How to Open a Business Bank Account in Dubai and the UAE

Starting a new business in Dubai or the UAE is an exciting journey. The business-friendly tax policies and the nation’s strong economy attract investors and entrepreneurs seeking to establish their future here. It is no surprise that the UAE ranks as the top global investment destination, with numerous successful enterprises and ventures thriving in the region. Every business here, whether well-established or a startup, must open a business bank account in Dubai to manage its finances effectively. However, there are specific rules and requirements when opening a business bank account.  

This blog aims to provide you with the necessary knowledge about opening a corporate bank account in UAE and Dubai. It covers the process, eligibility criteria, required documents, and expected banking fees.

What is Business Bank Account in UAE:

The banking sector in the United Arab Emirates is undergoing significant expansion and transformation, positioning itself as one of the most secure and stable one globally.  

Statista predicts that the banking market in the UAE will expand by 4.26% between 2024 and 2029, reaching a total market size of US$34.76 billion by 2029. The UAE is home to domestic and international banks, with the largest holding a dominant position in the country’s banking sector.  

A corporate bank account in the UAE is established in a company’s name. It functions as a platform for recording business expenses, managing and safeguarding company funds, and facilitating diverse business transactions. Business accounts in the UAE include savings accounts, merchant accounts, merchant services accounts, and dedicated credit card accounts, among others. 

Benefits of UAE Business Bank Accounts:

Corporate bank accounts in the UAE provide a range of benefits to their holders: 

• There is a high level of security and protection. 
• A wide array of banking services is available. 
• Account can be opened easily online. 
• Access to top-tier business bank accounts is provided. 
• There is a minimum account balance requirement. 
• Multiple currencies are accepted. 
• Favourable interest rates are offered. 
• Online banking facilities are accessible. 

Why to Open a Business Bank Account in Dubai, UAE:

Opening a bank account for your Dubai business is essential to establishing a strong financial base. After registering and starting your company, the next vital task is to  open a bank account for your company. This account enables you to track finances and manage day-to-day operations efficiently. 

You should consider opening a business bank account for your company for the following reasons: 

1. Accessing business funds:

A corporate bank account allows you to efficiently store and manage your company’s funds, while conveniently tracking transactions.  

2. Making investments:

Businesses can use a corporate bank account to invest funds periodically to generate additional revenue, making investment management simpler.

3. Managing expenses:

Whether accepting payments from clients, paying employees and vendors, or saving for future purchases, a dedicated business bank account helps track how and where money is spent and received.

4. Obtaining loans and cards:

It simplifies the process of applying for loans and corporate credit cards.

5. Streamlining taxation:

A corporate bank account reduces the likelihood of tax-related errors by maintaining accurate records of your business’ income and expenses. Detailed summaries and bank statements can be provided to authorities for tax purposes.

6. Enhancing company image:

Opening a dedicated business bank account separates company finances from personal finances, establishing credibility and legal presence. Additionally, a corporate account presents a more professional image of your company. 

Eligibility criteria for business bank account in Dubai and the UAE:

To open a business bank account in Dubai and the UAE, you must meet specific requirements set by the bank of your choice. These requirements may vary from bank to bank. Broadly, the eligibility criteria includes the following: 

1. Initial deposit requirement:

Company must deposit a minimum amount at the time of opening the account according to the bank’s specifications.

2. Minimum average balance:

To keep your account active, you must maintain a minimum balance as per the guidelines of the chosen bank.

3. Savings or current account statements:

Some banks may request statements from existing savings or current accounts of individuals or companies.

4. Know your customer (KYC) compliance:

You need to provide detailed information about your potential clients and buyers to the banker or relationship manager of the selected bank. This information helps in creating a profile that is submitted to the compliance team for easy approval. 

How to Open a Business Bank Account in Dubai:

Follow these simple steps to open a business bank account in Dubai and the UAE: 

1. Select the right bank:

Start by selecting a bank that meets your business needs and complies with your eligibility requirements. Consider factors such as fees, services available, initial deposit needed, etc.

2. Prepare the necessary documents:

Gather all documents needed for corporate bank account application, including proof of business such as contracts and invoices, UAE trade licenses, visa copies, passport copies and other paperwork as asked by the bank.

3. Apply for a business bank account:

Next, you must submit all the necessary documents to the selected bank. There are 2 ways through which you can open a business bank account in Dubai, UAE:

Through online mode: 

Several banks in the UAE offer an online application facility. You can conveniently fill out the application form and submit it, along with the necessary documents, through the bank’s secure online portal.

Through offline mode:  

You can also open your business account by visiting the branch of your chosen bank and receiving assistance from a banking specialist.

4. Await verification and approval:

Once you submit your application and documents, the bank will carefully review the information. Upon approval, you will receive confirmation and instructions on how to activate your account.

5. Activate and start using your account:

Once your account is activated, you can start using it. Familiarize yourself with the bank account features, explore online banking facilities, conduct transactions, and take advantage of available additional services. You can also request cards and cheque books from the bank. 

Documents required to open a corporate bank account in Dubai, UAE:

The following documents are needed to open a business bank account in Dubai: 

Mainland business bank account:

Essential documents:

• UAE trade license
• Passports, visas, and Emirates IDs of all partners (if applicable)
• MOA
• Office tenancy agreement or Ejari contract (physical office)

Additional documents:

• 6 bank statement (personal or company, from UAE or home country)
• Utility bills for address verification (required for certain nationalities)
• Applicant profile (CV) of signatory
• List of current or potential clients
• Debit and credit invoices
• VAT certificate (if applicable)
• Business model, company profile, website, or business plan

Free zone business bank account:

Essential documents:

• Trade license
• Certificate of shares
• Passports, visas, and Emirates IDs of all partners (if applicable)
• Memorandum of Association (MoA) or Articles of Association (AoA)
• Office tenancy contract (for physical spaces)

Additional documents:

• 6 month bank statement
• Applicant’s profile (CV)
• Names of current or potential clients
• Utility bills for address verification
• Business model, company profile, or website
• Invoices, bills of shipment, shipping documents, agreements, customs clearance, etc.

Offshore business bank account:

Essential documents:

• Business license or certificate of incorporation
• Share certificate
• Passport

Additional documents:

• Legal documents of the parent company 
• Office tenancy agreement of the parent company as address proof 
• Visa and Emirates ID (if available) 
• Applicant profile (CV)  
• Company bank statements for the last six months from the home country 
• Business model or company profile  
• Certificate of good standing (if applicable) 
• Certificate of incumbency (if applicable) 

Foreign entity business bank account:

• Memorandum of Association (MoA) or Articles of Association (AoA) with legal attestation
• Trade license
• Passport with UAE entry page of shareholders
• Emirates ID and visa (if applicable for UAE residency)
• List of existing or prospective clients
• Share certificate
• 6 month bank statement (personal or company) from the home country
• Corporate legal documents and bank statements (if applicable for shareholders with a company outside UAE)
• Utility bills for address proof

Please note that essential documents must be submitted without exception, and additional documents may be required based on your business profile. Please contact our experts at DUBIZ to learn more about any other necessary documents required for a corporate bank account in Dubai. 

What banking fees to expect:

Local banks in the UAE do not impose any fees when opening a bank account. However, all local banks require account holders to maintain a minimum monthly average balance. This amount can vary from AED 50,000* to AED 500,000* depending on the bank you choose.

If you fail to maintain the required minimum average monthly balance, a monthly fee of approximately AED 250* will be charged.

Here are additional fees and charges that may be associated with your business bank account:

• Account maintenance fees
• Account closure fees
• Fees for changes in customer packages
• Teller transaction fees
• Cheque services charges
• Additional service fees
• Debit card and internet banking costs
• Value-added tax (VAT)

Please note that costs are subject to changes. To know more about the exact costs, please contact our experts at DUBIZ.

Set your business up for financial success with DUBIZ!

Opening a business bank account is an essential step in company formation in UAE. An effectively managed corporate bank account opens doors to financial security and growth for your business. However, in order to open a business bank account in Dubai, it’s crucial to handle the necessary documentation carefully. Choosing a bank that aligns with your business needs and goals is essential, but the process can be lengthy. At DUBIZ, our consultants simplify the entire process for you. All you need to do is reach out to us.

Leave your business bank account concerns to us while you focus on your business.

 Contact us at:

📞 Call: +971 56 369 5485

💬 WhatsApp: +971563695485

📧 Email: info@dubiz.co

Frequently Asked Questions (FAQs) 

1. Can I use my personal bank account for business in UAE?

No, you cannot use your personal bank account for business purposes in the UAE. Instead, you need to open a corporate bank account to manage your business transactions and operations effectively.

2. How long does it take to open a business bank account in Dubai?

Given your application and documents are in order, your business bank account will be opened within 4 weeks, and you will also receive your cards and other necessary items during that time.

3. Can I open a bank account in Dubai without a trade license?

Without a UAE trade license, you cannot open a business bank account in Dubai, especially a business bank account, as it is a requirement by most banks.

4. Can I open a bank account in Dubai with a foreign currency?

Yes, numerous banks in Dubai provide multi-currency account options, allowing customers to hold and conduct transactions in various currencies.

5. What online banking services are available for Dubai business accounts?

Dubai banks offer a diverse array of online banking services, such as fund transfers, bill payments, statement generation, trade finance facilities, foreign exchange services, and online customer support.

6. Can I open a business bank account in Dubai online?

Yes, it is possible to open a corporate bank account online in the UAE. Many banks offer this convenient facility. 

7. What documents are required to open a business bank account Dubai?

For opening a business bank account, you will generally need these documents:

• Filled account application form.
• Signed director resolution for account opening.
• Passport copy and emirates id.
• Bank statements for the past 6 months.
• Residency visa proof (if required).
• Proof of residence address (from home country if applicable).
• Certified company documents (share certificates, certificates of incorporation, articles of association).
• Business plan and company profile.

Please contact our experts at DUBIZ to know your exact requirements.