How to Start a Business in Dubai From India?

With over 3.5 million Indians currently residing in Dubai, it’s no surprise that the city has become a top hub for Indian business owners— “Habibi, come to Dubai”. 

You see Indian brands everywhere in Dubai– Nykaa, Anita Dongre, even cool F&B like The Big Chill.  Not just that. Zepto, the world’s second largest downloaded quick commerce app according to a report, is also thriving in Dubai. It’s not just the story of retail, Indian companies are making waves in fintech, healthcare, and so much more.

Besides, Dubai actively supports the growth of startups through an ecosystem that includes incubators, accelerators, and venture capital funds. Incubators, in particular, play a primary role by providing startups with access to resources such as workspaces, mentorship from industry experts, educational programs, and connections to investors.

 All in all, if you’re an Indian business owner thinking of expanding your business, Dubai could be another world for you. 

This blog will walk you through the steps of setting up business in Dubai, from going through the legal side of things to finding the right support from Wizer pro.

Let’s get you on your way to success in this exciting market.

Why Start a Business in Dubai?

Before diving into the how, let’s explore the why. Here are some reasons why Dubai is a top choice for your business in 2025 and beyond.

1. Tax-Free Environment

Dubai offers zero income tax, corporate tax (in most sectors), and customs duties, making it a lucrative destination for business growth. Unlike India, where you have to pay 30% if your taxable income is up to Rs. 1 crore. For a company, the tax rate is 30% but if your turnover is less than Rs. 250 crores, the tax rate will be 25%. 

So what will you choose: A country where there are many chances to grow or a country where there are many benefits to grow?

2. Strategic Location and Convenience

Dubai serves as a gateway between the East and West, providing easy access to markets in Asia, Europe, and Africa. In other words, Dubai is the middle person of the world. From India, it hardly takes three hours to reach Dubai via a flight, equivalent to travelling to most cities of India.

3. Global-Like Infrastructure 

From free zones to advanced logistics and transportation networks, Dubai renders the kind of ecosystem that every business craves for. For your information, the Dubai government has allocated 46% of the total spending proposed in its 2025 budget for the infrastructure sector and its related construction projects. This means more money, more businesses to add, more growth.

4. Ease of Doing Business

The UAE government has streamlined processes to make it easy for foreigners to set up and operate businesses in Dubai or anywhere in the UAE, in general.

5.Economy Speaks

Dubai’s economy is no longer reliant on oil, with sectors such as tourism, real estate, technology, and finance. In business ideology in Dubai, the domain doesn’t dictate success – your idea is paramount. Once the core of your idea becomes crystal clear and precisely defined, making conversions easier and faster, your business is ready for launch.

Read in detail: Top 5 Benefits of Starting a Business in the UAE

Steps to Start a Business in Dubai from India

Starting a business in Dubai involves several steps, from choosing the right business structure to obtaining the necessary licenses.

Choose Your Business Activity

Decide on the type of business you want to establish. Dubai offers opportunities in various sectors, including trading, consulting, IT, hospitality, and manufacturing. Ensure your business activity aligns with UAE laws and regulations. First step first.

Select a Business Structure

Dubai offers several business structures for foreign entrepreneurs:

1. Mainland Company: Allows you to operate anywhere in Dubai and the UAE. Requires a local Emirati sponsor who owns 51% of the business.
   
2. Free Zone Company: 100% foreign ownership, tax exemptions, and setup processes. However, your business operations are limited to the free zone.
   
3. Offshore Company: Ideal for international trading and holding assets. It does not allow you to operate within the UAE.

Tip: Many Indian entrepreneurs prefer free zones due to full ownership and easier to do business.

Choose a Business Name

Select a unique name for your business that goes in sync with UAE naming conventions. Avoid using offensive or religiously sensitive words. The name must end with the legal structure (e.g., LLC, FZE).

Apply for a Business License

Depending on your business activity, you’ll need one of the following licenses:

• • Commercial License: For trading activities.
  • Professional License: For service-based businesses.
  • Industrial License: For manufacturing or industrial activities.
    
    

Submit the required documents, including your business plan, passport copies, and proof of address, to the Department of Economic Development (DED) or the respective free zone authority.

Secure Office Space

For mainland companies, you’ll need to lease office space in Dubai. Free zones often provide flexible office solutions, including shared workspaces and virtual offices.

Open a Corporate Bank Account

Choose a bank in Dubai to open a corporate account. Provide the necessary documents, such as your business license, shareholders’ passports, and proof of address.

Obtain Visas for Yourself and Your Employees

Apply for a residency visa in the UAE for yourself and your employees. By the way, the number of visas depends on the size of your office space and business activity.

Register for VAT (if applicable)

If your business turnover exceeds AED 375,000, you must register for Value Added Tax (VAT) with the Federal Tax Authority (FTA).

Comply with Local Regulations

Ensure your business adheres to UAE labor laws, immigration rules, and industry-specific regulations.

Renew your business license annually to avoid penalties.

Do your Medical & Biometrics

This step is also a part of obtaining a residency visa in the UAE. You and your employees will need to undergo a medical examination at a designated medical center. The examination typically includes blood tests, chest X-rays, and other relevant tests. 

After the medical examination, you will need to visit a designated center to provide your biometric data, such as fingerprints and facial scans. This data is used for the issuance of your Emirates ID, which is a mandatory identification document for all residents in the UAE.

To-Dos for Indian Entrepreneurs

1. Cultural Sensitivity: Understand and respect the local culture and traditions so as to align with your business goal.
   
   
2. Market Research: Conduct thorough research to identify demand, competition, and pricing strategies.
   
   
3. Legal Assistance: Get a business consultant company in Dubai to make you seamlessly go through the legal complexities. 

4.Networking: Join business councils and chambers of commerce to build connections and gain insights.

Popular Free Zones for Indian Entrepreneurs

Here are some free zones that are popular among Indian business owners:

Dubai Multi Commodities Centre (DMCC): Ideal for trading and commodities.

Jebel Ali Free Zone (JAFZA): Perfect for logistics and manufacturing.

Dubai Silicon Oasis (DSO): A hub for technology and innovation.

 Dubai International Financial Centre (DIFC): Best for financial services.

Cost of Starting a Business in Dubai

The cost varies depending on the business structure, license type, and office space. Here’s a rough estimate:

• • For Free Zone Company: AED 15,000 to AED 50,000 (including license and visa fees).
  • For Mainland Company: AED 20,000 to AED 100,000 (including sponsor fees and office rent).

In a Nutshell

Dubai’s business-friendly policies, customized market, and a community with a diverse workforce make it a launchpad for Indian businesses of all sizes. Well, starting a business in Dubai can be rewarding, but again the complexities of setting up the same need expert guidance and services under one roof. 

Your manifestation comes true with Wizer, without going anywhere for the first time. 

All you need to do is to download the Wizer app today and be on this journey of a few taps with us by connecting you with trusted names in the UAE like DUN & BRADSTREET, Virtuzone, and Lion Mortgage.