What is the Cost of Setting up a Business in Ajman?

  • Home
  • Blog
  • blog
  • What is the Cost of Setting up a Business in Ajman?
Cost of Setting up a Business in Ajman

As the business landscape continues to evolve, entrepreneurs and investors are constantly seeking lucrative opportunities to establish their ventures. Ajman, one of the seven emirates of the United Arab Emirates (UAE), has emerged as an attractive destination for business setup due to its strategic location, investor-friendly policies, and competitive costs. This comprehensive article will delve into the various aspects of setting up a business in Ajman, including the associated costs, legal requirements, and the advantages of choosing this dynamic emirate.

An Overview of Ajman’s Business Landscape

Ajman has made significant strides in diversifying its economy and attracting foreign investment. With a strategic location between Dubai and Sharjah, the emirate offers easy access to major transportation hubs, making it an ideal base for businesses seeking to expand their operations across the UAE and the broader Middle Eastern region.

The Ajman Free Zone (AFZ) and the Ajman Offshore (AO) have played pivotal roles in fostering a conducive environment for business growth. These free zones offer a range of incentives, including 100% foreign ownership, no personal or corporate taxes, full repatriation of capital and profits, and simplified business setup processes.

Learn More: Business Setup in Ajman

Types of Business Entities in Ajman

Entrepreneurs interested in setting up a business in Ajman can choose from various legal structures, each with its own advantages and requirements. The most common types of business entities in Ajman are:

  1. Limited Liability Company (LLC): This is the most popular form of business entity in Ajman and is suitable for small and medium-sized enterprises. LLCs offer limited liability protection for shareholders and can be established with a minimum of two partners. Learn More: Cost of LLC Formation in Dubai
  2. Free Zone Company: Businesses operating within the Ajman Free Zone can benefit from 100% foreign ownership, full repatriation of capital and profits, and exemption from various taxes and customs duties.
  3. Branch Office: Foreign companies can establish a branch office in Ajman to conduct business activities within the emirate and the UAE.
  4. Professional Company: This business entity is suitable for consultants, lawyers, and accountants who wish to operate their practice in Ajman.
  5. Sole Establishment: Also known as a sole proprietorship, this business entity is ideal for individuals who want to operate a small business independently.

Costs Associated with Business Setup in Ajman

The cost of setting up a business in Ajman can vary depending on the type of business entity, the chosen free zone or mainland location, and the specific requirements of the venture. Here’s a breakdown of the typical costs involved:

  1. License and Registration Fees: Depending on the type of business entity and the chosen free zone or mainland location, license and registration fees can range from AED 10,000 to AED 50,000 or more.
  2. Share Capital Deposit: For Limited Liability Companies (LLCs), a minimum share capital deposit is required, which typically ranges from AED 150,000 to AED 300,000, depending on the nature of the business activity.
  3. Visa and Immigration Costs: If you plan to hire employees from outside the UAE, you will need to factor in the costs associated with visa processing, medical examinations, and Emirates ID card issuance, which can range from AED 5,000 to AED 10,000 per employee.
  4. Office Rental and Setup Costs: Rental costs can vary significantly depending on your office’s location and size. Additionally, you may need to consider the costs of office furniture, equipment, and other setup expenses.
  5. Professional Service Fees: Many businesses seek the assistance of professional service providers, such as legal consultants, auditors, and business setup consultants, which can add to the overall costs.

establishing a business in Ajman is to decide on the type of business setup in ajman that best suits your requirements. Ajman offers various options, including mainland companies, free zone companies, and offshore entities. The cost of setting up a business will vary depending on the chosen structure. Here are the main types of business setups and their approximate costs:

Mainland Company in Dubai (Limited Liability Company – LLC):

  • Initial Approval: AED 2,000 – AED 3,000
  • Share Capital: Minimum AED 300,000 (can be higher depending on the business activity)
  • Trade License: AED 5,000 – AED 10,000 (depending on the activity and number of shareholders)
  • Other Fees: AED 3,000 – AED 5,000 (e.g., office lease, visa costs)

Free Zone Company in Dubai:

  • Free Zone Company Setup: AED 15,000 – AED 25,000
  • Trade License: AED 10,000 – AED 20,000 (depending on the activity)
  • Other Fees: AED 5,000 – AED 10,000 (e.g., office lease, visa costs)

Offshore Company in Dubai:

  • Company Setup: AED 10,000 – AED 20,000
  • Trade License: AED 5,000 – AED 10,000

Read More: Ajman Media City Free Zone (AMC)

Advantages of Setting up a Business in Ajman

Despite the associated costs, setting up a business in Ajman offers numerous advantages, making it an attractive destination for entrepreneurs and investors. Here are some of the key benefits:

  1. Strategic Location: Ajman’s strategic location between Dubai and Sharjah provides easy access to major transportation hubs, facilitating seamless business operations and logistics.
  2. Competitive Costs: Compared to other emirates in the UAE, setting up a business in Ajman is generally more cost-effective, making it an attractive option for businesses looking to optimize their expenses.
  3. Tax-friendly Environment: Businesses operating in Ajman benefit from a tax-friendly environment, with no personal or corporate taxes, which can significantly increase profitability.
  4. Investor-friendly Policies: Ajman’s free zones and government authorities have implemented investor-friendly policies, streamlining business setup processes and providing various incentives to attract foreign investment.
  5. Access to Skilled Workforce: With its proximity to major cities like Dubai and Sharjah, Ajman offers a skilled and diverse workforce, enabling businesses to tap into a pool of talented professionals.

Read More: How to set up a company in Ajman Free Zone?

Legal Requirements for Business Setup in Ajman

To ensure a smooth and compliant business setup process in Ajman, it is crucial to adhere to the legal requirements set forth by the relevant authorities. Here are some key legal considerations:

  1. Trade License: All businesses operating in Ajman must obtain a valid trade license from the Ajman Department of Economic Development or the relevant free zone authority.
  2. Visa and Immigration Compliance: If you plan to hire employees from outside the UAE, you must comply with the visa and immigration regulations set by the UAE government.
  3. Labor Laws: Businesses in Ajman must adhere to the UAE’s labor laws, which govern employment contracts, employee rights, and workplace safety regulations.
  4. Intellectual Property Protection: If your business involves intellectual property, such as trademarks, patents, or copyrights, it is essential to register and protect these assets with the appropriate authorities.
  5. Environmental Regulations: Depending on the nature of your business, you may need to comply with environmental regulations and obtain necessary permits or licenses.

The Role of Business Setup Consultants

Navigating the intricacies of setting up a business in Ajman can be complex, especially for entrepreneurs and investors new to the region. This is where the expertise of business setup consultants like Incorpyfy can prove invaluable.

Business setup consultants offer a range of services to facilitate a smooth and efficient business setup process. They can assist with:

  1. Legal and Regulatory Compliance: Consultants ensure that your business adheres to all relevant laws and regulations, minimizing the risk of non-compliance and potential penalties.
  2. Documentation and Paperwork: They handle the necessary documentation and paperwork, saving you valuable time and ensuring accuracy.
  3. Free Zone and Mainland Registration: Consultants can guide you through registration, whether you set up your business in a free zone or on the mainland.
  4. Visa and Immigration Services: They can assist with visa and immigration processes, ensure compliance with UAE regulations, and expedite the onboarding of foreign employees.
  5. Advisory and Support: Business setup consultants provide valuable advisory services, offering insights into the local market, industry trends, and best practices for successful business operations in Ajman.

By leveraging the expertise of reputable business setup consultants in dubai like Incorpyfy, entrepreneurs and investors can navigate the complexities of setting up a business in Ajman with confidence and efficiency.


Setting up a business in Ajman presents a lucrative opportunity for entrepreneurs and investors seeking to establish a presence in the UAE. While the associated costs may vary based on the chosen business entity, location, and specific requirements, the advantages of operating in Ajman, such as its strategic location, tax-friendly environment, and investor-friendly policies, make it an attractive destination.

By partnering with experienced business setup consultants in dubai like Incorpyfy, entrepreneurs can navigate the complexities of the business setup process with ease, ensuring compliance with legal requirements and maximizing their chances of success in the dynamic business landscape of Ajman.

Remember, the key to a successful business setup in Ajman lies in thorough preparation, meticulous planning, and seeking expert guidance from reputable consultants who can tailor their services to your needs. With the right strategies and professional support, you can unlock the potential of this vibrant emirate and pave the way for long-term growth and prosperity.

Leave A Comment

Get Free Consultation