For many entrepreneurs in Germany, the dream of global expansion starts with one name: None other than Dubai! It’s not just famous for its towering skyscrapers but also for its wide range of business opportunities.
That’s why in today’s blog, we’ll explore in detail the Company Formation in Dubai from Germany. This will be a complete guideline of establishing a company in Dubai as a German citizen.
Once upon a time Dubai was known mainly for its luxury and skyscrapers. But nowadays the United Arab Emirates (UAE), especially Dubai has transformed into one of the most business-friendly destinations in the world, especially for foreign investors who seek tax advantages, quick setup and international reach.
But here’s the real question:
Can you start a company in Dubai while living in Germany?
The short answer is yes! And this guide will show you exactly how.
How to Establish a Company in Dubai from Germany?
Establishing a company in Dubai from Germany is easier than many entrepreneurs think. With Dubai’s investor-friendly policies, tax benefits and strong global connections, it has become a hotspot for international businesses.
In this section, we’ll walk you through the key steps, legal requirements, and essential tips to successfully establish a company in Dubai from Germany — from planning to registration.
We will explain all the details and step by step guide of establishing a company in Dubai from Germany.
Why Dubai Attracts Entrepreneurs from Germany
In recent years, Dubai has become a magnet for German entrepreneurs. The reasons go far beyond sunshine and palm trees.
Basically, Dubai attracts German entrepreneurs with its tax-free environment, strategic global location and streamlined business setup process.
Beyond the lifestyle appeal, it offers modern infrastructure, political stability and access to Middle Eastern, Asian, and African markets: And this makes Dubai a perfect hub for international growth and investment.
So let’s check some of the core points of Dubai…
- 0% corporate and personal income tax for most sectors
- 100% foreign ownership allowed in free zones
- No currency restrictions and full profit repatriation
- World-class infrastructure, logistics, and air connectivity
- Political and economic stability backed by strong legal protection for investors
While Germany remains one of the most powerful economies in Europe, many business owners find the tax load, bureaucracy, and energy costs overwhelming. Dubai offers the opposite: a simplified and globally connected business environment.
| Factor | Germany 🇩🇪 | Dubai 🇦🇪 |
| Corporate tax | ~30% (combined) | 0% (most sectors) |
| Setup time | 3–6 weeks | 3–7 days |
| Foreign ownership | Limited (GmbH rules) | 100% in free zones |
| Currency restrictions | Yes | None |
Can You Really Open a Company in Dubai While Living in Germany?
Of course you can! Many entrepreneurs assume that they need to relocate first, but that’s not true anymore. If you are a German citizen then you can do that. But if you are a German citizen by naturalization then you need to live there. You can’t operate it remotely. That’s all.
Thanks to digital verification, e-signatures, and remote registration systems, you can complete the entire process from Germany — with the help of a licensed agency in Dubai.
In most cases, you’ll only need to provide notarized documents and power of attorney. Your local partner will handle everything else: from company registration to visa, bank account, and licensing.
Types of Companies You Can Set Up in Dubai
It is very important to have a clear understanding of something before starting it. And opening a business in Dubai is no exception. That’s why understanding the business structure is key before you begin. In general, various types of companies can be established in Dubai. Let’s take a quick look at them.
1. Mainland Company
- Operates anywhere in the UAE and internationally
- Requires a physical office in Dubai
- Best for those who plan long-term residence or local clients
2. Free Zone Company
- 100% foreign ownership
- No personal or corporate tax
- Easy setup and renewal process
- Ideal for consulting, IT, digital, trading, or import/export businesses
3. Offshore Company
- Mainly for holding assets or international trade
- No UAE visa or office required
- Not for local business activity
Tip: Most Germans choose Free Zone Companies like IFZA, DMCC, or RAKEZ because they combine flexibility, low cost and full ownership.
Step-by-Step Guide: Company Formation in Dubai from Germany
In this section, I’ll explain how you can register a company in Dubai as a German citizen. Step by step, I’ll guide you through the process to make your company formation as simple as possible.
Step 1: Choose Your Business Activity
Dubai has more than 2,000 business activities— from consulting to e-Commerce or marketing to general trading. Pick one that aligns with your expertise and long-term plan.
Step 2: Select the Jurisdiction
Decide whether you want a Mainland, Free Zone or Offshore company. Free Zones are ideal for remote setup from Germany.
Step 3: Reserve Your Company Name
Choose a business name that follows UAE naming guidelines— avoid religious or political terms. Your agency can reserve it for you within 24 hours.
Step 4: Prepare and Submit Documents
You’ll need:
- Passport copy of all shareholders
- Proof of German address (e.g., Meldebescheinigung)
- Business activity details
- Passport-sized photos
- Power of attorney (if your agency represents you)
Step 5: Receive Initial Approval
The government authority (such as IFZA or DMCC) reviews your documents and issues preliminary approval.
Step 6: Sign Incorporation Documents
These can be e-signed or notarized remotely from Germany.
Step 7: Open a Business Bank Account
This step can take 1–3 weeks. Your agency usually assists you with bank introductions and compliance requirements.
Step 8: Receive License and Start Operations
Once the license is issued, you can officially operate your Dubai company— even while staying in Germany.
Documents Required for German Residents
As a German citizen, you’ll need to provide several documents to open a business in Dubai. Let’s take a look at what they are.
- Valid passport copies
- Proof of address in Germany
- Company name reservation certificate
- Notarized Power of Attorney (if applicable)
- Articles of Incorporation or Memorandum (MoA)
- Business plan (if requested by authority)
Costs of Company Formation in Dubai
The cost depends on the type of company, number of visas and Free Zone.
The cost of starting a business in Dubai can vary widely. It mainly depends on a few key factors— such as the type of company you want to set up (for example, a sole proprietorship, LLC or a free zone company), how many visas you’ll need for employees and dependents, and which free zone you choose to operate in.
All these things affect the overall expenses, so it’s important to plan your budget carefully before getting started.
| Structure | Approx. Cost (€) | Includes |
| Free Zone Company | €2,500 – €6,000 | License, registration, basic visa quota |
| Mainland Company | €7,000 – €12,000 | License, sponsor, office space |
| Offshore Company | €1,800 – €3,000 | Registration, no visa |
Annual renewals are typically lower than the initial setup cost.
Banking and Financial Requirements
Opening a UAE bank account is one of the trickiest steps, especially for non-residents.
Local banks will ask for:
- Business license copy
- Shareholder passport
- Proof of business activity
- Source of funds documentation
Some entrepreneurs choose international banks or digital fintech solutions like Wio, Mashreq NeoBiz, or Wise for faster onboarding.
Tax Benefits and Double Taxation Rules
Dubai’s biggest appeal is its tax-free structure, but as a German resident, you must understand how taxation applies internationally.
- The UAE–Germany Double Taxation Agreement (DTA) helps avoid paying taxes twice.
- If your business activities are genuinely based in Dubai, profits are usually tax-exempt in Germany.
- Always seek advice from a tax consultant to ensure compliance with Finanzamt rules and prove business substance abroad.
Visa and Residency Options
Setting up a company also opens the door to living in Dubai.
Common visa types:
- Investor Visa – for business owners (valid up to 3 years)
- Remote Work Visa – for digital entrepreneurs
- Golden Visa – long-term residency for large investors
Even if you don’t plan to move immediately, holding a visa gives you flexibility for future relocation or expansion.
Common Mistakes to Avoid
- Choosing the wrong Free Zone or license type
- Relying on unverified or unlicensed agents
- Ignoring German tax obligations
- Not maintaining an active business presence (for substance tests)
- Expecting local banks to work like German ones — compliance is stricter
How a Professional Agency Helps
A licensed Dubai business setup agency bridges the gap between German entrepreneurs and UAE authorities.
Such agencies handle:
- Company registration and licensing
- Jurisdiction and activity selection
- Visa application and renewals
- Bank account assistance
- Legal documentation and compliance
If you’re in Germany, this partnership is invaluable — they become your on-ground team in Dubai.
Real-World Example: Case study
Klara, a 38-year-old consultant from Munich, wanted to expand her coaching business globally. Instead of creating a GmbH branch, she registered a Free Zone company in IFZA Dubai.
Within a week, her business license was ready. She opened a virtual office, linked her German clients to Dubai invoices, and now operates completely tax-free while continuing to live in Germany.
Her story shows how remote business formation is not just possible— it’s realistic.
Company Formation in Dubai from Germany FAQs
No, you don’t have to live in Dubai. You can easily handle the entire setup process from Germany through an authorized agent who manages all registration and legal formalities on your behalf.
It usually takes around 5 to 10 business days after submitting all the required documents, depending on the type of company and the efficiency of the chosen free zone or authority.
Yes, you can. In most Free Zones, foreign investors are allowed to own 100% of their company without needing a local sponsor or partner.
Usually not, if your Dubai company has real economic substance and operations outside Germany. However, tax situations can vary, so it’s best to consult a qualified tax advisor for personalized guidance.
Yes, it’s possible but can be more difficult. Some banks now offer remote verification and online account opening, though having a Dubai visa often makes the process smoother and faster.
Conclusion
Dubai represents opportunity, speed and freedom. From Germany, you can access this world with just a few documents and the right guidance.
Whether you’re a freelancer, eCommerce owner, or established German GmbH looking to expand, Dubai welcomes your ambitions with open arms and open markets.
Let your business grow beyond borders. Partner with a professional agency today— and start building your company in Dubai, right from Germany.
