The UAE is a thriving hub for tech startups, offering 100% foreign ownership, tax benefits, and world-class infrastructure. This guide covers everything you need to know—from choosing a business structure to costs, required documents, and step-by-step setup.
Step 1: Choose Your Business Structure:
Tech businesses in the UAE can be set up in:
1. Mainland (DED License)
- Operate anywhere in UAE
- Can bid for government contracts
- Requires a local service agent (LSA) for certain activities (not ownership)
- Best for: B2B SaaS, AI, blockchain, and IT services
2. Free Zone (100% Foreign Ownership)
- No corporate tax
- No need for a local sponsor
- Best for: Startups, e-commerce, fintech, and software development
- Top Free Zones for Tech:
– Dubai Silicon Oasis (DSO) – Best for IT & hardware
– Dubai Internet City (DIC) – Ideal for software & digital services
– RAK Digital Assets Oasis (RAK DAO) – For blockchain & Web3
– Abu Dhabi Global Market (ADGM) – Fintech & AI
3. Offshore (For Holding Companies)
- No physical office required
- No UAE market access
- Best for: IP protection, international tax optimization
Step 2: Business Licensing & Legal Requirements:
| License Type | Best For | Estimated Cost – AED |
| Technology License | Software, AI, IoT | 15,000 – 30,000 |
| E-Commerce License | Online Marketplaces, Apps | 10,000 – 25,000 |
| Fintech License | Payment Gateways, Blockchain | 50,000+ (DIFC) |
| Freelance Permit | Solo Developers, Consultants | 10,000 – 15,000 |
Required Documents:
- Passport copies of shareholders
- UAE visa (if applicable)
- Business plan (required for some free zones)
- For mainland: Local Service Agent (LSA) agreement
- For free zones: Office lease (flexi-desk acceptable)
- For fintech: Additional regulatory approvals (e.g., from Central Bank of UAE)
About Easy Step:
Easy Step Consultancy established in 2014 in UAE, where turning your entrepreneurial dreams into reality is as easy as it gets! We are your trusted partners in navigating the dynamic world of business setup and growth. With a deep understanding of the industry and an unwavering commitment to excellence, we simplify the complexities so you can focus on what truly matters—your vision.
At Easy Step, we specialize in hassle-free company formation, offshore setups, licensing solutions, tailored business strategies, Investment Management and all kind of business services. Whether you’re an aspiring entrepreneur or an established enterprise, our expert team ensures every step is smooth, professional, efficient, and transparent.
Contact us now to start your company formation journey in UAE.
