The minimum investment to start a business in Dubai ranges from AED 8,000 for an offshore company to AED 40,000+ for a mainland setup, with free zone options typically falling between AED 18,000 and AED 34,000. The exact figure depends on jurisdiction, business activity, office requirements, and visa count.
What to do now:
- Decide jurisdiction first — mainland, free zone, or offshore — before comparing prices
- Confirm whether your activity needs visas, since each adds AED 3,500–5,000
- Budget separately for the bank deposit, not just the license fee
Table of Contents
Minimum Investment by Jurisdiction
Costs have shifted upward across all three structures in 2026 compared to figures still circulating from earlier in the year.
| Jurisdiction | Minimum Investment | Includes | Visa Sponsorship |
|---|---|---|---|
| Offshore | AED 8,000–25,000 | Registration, registered agent | Not eligible |
| Free Zone | AED 18,000–34,000 | License, flexi-desk, visa allocation | Yes, with package |
| Mainland | AED 30,000–40,000+ | DET license, Ejari-registered office | Yes |
Offshore companies cannot legally trade within the UAE market, regardless of investment size — they exist solely for holding structures, international trading, and asset protection.
low cost business setup in Dubai | Cheapest Trade License in UAE
The Capital Requirement Most Founders Misread
Minimum capital refers to the amount shareholders formally declare in a company’s Memorandum of Association, not necessarily cash paid upfront.
Mainland LLCs typically state AED 300,000 in share capital on the MOA, but this figure does not need to be deposited in a bank account. DED does not require a bank certificate proving the amount exists before issuing a trade license for most commercial activities. Free zone companies often declare far less — as little as AED 1,000 in share capital for certain jurisdictions.
Offshore banking carries its own hidden cost. Most UAE retail banks will not open an account for a RAKICC or JAFZA Offshore entity without a substantial initial deposit, often exceeding USD 100,000 — a figure that catches founders who assumed offshore meant universally lower costs.
Pro tip: Budget the bank minimum balance as separate locked capital, not part of your license spend — most UAE banks require AED 25,000 to AED 100,000 held in the account itself, on top of whatever the license and visas cost.
Frequently Asked Questions
What is the minimum investment to start a business in Dubai for foreigners?
Foreigners typically need AED 18,000–34,000 for a free zone setup or AED 30,000–40,000+ for a mainland business, covering license fees, office requirements, and visa costs. Free zones generally require a lower minimum investment than mainland, though mainland allows unrestricted UAE market access.
Do I need to deposit my full share capital in a bank account?
No, for most business activities. The capital figure stated in a company’s Memorandum of Association is a formal declaration, not a mandatory cash deposit — DED does not require proof of funds in a bank account before issuing a trade license for the majority of commercial activities.
Is offshore really the cheapest way to start a business in Dubai?
The license itself is often the cheapest at AED 8,000–25,000, but offshore companies face stricter banking requirements, sometimes needing a deposit exceeding USD 100,000 to open a corporate account. Offshore entities also cannot trade within the UAE or sponsor employee visas, limiting them to holding and international structures.
Last verified: July 2026 Reviewed by: UAE Content Team Source: UAE Ministry of Economy — Company Formation
