The UAE offers entrepreneurs several options for obtaining a residence permit through business ownership. Company owners can obtain a visa that allows them to reside in the country by opening a company in the mainland or in one of the free economic zones.
In most cases, there are no minimum charter capital requirements, though a license is necessary for certain industries. After registering the company, entrepreneurs can apply for a residence permit and apply for permits for their family members.
However, obtaining UAE citizenship through business remains an exceptional case. The country has a strict naturalization policy, and obtaining a passport is only possible by government decision. The UAE golden visa for business owners is a separate long-term residency route, granted to selected entrepreneurs with a proven track record of success and investment impact, offering a 10-year renewable residence status.
Benefits of getting a business visa in the UAE
- A foreigner can start his own business in the UAE, a country with a developed economy that regularly ranks high in global comparisons and is the top-ranked country in the region.
- The national currency, the dirham, is stable; the rate against the U.S. dollar has not changed since 1997.
- The country is located in the center of the Middle East region. Direct flights are available to more than 90 countries, and about a third of the world’s nations are located within a four-hour flight.
- The UAE legal system is favorable to entrepreneurs, including foreign ones. The law only requires a minimum authorized capital for joint stock companies (public and private), which greatly simplifies the registration of LLCs and general or limited partnerships.
- The government allows legal entities with an annual income of less than USD 102,096 to avoid paying corporate taxes. In some cases, companies registered in free zones have a similar opportunity.
- The country is renowned for its high level of security, thanks to its strict legal norms and effective law enforcement.
- Immigrants in the UAE feel quite comfortable due to the large number of residents of different nationalities and the English-speaking community.
Who is eligible to apply for a residence permit?
A foreigner can obtain a resident visa by carrying out one of the following economic activities in Dubai or other emirates:
Setting up a business from the ground up or becoming a business partner: requires an investment permit from the Federal Authority for Identity, Citizenship, Customs, and Port Security (ICP), regional authority approval, and proof of investment. This route is often referred to as the business partner visa UAE, and it suits those who plan to invest or co-invest in an existing company rather than launch a new entity from scratch.
Creating an innovative economic project: A statement from a UAE auditor on the startup’s value of at least USD 136,130 is required, as well as letters of confirmation from Emirati authorities and a business incubator accredited in the country.
Working as a self-employed individual or freelancer: The applicant must confirm their qualifications and financial solvency for the period of their stay in the country, or provide proof of income from these activities for the previous two years totaling USD 98,000, as well as obtain permission from the Ministry of Human Resources and Emiratisation.
This option is suitable for foreigners who plan to run their own business in the UAE but lack the resources to open an enterprise in the state. The applicant can apply for a freelance visa and, in the long term, form a legal entity and change the type of residency.
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UAE business visa requirements
Moving to the UAE for business purposes involves opening a company in the mainland or a free economic zone, obtaining an entry visa on this basis, and, upon arrival, a residence permit for a certain period of time. The applicant should prepare a dossier for each stage of the process, including requesting approval to establish and develop a business, registering the company, and becoming a legal resident of the country.
Documents
To obtain initial approval from the authorities to do business in the UAE, applicants should submit a completed application form to the Department of Economic Development (DED) along with a dossier. The dossier usually includes the following:
- A business plan;
- For existing businesses, the dossier should include a trade license or proof of registration;
- Copies of the passports of the shareholders and appointed manager;
- Signatures of these individuals;
- A manager’s original Registration Identification Code (RIC) (certified by a public notary, along with a copy);
- Documents of title, if required;
- A letter of intent summarizing the investor’s business project and plan;
- Financial statements for two years or a bank statement, if necessary.
Certain types of activities require authorization from the relevant government agency. For example, to open a law firm, apply to the Ministry of Justice; to open a clinic or medical center, apply to the local health department; and to open a travel agency or car club, apply to the executive board. In addition to an application, a freelancer’s package of documents includes a resume, a letter from a financial institution, and a RIC for the executive director.
To register a business, the owner must submit a preliminary approval decision to open the company and the following documents to the authorized service:
- A completed application form using the established format;
- A decision by the governing body to appoint a manager, a power of attorney issued to this person, and the signature (notarized);
- Information on the authorized capital;
- A photo of the manager in passport format;
- A notarized Memorandum of Association and Articles of Association;
- Lease agreement;
- Permits from the relevant state authorities (if required);
The exact list of documents required depends on the firm’s location (mainland or free zone), the emirate, and other factors. The list should be requested individually from the competent authority.
To obtain a permit to enter the UAE and become a resident, the applicant must submit a dossier to the authorized body that includes the following:
- A certificate from the Ministry of Economy or DED indicating the existence of a commercial license, the participant’s share in the business, and the employment agreement with the manager;
- A passport-size photo;
- A copy of the passport;
- Financial guarantees;
- Health insurance.
Registration for a residence permit (resident visa) based on opening a business requires submitting the following to the authorized body:
- An application for an Emirates ID card;
- A passport-size photo with a white background;
- Entry permit;
- A copy of a valid passport;
- Health insurance;
- A certificate of medical fitness issued by a certified institution.
UAE business visa processing time and validity
The processing time for business registration differs depending on how documents are submitted (electronically or in person to the Department of Economic Development): 15 minutes or four days, accordingly. Permission to enter the state is issued within 48 hours of applying to the authorized body; the same applies to registering a resident visa. The total time it takes to open a company in the UAE and obtain a residence permit on this basis depends on how long it takes to prepare the documents.
Most business visas in the UAE are issued for three years, but certain emirates offer a 5-year UAE business visa under extended residency programs, especially for high-net-worth individuals and successful entrepreneurs.
To avoid mistakes and delays, it is important to compile a dossier for each stage of the process that adheres to the country’s legal requirements. are thoroughly familiar with the nuances of UAE legislation and will help compile all the necessary documents correctly.
UAE business visa cost breakdown
The minimum amount of capital required to start a business depends on the type of entrepreneurial activity, the organizational form, the territory (free economic zone or mainland) and other aspects. Entrepreneurs should take into account costs associated with product or service development, employee salaries, purchasing or renting premises and equipment, paying utilities, and other expenses. While costs vary depending on the emirate and company structure, free zone companies often offer the cheapest business visa in UAE, making them a popular choice among budget-conscious entrepreneurs.
The approximate costs of starting a business and obtaining a UAE resident business visa are shown in the table below.
| Cost item | Estimated amount, $ |
|---|---|
| Obtaining initial DED approval | From 32,68 |
| Name registration | From 68, as determined by the Emirate DED |
| Licensing | From 163,4 |
| Establishment Card | 43,56–70,8 |
| Entry permit fees | 95,3 |
| Financial guarantee for entry permit | 272,3 |
| Residence permit registration fees | 27,23 for each year of residency 68,1 for the application and online services |
| Emirates ID issuance | 76,23 |
In addition to the official fees listed in the table, consider the costs of renting a place to live, transporting your belongings, medical exams, and legal services.
With professional assistance, an entrepreneur can move to the UAE as quickly as possible. Specialists are ready to provide that includes all possible expenses.
Business structures eligible for UAE business visa
According to UAE law, 100% foreign ownership is permitted only for legal entities of the following business structures:
- A general partnership;
- Limited Liability Company (including those established by a single founder);
- A limited partnership;
- Private joint stock company.
For companies established by several partners, the permissible number of founders ranges from 2 to 50. Full foreign ownership is not permitted for businesses engaged in certain activities, such as security and defense, financial and banking services, and telecommunications. When establishing a business in a free economic zone (FEZ), applicants should check which types of companies can be registered there.
Which companies/businesses a foreigner can start in the UAE?
On the mainland part of the UAE, foreigners have the right to start companies of the following legal forms:
- General Partnership: a business established by two or more partners who are jointly and severally liable for the business’s obligations, including personal assets;
- Limited Partnership: a company owned by at least two people, at least one of whom is jointly and severally liable, and the other is limited to their contribution to the authorized capital;
- Limited Liability Company: a company formed by one or more partners whose liability is limited to their contributions to the business;
- Private joint-stock company: a business whose capital is divided into shares of a certain nominal value. The number of shareholders is limited to 200, and the owners’ liability is limited to the amount of funds specified in the bylaws;
- A civil enterprise: established by two or more people who are engaged in similar professional activities (e.g., teaching, tailoring, or providing beauty services);
- Public joint-stock company: a legal entity that has capital divided into shares, some of which are distributed among the founders and some of which are offered for sale through a public offering;
- Sole proprietorship: a business owned by one person who is personally liable for financial obligations.
The following types of businesses can be established within the structure of a free economic zone:
- Free Zone Establishment (FZE): an enterprise registered by a single founder, who can be an individual or a legal entity;
- Limited Liability Company (FZ LLC);
- Free Zone Company (FZCO): established by a minimum of two founders (individuals or legal entities);
- A branch of a local or international company: an enterprise that retains legal dependence on the parent organization.
There are six main types of licenses on the UAE mainland:
- Professional;
- Commercial;
- Tourist;
- Agricultural;
- Industrial;
- Labor.
Each type of license may include several varieties of employment of the same kind. Free zones offer more licensing options, such as for media activities or education. However, for FEZ, the right to produce and to provide services isn’t always included in the same license.
Which individuals are more likely to be granted a permit to live in the country?
It is easier to obtain a UAE residence permit for individuals who consistently and competently fulfill all the requirements for business residency. To register a company, prior approval from the authorities is required, as well as additional permission from the relevant body, if necessary, and a license to carry out the chosen type of activity. Upon arrival in the UAE, the applicant must undergo a medical examination.
Without a thorough understanding of the country’s legislation, it is easy to make mistakes that will delay the process and result in the wasted time and money.
How to start a business in the UAE and obtain a residence permit?
- Set the direction of the business. There are more than 2,000 types of business activities in the UAE. Depending on the chosen business activity, a certain type of economic license will be issued — for example, commercial, industrial, or professional. You can choose more than one type of activity to organize a business in the UAE.
- Choose the business structure. The legal form of the organization depends on its location (mainland or FEZ), business activity, and the owner’s requests and needs.
- Register the company name and, if necessary, the trademark. The application for name reservation is submitted to the Department of Economic Development (DED) of the relevant emirate. Name requirements include uniqueness and compliance with the type of activity. The name must also include an abbreviation of the organizational form of the company, such as LLC. The name may not contain references to religion or authorities or words or phrases that violate public order or morality. The request for trademark registration is submitted directly to the Ministry of Economy.
- Select FEZ (if required). Applicants who plan to open a firm in a free zone should choose a business space according to the type of activity. There are more than 40 free economic zones operating in the UAE.
- Obtain the initial approval. The applicant must obtain confirmation from the UAE government that they have no objections to a foreigner organizing a business in the country. The request and package of documents are submitted to the Department of Economic Development of the relevant emirate.
- Choose a business location. For a mainland company, a physical address is mandatory. For a firm registered in a free zone, a virtual office is sufficient; the contract is signed with the free zone authority.
- Draft a memorandum of association and an agreement with a local service agent (for businesses on the mainland). If an entrepreneur establishes a limited partnership, LLC, public or private joint stock company, a memorandum of association must be prepared. Non-resident-owned companies are required to enter into an agreement with a service agent (individual or legal entity) from the UAE. A notary or court must notarize the document.
- Obtain additional permits, if necessary. If the business activity requires an additional permit, the applicant should request it from the relevant agency.
- Business registration and licensing. The application can be submitted online through the Basher electronic platform. Alternatively, the application can be submitted in person at specialized government service centers, public service offices (Tasheel, OnTime), certified legal organizations, or customer service centers at the emirates’ economic development departments. After obtaining a license, a person opening a business on the mainland must register it with the regional Chamber of Commerce and Industry.
- Open a bank account. After obtaining a license and other business registration documents, the business owner must conclude a service agreement with a local or international financial institution in the UAE.
- Register the Establishment Card. An Establishment Card containing business data is issued through government digital services or certified customer service centers. A copy of the business license is required to obtain an Establishment Card.
- Apply for an entry permit. Based on the business registration documents, the foreigner requests an entry permit from the ICP. The application is submitted through the service’s website or application or through a certified center.
- Entry and residence permit. Upon arrival in the UAE, the foreigner undergoes a medical examination and submits a request to the ICP for the issuance of a residence permit and an Emirates ID resident identity card, either online or through a certified customer service center. The finished card can be received in person at the service center or via delivery.
UAE business residence visa for family members
After obtaining a UAE residence permit by opening a company, a resident may invite family members to join them in the country. This category includes family members with the following ties:
- Spouse;
- Unmarried daughters, regardless of age;
- Sons under 25 years of age;
- Adopted children, with the consent of the biological parent;
- Dependent sons with special needs, regardless of age;
- Parents, if there is no one to support them in their country of residence.
The minimum income of the person sponsoring the family must be USD 1,089 or USD 816.80 and living support. Adult family members must undergo a medical examination at certified medical centers in the UAE. If the sponsor’s residence permit is revoked, the residence permits of his or her relatives also become invalid.
Legal residency of the father and mother provides for the payment of a bond in accordance with the requirements of the immigration department of a particular emirate. Parents can only be sponsored together; otherwise, it is necessary to justify the absence of one of them (divorce or death certificate). Visa issuance for these individuals is valid for 12 months and is renewed annually, regardless of the sponsor’s residential status.
Turnkey business immigration to the UAE
iWorld provides full legal support for obtaining a UAE residence permit when opening a company. Specialists thoroughly review the client’s situation, select a suitable business location (mainland or free zone), handle business registration formalities, and assist applicants throughout the residency process, including obtaining an Emirates ID card. All services are provided on the basis of a formal contract. Because of their extensive knowledge of the country’s legislation and experience in the field, the specialists select the best solution for each client and help them obtain the desired result in the shortest amount of time possible.
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