Office in the UAE: Physical vs Virtual

The type of office, virtual or physical, depends on the chosen type of business, license, number of visas and the need to have economic substance.

When does a company need a physical office?

All local companies must have a physical office in the UAE. A physical office requirement applies both to companies registered in the Mainland and in some of the UAE Free Zones.

Physical office size

The office size depends on the type of license and number of employees who will require UAE residence visas.

Benefits of a physical office:

• Professional image – A physical office in the UAE will add credibility to your business: potential clients or investors will know that you have adequate presence and carry on economic activities in the country.
• Postal address in the UAE – A UAE postal address is required for official documents; it is also possible to get one when you buy or rent a physical office.
• Ease of working with banks – Possibility to open a corporate or personal bank account in the UAE.

What is a virtual office?

A virtual office or flexi-desk allows entrepreneurs to do business without renting physical premises. The flexi-desk services are available both to individual entrepreneurs and licensed companies that carry on their business activities within the UAE Free Zones. With a flexi-desk you can choose and pay only for the services you really need:

• Handling of correspondence;
• Local telephone number with automated answering service;
• Administrative services, including support for meetings and secretarial services;
• Meeting/conference rooms, etc.

Benefits of a virtual office

• Lower costs – A virtual office will allow you to run your business at a much lower cost compared to a traditional office and save on overhead expenses.
• Flexibility – A virtual office allows quickly expanding or reducing the scope of services as needed.

Contact us if you need to set up an office in the UAE. Our experts will help you choose the best option available in Dubai based on your needs.