How to Set Up a Consultancy or Professional Services Firm in the UAE

Management consulting, IT consulting, HR advisory, marketing services — professional services licences are among the most commonly issued in the UAE. If you are selling expertise rather than physical products, this is the licence category for you. Dubai alone hosts over 40,000 active professional licences.

What Is a Professional Licence?

A professional licence authorises individuals or firms to offer services based on specialised knowledge, skills, or qualifications. Unlike a commercial licence (which covers trading in goods), a professional licence is designed for service-oriented businesses. Common activities include management consultancy, IT services, legal consultancy, accounting, engineering consultancy, marketing, and training. The professional licence is available on both mainland and free zone. Some professional activities — particularly in healthcare, legal, and financial services — require additional regulatory approvals.

Why the UAE?

The UAE is home to thousands of multinational companies, regional headquarters, government entities, and fast-growing SMEs — all of which rely heavily on external consultants. The demand for advisory services across tax, technology, digital transformation, and regulatory compliance has surged following the introduction of corporate tax.

For international consultants, the UAE offers a compelling personal tax environment. There is no personal income tax on salaries or professional fees, and the corporate tax rate is capped at 9%.

Where to Set Up

Mainland professional licences are the default choice if your clients are UAE-based companies or government entities. A mainland licence allows you to invoice directly to any customer in the UAE without restrictions.

Free zone professional licences work well for consultants whose clients are primarily outside the UAE, or for those who want lower setup costs. Popular free zones for consultancies include DMCC, Dubai Silicon Oasis, Sharjah Media City (Shams), RAKEZ, and IFZA.

For financial advisory or regulated financial services, DIFC and ADGM offer common law frameworks with specialist regulators.

Key Requirements

Professional licences typically require the owner to hold relevant qualifications or experience in the declared activity. Some emirates and free zones may ask for educational certificates, CVs, or professional accreditations. The premises requirement is lighter than for trading companies — a flexi-desk, co-working space, or serviced office is usually sufficient.

For certain regulated professions — healthcare, legal, engineering, auditing — you will need approval from the relevant authority before your licence can be issued. These approvals can add two to twelve weeks.

The Setup Process

For standard consultancy activities, licence applications in free zones are typically processed within two to five business days. Mainland licences take one to three weeks. Visa processing adds another one to two weeks.

Banking takes three to eight weeks. Total timeline: three to eight weeks.

What It Costs

Free zone professional licence packages start from AED 8,000 to AED 15,000 for the first year. Mainland professional licences in Dubai range from AED 20,000 to AED 40,000 all-in. DIFC and ADGM setups for regulated financial advisory start significantly higher — typically AED 50,000 to AED 100,000 or more.