Dubai has become a global hub for business, attracting investors from all over the world, including Russian citizens. With its tax-friendly policies, strategic location, and robust infrastructure, Dubai offers an excellent environment for entrepreneurs looking to expand internationally. Whether you are interested in setting up a Free Zone company, a Mainland business, or an Offshore entity, Dubai provides multiple options to suit different business needs. How Russian Citizens Can Start a Business in Dubai UAE
This guide will walk you through the step-by-step process of starting a business in Dubai as a Russian citizen, covering key aspects such as legal requirements, visa options, and benefits.
Why Dubai is an Ideal Destination for Russian Entrepreneurs
Before diving into the process, it’s important to understand why Dubai is a great place for Russian business owners:
- Tax Benefits – The UAE offers a 0% corporate tax rate for most businesses (except for large corporations making over AED 375,000 per year, which are subject to a 9% corporate tax). There is also no personal income tax.
- 100% Foreign Ownership – Russian entrepreneurs can fully own businesses in Free Zones and certain Mainland sectors.
- Strategic Location – Dubai is a global trade hub connecting Asia, Europe, and Africa, making it an excellent location for international businesses.
- Ease of Doing Business – The UAE government has simplified company formation procedures, making it easier for foreigners to set up and operate businesses.
- Access to a Large Market – Dubai’s diverse and growing population, along with its status as a global tourist hub, offers a vast market for various business industries.
- Residency Visa – By setting up a business in Dubai, Russian investors can obtain a UAE residence visa, allowing them and their families to live in the country.
Step-by-Step Guide to Starting a Business in Dubai for Russian Citizens
Step 1: Choose the Right Business Structure
Before registering a business, you need to decide on the type of business structure that suits your needs. The main options available in Dubai are:
- Mainland Company – Ideal for those who want to operate within Dubai and across the UAE. Offers full ownership in many sectors.
- Free Zone Company – Best for businesses that want 100% ownership, no corporate tax, and easy import/export benefits. Suitable for international trade, e-commerce, consultancy, and technology businesses.
- Offshore Company – A good option for those looking for asset protection, tax benefits, and international business activities without a physical office in the UAE.
Step 2: Choose a Business Activity
Dubai has a broad range of business activities that Russian entrepreneurs can engage in, such as:
- Trading and Import-Export Business
- E-commerce and Online Businesses
- Consultancy Services (Legal, IT, Marketing, etc.)
- Tourism and Hospitality
- Real Estate and Property Management
- Financial and Investment Firms
Each business activity requires specific licenses, so it’s essential to choose the right one before proceeding.
Step 3: Select the Business Location
The choice of business location depends on the type of business you want to start:
- Mainland Businesses – Require office space and can operate anywhere in the UAE.
- Free Zone Businesses – Must be established within a specific Free Zone (e.g., Dubai Multi Commodities Centre, Jebel Ali Free Zone, Dubai Internet City, etc.).
- Offshore Businesses – Can be registered in offshore jurisdictions such as JAFZA Offshore or RAK Offshore.
Step 4: Register Your Business Name
Russian investors need to follow Dubai’s business naming rules, which include:
- The name should not include any offensive words.
- If using personal names, they must be full names (no abbreviations).
- The name must be unique and not already registered in Dubai.
The trade name reservation can be done through the Dubai Department of Economic Development (DED) for Mainland companies or through Free Zone authorities for Free Zone businesses.
Step 5: Obtain the Necessary Business License
The type of business license depends on the nature of the company:
- Commercial License – For trading, retail, and import/export businesses.
- Professional License – For service-based businesses like consultancy, legal, and IT firms.
- Industrial License – For manufacturing, production, and factory-based businesses.
- E-commerce License – For online businesses and digital services.
If you are opening a Free Zone company, the respective Free Zone authority will issue the license. For Mainland businesses, the DED is responsible for license issuance.
Step 6: Obtain Visas for Business Owners and Employees
Once the business license is approved, Russian business owners can apply for UAE residency visas. The process includes:
- Entry permit application
- Medical fitness test
- Emirates ID application
- Visa stamping on the passport
Business owners can also sponsor family members and employees, making it easier to relocate to Dubai.
Step 7: Open a Corporate Bank Account
To run a business in Dubai, you need a corporate bank account. Some of the best banks for Russian investors include:
- Emirates NBD
- Mashreq Bank
- First Abu Dhabi Bank (FAB)
- Dubai Islamic Bank
Banks require proper documentation, including passport copies, trade licenses, and proof of business activity.
Step 8: Set Up an Office (If Required)
Mainland companies must have a physical office, while Free Zone businesses often provide flexible office solutions such as co-working spaces and virtual offices. Offshore businesses typically do not require office space.
Step 9: Comply with Tax and Regulatory Requirements
While the UAE offers tax benefits, Russian business owners must comply with:
- VAT Registration
- Economic Substance Regulations (ESR) for certain business types
- Anti-Money Laundering (AML) Compliance for financial businesses
Dubai offers Russian entrepreneurs an excellent business environment with tax advantages, global connectivity, and simplified company formation procedures. By following the steps outlined above, Russian citizens can successfully establish their businesses in the UAE and benefit from its growing economy.If you are a Russian investor looking to start a business in Dubai, partnering with professional business setup consultants can make the process smoother and ensure compliance with UAE laws.
Would you like expert assistance in setting up your business in Dubai? Contact us today!
