Creating a business setup in Dubai is always encouraged by the Government of Dubai. It is due to continuous efforts of the ruler of Dubai that it has become an ideal place of investment for foreigners.

Dubai invites entrepreneurs from different countries to invest in their expending markets. Number of tourists visiting Dubai is increasing day by day and areas like restaurants, retails, brand outlets, hotels, etc. are growing, making Dubai the land of profit. Also view this complete guide; How to start a business in Dubai.


For setting up business in Dubai, I would advise new investors to follow simple guidelines below:

  1. Understanding The Region:

Before starting any new business in any new country, one must be fully aware regarding demographics, laws, culture, etc. of the new region. You should have sound knowledge regarding different institutions of the respective country and how they work. Being the land of diversity, Dubai celebrates many festivals belonging from various regions and culture.

  1. Market Knowledge:

Extensive market research is required to make sure you get maximum profit. You must have practical business plan of how this new business setup in Dubai will give you maximum yield. Deep analysis is required to study trend of locals as well as foreigners, their lifestyles, likes and dislikes in food and clothing, etc.

  1. Selecting Local Sponsor Or A Free Zone For Company Formation:

Once you are aware of basic structure of setting up business in Dubai, next step is to decide whether you are going to select any UAE National for sponsorship or going for Free zone.

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The difference between the both are as following

  1. Local Sponsor: A local sponsor is a UAE National who owns 51% of share of your business. It is considered better means then the other one as by selecting a local sponsor, it gives the owner freedom to set up business in any city of Dubai, which is economical and one can enjoy full potential of Dubai markets.
  2. Free Zone: If you want to own 100% of share of your company, then selecting free zone method is the best option. A business setup in Dubai free zone, will let one enjoy full ownership of the company along with speedy start-up and duty free custom limitations. But, it is not ideal of retail business and food chains due to high rental and purchase prices of Free- Trade zone district.
  1. Visa Eligibility:

Creating a business set up in Dubai, it is important that owner along with the potential employees are eligible for work permit in Dubai. The number of visa a company can issue for their employees depend upon the size of the company.

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