LLC Company Formation in Dubai, UAE

LLC company formation in Dubai from about AED 15,200 for a DET licence. Ownership rules, MOA, Ejari, visa quotas and the full registration sequence explained.

Business Setup AE editorial review Last reviewed 2026-09-09

Quick answer

A Dubai mainland LLC costs about AED 15,200 for the DET licence plus Ejari office rent from AED 10,000 a year, and takes 5 to 10 working days. Most activities now allow 100% foreign ownership with no local sponsor; the LLC can trade anywhere in the UAE and bid for government work.

DET licence from
AED 15,200
Ejari office from
AED 10,000 / yr
Foreign ownership
100% most activities
Setup time
5 – 10 working days

The Limited Liability Company is the standard onshore structure in the UAE. It is licensed by the Department of Economy and Tourism (DET) in Dubai, can trade directly with any customer in the country, sign government contracts and open retail premises. Liability is limited to the paid-up share capital, and an LLC can carry between two and fifty shareholders.

Since the 2021 amendment to the Commercial Companies Law, most commercial and professional activities no longer require a UAE national shareholder. A defined list of strategic activities — mainly in energy, transport and defence-adjacent sectors — still carries Emirati ownership conditions. The DET activity list states the rule for each code before you pay anything.

This page covers the real cost stack of a Dubai LLC in 2026: licence fee, trade name, initial approval, notarised Memorandum of Association, Ejari tenancy and the immigration registrations that follow. Compare mainland packages from verified providers to see the same numbers itemised.

LLC vs free zone entity — the decision in one table
FactorDubai LLC (mainland)Free zone entity
Sell to UAE consumersYesVia distributor / dual licence
Government tendersYesNo
PremisesEjari office mandatoryFlexi-desk accepted
Ownership100% for most activities100% always
Corporate tax9% above AED 375,000 profit0% on qualifying income if conditions met
Setup time5 – 10 working days3 – 7 working days

What an LLC gives you that a free zone licence does not

  • Unrestricted trading across the UAE — retail, B2B, government tenders
  • Eligibility for DET commercial, professional, industrial and tourism licences
  • Visa quota tied to office size, not a zone facility tier — scale by adding square metres
  • Multiple branches across Dubai under the same licence
  • No restriction on the number of business activities you can add (grouped by category)

LLC cost breakdown in Dubai, 2026

Dubai LLC year-one cost stackGovernment and mandatory third-party fees
ItemTypical cost (AED)Notes
Trade name reservation620 – 2,000Foreign or non-standard names cost more
Initial approval120 – 270DET administrative fee
DET trade licence15,200 – 25,000Varies by activity group
MOA notarisation500 – 2,000Notary public, scales with capital clauses
Ejari office / shop tenancy10,000 – 60,000+Mandatory; sets your visa quota
Establishment card1,800 – 2,500Immigration registration
Investor / employment visa each3,500 – 5,700Entry permit, medical, Emirates ID, stamping

Ownership rules and the local sponsor question

For most activities you can own 100% of a Dubai LLC. The older 51% Emirati shareholding requirement survives only on the strategic-activities list. Professional licence holders who prefer a sole-establishment structure can still appoint a Local Service Agent — an agent has no shares and no claim on profit, only a fixed annual fee.

Always confirm the ownership rule against the exact DET activity code, not the activity name. Two codes with similar descriptions can sit in different categories.

Who this option suits best

  • Retail, F&B and e-commerce brands selling to UAE consumers
  • Contractors and subcontractors on UAE sites
  • Companies bidding for government or semi-government work
  • Businesses that will hire a growing team and need flexible visa quotas
  • Founders planning multiple branches or a showroom

Step-by-step process

  1. 1

    Choose activity codes and legal form1 day

    Pick the DET codes that cover what you actually sell; confirm the ownership rule for each.

  2. 2

    Reserve the trade name1 day

    Submit three options through DET. Names must match the activity and avoid restricted words.

  3. 3

    Initial approval1 – 2 days

    DET confirms the government has no objection to the shareholders and activity.

  4. 4

    Sign and notarise the MOA1 – 2 days

    Memorandum of Association sets shares, capital and management. Notarised in person or by e-notary.

  5. 5

    Secure premises and Ejari1 – 5 days

    Sign the tenancy and register it on Ejari before the licence can print.

  6. 6

    Licence issuance1 – 3 days

    Pay the DET voucher and receive the trade licence.

  7. 7

    Establishment card, visas, bank2 – 4 weeks

    Immigration file, then residence visas, then the corporate bank account.

Documents required

  • Passport copies (valid 6+ months) for every shareholder and manager
  • Passport-size photo with white background for each applicant
  • Proof of address or a recent utility bill / bank statement
  • Three proposed trade names in order of preference
  • Business activity list and a short business description
  • Emirates ID and visa copy or entry stamp if you are already in the UAE
  • Notarised Memorandum of Association
  • Ejari-registered tenancy contract

Realistic timeline

StageDuration
Approvals and licence5 – 10 working days
Establishment card2 – 5 working days
Residence visa7 – 14 working days
Corporate bank account1 – 4 weeks

Figures reflect 2026 DET and immigration fee schedules. Provider service fees are additional and itemised on every package in the marketplace.

Common mistakes and how to avoid them

Signing an office lease before initial approval

Fix: Get DET initial approval first; lease terms are hard to reverse.

Choosing activity codes by name alone

Fix: Read the code description — ownership and external approvals differ by code.

Under-sizing the office

Fix: Visa quota follows Ejari square metres; a too-small office caps hiring.

Paying a 'sponsor fee' for an activity that allows 100% ownership

Fix: Check the strategic-activities list; most activities need no sponsor at all.

Myth vs reality

MythReality
A Dubai LLC always needs a 51% local partnerMost activities have permitted 100% foreign ownership since 2021. Only strategic activities keep Emirati ownership conditions.
An LLC is always more expensive than a free zoneLicence fees are comparable; the real difference is mandatory Ejari premises and the wider market access it buys.

Compliance after licensing

  • Corporate tax registration with the FTA — 9% applies on taxable profit above AED 375,000; 0% below it. Small Business Relief may apply to revenue under AED 3m.
  • VAT registration is mandatory once taxable turnover passes AED 375,000 in 12 months, and voluntary from AED 187,500.
  • Economic Substance Regulations (ESR) notifications for relevant activities such as holding, IP, headquarters and distribution.
  • Ultimate Beneficial Owner (UBO) register kept with the licensing authority and updated within 15 days of any change.
  • Anti-Money Laundering (AML) registration on the goAML portal for designated non-financial businesses and professions.
  • Annual licence and establishment-card renewal, plus audited financials where the free zone or activity requires them.

Regulators referenced: Ministry of Economy (UAE) · Dubai Department of Economy and Tourism (DET) · Abu Dhabi Department of Economic Development (ADDED) · Federal Tax Authority (FTA) · General Directorate of Residency and Foreigners Affairs (GDRFA) · Ministry of Human Resources and Emiratisation (MOHRE)

Frequently asked questions

How much does LLC company formation cost in Dubai in 2026?
Budget AED 15,200 to AED 25,000 for the DET licence depending on activity, plus AED 10,000 or more a year for Ejari premises, about AED 2,000 for name and approval fees, and AED 3,500 to AED 5,700 per residence visa.
Can a foreigner own 100% of a Dubai LLC?
Yes, for most commercial and professional activities. Only activities on the strategic list — mainly energy, transport and defence-related sectors — still require Emirati participation.
Do I need a local sponsor for a Dubai LLC?
Usually no. Where the older rules still apply, a professional-licence sole establishment uses a Local Service Agent with no shares and a fixed fee, not an equity partner.
How many visas does a Dubai LLC get?
The quota follows office size: roughly one visa per nine square metres of Ejari-registered space. You scale the quota by taking a larger office, not by upgrading a package.
How long does it take to form an LLC in Dubai?
Five to ten working days from initial approval to licence, assuming the tenancy and notarised MOA are ready. Add two to four weeks for visas and banking.
Can an LLC operate in free zones?
An LLC trades freely on the mainland. Operating inside a free zone requires a branch or a separate free zone entity.

People also ask

Is an LLC the same as a mainland company?

The LLC is the most common mainland legal form. 'Mainland' describes the jurisdiction; 'LLC' describes the shareholding structure licensed within it.

What is the minimum share capital for a Dubai LLC?

DET does not enforce a fixed minimum for most activities; the MOA states the capital and shares are not required to be deposited up front for standard activities.

Can I convert my free zone company to a Dubai LLC?

Not directly. Founders typically open a mainland LLC or branch and migrate contracts, staff and bank accounts to it.

Does a Dubai LLC pay corporate tax?

Yes — 9% on taxable profit above AED 375,000, with Small Business Relief available below AED 3 million revenue. VAT registration is mandatory above AED 375,000 turnover.

Founder checklist

  • Confirm the exact activity codes you need before paying any fee
  • Compare at least three verified providers on total year-one cost, not licence cost alone
  • Check the visa quota attached to your chosen facility (flexi-desk vs office)
  • Ask what is excluded: establishment card, e-channel deposit, medical, Emirates ID, PRO fees
  • Confirm bank-account support and which banks the provider actually opens with
  • Register for corporate tax within the deadline after licence issuance
  • Diarise your licence renewal date and UBO/ESR filing dates

Why you can trust this guide

  • Independent marketplace — Business Setup AE does not form companies and takes no commission on provider pricing
  • Every listed provider holds a valid UAE trade licence and publishes fixed prices
  • Costs reviewed against 2026 published government schedules
  • Written and reviewed by advisers who have processed UAE licences and residence visas

Editorial ownership: Business Setup AE Editorial Team. See our editorial and corrections policy and package verification method.

Related guides and services

Official government sources

Fees, thresholds and licensing rules on this page are checked against these official UAE government and regulator sources.

Topics covered

Limited Liability Company
Dubai DET
Memorandum of Association
Ejari
Local Service Agent
Commercial Companies Law
Establishment card
Corporate tax

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