Table of Contents

Frequently Asked Questions

What does a management consultancy licence in Dubai actually permit you to do

A management consultancy licence covers advisory services related to business strategy, organisational structure, and operational efficiency under activity code 7020.00 (ISIC Rev. 4). It permits advice on financial planning, HR strategy, marketing direction, and general management practices.

The critical boundary is that the licence covers advisory work only — it does not extend to execution of those strategies, nor does it cover regulated services such as legal counsel or licensed financial advisory, which require separate approvals from the relevant authorities.

It is also distinct from specialised categories such as IT consultancy or management of holding companies, which carry their own activity codes and may attract additional regulatory requirements.

Who is a management consultancy licence in Dubai suitable for

The licence is commercially broad and suits a wide range of operators. Solo consultants working across multiple sectors, boutique advisory firms, and regional advisory arms of international groups looking to establish a UAE presence are all typical applicants.

It is particularly attractive for those who want a UAE foothold without the overhead of a full branch structure, making it one of the more flexible and cost-efficient licence categories available in Dubai.

What is the difference between a mainland and a free zone management consultancy licence in Dubai

A mainland licence issued by the Dubai Department of Economy and Tourism (DET) allows you to contract directly with UAE government entities and local corporates without restriction, and you can operate from any commercial premises in Dubai.

A free zone licence — such as one from Meydan Free Zone — offers 100% foreign ownership, faster incorporation, and lower overhead. It suits practices that are internationally focused or primarily serve clients outside the UAE.

The key practical caveat is that free zone entities wishing to contract directly with UAE-based onshore clients either need a local agent arrangement or a separate mainland licence. Since the UAE's 2021 Companies Law amendments, 100% foreign ownership is also available on the mainland for most commercial activities, narrowing one of the traditional advantages of free zones.

Can a free zone consultancy in Dubai work with UAE-based clients

Yes, but with an important qualification. A free zone entity that wants to contract directly onshore with UAE-based clients either requires a local agent arrangement or must obtain a separate mainland licence.

If your practice is primarily internationally focused or services clients outside the UAE, a free zone licence may be entirely sufficient without any additional arrangements. The right structure depends on where the majority of your clients and contracts are based.

Does general management consultancy require external regulatory approval in Dubai

No. General management consultancy is self-licensed under the relevant authority — either the DET for mainland or the relevant free zone authority. There is no requirement to obtain approval from an external regulatory body before the licence is issued.

This is one of the features that makes it one of the more straightforward licences to obtain in the UAE. However, if your activities extend into regulated areas such as financial advisory or legal services, those components would require separate approvals from the appropriate regulators.

What are the key steps to obtaining a management consultancy licence in Dubai

The process begins with choosing your jurisdiction — mainland (DET) or a free zone — which determines your ownership structure, client access, and ongoing compliance obligations.

You then reserve your trade name via the DET portal for mainland or directly through your chosen free zone authority, ensuring the name complies with UAE naming conventions. The next step is submitting your incorporation documents, which typically include passport copies and other standard identification and company formation paperwork.

The overall process is generally more straightforward than most founders expect, particularly for free zone incorporations, which can often be completed entirely remotely without requiring physical presence in Dubai.

Is it possible to set up a management consultancy in Dubai without being physically present

Yes. Free zone options such as Meydan Free Zone allow incorporation to be completed remotely, with no requirement to be physically present in Dubai during the setup process.

This is particularly valuable for consultants who are transitioning an existing practice to the UAE or who want to test the market before committing to a full relocation. It removes a significant logistical barrier for internationally based founders.

How does visa allocation work for small consultancy teams in a Dubai free zone

Free zones such as Meydan Free Zone offer practical visa allocation for small practices. Solo operators and teams of two to three people can typically be accommodated without needing to commit to expensive office space in order to unlock additional visa capacity.

This makes the free zone route particularly cost-efficient for boutique consultancies and individual practitioners who do not require a large physical footprint but still need the ability to sponsor themselves or a small number of employees on UAE residence visas.

Management Consultancy License in Dubai

If you advise businesses for a living, this is one of the easiest licenses to get in the UAE. There is no sector regulator to satisfy, no minimum capital in most free zones, and you can complete the whole thing without setting foot in Dubai.

This guide covers activity code 7020.00. It explains what the license lets you do and what it does not, how the mainland and free zone routes differ, what you should budget, and the steps to get licensed.

Key Stats at a Glance

Activity code7020.00, Management Consultancy Activities, ISIC Rev. 4
Setup timeline3 to 7 working days in a free zone, 1 to 3 weeks on the mainland
Ownership100% foreign ownership in free zones and on the mainland, following the 2021 Companies Law amendments
VisasUsually 1 to 6, depending on office space and package tier
Corporate tax9% on taxable profits above AED 375,000 – Federal Tax Authority
Sector regulatorNone for general management consultancy
Minimum share capitalNone in most free zones

What This License Covers

Infographic: Management Consultancy License in Dubai

Code 7020.00 covers advisory work on business strategy, organisational structure, and how efficiently a company runs. Under it you can advise on financial planning, HR strategy, marketing direction, and general management practice.

The word to hold onto is advisory. The license covers telling clients what to do. It does not cover doing it for them, and it does not stretch to regulated professions. Legal counsel and licensed financial advisory both need separate approvals from the relevant authorities.

It is also a different thing from IT consultancy or managing holding companies. Those carry their own activity codes and sometimes extra regulatory requirements, so if your work drifts that way, check before you assume your license covers it.

Who Your Clients Will Be

The license is broad enough to suit three quite different setups:

  • Solo consultants working across several sectors
  • Boutique advisory firms with a small team
  • Regional advisory arms of international groups wanting a UAE presence

That last group is worth noting. A consultancy license gives an international firm a legitimate UAE entity without the cost and paperwork of a full branch, which is often why it is a group's first structure in the region.

Mainland or Free Zone

This is the biggest choice you will make when setting up. Let your clients decide it, not the price.

FactorMainland (DET)Free Zone (Meydan Free Zone)
Client accessDirect contracts with UAE government and local corporates, no limits on client geographyBest for internationally focused practices
Onshore UAE clientsNo restrictionNeeds a local agent arrangement or a separate mainland license
Ownership100% foreign ownership for most activities100% foreign ownership
PremisesAny commercial premises in DubaiLower overhead, no large office needed
Setup1 to 3 weeks3 to 7 working days, and possible remotely

One thing has changed the old calculation. Since the 2021 Companies Law amendments, full foreign ownership is available on the mainland for most commercial activities, so that is no longer a reason on its own to pick a free zone. Decide on client access and cost instead.

Meydan Free Zone suits consultancy practices for three practical reasons. A single-activity license keeps your compliance light, with no unnecessary categories and no bloated paperwork. Setup can be done entirely remotely, which matters if you are moving an existing practice or testing the market first. And visa allocation works for small teams, so a solo operator or a team of two or three does not have to rent expensive space just to unlock visas.

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How to Set Up Through Meydan Free Zone

  • Step 1, choose your jurisdiction: Mainland or free zone. This sets your ownership structure, your client access, and your ongoing compliance duties.
  • Step 2, book your trade name: Through the DET portal for mainland, or your free zone directly. Names must meet UAE naming rules.
  • Step 3, send your documents: Passport copies for all shareholders, your proposed business activity, shareholder details, and a Memorandum of Association if you are forming a company rather than a sole establishment.
  • Step 4, pay and get initial approval: Free zones commonly issue licenses within three to five working days of receiving documents. Mainland takes longer.
  • Step 5, apply for your visa and open your bank account: Residence visa and Emirates ID come after the license. Bank accounts need an active license and, in most cases, you there in person.

Compliance and What You Need in Place

No regulator to satisfy

General management consultancy is self-licensed under DET or your free zone authority. No external body needs to approve you before the license is issued. This is the main reason the setup is so much simpler than most professional services.

Where that stops

If your work extends into regulated territory, such as financial advisory or legal services, those parts need separate approval from the appropriate regulator. Adding a service line is a good moment to check, not something to sort out later.

Tax

Corporate tax is charged at 9% on taxable profits above AED 375,000. Check current guidance with the Federal Tax Authority.

Renewal

Your license renews every year at broadly the same cost as the first one. Treat it as a fixed running cost of holding a UAE presence rather than a surprise.

Costs and What to Budget

Cost itemEstimated range (AED)
Free zone license, such as Meydan Free ZoneFrom 12,500, including one visa
Mainland DET license10,000 to 20,000 and above
Visas, per person3,000 to 5,000
Annual renewalBroadly mirrors the initial license fee
Minimum share capitalNone in most free zones

Free zone licenses are generally cheaper at entry level, which matters most for solo operators and small teams. Mainland structures may need nominal capital depending on the legal form you choose.

Market Opportunity

Dubai works as a regional headquarters city, and that is what drives demand here. Companies running operations across the Middle East, Africa, and South Asia need advisers on the ground, and many are recent arrivals still building their structures.

The low barrier cuts both ways. It is easy to get licensed, which means it is easy for everyone else too. What separates a practice that lasts from one that does not is not the license, it is having a specific answer to what you are actually good at.

Conclusion

A management consultancy license in Dubai is one of the cleanest setups available: low capital, no sector regulator, and full foreign ownership on the table either way.

The choice comes down to your clients. If your work is international, or you want the fastest and cheapest route to a legitimate UAE entity, a free zone license is the sensible starting point. If you are building a practice that serves UAE government bodies or large local corporates directly, the mainland is worth the extra cost.

Use the cost calculator for a precise figure, or speak to the Meydan Free Zone team to structure the right license for your practice.

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References

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