The United Arab Emirates (UAE) is internationally renowned for its favorable business climate, straightforward regulatory environment, and, particularly, its attractive company creation and maintenance costs. This overview covers the average costs of establishing and maintaining a standard Limited Liability Company (LLC) in the UAE as of 2025.
Average Company Creation Costs in the UAE (2025)
Forming a Limited Liability Company (LLC) is the most common route for local and international investors in the UAE, offering flexibility and protection with minimal bureaucratic hurdles. The list below breaks down the average creation cost, with all figures provided in UAE dirhams (AED) and approximate USD conversions (1 AED ≈ $0.27 USD):
| Item | Amount (AED) | Amount (USD) |
|---|---|---|
| Trade name reservation | 620 AED | $168 |
| Initial approval from DED | 120 AED | $33 |
| Notarization of Memorandum of Association (MOA) | 2,000 AED | $545 |
| Initial registration fee (DED) | 600 AED | $163 |
| Commercial license issuance fee | 10,000 AED | $2,720 |
| Chamber of Commerce membership | 1,200 AED | $327 |
| Legal/lawyer fees (average) | 5,000 AED | $1,360 |
| Office rent (minimum required for registration) | 6,000 AED | $1,632 |
| Minimum capital requirement* | 30,000 AED | $8,160 |
*Note: As of 2025, there is no obligation to deposit the minimum capital, but it must be stated in the MOA.
Total Average Cost to Create an LLC: 25,000 AED (approximately $6,800 USD). This estimate excludes the stated (but not deposited) minimum capital requirement.
Annual Company Maintenance Costs in the UAE
Once established, maintaining an LLC in the UAE remains relatively straightforward and cost-efficient. Annual costs—mainly regulatory renewals, office rental, and basic compliance—are outlined below:
| Item | Annual Cost (AED) | Annual Cost (USD) |
|---|---|---|
| Trade license renewal (DED) | 8,000 AED | $2,176 |
| Chamber of Commerce annual renewal | 1,200 AED | $327 |
| Office rent (minimum, required for license renewal) | 6,000 AED | $1,632 |
| Accounting/auditing services (average) | 2,000 AED | $545 |
| Legal/lawyer retainer (optional but common) | 2,000 AED | $545 |
| Other government fees (e.g., signage, waste) | 800 AED | $218 |
Typical Annual Maintenance Range (2025): 12,000 – 25,000 AED ($3,270 – $6,800 USD), depending on factors such as office location, legal arrangements, and whether optional services (like retainer fees) are retained.
Key Takeaways: Company Costs in the UAE
- The UAE remains a favorable jurisdiction for business, with efficient setup and predictable maintenance costs.
- Creation costs for an LLC average around 25,000 AED ($6,800 USD), not including the stated but not deposited minimum capital.
- Annual maintenance expenses are highly competitive by international standards, ranging between 12,000 and 25,000 AED ($3,270–$6,800 USD).
Pro Tips for Establishing and Maintaining a Company in the UAE
- Plan for office space early. A physical office is mandatory for LLC registration and license renewals, so scout options before you begin paperwork.
- Review your legal structure and MOA carefully. Ensure your Memorandum of Association is future-proofed against business expansion or transfer of shares.
- Anticipate all annual renewals. Bundle license, Chamber, and office renewals to avoid administrative penalties and streamline compliance.
- Engage experienced accounting and legal support. Even though minimum capital isn’t required to be deposited, proper documentation is always scrutinized.
- Monitor government fees and regulatory changes. Small annual increments may occur, so check official sources regularly.
Official UAE Government Resources
Overall, the UAE’s business environment offers both cost-efficiency and regulatory clarity for company founders in 2025. The clear structure for formation and annual upkeep, combined with access to official information, makes the UAE an attractive option for maintaining international or regional business operations. Always double-check the most recent regulatory changes to ensure ongoing compliance and cost-optimization year after year.