Thinking about launching your own business in Dubai as a UK citizen? You’re not alone – and yes, you absolutely can. Thousands of British entrepreneurs have already made the move, and for good reason. Dubai is no longer just a glittering vacation spot; it’s a global business magnet, offering a powerful mix of opportunity, tax advantages, and world-class infrastructure.
In fact, Dubai attracted over $20 billion in foreign direct investment in 2025 alone, with the UK ranking among the top contributors. From thriving tech ventures to luxury retail and consulting firms, British businesses are flourishing across the city.
So, what makes business setup in Dubai such a smart move for UK citizens – and how can you get started with ease? Let’s dive in.
Is It Legal for UK Citizens to Start a Business in Dubai?
Yes, it’s 100% legal. Thanks to progressive reforms under Federal Decree-Law No. 26 of 2020, UK nationals can now fully own their companies in many sectors – no Emirati partner required.
This major shift in the UAE Commercial Companies Law, effective from June 2021, has opened the door to over 1,000 business activities for full foreign ownership. That means more freedom, more control, and more opportunity for British investors.
Where Should You Set Up? Exploring Dubai’s Three Main Business Jurisdictions
One of the most important decisions in your Dubai business journey is selecting the right jurisdiction. Here’s a breakdown of your options:
1. Mainland Dubai
Mainland companies are licensed by the Dubai Department of Economy and Tourism (DET) and allow you to operate across the UAE.
Why it’s ideal for UK entrepreneurs:
- Trade directly with the UAE market
- Access government contracts
- No currency restrictions
- Full foreign ownership in most sectors
Perfect for: Brick-and-mortar businesses, service providers, and those targeting local customers.
2. Free Zones
Dubai is home to over 40 free zones tailored to specific industries – like DIFC (finance), DMCC (commodities), IFZA, and Dubai Internet City.
Free zone benefits:
- 100% foreign ownership
- 0% personal and corporate tax (in most cases)
- Easy repatriation of capital and profits
- Streamlined setup process
Perfect for: Tech startups, consultants, import-export businesses, and digital entrepreneurs.
3. Offshore Companies
Offshore setups like JAFZA Offshore or RAK ICC are designed for international trade and wealth management – not for local trading.
Key advantages:
- Total foreign ownership
- Tax-efficient structures
- No office or visa requirements
Perfect for: UK investors looking to hold assets, manage wealth, or launch global businesses.
Step-by-Step: How UK Citizens Can Set Up a Business in Dubai
Here’s your roadmap to successful business setup in Dubai:
- Choose Your Business Activity
Decide what you’ll do – this affects your license type and jurisdiction options. - Select a Jurisdiction & Legal Structure
Pick between mainland, free zone, or offshore – and choose the right company structure (LLC, sole proprietorship, branch office, etc.). - Reserve Your Trade Name
Ensure your business name is available and aligns with UAE naming laws. - Get Initial Approval
Submit your application for pre-approval of your business activity. - Secure a Business Address
Lease a workspace or opt for a virtual office if you’re setting up in a free zone. - Apply for Your Trade License
This is your official permission to operate in Dubai. - Open a UAE Business Bank Account
A crucial step for managing your finances – note that physical presence may be required. - Apply for Visas
Get a residency visa for yourself and your team to live and work legally in Dubai.
Pro Tip: Many steps can be done remotely, but for bank accounts and visas, you’ll need to be physically present in the UAE.
Required Documents for UK Nationals
Here’s what you’ll need to prepare:
- Valid passport copy
- Passport-sized photos
- Proof of UK residential address
- Tenancy contract (Ejari, if required)
- Business plan (for certain jurisdictions)
- No Objection Certificate (if applicable)
- UBO declaration
- Bank reference letter
Some documents may need notarization and attestation depending on your chosen jurisdiction.
What Are the Costs for UK Citizens?
Business setup costs vary based on jurisdiction and license type. On average, UK citizens spend between AED 25,000-50,000 (approx. £5,375-£10,750).
Cost breakdown:
- Mainland license: AED 12,000-30,000
- Free zone packages: Start from AED 10,000 (often includes visa and office space)
- Other costs: Visa fees, bank account setup, medical exams, insurance, and document processing
What Type of UAE Residence Visa Should You Get?
UK citizens can apply for several visa types:
- Investor Visa – for company owners
- Employment Visa – for employees of UAE businesses
- Freelancer Visa – for self-employed professionals in select sectors
- Golden Visa – long-term visa (5-10 years) for investors, talent, and entrepreneurs
- Retirement Visa – for those over 55 with sufficient financial means
- Student Visa – for enrolled UK students in UAE institutions
Why UK Entrepreneurs Are Choosing Dubai
Here’s why business setup in Dubai is booming for Brits:
- Zero personal income tax
- Strategic gateway to global markets
- British-friendly environment with 240,000+ UK nationals
- High-quality lifestyle and healthcare
- World-class financial services
- Quick, streamlined company setup process
Why Arab Asset Consulting Is the Best Business Setup Consultant in Dubai
Setting up a business in Dubai can be exciting – but it also comes with complexity. That’s where Arab Asset Consulting comes in.
As the best business setup consultant in Dubai, we help UK citizens like you navigate every step:
- Company registration in mainland or free zones
- Trade license processing
- Visa and Emirates ID services
- Bank account opening support
- Legal documentation and compliance
- Tailored advice based on UK-UAE business goals
Whether you’re launching a new venture or expanding an existing one, our experts are here to make it easy, efficient, and stress-free.
Frequently Asked Questions (FAQs)
1. Can I own 100% of my business in Dubai as a UK citizen?
Yes. Full foreign ownership is now allowed in most sectors.
2. Do I need to be in Dubai to start my business?
Not for the entire process – but you’ll need to be present for banking and medical formalities.
3. Can I open a UAE bank account?
Yes, once your business is registered and you have a UAE visa.
4. How does the cost of living compare to the UK?
Dubai offers tax savings and excellent quality of life, though housing and education can be premium-priced.
5. How long does the setup take?
With expert help, you can be fully operational in just 7-21 days.
Ready to Start Your Business in Dubai?
Let Arab Asset help you set up your company in Dubai – the smart, secure, and streamlined way.
Contact us today to get a free consultation and take the first step toward success in the UAE.
