
Simran Rafique
January 6, 2026
Dubai is popular for its innovation, trade, and entrepreneurship all around the world. As we have stepped into 2026, the city is continuously attracting worldwide investors to the business setup in Dubai because of its modern infrastructure, strong economy, and business-friendly laws. If you are also planning a business setup in Dubai, then you must understand the legal and tax requirements for a smooth process.
The UAE government has introduced several transformations during the past few years to make business setup in UAE more flexible and attractive. Dubai offers 100% foreign possession in various sectors, a stable legal environment, and long-term residence visas. In 2026, Dubai is still a top choice of investors.
Buying property in Dubai is that you don’t have to pay annual property tax. Buyers do not have to pay inheritance tax or capital gains tax and this makes Dubai very attractive than other global cities.
1. Choose Business Activity
Choosing your business activity is the initial step in Business Setup in Dubai. The UAE offers thousands of licensed activities, including consultancy, trading, e-commerce, and manufacturing. You will get the type of license as per your chosen activity.
2. Select Legal Structure
You must choose the legal form of your company, such as sole proprietorship, LLC, branch office, or free zone entity. Each structure has different legal and tax implications.
3. Trade Name Registration
Your trade name should reflect your business activity and follow UAE naming rules. The name of the trade should be approved by the applicable authority in advance.
4. Obtain Initial Approval
Initial approval confirms that the UAE government has no objection to your business idea. This step is mandatory for both mainland and free zone companies.
5. Legal Documents
The business setup process also requires legal documentation such as passport copies, Articles of Association (AOA), shareholder agreements, and Memorandum of Association (MOA). In many cases, legal documents are required in Arabic language so you will need legal translation services.
6. Issuance of Business License
You will receive your business license once all formalities are done. This allows you to officially setup your business in Dubai.
Choosing the right license is an important part of Business Setup in Dubai. The main types of business include:
1. Commercial License – for trading and commercial activities
2. Professional License – for consultancy and service-based businesses
3. Industrial License – for manufacturing and industrial activities
One of the most important aspects of Business Setup in Dubai is to understand the corporate tax in UAE.
Business setup consultants in Dubai simplify the process by:
The Ask Consultancy offers continuous support, and ensures that your Business Setup in Dubai is compliant, smooth, and peaceful.
When you think of business setup in Dubai, then you must choose the right partner. The Ask Consultancy offers end-to-end solutions for investors and entrepreneurs. The Ask Consultancy has an expert team ensures that you have a smooth and compliant setup process including company registration, licensing, tax guidance, and legal support.
Business Setup in Dubai has always been a smart move for investors looking for global growth, long-term stability, and tax efficiency. You need the right business structure, proper legal support, and expert guidance for a smooth and rewarding experience when starting a company in Dubai.
Whether you are planning your business setup in a free zone, mainland, or offshore, with professional assistance and careful planning you will succeed in one of the most dynamic business destinations of the world.

The ASK Consultancy offers expert legal advice in the UAE, specializing in corporate law, residency, citizenship by investment, and real estate. We help clients navigate UAE laws with confidence and compliance. We are also officially registered with DIFC, ensuring adherence to the highest regulatory standards.
Copyright © 2024 ASK Consultancy