Table of Contents
Frequently Asked Questions
What does activity code 7020.68 actually permit a feasibility studies consultancy to do in Dubai
Activity code 7020.68 falls under Management Consultancy Activities in the ISIC framework and covers economic, financial, and market feasibility assessment. It is an analytical and advisory classification, not a regulated financial services licence.
Permitted services include project viability studies across real estate, infrastructure, and industrial sectors, market entry analysis, financial modelling, investment appraisals, site assessments, and demand and supply studies for development projects.
The activity does not authorise regulated financial advisory services or statutory audit work. The boundary is strictly advisory and analytical, so firms needing to offer those services must hold separate, additional licences.
Should a feasibility consultancy set up on the Dubai mainland or in a free zone
The right jurisdiction depends on your expected client mix. A mainland licence issued through Dubai Economy and Tourism (DET) provides unrestricted access to UAE government tenders, federal contracts, and direct commercial engagement with local private sector clients — a practical advantage if you are targeting public-sector feasibility mandates.
A free zone licence — with Meydan Free Zone being a strong option for activity 7020.68 — offers 100% foreign ownership, faster incorporation, lower initial cost, and no restrictions on currency repatriation. It suits consultancies serving international investors, regional developers, or operating cross-border.
As a rule of thumb: if your pipeline is primarily UAE government or large local corporates requiring a local entity contract, choose mainland. If you are serving international or regional clients, a free zone structure is more efficient.
How quickly can a feasibility consultancy licence be issued in Dubai
Timelines vary by jurisdiction. Meydan Free Zone is noted for issuing licences in as little as 3–5 working days, making it one of the faster options available for activity code 7020.68.
Mainland licences through Dubai Economy and Tourism typically take longer due to additional approval steps, though the process is still straightforward when documentation is complete and in order.
Having two or three trade name options prepared in advance and ensuring all personal documents are attested and ready can prevent the most common delays in the application process.
What is the corporate tax position for a feasibility consultancy operating from a Dubai free zone
Under Federal Decree-Law No. 47 of 2022, qualifying free zone entities can benefit from a 0% corporate tax rate on qualifying income. This is a significant structural advantage for consultancies incorporated in a recognised free zone such as Meydan.
For income that does not meet the qualifying criteria, or for mainland entities, the standard corporate tax rate is 9% on taxable income above AED 375,000. Income at or below that threshold is taxed at 0%.
It is important to take specific tax advice to confirm whether your revenue streams and operational structure meet the qualifying conditions, as the rules around substance requirements and permitted activities are detailed.
When does a feasibility consultancy in Dubai need to register for VAT
VAT registration becomes mandatory once a business's annual taxable turnover reaches or exceeds AED 375,000. This threshold applies across the UAE regardless of whether the entity is on the mainland or in a free zone.
Voluntary registration is available below that threshold and can be commercially useful if your clients are themselves VAT-registered businesses that can recover input tax. It also signals a degree of operational scale and credibility to larger corporate clients.
Consultancies serving clients outside the UAE should also review the zero-rating rules for exported services, which can affect how VAT is applied to cross-border feasibility engagements.
Who are the typical clients of a feasibility studies consultancy in Dubai
The client base for activity code 7020.68 is broad. Property developers require project viability studies before committing capital to real estate or mixed-use schemes. Government entities commission independent appraisals to justify public expenditure on infrastructure and community projects.
Other common clients include private equity firms and institutional investors needing market entry logic validated, SMEs assessing expansion or new venture feasibility, and international investors entering the UAE or regional markets for the first time.
Dubai's structural drivers — ongoing infrastructure investment, free zone expansion, and strong inbound FDI — mean demand from these client segments is considered structural rather than cyclical, supporting a stable pipeline for well-positioned consultancies.
What is the size and growth outlook for the management consulting market in the UAE
The UAE management consulting market is valued at over USD 1.2 billion and continues to grow, driven by government-led programmes including Vision 2031 and the broader UAE Projects of the 50 initiative, which direct significant capital into infrastructure, economic diversification, and social development.
Dubai specifically ranks first in MENA for ease of doing business according to World Bank data, which sustains inbound investment flows and, by extension, demand for credible feasibility and market entry analysis.
For a new consultancy, this environment means the addressable market is expanding rather than contracting, though competition from established regional and international firms means differentiation — by sector specialism, methodology, or client segment — remains important.
What are the first steps in the licence setup process for activity code 7020.68 in Dubai
The process begins with confirming jurisdiction and activity approval — verifying that code 7020.68 is supported by your chosen authority. Meydan Free Zone supports this activity directly and is a common starting point for independent consultants and boutique firms.
The next step is trade name reservation. UAE naming conventions prohibit offensive terms, references to government bodies, and misleading descriptors, so preparing two or three options in priority order avoids delays if a first choice is rejected.
From there, the process moves through document submission, licence issuance, and — where required — visa and bank account applications. Having personal documents attested and ready before starting the application is the single most effective way to keep the timeline on track.
Start a Feasibility Studies Consultancy in Dubai
Dubai's pace of infrastructure investment, free zone expansion, and inbound FDI means demand for credible feasibility analysis is structural, not cyclical. Developers need project viability confirmed before committing capital. Investors need market entry logic validated. Government entities need independent appraisals to justify public expenditure.
This guide covers what a feasibility studies consultancy licence covers under ISIC activity code 7020.68, where to set up, and how to get licensed and operational in the UAE.
What This Business Activity Actually Covers
Activity code 7020.68 sits within Management Consultancy Activities under the International Standard Industrial Classification (ISIC) framework. The specific scope is economic, financial, and market feasibility assessment — analytical and advisory work, not regulated financial advice or auditing.
Permitted services under this activity include:
- Project viability studies across real estate, infrastructure, and industrial sectors
- Market entry analysis for companies entering the UAE or regional markets
- Financial modelling and investment appraisals
- Site assessments and location feasibility reviews
- Demand and supply studies for development projects
Clients typically include property developers, government entities, private equity firms, SMEs, and international investors. The activity does not authorise regulated financial advisory services or statutory audit work — the boundary is advisory and analytical.
Key Stats at a Glance
| Metric | Detail |
|---|---|
| UAE management consulting market size | Over USD 1.2 billion, growing with Vision 2031 and UAE Projects of the 50 |
| Dubai business ranking | 1st in MENA for ease of doing business (World Bank) |
| Meydan Free Zone licence issuance | As little as 3–5 working days |
| Corporate tax on qualifying free zone income | 0% on qualifying income under Federal Decree-Law No. 47 of 2022 |
| VAT registration threshold | AED 375,000 annual taxable turnover |
| Standard corporate tax rate | 9% on taxable income above AED 375,000 |
Mainland vs Free Zone: Choosing the Right Jurisdiction
The jurisdiction decision shapes your client access, cost structure, and operational flexibility. Neither option is universally superior — the right choice depends on where your revenue is coming from.
A mainland licence issued through Dubai Economy and Tourism (DET) gives you unrestricted access to UAE government tenders, federal contracts, and direct commercial engagement with local private sector clients. If you are targeting emirate-level infrastructure projects or public-sector feasibility mandates, mainland has a practical edge that a free zone entity cannot easily replicate.
A free zone licence — Meydan Free Zone being a strong option for activity code 7020.68 — offers 100% foreign ownership, faster incorporation, lower initial cost, and no restrictions on currency repatriation. It suits consultancies delivering work for international clients, regional developers, or remote engagements. Meydan's central Dubai location and straightforward documentation process make it a practical starting point for most independent consultants and boutique firms.
The core question is client composition: if your pipeline is primarily UAE government or large local corporates requiring local entity contracts, go mainland. If you are serving international investors, regional clients, or operating cross-border, a free zone structure is more efficient.
Dubai Trade License from AED 12,500
Get Your LicenseStep-by-Step Licence Setup Guide
The process is straightforward when documentation is in order. Below is the standard sequence for setting up under activity code 7020.68.
Step 1 — Confirm jurisdiction and activity approval. Verify that activity code 7020.68 is approved for your chosen authority. Meydan Free Zone supports this activity directly.
Step 2 — Reserve your trade name. Names must comply with UAE naming conventions — no offensive terms, no reference to government bodies, no misleading descriptors. Prepare two to three options in order of preference.
Step 3 — Submit incorporation documents. Standard requirements include passport copies, current visa status, and in some cases a brief business plan summary depending on the authority.
Step 4 — Select your office format. Options range from flexi-desk and virtual office arrangements to dedicated physical offices. Your choice affects visa quota allocation and, practically, how you present to enterprise clients.
Step 5 — Pay licence fees and receive your trade licence. At Meydan Free Zone, this stage typically completes within 3–5 working days once documents are accepted.
Step 6 — Open a corporate bank account. UAE banks apply thorough compliance checks on new entities. Prepare 6–12 months of financial runway documentation, a clear business plan, and evidence of client pipeline where available.
Step 7 — Apply for residency visa if required. Investor and employment visa routes are both available. Visa quota depends on your office format and licence type.
Free Company Name Check
Check NowDocuments Typically Required
- Passport copy and recent passport-sized photograph
- UAE entry stamp or current visa copy
- No-objection letter from current employer if you are employed in the UAE (relevant for mainland applications)
- Two to three proposed trade name options
Operating Commercially: What You Need Beyond the Licence
A trade licence gets you legal standing. Operating professionally in this sector requires several additional steps.
Professional indemnity insurance is not legally mandated for this activity, but any serious client — particularly government-linked entities, banks, or international developers — will expect it as a baseline. Price it into your overhead from day one.
VAT registration is required once your taxable turnover exceeds AED 375,000 annually. Register with the Federal Tax Authority at www.tax.gov.ae. Feasibility consultancy services supplied to UAE-based clients are standard-rated at 5%.
Corporate tax at 9% applies on taxable income above AED 375,000 under Federal Decree-Law No. 47 of 2022. Free zone entities may qualify for the 0% rate on qualifying income, subject to conditions set out by the Ministry of Finance at www.mof.gov.ae. Take qualified tax advice before assuming free zone exemption applies to your structure.
Contracts and proposals should reference the UAE Civil Transactions Law (Federal Law No. 5 of 1985) as the governing framework. Clearly define scope, deliverables, liability limits, and payment terms. Ambiguous scope is the most common source of commercial disputes in consultancy engagements.
Sub-consultant relationships matter early. Feasibility studies for large projects routinely require input from engineers, environmental specialists, quantity surveyors, and legal advisors. Build those relationships before you need them — being able to assemble a credible multidisciplinary team is often what separates a winning proposal from a rejected one.
Expert Financial and Tax Compliance Services in Dubai
Explore mAccountingConclusion
A feasibility studies consultancy under activity code 7020.68 is a commercially sound, low-overhead professional services business in Dubai. Capital requirements are modest, the regulatory path is clear, and genuine demand exists from developers, investors, and public-sector entities driving infrastructure and economic diversification across the UAE. The market is not saturated at the credible end — there is consistent appetite for rigorous, independent analysis delivered by consultants who understand local commercial realities.
If you are ready to set up or want to confirm the right jurisdiction for your consultancy, speak to the Meydan Free Zone team directly.
