Thinking of starting your own business in the UAE? You’re not alone. Thousands of Nepalese set up companies in Dubai and other Emirates every year for the UAE’s strong economy and business-friendly environment. This guide explains the options, steps, costs, visas, and tips—for Nepalese in Nepal, the UAE, or anywhere in the world.
Table of Contents
- Why the UAE is Attractive for Nepalese
- Key Legal Structures
- Free Zone vs Mainland
- Step-by-Step Setup Process
- Setup Costs (2025)
- Best Business Ideas for Nepalese
- Challenges & How to Overcome
- Taxes, Renewals & Compliance
- Success Tips
- FAQ
📲 Free Consultation on WhatsApp: +971 56 918 5819
Why the UAE is Attractive for Nepalese Entrepreneurs
- 100% foreign ownership for many activities (free zones + much of mainland).
- Zero personal income tax and competitive corporate tax rules.
- World-class infrastructure and global trade connectivity.
- Fast, digital government services and clear procedures.
- Large Nepali community (>600,000), strong support network.
Key Legal Structures in the UAE
Mainland Company
Registered with the Department of Economy in each Emirate. Trade across the UAE and internationally; good for shops, restaurants, service firms, and B2C/B2B on the mainland.
Free Zone Company
100% ownership, streamlined setup, sector-focused jurisdictions (e.g., DMCC, SHAMS, DSO, Ajman Free Zone). Ideal for services, trading, e-commerce, consulting. Direct mainland sales require a local distributor or branch arrangement.
Offshore Company
For holding, international trade, and asset protection. Not for direct on-shore (UAE market) activities.
Free Zone vs Mainland (Quick Comparison)
| Feature | Free Zone | Mainland |
|---|---|---|
| Ownership | 100% foreign | 100% (most activities) |
| Market Access | Free zone + international | UAE + global |
| Office | Flexi/optional | Physical address required |
| Cost | Lower entry packages | Slightly higher |
| Best For | Startups, exporters, services | Retail, F&B, local services |
Tip: Testing a new idea? Start Free Zone. Opening a restaurant or retail/service outlet? Choose Mainland.
Step-by-Step Business Setup Process (Nepalese)
- Define the activity (trading, consulting, F&B, e-commerce, etc.).
- Pick jurisdiction (Free Zone / Mainland / Offshore).
- Reserve trade name per UAE naming rules.
- Prepare documents: passport, photo, visa/entry page, NOC (if employed), application forms.
- Initial approval from the authority.
- MOA/agreements (mainland) and notarization where required.
- Office or flexi-desk lease.
- Trade license issuance.
- Investor/partner visa (and family sponsorship later if needed).
- Corporate bank account (e.g., Emirates NBD, Mashreq, RAKBANK, ADIB).
Business Setup Cost in UAE (2025)
| Item | Estimated Cost (AED) |
|---|---|
| Free Zone license (basic) | 6,000 – 15,000 |
| Mainland license | 12,000 – 25,000 |
| Investor/partner visa | 3,000 – 5,000 |
| Office / Flexi desk (annual) | 3,000 – 8,000 |
| Bank minimum balance | 0 – 10,000 (varies by bank) |
Note: Packages change often—confirm the latest offers before paying anyone.
Best Business Ideas for Nepalese
- Restaurant / café (Thakali, Nepali cuisine)
- Cleaning or manpower supply
- Travel & visa services
- Import–export (tea, ghee, handicrafts)
- Grocery / mini-mart
- Tailoring / boutique
- Logistics, delivery, maintenance
- E-commerce / online store
Common Challenges & How to Overcome
- Paperwork & visas: follow official steps; avoid “shortcuts”.
- Capital: plan 6 months of operating runway.
- Market fit: study competition and pricing before locking a license.
- Network: join Nepali/UAE business groups and events.
Taxes, Renewals & Compliance
- Corporate tax: 9% on taxable profits above AED 375,000 (rules vary by zone/activity).
- VAT: 5% (register if turnover ≥ AED 375,000).
- Annual renewal: licenses and leases must be renewed on time.
- Books & audit: maintain accounts; some zones require audits.
Success Tips for Nepalese Entrepreneurs
- Start lean; scale with proof of demand.
- Prioritise service quality and transparency.
- Build trust with reliable partners and suppliers.
- Track cash flow from day one.
- Stay updated via official UAE portals.
Need help choosing Free Zone vs Mainland?
Chat on WhatsApp: +971 56 918 5819
Frequently Asked Questions (FAQ)
Can Nepalese own 100% of a UAE company?
Yes. Free zones offer 100% foreign ownership, and most mainland activities now allow full foreign ownership as well.
How long does setup take?
Typically 3–10 working days after documents and payments are complete.
Do I need to live in the UAE?
No. Remote setup is possible (especially in free zones), but being in the UAE helps with visas and banking.
Can I start on a visit visa?
Yes, but you must switch to investor/partner visa before operating.