Setting Up and Steering a Company in Dubai from France or West Africa

Why Dubai Attracts French and African Entrepreneurs

In two decades, Dubai has established itself as one of the most connected business hubs in the world. For an entrepreneur based in France or West Africa, the appeal of the United Arab Emirates (UAE) rests on a cluster of concrete reasons, which nonetheless deserve to be examined without idealisation.

A logistics and aviation hub between three continents. Located at the crossroads of Europe, Africa and Asia, Dubai offers remarkable air and sea connectivity. For a company that sources in Asia, sells in West Africa and invoices in Europe, the city can act as a natural pivot — a genuine link between the franco-African corridor and the Gulf.

A tax framework widely regarded as attractive, but to be qualified. The UAE has applied a VAT standard rate of 5% since 1 January 2018, and introduced a Corporate Tax for financial years starting on or after 1 June 2023: 0% up to AED 375,000 of taxable profit, 9% above. Certain qualifying free zone entities (Qualifying Free Zone Persons) may, under conditions, benefit from a 0% rate on their qualifying income. These parameters remain favourable compared with many jurisdictions, but they do not amount to a blanket exemption: each company's situation depends on its activity, economic substance and eligibility, which should be validated by a local adviser.

A dense banking and financial ecosystem. The financial centres of the DIFC (Dubai International Financial Centre) and the ADGM (Abu Dhabi Global Market) operate under their own common law framework, distinct from federal Emirati law. For international structures, holding companies or asset-management activities, this environment can offer the legal clarity investors value.

A stable currency. The UAE dirham (AED) is pegged to the US dollar (around 3.6725 AED per USD), which reduces currency risk for a company whose flows are partly denominated in USD. Conversely, treasury held in EUR or XOF remains exposed to EUR/USD and XOF/USD movements: a point we address later from a cash-management angle.

For the franco-African entrepreneur, Dubai is therefore not an end in itself but a link: an anchor point in the Gulf that makes full sense when integrated into a broader structure — typically a holding in France or the OHADA zone and an operating subsidiary in the UAE.

Free Zone or Mainland for a Non-Resident: Which Framework to Choose?

Choosing the structure is probably the most defining decision of the project. In the UAE, a non-resident entrepreneur mainly has two broad families of options: the free zone and the mainland (continental territory, under a DED licence). A third, more specialised route runs through the DIFC and ADGM financial centres, governed by their own common law framework.

The free zone covers more than 40 free zones across the UAE (DMCC, JAFZA, Meydan, IFZA, among the best known). Each has its own authority, issues its own trade licenses and often targets specific sectors (trading, technology, media, logistics). Historically, these zones allowed 100% ownership by a foreign shareholder and offered set-up incentives. They are generally suited to internationally or export-oriented activities.

The mainland, under the licence of the relevant emirate's Department of Economic Development (DED), allows a broader commercial activity on the local Emirati market, including public tenders and direct sales to resident consumers. Foreign ownership rules have been relaxed in recent years for many activities, but they vary by sector — a point to verify case by case.

Here is a summary comparison of the two frameworks for a non-resident. This table is illustrative and does not replace the analysis of a local adviser, as the rules evolve regularly.

For a franco-African entrepreneur who wants to make Dubai an export and international-invoicing hub, the free zone is frequently the starting point under review. For an activity meant to serve the domestic Emirati market directly, the mainland is often the framework considered. In every case, the choice depends on the actual activity, the targeted clientele and substance requirements — all parameters to weigh with a locally accredited adviser.

The Concrete Steps: Trade License, Visa, Bank Account, VAT and TRN

Once the framework is chosen, incorporation follows a fairly well-marked sequence. We present it as a typical path; the exact terms, timelines and costs depend on the emirate, the free zone and the activity, and must be confirmed with the competent authority or a local adviser.

1. Define the activity and choose the licence. The type of trade license (commercial, professional, industrial, holding, services) follows from the intended activity. This licence is what materialises the company's existence — the functional equivalent of registration. Without it, no legal operation is possible.
2. Obtain the trade license. Issued by the free zone authority or by the DED in mainland, it requires a file (reserved trade name, articles, shareholder evidence, sometimes premises or a registered address). The scope of authorised activities is precisely listed: it is important that it genuinely covers what you intend to invoice.
3. The residence visa. Holding a licence generally opens entitlement to a visa quota (investor/partner and employees). The residence visa facilitates, or even conditions, certain later steps — notably opening a bank account. Visa conditions and caps vary with the structure and the size of the premises.
4. Opening the bank account. This is often the longest and most selective step. Emirati banks apply enhanced KYC (know-your-customer) due diligence, particularly for non-residents and structures with international shareholders. You generally need to present the licence, identity evidence, a credible activity description and, often, demonstrate genuine substance. Plan for delays and prepare the documentation. This step conditions all subsequent treasury management.
5. VAT registration and the TRN. Emirati VAT (5% standard rate) requires mandatory registration once taxable supplies exceed AED 375,000 over 12 months, and allows voluntary registration above AED 187,500. Registration is done via the EmaraTax portal of the Federal Tax Authority (FTA) and results in the issuance of a TRN (Tax Registration Number, 15 digits) to be shown on invoices. VAT returns are filed using the VAT 201 form, generally quarterly (monthly for very large taxpayers).
6. Anticipate Corporate Tax. Independently of VAT, corporate income tax applies to financial years starting on or after 1 June 2023 (0% up to AED 375,000 of taxable profit, 9% above), with specific rules for free zone entities. The associated registration and filing obligations should be framed from incorporation.

On electronic invoicing: the UAE is rolling out an e-invoicing programme led by the Ministry of Finance, based on the Peppol '5-corner' model known as DCTCE (Decentralized Continuous Transaction Control and Exchange), using accredited service providers (ASPs) and reporting to the FTA. This scheme is being rolled out (pilot and voluntary phases from 2026, phased generalisation thereafter, according to the calendar published by the Ministry of Finance). It is therefore not, to date, an already generalised obligation: you should follow the official calendar and prepare for it in advance.

At each step, two reflexes: (1) take nothing for granted on the basis of an article or a forum, as the rules change fast; (2) have the structure validated by a locally accredited adviser, particularly on eligibility for preferential regimes and the required substance.

Running Multi-Country Accounting: France/OHADA Holding + Dubai Subsidiary with CassKai

This is where the difference is decided between a structure that 'works on paper' and a group that is genuinely steerable day to day. As soon as a French or OHADA holding owns a UAE subsidiary, three accounting difficulties arise at once: different accounting frameworks, different currencies, and a need for consolidation to obtain a group view.

Different frameworks per entity. A holding in France keeps its accounts under the PCG; a company in the OHADA zone (Côte d'Ivoire, Benin, Senegal, Burkina Faso, Togo, Mali, Niger…) follows SYSCOHADA; an Emirati subsidiary falls under IFRS (full IFRS or IFRS for SMEs), with a 7-class chart and the current/non-current distinction. CassKai handles these frameworks through its AccountingStandardAdapter: each entity keeps its books in its native standard, with no tinkering or homemade dual chart of accounts. The Dubai subsidiary natively has an IFRS chart of accounts, the AED currency, VAT at 5%/0% and the VAT 201 form (FTA boxes), with an Emirati fiscal calendar.

Different currencies. The holding thinks in EUR (or XOF in the UEMOA zone), the subsidiary in AED. CassKai handles multi-currency end to end: entry in the transaction currency, coherent conversion and entries, consolidated reporting in a chosen presentation currency. The EUR / XOF / AED triptych is thus managed with no add-on to buy and no manual conversion. Recall the useful asymmetry to know: the XOF is in a fixed peg with the EUR (655.957 XOF per EUR), which simplifies consolidation on the UEMOA side, whereas the AED is pegged to the USD (≈ 3.6725 AED/USD) and therefore exposed to EUR/USD movements.

The need for consolidation. To present a group picture, you must aggregate the entities' accounts, convert into a presentation currency, eliminate intra-group transactions (sales, loans, current accounts between the holding and the subsidiary) and handle translation differences. CassKai relies on its multi-standard capabilities and consolidation skills (IFRS 10 logic / full consolidation, proportional, equity method) to structure this exercise. A classic difficulty — the SYSCOHADA → IFRS or PCG → IFRS transition restatements — is mapped by correspondence tables between charts of accounts.

Concretely, for a 'France holding + Dubai subsidiary' group:

• the holding keeps its accounts in PCG / EUR;
• the Emirati subsidiary keeps its own in IFRS / AED, with VAT 5% and VAT 201;
• intra-group flows (re-invoicing, management fees, current accounts) are identified for elimination;
• consolidation produces a group view in a single presentation currency.

The goal is not sophistication for its own sake: it is that a franco-African leader can, from a single tool, see both the Dubai subsidiary's result under IFRS and the consolidated group result, without re-keying and without depending on fragile spreadsheets.

Steering Cash Across Zones: Treasury at the Heart of the Game

A multi-country group is won or lost on treasury. A Dubai subsidiary that is profitable 'on paper' but whose cash stays trapped between time zones, currencies and payment terms brings no real liquidity to the group. Here are the watch points we recommend bringing under control from the outset.

EUR/AED and XOF/AED currency risk. Since the AED is pegged to the USD, the flow between a European holding (EUR) and an Emirati subsidiary (AED) actually carries EUR/USD risk. For a franco-West-African group, the fixed XOF/EUR peg simplifies the UEMOA branch, but the Dubai branch introduces a USD exposure to monitor. The right reflex is to make this risk explicit in cash forecasts rather than discovering it at the moment of dividend upstreaming or re-invoicing.

Delays and banking friction. International transfers between zones (SEPA in Europe, mobile money or local transfers in the UEMOA, Emirati systems in the Gulf) have neither the same timelines nor the same costs. A customer collection in Dubai can take several days to become cash usable at holding level. Anticipating these delays in a cash plan avoids needless strain.

Calendar misalignment. The Emirati weekend is now Saturday-Sunday, the Asia/Dubai time zone (UTC+4) is a few hours ahead of Europe and West Africa, and tax deadlines (quarterly VAT 201, Corporate Tax) follow their own calendar. Effective group steering accounts for these gaps to avoid discovering a deadline the day before.

This is precisely CassKai's home ground, given its resolutely cash-oriented positioning. Several levers apply directly to a holding + Dubai subsidiary group:

• A multi-company group cash view, to see at a glance the consolidated treasury position of the holding and the subsidiary.
• A Cash Feed and cash forecasts (rolling horizon), enriched with indicators such as DSO and working capital, to anticipate rather than endure.
• DSO tracking per entity, to identify where cash is tied up — all the more useful as payment behaviour differs between Europe, West Africa and the Gulf.
• Proactive alerts on tax deadlines (VAT, Corporate Tax) and thresholds, to turn compliance into a routine rather than an emergency.

The rule we apply is simple: every feature must serve treasury steering. For an entrepreneur bridging France, West Africa and Dubai, the challenge is not only being compliant in three zones — it is knowing, at any moment, where the cash is, in which currency, and when it will be available.