Definition |
Onshore company registered under the government authority of the concerned Emirate. |
Company formed within a special jurisdiction under a particular Emirate. |
Company registered in UAE, operating outside UAE as a holding company for investments. |
Ownership |
100% foreign ownership (in some cases, a UAE national is required as an agent). |
Expat can hold 100% shares; no UAE national is required. |
Expat can hold 100% shares. |
Office Space |
Requires office space, either actual or virtual, to start a company and open a bank account. |
Flexi desk space provided, generally by free zone itself. |
No office space required in UAE. |
Business Scope |
Can operate inside and outside UAE, including government projects. |
Can operate within the free zone and outside UAE (service activity in B2B). |
Can only operate outside the Emirates. |
Audit |
Audit is not mandatory. |
Audit is mandatory in a few free zones. |
Audit is not mandatory. |
Visa |
Employment visa available based on business needs and office space limitations. |
Residence visa available based on office size and license package. |
Residence visa is not granted. |
Capital Requirement |
No minimum capital requirement, except for certain activities. |
Minimum capital requirement based on free zone rules. |
No minimum capital requirement. |
Privacy/Secrecy |
Details available to public upon request. |
Details available to public upon request. |
Names and owners’ identities are private. |
Govt. Authorities for Company Setup |
Requires permissions from DED, MOHRE, Dubai Municipality, etc. |
Each free zone has its own rules and authority. |
Offshore formations by RAK, JAFZA, AFZA, etc. |
Setup Cost |
High |
Medium |
Low |
Bank Account |
Easy to open a bank account. |
Moderate difficulty in opening a bank account. |
Difficult to open a bank account. |