Business Set Up

UAE Business Setup

Dubai is often marketed as “quick and easy”, a place where you can set up a business in 48 hours. But what those sales-led claims don’t mention is what happens after you receive your licence.

Most business owners don’t realise:

Tax Registration

You must still register for UAE corporate tax, even if you qualify for an exemption

Substance Requirements

You must meet substance requirements to retain Free Zone tax benefits.

Transfer Pricing

Intercompany transactions between the UK and UAE require transfer pricing documentation.

HMRC Exposure

HMRC may still tax your UAE profits if the structure is not set up correctly.

A low-cost licence won’t protect your profits if HMRC determines your UAE company is controlled from the UK.

Realistic Timeline: Structuring the UAE the right way

See what a fully compliant, tax-conscious setup looks like, from strategic planning to full operational readiness.

Week 1–2: Tax-Led Planning & Entity Design

What We Do:
• Assess your UK group structure and ownership
• Identify any Controlled Foreign Company (CFC) risks
• Match your business activity to the correct Free Zone and licence
• Select entity type: FZE, FZCO, Branch, Holding Co, or LLC
• Draft shareholding structure and review intercompany relationships

Why It Matters:
This is where most agent-led setups go wrong. They choose the cheapest or most convenient licence with no consideration for tax, banking, visas, or reporting.

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Week 3–4: Licence Issuance and Initial Incorporation

What Happens:
• Trade license issued from your chosen Free Zone or mainland authority
• MOA and certificate of incorporation issued
• Establishment card obtained for immigration
• Initial UAE bank account applications submitted (timeline varies by activity)

Why It Matters:
Many Free Zones offer fast licensing but are rejected by banks or do not support your actual business activity. We guide you toward zones like DWTC or ADGM that offer credibility and long-term flexibility.

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Week 5–7: Residency Visa and Emirates ID

What Happens:
• Entry permit issued
• Medical test and biometric scan completed
• Emirates ID and UAE residency visa granted (valid for 2 to 3 years)

Why It Matters:
Residency is not just a visa. It helps demonstrate substance for UAE tax purposes and strengthens your defense under UK CFC rules

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Week 8–10: Compliance Setup and Operational Readiness

What We Do:
• Register your company for UAE Corporate Tax with the FTA
• Register for VAT if applicable (based on threshold or voluntary registration)
• Set up bookkeeping, accounting systems, and UAE-compliant software
• Draft intercompany agreements and transfer pricing documentation
• Build a tax calendar for UAE and UK reporting

Why It Matters:
Agents rarely support long-term compliance. We build your UAE structure on a tax and reporting framework that holds up under audit in both jurisdictions.

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Ongoing Reporting and Tax Responsibilities

What UAE-based companies need to file, how often, and who it applies to

UAE Corporate Tax Return

Frequency: Annually
Applies to: All companies, even those under AED 375,000

UAE VAT Returns

Frequency: Quarterly or monthly
Applies to: Only companies registered for VAT.

UK Transfer Pricing Review

Frequency: Annually
Applies to: UAE companies linked to a UK parent, owner, or group company

Audited Financial Statements

Frequency: Annually
Applies to: Most Free Zone companies or those with AED 50M+ turnover

Intercompany
Structuring

Frequency: Annually or upon cross-border transactions
Applies to:
UAE Free Zone or Mainland entities with UK parent/subsidiary, service recharges, cost-sharing, or IP/licensing arrangements

Transfer Pricing Documentation

Frequency: Annually
Applies to: Companies with related-party transactions or AED 50M+ revenue
We protect your tax position. Agents focus on licences. We design for compliance, substance, and long-term strategy.
Farid Gasanov
Managing Partner & Founder
Let’s design your setup with compliance in mind from the start.
Book a tax-led consultation and get tailored advice on which structure fits your UK entity, ownership, and future plans.
Book a call