Types of business licences
Before you start, you should have a fair idea of the type of business you wish to start, and how many partners you plan to have in your company. Picture used for illustrative purposes only. Image Credit: Supplied

Dubai: If you are on the fence about starting your own business venture and would like to know more about how much you may need to invest in getting a business licene, there is a free tool that you can use to know the cost of a business licence in Dubai.

The business cost calculator is a service provided by Invest in Dubai, which is operated by Dubai Economy and Tourism Department (DET). However, before you start, you should have a fair idea of the type of business you wish to start, and how many partners you plan to have in your company. Once you are clear on these details, follow these steps to figure out how much the business licence would cost:

1. Visit https://invest.dubai.ae/business-setup-recommendation

2. Under 'business idea details' enter the type of company you wish to set up. As you are keying in the type of business you want to start, a drop down menu will appear, giving you options from all the business licence types available under DET. It is important that you select one of these options to proceed with the cost calculation. If you are unable to find your type of business, within the list, you can contact Invest In Dubai on 600500006 to know how you can proceed with your business setup.

3. Next, enter the number of business partners, including yourself.

4. Then, select the nationality of the partner/partners from the three options - UAE nationals, GCC nationals, Expatriate.

5. Click 'Next'. The system will then give you the possible legal forms that you can set up your company in (such as: LLC, EST, PJSC, PrJSC.)
Select the one that is most suitable for you.

6. Once you have entered these details, the calculator will give you all the possible business licence options available to you and the cost for each. In some instances, you might be asked to enter the rent amount before you can get the licence's estimated cost. This is because the business licence also includes five per cent of the rent cost. This does not apply to a virtual licence, which does not require a physical office space.

What does the cost include?

The cost of the licence is for the duration of one year and you will be required to pay the same amount at the time of renewal each year.

It is also important to note that this is only the cost of the business licence, and does not include the complete set up cost, which would also include visa fees, rent and other costs like utility services and amenities. To get a better idea of all the costs you would need to factor in when it comes to seting up a business in the UAE, read our guide here.

After this, if you are interested in going ahead with setting up your business in Dubai, click here to find out the steps you will need to take.

Do you have questions related to the topics covered in the Living in UAE section? Write to us at readers@gulfnews.com