Dubai business setup requirements and licensing costs

Establishing a business in Dubai involves specific regulatory requirements and costs. For those entering the automotive sector, an auto spare parts trading licence (activity code 4530) is required to distribute components. In mainland Dubai, the estimated total cost for such a licence ranges from AED 18,000 to AED 35,000, covering trade name approval, annual licence fees, Ejari-registered commercial leases, visa processing, and customs code registration.

General company formation in Dubai requires various documents depending on the legal structure and activity. Essential paperwork typically includes valid passport copies for all shareholders, passport-size photographs, and a proposed trade name that complies with local regulations. Business owners must also provide detailed descriptions of their intended activities to ensure they receive the correct licence and meet any necessary regulatory approvals.