UAE Company Formation Costs in 2026: A Transparent Budget Guide
A practical budget guide to UAE free zone and mainland company setup costs, banking timelines and annual compliance expenses.
Setup costs depend on structure
One of the first questions every entrepreneur asks when considering a UAE company setup is: how much will it actually cost?
The answer is more complex than many online guides suggest. Setup fees vary significantly between free zones, mainland authorities and business activities, and there are ongoing costs beyond the initial licence that many first-time founders underestimate.
This guide gives a realistic, transparent picture of what to budget for in 2026.
Free zone company typical cost breakdown
Free zone costs vary by zone. The following ranges give a realistic view of popular options in 2026.
- Trade licence fee: AED 8,000 to AED 20,000 per year depending on the free zone and activity.
- Registration and establishment card: AED 2,000 to AED 5,000 as a one-off cost.
- Virtual or flexi-desk office: AED 3,000 to AED 8,000 per year if no physical office is required.
- Visa allocation: AED 3,500 to AED 5,500 per visa including medical, Emirates ID and residence permit.
- Memorandum of Association notarisation: AED 500 to AED 1,500.
Free zone first-year total
Total first-year cost for a single-shareholder free zone company with one visa is typically around AED 20,000 to AED 40,000 depending on the zone.
Mainland company typical cost breakdown
- Trade licence fee, such as DED Dubai or equivalent: AED 10,000 to AED 25,000 depending on activity.
- Office lease, usually mandatory: AED 15,000 to AED 40,000 per year for a small office.
- Ejari registration: around AED 220.
- Immigration and visa costs: AED 3,500 to AED 5,500 per visa.
- MOA notarisation through a notary public: AED 1,000 to AED 3,000.
Mainland first-year total
Total first-year cost for a basic mainland setup with two visas and a small office is typically around AED 40,000 to AED 80,000.
Banking costs and timeline
Opening a UAE corporate bank account has become more demanding and time-consuming. Most major banks now require a minimum average balance of AED 50,000 to AED 100,000 to avoid monthly charges.
Some challenger banks and digital-first options are available with lower requirements. Allow 4 to 8 weeks from licence issuance to a fully operational bank account.
Ongoing annual costs
Many business owners focus on setup costs but underestimate the annual obligations that continue after incorporation.
- Trade licence renewal: usually similar to the initial annual licence fee.
- Visa renewals: every 2 to 3 years depending on visa type.
- Accounting and bookkeeping: AED 500 to AED 2,500 per month depending on volume.
- VAT return filing: AED 300 to AED 800 per quarter if outsourced.
- Corporate tax return preparation: AED 2,000 to AED 5,000 per year.
- Year-end financial statements: AED 1,500 to AED 4,000 per year.
How Countify can help
Countify manages the full company formation process for businesses across UAE free zones and the mainland.
We support structure advice, licence applications, bank account guidance, VAT registration and ongoing accounting, with a clear upfront cost estimate before you commit.
Need a second pair of eyes?
Countify helps UAE businesses keep their accounts, tax filings and compliance work clear from the start.
Talk to Countify