Investing in Dubai is a golden opportunity for Arab investors, especially Iraqis seeking a stable economic environment that supports their business growth. Thanks to flexible investment laws, advanced infrastructure, and government facilitation, it has become easy for entrepreneurs to establish companies in various sectors. However, it is essential to understand the steps for establishing a company in Dubai for Iraqis to ensure a smooth and successful process.
The process of establishing a company in Dubai includes choosing the type of company, obtaining the necessary licenses, registering the business, and fulfilling legal requirements related to residency and visas. In this article, we will detail the steps for establishing a company in Dubai for Iraqis, from initial planning to obtaining a commercial license, highlighting the best ways to facilitate the process and save time and effort for Iraqi investors.
Steps for establishing a company in Dubai for Iraqis
Iraqi investors have the opportunity to easily establish their companies in Dubai , as the emirate offers a sophisticated business environment and flexible procedures. The steps vary depending on the type of company and its location (mainland or free zones), but they generally follow the following path:
1- Selecting the business activity:
The company’s business activity must be selected from among more than 2,000 approved activities in Dubai, such as trade, industry, services, and consulting.
2- Determining the legal form of the company.
The Iraqi investor chooses the legal structure for his company, and the options include:
- Limited Liability Company (LLC) on the mainland.
- Sole proprietorship if the owner is one person.
- A company in a free zone that allows 100% foreign ownership and tax benefits.
3- Trade name registration:
A distinctive trade name that complies with Dubai laws must be chosen and submitted to the Department of Economic Development (DED) or the selected free zone authority.
4- Obtaining initial approvals:
An application is submitted to the relevant authorities to obtain initial approval for establishing the company.
5- Preparing and notarizing the articles of association.
On the mainland, a notarized articles of association must be prepared.
In free zones, the establishment agreement is signed according to the zone’s regulations.
6- Renting the company’s headquarters
on the mainland. The lease contract must be registered in the Ejari system.
In free zones, a virtual or shared office can be chosen to reduce costs.
7- Obtaining the commercial license.
After completing the procedures and paying the fees, the commercial license is officially issued.
8- Opening a business bank account:
A bank account must be opened in the company’s name in one of the approved banks in the UAE.
9- Applying for an investor residence visa:
An Iraqi investor can apply for an investor residence visa to conduct business and reside in Dubai.
10- Starting your business:
After obtaining all licenses and approvals, the investor can officially start operating his company in Dubai.
Documents required to register a company in Dubai
To establish a company in Dubai, whether on the mainland or in the free zones, a set of official documents must be submitted to ensure compliance with local laws. Requirements vary depending on the type of company and business activity, but there are basic documents required in all cases.
Basic documents for company registration in Dubai
- A copy of a valid passport for all partners and shareholders.
- Residence visa or entry stamp to the UAE (if the investor is a resident).
- Recent passport photos with a white background for each partner or shareholder.
- No Objection Certificate (NOC) if one of the partners is a resident of the UAE under the sponsorship of another party.
- Select a trade name and obtain approval from the Department of Economic Development (DED) or the Free Zone Authority.
- The company’s articles of association authenticated by the competent authorities (required for limited liability companies).
- A company headquarters lease contract certified by the Real Estate Regulatory Authority (Ejari) on the mainland, or a licensed office in the free zone.
- A company’s business plan for some activity, such as financial consulting or real estate investment.
Additional documents depending on the type of activity
- A professional or commercial license for specific activities such as medicine, education, or financial services.
- Regulatory approval for some sectors such as tourism, health, and communications.
Costs of establishing a company in Dubai for Iraqis
The costs of establishing a company in Dubai for Iraqis depend on several factors, such as the type of company, its location, and the required licenses. In general, the basic costs include:
- Company registration fees: vary depending on the type of company and the region (mainland or free zones).
- Commercial license cost: depends on the business activity and the type of license required (commercial, industrial, professional).
- Visa and Residence Fees: Includes investor visa and associated residence costs.
- Office or commercial space rent: Varies depending on location, with options available in free zones and the mainland.
- Government fees and permits: such as security approval fees and permits for certain activities.
- Bank account opening costs: Some banks require a minimum deposit when opening an account.
- Legal and consulting fees: These include the costs of hiring legal advisors or specialized offices to facilitate the incorporation process.
Why is Dubai an ideal destination for Iraqi businessmen?
Dubai is one of the world’s most prominent investment destinations, offering a dynamic business environment that supports entrepreneurs and investors of various nationalities, including Iraqis. Dubai boasts several factors that make it an ideal choice for Iraqi businessmen seeking to expand their businesses or start new projects.
1- A stable and secure investment environment
. Dubai provides economic and political stability, giving Iraqi businessmen confidence in their investments. The UAE also enjoys one of the highest security rates in the world, making it a safe environment for business and residence.
2- Ease of establishing companies:
Dubai is characterized by simplified procedures for establishing companies, as an Iraqi investor can quickly establish his company through the mainland or free zones that provide advantages such as full foreign ownership (100%) and tax exemptions.
3- Tax exemptions and investment incentives:
Dubai offers an attractive tax system, with no personal income tax, and many companies in free zones enjoy long-term tax exemptions.
4- A growing and diverse market
. The UAE market serves as a link between global markets, allowing Iraqi businessmen easy access to the Gulf, Asian, and African markets. Dubai also boasts a large Iraqi community, facilitating communication and commercial expansion.
5- Advanced infrastructure:
Dubai boasts modern ports, world-class airports, and a sophisticated transportation network, making it a major logistics hub that facilitates import and export operations.
6- Diverse investment opportunities:
Dubai offers investment opportunities in real estate, trade, technology, tourism, and financial services, providing Iraqi businessmen with multiple options for growth and expansion.
7- Investor Residence Visa:
Iraqi businessmen can obtain an investor residence permit, which allows them to live and work in Dubai, sponsor their family members, and benefit from banking and educational benefits.
Following the correct steps for establishing a company in Dubai for Iraqis ensures investors successfully establish their businesses and take advantage of the investment opportunities available in the emirate. Thanks to the laws that support entrepreneurs and the facilitations provided by the government, Iraqis can establish their companies quickly and without complications, whether in free zones or on the mainland.
If you’re planning to start your business in Dubai, it’s essential to be aware of every step of the process of establishing a company in Dubai for Iraqis to ensure compliance with the laws and take advantage of all available benefits. With proper planning and legal advice, you can embark on a successful investment journey in one of the world’s most prosperous markets.
Top Frequently Asked Questions About Starting a Company in Dubai for Iraqis
How long does it take to obtain a trade license in Dubai?
The duration ranges from one week to a month depending on the type of activity and the procedures required.
Can Iraqis obtain residency in the UAE when establishing a company?
Yes, the company owner and its employees can obtain an investor residency for a period ranging from two to 10 years, depending on the type of visa and investment.
Can Iraqis open a bank account for their company in Dubai?
Yes, you can open a bank account after obtaining a commercial license, provided you submit the required documents such as the articles of association, commercial license, and passport.
Can Iraqis establish a company in Dubai?
Yes, Iraqi investors can establish companies in Dubai, whether in free zones (with 100% ownership) or on the mainland, according to the laws regulating each type of company.
