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Short answer? It depend on where you set up (mainland vs. free zone), what you actually do and how many visas you need. But let’s ditch the vague advice and get into real numbers you can plan around. I’ll keep it straight, slightly chatty and yes a little imperfect—like we talk over coffee.

First fork in the road: mainland vs. free zone

Think of mainland as “sell anywhere in the UAE” and free zones as “frictionless setup + special perks,” great for cross-border services, tech, consulting, e-commerce with third-party onshore distribution and so on.

Free zone examples & ballparks (license + core setup)

DMCC (Dubai Multi Commodities Centre). They publish a transparent schedule of charges: application ~AED 1,035, registration ~AED 9,020, AoA ~AED 2,020 and a typical annual license line item ~AED 20,285 (varies by activity). So you’re often in the low-to-mid 30k AED range before visas/office upgrades.

IFZA (International Free Zone Authority) packages (widely used for startups) are frequently marketed around AED 12,900 for zero-visa, AED 14,900–18,900 with 1–3 visas included (promos come and go). Treat these as indicative package pricing; check the current offer before you lock in. Get details about Business Setup in Dubai.

Mainland (Department of Economy & Tourism, “DED/DET”)

Total cost depends on your activity, name reservation, initial approval and the office lease. Practical all-in license ranges for many commercial/professional activities run roughly AED 15,000–50,000, with lean cases lower and regulated activities higher. That’s a broad band but it reflects real variability (activity approvals, local fees, add-ons).

Tip: If you just want to validate an idea fast, the Instant Licence can be a stepping stone. You’ll see market guides quoting ~AED 5,000–18,000 depending on structure and activity set. It’s legit, but read the fine print on eligibility and what’s included.

The leanest possible “solo” start: e-Trader license (with caveats)

If you’re a one-person, home-based digital business (think freelancing/consulting via social media), Dubai’s e-Trader can be a super-low-cost starting point. The headline annual fee is widely quoted around AED 1,070, and you often also add ~AED 300 for Dubai Chamber membership depending on category. Not everyone qualifies for every activity (and it’s limited compared to a full license) but for small professional services, it’s a tidy option.

Visas & people costs (because a company needs humans)

Even if your company setup is cheap, residence visas and onboarding are where founders forget to budget.

• Medical fitness test: government fee ~AED 260 (base service; center may add their own service charge).
• Emirate ID distribution: base fee AED 100 per year of visa validity, plus service/typing fees.
• All-in visa processing commonly land around AED 3,000–7,000 per person depending on visa type & service level. Plan the high end if you want speed.

If you’re adding multiple staff, the establishment card/immigration file and quota pieces are small individually but add up—your free zone or PRO will show the line items in your quote.

Office: real space vs. flex options

• Free zones often let you start with flexi-desk or shared office (compliant for licensing/visas) and then upgrade later.
• Mainland frequently ties your license to a Ejari/tenancy. Budget for 5% of annual rent as a market fee for shops (more for warehouses) on some licenses; it’s a common “surprise” line item founders discover late.

If you need a warehouse, lab, or showroom, model that early—space is usually the single biggest recurring cost once you’re operational.

Banking: minimum balances & monthly fees (don’t ignore this)

Banks vary a lot, but many business accounts need a minimum average monthly balance. Examples from bank pages:

• Emirates NBD: common business packages show AED 50,000 minimum average balance (fee applies if you dip below).
• Mashreq NeoBiz: has a Lite tier with no minimum balance but a monthly fee (~AED 200); Prime tiers waive the fee if you keep AED 50,000 average.
• Others (ADCB, DIB, FAB) publish their own thresholds—AED 10,000–100,000+ isn’t unusual across the market. If cash is tight at the start, pick a zero/low-balance digital account and trade the small monthly fee for runway.

Quick sanity check: some banks also charge account opening or monthly maintenance fees. It’s not huge per month, but over a year it becomes real money—worth negotiating when your volumes grow.

Add-ons many founders forget to price in

Name reservation/initial approval, attestations, translations, notarizations. Small individually, annoying together.

• Custom activity approvals (media, healthcare, education, food, etc.).
• Insurance (health is mandatory; add PI/PL if your clients demand it).
• Bookkeeping + VAT (if you cross threshold or register voluntarily).
• Corporate tax: registration is done with the UAE Federal Tax Authority; the prevailing 0% up to AED 375k, 9% above regime kicked in for financial years starting June 1, 2023. That’s ongoing compliance, not a big setup fee—but it is a cost to plan for (software, advisor hours).

Sample budgets (so you can actually plan)

These are ballpark planning ranges—actual quotes will vary by activity, visa count and how many extras you add.

MVP consultant / solo service provider (e-Trader or similar)

• License: AED ~1,070 (+ ~AED 300 Dubai Chamber category fee where applicable).
• Visa: if you need your own residency, budget AED 3,000–7,000 for full cycle (or operate on an existing visa if allowed by your license).
• Banking: zero balance digital choice (~AED 200/month) or traditional account with AED 50,000 less balance.
• Rough year-one cash requirement: AED 6,000–20,000 based on banking and in case you process a visa.

Free zone startup (IFZA 1-visa package)

• License package: ~AED 14,900–17,900 (including allotment for single visa).
• Visa processing: AED 3,000–7,000 each for medical, ID, stamping.
• Workspace: flexi desk/ coworking (a few thousand AED per year) unless already added in bundle.
• Banking: aim for low-balance or digital at the start.
• Rough year-one cash need: AED 22,000–35,000+ for a single-founder setup.

Premium free zone (DMCC) with traditional office

• Setup + license line items per DMCC schedule (application, registration, AoA, license): ~AED 30k+ before visas/space.
• Office lease: varies widely (shared vs. private).
• Two visas: AED 6,000–14,000 combined.
• Banking: likely AED 50k minimum balance relationship.
• Rough year-one cash need: AED 55,000–100,000+ depending on office and sector approvals.

Mainland commercial license (lean)

• License & government fees: plan AED 15,000–30,000 for many common activities (can be less/more—get an activity-specific quote).
• Office: even a modest lease adds up; remember market/municipal percentages on certain activities.
• Visa: AED 3,000–7,000
• Year-one cash required: AED 40,000–90,000+

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» Best Startup Packages for Registering Your Business in Dubai

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» Business Ideas for Dubai’s Young Entrepreneurs

Where to save (without shooting yourself in the foot)?

• Pick the right activity list once. Changing later costs time & amendment fees.
• Hybrid workspace — start with flex, move to private office when revenue justifies it.
• Bank smart — use zero/low minimum balance accounts until cashflow stabilizes.
• Visa pacing — don’t sponsor six people on day one. Bring in critical roles first.
• Annual bundles — some free zones offer multi-year discounts or include establishment card/PO box in promos. Always ask.

The real answer (so you can budget today)

If you just wanted a clean number: most legit, usable Dubai startup setups land somewhere between AED 15,000 and AED 50,000 in year one, before you start layering on bigger offices and multiple visas. Go lean (e-Trader or a basic free-zone package) and you can come in notably lower; go premium (DMCC with private office, multiple visas) and you’ll be higher. The trick is matching the license, space and visa count to what you actually need in months 1–6 not the Instagram version of a company.

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