Financial Services License in Dubai: Complete Guide to Setup, Cost & Regulations

Starting a financial services business in Dubai is one of the smartest moves for entrepreneurs and investors in 2025. The emirate has positioned itself as a global financial hub, attracting banks, fintech startups, and investment companies from around the world. If you want to launch a finance company here, obtaining a financial services license is the first and most important step.

This guide covers everything you need to know – what a financial services license is, the step-by-step setup process, costs, required documents, benefits, and the top financial authorities regulating the sector.

What is a Financial Services License?

A financial services license is an official authorization that allows businesses to legally operate financial activities such as banking, investment management, insurance, and financial advisory in Dubai and across the UAE.

Without this license, offering financial services is considered illegal. Obtaining it ensures your company is:

Recognized by UAE authorities
Compliant with financial regulations
Trusted by clients and investors

Example:

A bank offering savings accounts and loans must have approval from the Central Bank of the UAE.
A fintech startup providing online payment solutions must obtain a license from the Dubai Financial Services Authority (DFSA).

Types of Financial Services Companies in Dubai

When applying for a financial services license, you must first decide the type of company you want to establish. Each has its own scope and requirements:

Banks – Provide savings, loans, and money transfers.
Investment Companies – Manage portfolios, mutual funds, and stocks.
Insurance Providers – Offer health, life, and property coverage.
Financial Advisory Firms – Guide clients on taxes, investments, and savings.
FinTech Startups – Provide innovative digital solutions like mobile wallets and online payments.
Wealth Management Firms – Manage high-net-worth clients’ wealth and long-term investments.

Regulatory Authorities for Financial Services License in Dubai

Depending on your business activity and location, different regulators oversee financial companies in Dubai:

Central Bank of the UAE – Regulates banks and lending firms on the mainland.
Dubai Financial Services Authority (DFSA) – Oversees firms in the DIFC free zone.
Financial Services Regulatory Authority (FSRA, Abu Dhabi Global Market) – Supervises financial firms in Abu Dhabi.

For most businesses in Dubai, your application will go through either the Central Bank or DFSA.

Step-by-Step Process to Obtain a Financial Services License in Dubai

Here’s how you can set up your finance company smoothly:

Step 1: Define Your Business Activity

Choose whether you’re opening a bank, advisory firm, investment company, or fintech startup.

Step 2: Get Initial Approval

Submit your business plan to the concerned authority (DFSA or Central Bank) for preliminary approval.

Step 3: Choose Your Business Location

Mainland: Better for serving local clients and government contracts.
Free Zone (DIFC): Offers 100% ownership, tax exemptions, and global recognition.

Step 4: Prepare and Submit Documents

Collect all required documents (see next section).

Step 5: Pay Fees and Register

Submit licensing and company registration fees.

Step 6: Open a Corporate Bank Account

This is essential for handling transactions, payroll, and business finances.

Step 7: Start Operations

Once approved, you can begin operations under full compliance.

Documents Required for Financial Services License in Dubai

To obtain your license, prepare the following documents:

Passport copies of shareholders and directors
Detailed business plan
Proof of office address (lease agreement/tenancy contract)
Clean financial and legal record certificate
Experience certificates in finance or banking
NOC from current UAE employer/sponsor (if applicable)
Board resolution (if part of an existing company)
Completed application form (from DFSA or Central Bank.

Cost of Financial Services License in Dubai

The cost varies depending on business type, location, and licensing authority. On average, expect:

Trade License Fee – From AED 15,000+
Company Registration – AED 5,000 – 25,000
Office Rent – Flexi-desk (affordable) or premium mainland offices
Legal & Documentation – AED 3,000 – 8,000
Share Capital Requirement – AED 1 million – 25 million depending on activity
Visa & Immigration Costs – AED 3,000 – 7,000 per visa
PRO & Setup Services – AED 5,000 – 15,000
Bank Account Deposit – Minimum balance AED 25,000 – 100,000
Regulatory Fees – Audit and approval charges from DFSA/Central Bank

Overall setup cost: AED 50,000 – 200,000 (depending on scope).

Benefits of Starting a Financial Services Company in Dubai

100% Foreign Ownership (in free zones like DIFC)
No Personal or Corporate Tax
Global Market Access
Secure & Transparent Regulations
Advanced FinTech Ecosystem
Repatriation of Profits & Capital

Challenges & Solutions in Obtaining a Financial Services License

Challenge	Solution
High share capital requirement	Choose the right license category with lower capital needs
Strict compliance checks	Hire a professional consultant or PRO services company
Long approval timelines	Prepare all documents correctly in advance

Top Financial Services Companies in Dubai

Some successful financial companies in Dubai include:

Aafaq Islamic Finance – Shariah-compliant finance solutions.
Al Ain Finance – Known for SME financing.
Amlak Finance – Specializes in real estate finance.
BNP Paribas Wealth Management – High-net-worth client investment services.
Reem Finance – Corporate and property financing solutions.

Mainland vs Free Zone for Financial Services Business

Mainland Dubai
- Access to local clients & government tenders
- Requires local partner in some cases
- Regulated by the Central Bank
Free Zone (DIFC)
- 100% foreign ownership
- International credibility
- Tax exemptions
- Regulated by DFSA

If your goal is global recognition and tax benefits, DIFC is ideal. If you want strong access to local markets, choose the mainland.

FAQs

Q1: What is the cost of a financial services license in Dubai?
The cost usually ranges between AED 50,000 – 200,000 depending on your activity and location.

Q2: Do I need a local partner?
Not in DIFC (100% foreign ownership). But mainland companies may require one.

Q3: How long does it take to get a DFSA license?
On average, 4–8 weeks if documents are complete.

Q4: Can foreigners open a financial company in Dubai?
Yes, foreigners can own 100% in free zones like DIFC.

Q5: What is the minimum capital requirement?
It ranges from AED 1 million to AED 25 million, depending on your chosen activity.

Conclusion

Obtaining a financial services license in Dubai is the gateway to establishing a profitable and globally recognized finance company. With tax-free policies, 100% foreign ownership in free zones, and access to international markets, Dubai offers the perfect environment for financial businesses to grow.

If you’re planning to launch a financial firm—whether banking, advisory, fintech, or investment—start now and secure your license with the help of expert consultants.

Ready to establish your financial company in Dubai? Contact a PRO or business setup consultant today to get started!