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Guides/Healthcare & mandatory costs
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True cost of UAE

Healthcare & Mandatory Costs

The licence fee is just the start. Health insurance, audits, Emirates ID, renewals: what a UAE free zone founder pays in year one and beyond.

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Budget realistically: For a solo Dubai founder, mandatory costs beyond the licence typically add AED 15–25k/year. ADGM/DIFC founders should budget AED 30–60k extra for compliance, audit, and insurance.

Health Insurance

Basic health insurance (Dubai mandate)

AED 600–1,500

Annual, per person

Mandatory for all Dubai residency visa holders. Minimum 'Thiqa-equivalent' or DHA-approved Essential Benefits Plan. Abu Dhabi and other emirates have similar requirements.

Enhanced health insurance (recommended)

AED 3,000–12,000

Annual, per person

Basic plans cover emergencies and limited outpatient. For founders wanting dental, specialist access, or international coverage, mid-range plans are AED 5–8k. Top-tier expat plans run AED 15k+.

Visa & ID

Medical fitness certificate

AED 300–450

Per visa application or renewal

Blood test + chest X-ray at a MOHAP-approved medical centre. Required for every residency visa application and renewal. Results in 1–3 days.

Emirates ID

AED 100–370

Per visa validity period (2–3 years)

Mandatory for all UAE residents. Fee depends on validity. New ID is issued with each visa. Processing takes 5–10 working days.

Residency visa stamping

AED 1,500–3,500

Per visa application or renewal

Includes entry permit, status change, and visa stamping fees. Exact amount depends on your free zone's package. This is separate from the licence fee.

Company Administration

Establishment / e-channel card

AED 2,000–4,000

Annual

Required by free zones in Abu Dhabi, Sharjah, and RAK for visa processing. Some Dubai zones include this in their package; others charge separately.

MOA / company documents notarisation

AED 500–2,000

One-time (at formation) or on updates

Memorandum of Association notarisation. Required at DIFC and ADGM at formation; other zones may require on amendments.

Typing centre / PRO services

AED 200–500

Per transaction

Document typing, government form submission. Many founders use the zone's own service desk. External PRO services cost AED 200–2,000+ depending on scope.

Tax & Compliance

VAT registration (if required)

AED 0

One-time

VAT registration itself is free. Required if taxable UAE-source turnover exceeds AED 375k/year. Voluntary registration above AED 187.5k. Filing is quarterly or annual.

Corporate tax registration

AED 0

One-time

All UAE businesses must register for Corporate Tax with the FTA by their deadline — free of charge. CT filing applies from financial years starting 1 June 2023.

Annual audit (QFZP / some zones)

AED 5,000–20,000

Annual

Required for QFZP status (qualifying for 0% corporate tax). Some free zones (DIFC, ADGM, DMCC, Tawazun, Dubai South) require an audit regardless. Smaller zones and standard-substance companies can use a basic audit. Cost depends on complexity.

Banking

Monthly bank account fees

AED 0–500

Monthly

Many UAE business accounts are free if you maintain a minimum balance (AED 10–50k). Below the minimum, monthly charges apply. Challenger banks (Wio, Mashreq Neo) offer free accounts with no minimum.

Minimum balance requirement

AED 10,000–100,000

Ongoing (locked capital)

Not a fee — but capital tied up as minimum balance. Emirates NBD Business: AED 50k min. FAB: AED 25k min. RAKBank: AED 10k min. Challenger banks: none.

Example: annual all-in cost

Solo founder, Dubai free zone, 1 visa

Licence renewal (IFZA example)AED 12,900
Health insurance (enhanced)AED 5,500
Visa renewal (every 2 years, amortised)AED 1,250
Emirates ID (amortised)AED 150
Medical (amortised, 2yr)AED 200
Audit (QFZP-eligible, minimal substance)AED 6,000
Bank fees / chargesAED 0
Estimated annual total~AED 26,000/yr

What this doesn't include

  • • Personal income (no UAE income tax on individuals)
  • • VAT on business expenses (standard 5%)
  • • Dedicated office or warehouse rent (if applicable)
  • • Mainland trade licence if operating outside the free zone
  • • School fees, personal rent, or cost-of-living

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