What is the process of registering a service company in Dubai?
To establish a service company in Dubai, applicants must go through specific steps. Obtaining Service Business License This is considered the first and most important step on this path.
One of the advantages of registering a service company in Dubai is that there is no need to collaborate with Emirati citizens or local agents. According to the latest amendments to the commercial laws in Dubai, foreign investors can have ownership 100% owned company Have control over themselves.
Before the implementation of this law, the presence of a sponsor or an Emirati representative was mandatory for handling administrative and managerial affairs of companies in Dubai. However, now, not only for obtaining the company's commercial license but also for its registration No need for an Emirati sponsor Not available.
These legal changes have created more opportunities for foreign investors to confidently establish their businesses in Dubai.
The steps to register a service company in Dubai can be summarized as follows:
Reviewing and selecting the type of business you intend to operate in;
Preparing the necessary documents to create the file;
Obtaining a tourist visa and traveling to the United Arab Emirates;
Submitting the file and waiting for its review by the Dubai Economic Development (DED);
Paying the service company registration fees and providing bank receipts;
Waiting for file approval and then receiving the commercial license;
Applying for UAE residency after obtaining the service company license in Dubai;
Applying to open a bank account in Dubai banks;
Applying for UAE residency visas for spouse and children (optional)
For more information about the company setup process in Dubai, we recommend taking a look at the article "Company registration in Dubai".
What are the benefits of registering a service company in Dubai?
Undoubtedly, registering a service company in Dubai can bring numerous advantages. Among the most important benefits that have attracted many applicants, we can mention the following:
- Starting a business in the easiest possible way
- Ability to hire foreign workforce in the service company
- Exemption from income tax (up to an annual income of 375,000 AED)
- Possibility of obtaining UAE residency for family members
- Opportunity for children and spouse of the main applicant to work and study
- Access to free markets and international trade
- Receiving government support for foreign investors
An overview of permitted activities for service companies
Investors and entrepreneurs registering a service company in Dubai can operate in a wide range of service-related fields. Service Business License For this reason, it is considered one of the most popular types of company registration licenses in Dubai.
By obtaining this license, applicants can establish companies in various fields such as Engineering services, technology, architecture, and other similar areas and start their business.
Permitted activities for service companies are not limited to specific categories and cover a broad spectrum of services. For more details about these activities, you can contact our experts and receive the necessary guidance.
- Technical and engineering service companies: Maintenance of electrical systems, plumbing services, flooring and tiling projects, construction and repair of concrete structures, installation and maintenance of ventilation systems, and more.
- Transportation service companies: Road transportation services, maritime transport companies, heavy cargo and food transportation, container and bulk transport, air freight services, transportation of medicines and sensitive cargo, logistics and warehousing services, taxi companies, bus, metro, and more.
- Cleaning service companies: Home cleaning, car cleaning, building window cleaning, upholstery and carpet cleaning, office cleaning, conference hall cleaning, administrative services, factory and warehouse cleaning and maintenance, parking lot cleaning, and more.
- Educational service companies: Institutes offering Arabic, English, and other language courses, specialized language courses for fields such as technology, marketing, accounting, and similar areas, language institutes for children, and more.
- Tourism service companies: Offering various tours such as city, cultural, and historical tours, hotel and accommodation booking services, recreational services like safaris, providing specialized consultation to tourists, and more.
Important points for registering a service company in Dubai
License or Service company licenses Established in Dubai mainland, valid for one year and must be renewed annually by the company owner.
The owner or main investor can complete the service company registration process without restrictions by renting a designated space as the headquarters from private owners or commercial centers in Dubai. This is one of the essential steps in company registration.
After obtaining the service license, the investor can apply for a 2-year UAE residence visa. Additionally, upon completing the company registration and obtaining residency, the possibility of Opening a bank account in the UAE will also be available to them.
Also, as mentioned earlier, different types of companies in Dubai have various classifications. For more information on this topic, reading the article "Which company should we register in Dubai" is recommended.
Required documents for registering a service company in Dubai
Completing the process of registering a service company in Dubai requires submitting specific documents that the investor must prepare and attach to their file from the very beginning. Among the initial documents you need to provide are the following:
- Passport
- Company registration application form
- Photo
If the investor intends to establish a professional service company, it is recommended (and sometimes necessary) to add their certificates and educational and professional qualifications to the file during the process.
To obtain a UAE residence visa, the investor or the company sponsor must apply for the establishment card; after that, they can start the visa application process and also proceed to open a bank account in Dubai.
Other required documents for company registration in Dubai include the following:
- Documents related to the company registration license
- Documents related to the tourist visa
- Office lease agreement in Dubai
- Company articles of association
How much does it cost to register a service company in Dubai?
Registering a service company in Dubai involves costs that vary depending on the type of activity and the registration method. For more precise information and specialized consultation, our experts are ready to guide you. Below is a general overview of the costs for registering a service company in Dubai:
| Fee Type | Approximate cost amount |
|---|---|
| Cost of establishing and registering a service company | 30,000 to 70,000 AED |
| Cost of obtaining a license or commercial permit | About 8,000 AED |
| Visa cost for each company member | About 4,000 AED |
For Establishing and registering a service company In Dubai, a cost between 30,000 to 70,000 AED is required. This cost depends on the type of activity and the registration method. Additionally, there are other costs which include the following:
- Cost of obtaining a commercial license Approximately 8,000 AED will be.
- For each member of the company, a fee equivalent to 4,000 dirhams To receive residence visa is considered.
Recommended Reading: Residency conditions in Dubai with company registration
Is a local sponsor required to register a service company?
As mentioned earlier, registering a service company in Dubai does not require an Emirati sponsor, and 100% ownership of the company is fully held by the investor. Applicants may, if they wish and see fit, use a local sponsor or a local service agent.
This can be done in the following two ways:
- To register a company, an Emirati citizen can be appointed as a local service agent to obtain the commercial license for the company. These individuals can assist you with managerial and administrative processes but will have no ownership stake in the company and cannot interfere in executive matters or major decision-making.
- The second method is to use a national Emirati company as a local service agent. Collaborating with these companies can enhance the security, credibility, and trustworthiness of your service company. This company will have no share in your company’s management or ownership.
Final words
In this article, we discussed the establishment and registration of a service company in Dubai. For Iranians seeking a renewable 2-year residence permit in Dubai, a service company can undoubtedly be a suitable option. These companies offer many advantages, and their registration process is generally easier compared to other types of companies. You can contact our experts through the provided communication channels for more information and specialized consultation.
