Digital Citizen

Digital Citizen

Dubai LLC Setup (Everything You Need to Know 2025)

A step-by-step guide to starting your Dubai LLC the right way.

Benjamin Hies's avatar
Benjamin Hies
May 04, 2025
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Why Entrepreneurs Are Choosing Dubai in 2025

If you're serious about building a tax-efficient business in a global hub, Dubai should be on your list.

It’s strategically located between Europe, Asia, and Africa. There’s low corporate tax (or no corporate tax in some cases) and no personal income tax. The infrastructure is world-class. And with the right setup, you can enjoy full ownership, fast banking, and a premium international image, whether you're a solo founder, startup, or remote consultancy.

In this guide, I’ll walk you through exactly how to set up your Dubai LLC, step-by-step, and fully updated for 2025.

Dubai Travel Guide | Modern skyscrapers and luxury everywhere

Agenda

Here’s what we’ll cover in this guide:

  1. Why Choose Dubai for Your Business
    A look at Dubai’s tax system, global positioning, lifestyle, and founder-friendly environment.

  2. Company Structure and Setup Process
    Free Zone vs. Mainland, ownership rules, registration steps, required documents, timelines, and costs.

  3. Opening a Business Bank Account
    How to navigate banking in the UAE and avoid common pitfalls.

  4. Taxes, Compliance, and Reporting
    What you need to know about the new 9% corporate tax, VAT, and annual obligations.

  5. Residency and Visa Options
    How to obtain residency through your company and what it gives you access to.

  6. Estimated Setup Costs (2025)
    A breakdown of one-time and recurring costs to help you budget smart.

  7. Summary and Action Steps
    A clear checklist to take your idea from concept to launch.


Why Choose Dubai for Your Business

Dubai has become one of the most attractive locations for business individuals who want to do business on an international scale without being hindered by too much bureaucracy or personal income tax. It offers a combination of ease, infrastructure, and access that is hard for most jurisdictions to match.

The city is an important gateway between Europe, Asia, and Africa and hence ideally located for founders who require access to multiple markets. Its airport, logistics, and digital infrastructure are planned to support global business from day one.


The tax system is simple and continues to be very competitive in 2025. There is no business profit tax on the first AED 375,000 and just 9 % on anything above that. Zero corporate tax on qualifying income is offered by some free zones, depending on your company type and structure.

You also won't find personal income tax, capital gains tax, or withholding tax here, making it especially appealing to solo founders and remote-first operators who want to retain more of what they earn.

Aside from numbers, Dubai is a vibrant, globally connected city. English is the lingua franca, services are sound, and the government has goneout of its way to court foreign business owners with ease of company formation, long-term residency, and digital nomad visas.

For remote business owners, service providers, and consultants, it offers a launchpad that is sound, strategic, and established to scale with you.

Now let’s look at the legal setup option and the steps that you need to take, to turn your idea into reality.

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