The Ease of Doing Business in Dubai

What makes Dubai such a compelling destination for company formation and entrepreneurship? One of this jurisdiction’s calling cards is the ease of doing business in Dubai. So, if you’re wondering why you should choose Dubai over other locations, keep reading. In this article, we’ll present a list of the advantages, as well as some insight into the opportunities available to you.

Why Do Business in Dubai?

Dubai is a multicultural city that has two-thirds of the world’s population within reach on flights of eight hours or less, allowing it to serve as a nexus for the East and West, along with being in the heart of the Africa-Middle East-Asia triangle. Dubai’s rapid growth, strategic location and favourable business culture have led it to gain the reputation of being an easy place to do business. 

What numbers support this theory? 

  • Many studies use Dubai in its methodology, such as the World Bank

  • In the recently released edition, the UAE had an overall ranking of 17 in the world and was the #1 economy in the region, outpacing its peer states in the Gulf. 

  • Within the criteria from the study, the UAE stood out as:

    • The easiest country to get electricity

    • The third-best for gaining construction permits

    • The ninth-best for enforcing contracts

    • The tenth-best for registering property. 

how to start a business in dubai

The country aims to be at the top of these rankings, and many of the “smart” services on offer to UAE-based businesses are working to streamline the process more than ever before. These efforts include putting many bureaucratic procedures on blockchain technology as part of the Emirates Blockchain 2021 Initiative. Easy business set-up is one of the hallmarks of the enterprise culture in the UAE and one of the reasons why our clients come to us to establish themselves in the region. 

Advantages of Doing Business in Dubai

Among the benefits of the ease of doing business in Dubai are the wealth of options for corporate structure and the rewards that come with them. Companies in Dubai benefit from the following, regardless of the format:

  • A zero-tax regime, meaning no personal or corporate income taxes

  • Safe and robust governance

  • A world-class financial hub 

  • An educated supply of human capital with diverse professional experience hailing from all corners of the globe

  • No capital repatriation restrictions

  • No share capital requirements

  • No physical office requirements

  • Lower set-up costs compared to other onshore jurisdictions

If you’re familiar with the business climate in Dubai, you know there are three types: free zone, mainland and offshore. How does the ease of doing business correlate to the company type? Here’s what you need to know: 

Doing Business in a Dubai Free Zone or on the Mainland

Can a Free Zone Company do Business in Dubai? 

Free zone companies generally can only operate within their Free Zones and abroad, not on the Mainland. However, the UAE recently announced changes to the Commercial Companies Law that eliminated the need to have a local agent be the majority owner of Mainland companies, making operations on the Mainland more appealing, especially in sectors like retail. 

cost of starting a business in dubai

How Can You Tell Whether a Free Zone Company or a Mainland Entity is Right for You? 

First, you’ll want to figure out where you want to operate. If you’re looking for Dubai to serve as a hub for regional commerce, a Free Zone entity will suit you best. If you want to service Emiratis, a Mainland firm might be a better option. 

What is the Cost of Doing Business in Dubai?

If you’re interested in learning more about how much a Dubai company will cost per your specifications, consult with our Dubai company formation team at Europe Emirates Group. 


We also suggest you look at our downloadable book about business set-up in the UAE for even more details as you set out on your business journey. Don’t hesitate to schedule a consultation with our team today and get started.

Adrian Oton
CEO, Europe Emirates Group

UAE Setup Guide

Business Formation
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