factors, such as the type of license, office space, visa fees, and more. In the following sections, we will take a closer look at these costs to help you plan your budget accordingly.
Types of Licenses and Cost
Dubai offers several types of licenses for businesses, including commercial licenses, industrial licenses, professional licenses, and more. The cost of a license can vary depending on the type of business and the activities you plan to undertake. Here are some of the costs associated with obtaining a license in Dubai:
Commercial License: A commercial license is required for businesses involved in trading activities. The cost of a commercial license can range from AED 15,000 to AED 50,000, depending on the type of business and the activities you plan to undertake.
Industrial License: An industrial license is required for businesses involved in manufacturing activities. The cost of an industrial license can range from AED 15,000 to AED 50,000, depending on the type of business and the activities you plan to undertake.
Professional License: A professional license is required for businesses involved in professional services, such as consultancy, accounting, legal, and more. The cost of a professional license can range from AED 15,000 to AED 20,000, depending on the type of business and the activities you plan to undertake.
Visa Cost
Visa fees are another important cost to consider when setting up a business in Dubai. Depending on the type of visa, the cost can vary. Here are some of the visa costs you need to consider:
Investor Visa: An investor visa is required for entrepreneurs who plan to invest in a business in Dubai. The cost of an investor visa can range from AED 3,000 to AED 10,000, depending on the type of visa and the duration.
Employment Visa: An employment visa is required for employees who will be working in Dubai. The cost of an employment visa can range from AED 3,000 to AED 5,000, depending on the type of visa and the duration.
Office Space Cost
Office space is another major expense when setting up a business in Dubai. The cost of office space can vary depending on several factors, such as the location, size, and type of office space. Here are some of the costs associated with office space in Dubai:
- Rent: The cost of rent can vary depending on the location and size of the office space. In Dubai, the average cost of rent for office space is around AED 1,200 per square foot per year.
Security Deposit: Landlords in Dubai usually require a security deposit that can range from 5% to 10% of the annual rent.
Ejari Fees: Ejari is the registration system for tenancy contracts in Dubai. The cost of Ejari registration is AED 220.
Employee Cost
If you plan to hire employees for your business, you need to consider the cost of salaries, benefits, and other expenses. The cost of hiring employees in Dubai can vary depending on several factors, such as the job position, experience, and qualifications. Here are some of the costs associated with hiring employees in Dubai:
Salaries: The average salary in Dubai varies depending on the job position and the industry. According to the Dubai Statistics Center, the average monthly salary in Dubai is around AED 8,000.
Gratuity: Gratuity is a mandatory payment made to employees who complete a certain number of years of service. The gratuity amount is calculated based on the employee’s salary and years of service.
Insurance: Employers in Dubai are required to provide health insurance for their employees. The cost of health insurance can vary depending on the coverage and the number of employees.
Other Cost Considerations
Apart from the costs mentioned above, there are several other expenses that you need to consider when setting up a business in Dubai. Here are some of the other cost considerations:
Bank Account Fees: Banks in Dubai charge fees for opening and maintaining a bank account.
Marketing and Advertising: You may need to spend money on marketing and advertising to promote your business.
Legal and Accounting Fees: You may need to hire lawyers and accountants to help you with legal and financial matters.
Conclusion
Starting a business in Dubai can be expensive, but with proper planning and budgeting, it can be a worthwhile investment. In this article, we have provided a comprehensive guide on the cost of Dubai business setup, including licensing fees, visa fees, office space costs, employee costs, and other expenses. By considering these costs, you can plan your budget and make informed decisions for your business.
