Start A Business In Dubai From India: Process & Benefits

In this article, we will provide you with a step-by-step guide on how to start a business in Dubai from India. We will also cover the types of business structures, and benefits of business registration in Dubai.

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start a business in dubai from india

Are you an aspiring entrepreneur in India looking to expand your horizons and explore business opportunities in Dubai? Starting a business in Dubai from India can be a lucrative venture, given the city’s strategic location, thriving economy, and business-friendly environment. In this article, we will provide you with a step-by-step guide on how to start a business in Dubai from India. We will also cover the types of business structures, and benefits of business registration in Dubai.

Process of Starting a Business in Dubai from India

Dubai is renowned for its business-friendly atmosphere, and if you follow some general guidelines, the process should be rather simple:

Market Research and Business Plan:

Conduct thorough market research to identify opportunities and understand the local market.

Create a thorough business plan that includes your operational strategy, financial estimates, target market, and business goals.

Choose the Right Business Structure:

Select the appropriate legal structure for your business, such as a Free Zone Company, Mainland Company, or Offshore Company. The decision will be based on your business objectives and operations.

Business Activity and Licensing:

Determine the specific business activities you want to engage in and obtain the necessary licenses and permits. Your selected business structure and operations will determine the sort of license you need.

Select an Entity Name:

Select a distinctive and significant name for your company. Make sure the name is in compliance with the UAE’s naming regulations.

Legal Requirements and Registration:

Register your business with the Department of Economic Development (DED) if you plan to operate on the mainland.

If you choose a Free Zone, you’ll need to apply for a business license within the appropriate  Free Zone authority.

For an Offshore Company, you will register with the relevant offshore jurisdiction.

Location and Office Space:

Depending on your business structure, you might need to lease office space on the mainland. Free Zone companies often offer business centers or flexi-desk options.

Visa and Immigration Requirements:

Determine your visa requirements and apply for the necessary visas for you and your employees.

Local Sponsorship:

If you choose a mainland business, you may need a local sponsor or service agent who is a UAE national. Though legally needed, this sponsor will not be actively involved in your firm.

Financial Requirements:

Capital requirements can vary based on your chosen business activity and location within Dubai. Ascertain that you have enough money to pay for the initial setup expenses.

Bank Account:

Open a business bank account in a reputable UAE bank to manage your financial transactions.

Types of Business Structures for Incorporation in Dubai

When starting a business in Dubai, you have several options for choosing the type of company which you wish to incorporate. Making the right choice for your company’s structure is essential, as it affects ownership, liability, and the ability to conduct certain activities.

Here are the primary business structures available in Dubai:

1. Limited Liability Company (LLC)

  • Ownership: An LLC in Dubai typically requires a local partner to hold at least 51% of the shares, with the remaining 49% available for foreign ownership.
  • Liability: Shareholders have limited liability, meaning their private assets are shielded in the event of company debts.
  • Activities: Suitable for a wide range of business activities.

2. Free Zone Company

  • Ownership: Allows 100% foreign ownership, offering full control to expatriates.
  • Liability: Shareholders’ liability is limited to the share capital.
  • Activities: Each Free Zone has its list of permitted activities, catering to various industries.

3. Mainland Company

  • Ownership: Requires a local sponsor or local service agent (depending on the business activity), but ownership can be negotiated and outlined in legal agreements.
  • Liability: Liability varies based on the legal structure of the company.
  • Activities: Mainland companies have more flexibility in terms of business activities.

4. Offshore Company

  • Ownership: Offers 100% foreign ownership, making it a desirable choice for international companies.
  • Liability: Shareholders’ liability is limited to the share capital.
  • Activities: Primarily used for holding assets, international trading, and investment purposes.

Documents Required for Business Incorporation

To start a business in Dubai, you will need to submit specific documents, which can vary based on your chosen business structure.

Here are some common documents required for business incorporation:

  • Passport Copies: Copies of each shareholder’s passports and potential managers.
  • No Objection Certificate (NOC): A letter of consent from the local sponsor or partner (for Mainland companies).
  • Memorandum of Association (MOA): A legal document defining the company’s scope, structure, and operational procedures.
  • Tenancy Contract: A lease agreement for your business location, along with the Ejari registration certificate.
  • Bank Reference Letter: A letter attesting to your creditworthiness from your bank.
  • Approval from Relevant Authorities: Approval from authorities specific to your industry or business activity.
  • Trade Name Reservation Certificate: Register your company name with the relevant authorities.

Benefits of Business Incorporation in Dubai

Starting a business in Dubai from India offers several advantages:

  1. Strategic Location: Dubai’s geographical location provides easy access to major markets in the Middle East, Asia, and Europe, making it a hub for international trade.
  2. Tax Benefits: Most Free Zones offer tax exemptions for a specific period, such as the absence of capital gains tax and personal income tax.
  3. Full Ownership: Free Zones allow 100% foreign ownership, giving you complete control of your business.
  4. Business-Friendly Environment: Dubai’s regulatory environment is efficient and streamlined, which facilitates business establishment and operation.
  5. Diverse Market Opportunities: Dubai’s thriving economy offers opportunities in various sectors, from trade and tourism to technology and finance.
  6. World-Class Infrastructure: Dubai boasts a modern infrastructure, excellent transportation networks, and state-of-the-art facilities to support business growth.


Starting a business in Dubai from India offers an adventurous and potentially lucrative journey into the heart of one of the world’s most vibrant economies. By understanding the legalities, choosing the right business structure, securing funding, and leveraging networking, Indian entrepreneurs can set the stage for a successful international expansion. With its investor-friendly climate and endless opportunities, Dubai is a land of promise for the ambitious and the innovative.


 The minimum investment depends on the kind of company and its location. For example, free zones may have different requirements compared to mainland businesses.

For a mainland business, yes, you need a local sponsor. However, in a free zone or with an offshore company, a local sponsor is not required.

Yes, Indian citizens can own 100% of a company in Dubai’s free zones. Recent changes in the law also allow for 100% foreign ownership in certain sectors on the mainland.

 While it is highly recommended to be present during the setup process, it is not always mandatory. Some steps can be completed remotely, especially if you engage a local business setup service.

The timeline can vary based on the kind of company and its requirements. Generally, it could require a few weeks to many months.