How to Open a Business Bank Account in UAE as a Foreigner

The United Arab Emirates (UAE) is known for its robust financial infrastructure and business-friendly policies. Opening a business bank account in the UAE as a foreigner is an important step for entrepreneurs and companies looking to establish a legal and operational presence in the region.

However, non-resident business owners must understand strict Know Your Customer (KYC) requirements, minimum balance rules, and documentation standards set by the Central Bank of the UAE.

This guide provides an in-depth look at how to open a business bank account in UAE as a foreigner with expert insights and practical steps to ensure approval.

Benefits of Having a Local Business Bank Account in UAE

Understanding strategic advantages helps you open a company bank account in UAE with ease. Here are some of them:

  • Secure, Globally Trusted Banking Environment: The UAE’s banking sector is regulated by the Central Bank of the UAE, ensuring strong Anti-Money Laundering (AML) and cybersecurity standards. For foreign businesses, this translates into financial stability and confidence for cross-border operations.
  • Seamless International and Multi‑Currency Transactions: Major banks in the UAE offer multi‑currency accounts (USD, EUR, AED, etc.), allowing businesses to manage global sales and supplier payments efficiently.
  • Tax Benefits and Free Zone Advantages: Corporate accounts in UAE free zones enable businesses to leverage 0% corporate and income tax environments, full repatriation of profits, and import/export tax exemptions.
  • Enhanced Credibility and Business Growth: Having a UAE business account enhances your enterprise’s credibility. A corporate bank account demonstrates financial transparency to customers, suppliers, and investors.
  • Access to Advanced Corporate Services: Corporate accounts come with tailored features such as trade finance, dedicated relationship managers, digital banking tools, and preferential interest rates.

Can a Foreign Company Open a Business Bank Account in the UAE?

Yes, a foreign company can open a business bank account in the UAE. But, whether you’re opening small business bank account or one for a larger corporation, the process involves specific regulatory requirements and documentation. 

Foreign entities can open accounts if they operate through:

  • A UAE-registered company (e.g., mainland LLC or free zone entity).
  • A branch or representative office of a foreign company.
  • Certain non-resident corporate structures, though these face stricter due diligence checks.

Business Bank Account Requirements for Non-Residents in UAE

When it comes to understanding how to open a business bank account UAE, it’s important to meet specific legal, regulatory, and banking criteria. Below are the core requirements:

  • Legal Entity Registration: A UAE-registered company or a foreign company branch is generally required. Certain banks may open accounts for non-resident corporate entities but with stricter conditions and higher minimum balances. 
  • Business and Financial Proof: You must provide a clear business plan or description of business activities. Proof of business experience and contracts or invoices with UAE-based clients should be given. You should also give financial statements or bank account history for the past 6–12 months (for established companies).
  • Minimum Balance Requirements: Most UAE banks require maintaining a minimum balance, typically ranging from AED 50,000 to AED 250,000, depending on the bank and account type. Non-resident accounts may have higher minimum balance requirements and monthly service fees.
  • In-Person Verification: Many banks require directors or shareholders to visit the UAE to sign documents and verify their identity. Some banks offer remote onboarding, but only under limited conditions.

Most UAE banks will request the following documents:

  • Trade license or certificate of incorporation
  • Memorandum and Articles of Association (MoA/AoA)
  • Passport copies, Emirates ID (if applicable), and residence visas of all shareholders and directors
  • Proof of address for all stakeholders
  • Corporate documents of parent companies (if applicable)
  • Board resolution authorizing account opening and signatories

Legalization and Translation of Documents for Foreign-Owned Entities

The knowledge of how to open a UAE business bank account demands compliance with the UAE Central Bank’s regulations and local legal standards. 

Documents issued outside the UAE (e.g., certificates of incorporation, board resolutions) must be legalized by the UAE Embassy or Consulate in the country of origin. If the originating country is a member of the Hague Apostille Convention, an apostille stamp may be required.

Final attestation by the UAE Ministry of Foreign Affairs and International Cooperation (MOFAIC) is mandatory before the documents are accepted by banks.

All documents not in Arabic or English must be translated by a certified legal translator in the UAE. Banks may require dual-language versions (Arabic-English) for corporate documents. Certified translations must include official seals and be notarized for legal validity.

Power of attorney, board resolutions, and shareholder agreements often need to be notarized both in the country of origin and re-attested in the UAE.

The commonly legalized documents include:

  • Certificate of Incorporation or Trade License
  • Memorandum & Articles of Association (MoA/AoA)
  • Board resolution authorizing account opening
  • Passports and proof of address of shareholders and directors
  • Parent company documents (if applicable)

Step-by-Step Process to Open a Business Bank Account in UAE

Here is the step-by-step guide to answer how can I open a business account in UAE that aligns with UAE banking rules and best practices.

1. Choose the Right Bank and Account Type

  • Research local and international banks operating in the UAE. 
  • Determine whether you need a corporate account for a free zone company, mainland company, or offshore entity. 

2. Gather Required Documentation

Gather the following documents:

  • Trade License
  • Memorandum of Association (MoA)
  • Articles of Association (AoA)
  • Certificate of Incorporation
  • Passport Copies
  • UAE Residence Visas (if applicable)
  • Emirates ID for signatories
  • Proof of business activities (contracts, invoices, or business plans) 

3. Legalize and Translate Documents

  • Legalize foreign corporate documents through the UAE Embassy and MOFAIC.
  • Translate non-English or non-Arabic documents into Arabic by certified legal translators. 

4. Submit Application and Conduct KYC Checks

  • Visit the bank branch or work with a licensed corporate service provider to submit your application. 
  • Banks perform strict KYC checks, focusing on business activities, shareholder structures, and fund sources. Expect to provide additional details.

5. Initial Review and Compliance Approval

  • Banks will review your application and conduct risk assessments, especially for non-residents. 
  • The approval timeline is usually 2–4 weeks, but complex structures may require up to 6–8 weeks.

6. Make Initial Deposit and Activate the Account

  • Once approved, deposit the minimum balance as per the bank’s requirements.
  • The bank will issue your account details, online banking credentials, and checkbook (if applicable).

7. Set Up Digital Banking and Payment Services

  • Register for corporate online banking platforms and set up payment gateways if needed. 
  • Configure multi-user access for your team and integrate with accounting software.

Best Business Bank Accounts in UAE for Foreigners

Choosing the right bank in the UAE is critical for foreign-owned companies, as each bank offers different account features, minimum balance requirements, and international transaction capabilities. 

Below are some of the best banks:

Digital & Fintech Banking Options

For foreign-owned companies, digital banking solutions are gaining popularity due to their remote-friendly setup and lower fees.

  • Wio Business: A UAE-based digital bank designed for SMEs and startups, offering multi-currency accounts, fast onboarding, and integrations with accounting software.
  • YAP: Provides mobile-first business accounts, seamless international transfers, and an intuitive app interface suitable for foreign entrepreneurs.
  • Wise Business: While not UAE-based, Wise offers international payment accounts with competitive FX rates, often used alongside local accounts for cross-border operations.

Traditional Bank Options

Traditional UAE banks remain the most trusted choice for businesses requiring strong local credibility and full-service banking solutions.

  • Emirates NBD: Known for its wide branch network, multi-currency accounts, and robust online banking tools. Minimum balance typically ranges from AED 50,000 to AED 100,000.
  • Abu Dhabi Commercial Bank (ADCB): Offers comprehensive trade finance solutions, competitive fees, and solid SME support. Minimum balance requirement is around AED 100,000.
  • Mashreq Bank: Popular for fast approvals, dedicated corporate relationship managers, and advanced mobile banking; minimum balance starts from AED 50,000.
  • RAKBANK: Provides competitive foreign exchange rates, SME-focused packages, and flexible account options; minimum balance is between AED 25,000 and AED 50,000.

Common Challenges When Opening a Bank Account in UAE as a Non-Resident

Opening a business bank account in the UAE as a foreigner can be complex. Below are the most common challenges non-residents face:

  • Stringent KYC and Compliance Checks: UAE banks follow rigorous KYC protocols, often requiring detailed documentation.
  • In-Person Verification and Residency Preferences: Most UAE banks require the company owners or authorized signatories to visit the bank in person for account verification. 
  • Complex Documentation and Legalization: Foreign business documents often need to be legalized, notarized, and translated into Arabic before submission. Missing or improperly certified documents can lead to delays or outright rejection.
  • Industry Restrictions and Risk Profiles: Certain industries, like crypto, fintech, or real estate brokerage, are considered high-risk by UAE banks and face stricter due diligence. 

Tips to Get Your Business Bank Account Approved Faster

To avoid delays and rejections, consider the following actionable tips:

  • Prepare a Complete Documentation Package: Ensure all required documents are correctly notarized and legalized. 
  • Open Through a UAE Free Zone Company: Many UAE free zones have pre-established relationships with banks, making the account opening process easier for foreign-owned businesses.
  • Maintain a Strong Business Profile: Provide a clear business plan, details of expected transactions, and evidence of existing clients or contracts.
  • Select the Right Bank for Non-Residents: Not all UAE banks are equally friendly to foreign entrepreneurs. Consider banks known for efficient foreign business account services.
  • Keep Your Minimum Balance Ready: Many UAE banks require a minimum balance deposit before activating the account. Have funds prepared in advance.

Alternatives to Traditional Business Bank Accounts in UAE

For foreign entrepreneurs facing challenges opening a traditional corporate bank account in the UAE, several fintech and global banking solutions offer practical alternatives. Here are some of the common platforms:

  • Wise: Offers multi-currency business accounts that allow you to hold, send, and receive funds in AED and over 40 currencies. It is ideal for startups and e-commerce businesses with global clients.
  • Mercury: A U.S.-based digital bank popular with tech startups and SaaS companies. It is best for UAE businesses with a U.S. presence or investors.
  • Payoneer: Provides global payment solutions and business accounts for cross-border transactions. It is ideal for freelancers, consultants, and online sellers in the UAE. 

Tax and Compliance Rules for Foreign-Owned Bank Accounts in UAE

Foreign entrepreneurs opening a business bank account in the UAE must adhere to the following rules:

  • Corporate Tax: The UAE introduced a 9% corporate tax (effective June 1, 2023) for businesses with annual profits exceeding AED 375,000, as per the Federal Decree-Law No. 47 of 2022.
  • VAT Obligations: Businesses with taxable supplies over AED 375,000 must register for VAT and use a local bank account to handle payments.
  • Free Zone Benefits: Many Free Zone companies continue to enjoy tax incentives (0% corporate tax) if they meet the qualifying free zone criteria.
  • Economic Substance Regulations (ESR): Foreign-owned companies conducting certain “relevant activities” (e.g., distribution, service centers, headquarters businesses) must comply with ESR filing requirements to demonstrate real economic activity within the UAE.

How Commenda Supports Global Banking and Tax Compliance

Commenda streamlines the complexities of opening and managing business bank accounts across borders. Our services include:

  • Entity Setup: End-to-end company formation and licensing tailored to UAE regulations.
  • Document Support: Assistance with notarization, legalization, and translation of all bank-required documents.
  • Bank-Ready Compliance: Guidance on AML, KYC, and tax requirements to ensure smooth account approval.
  • Ongoing Advisory: VAT registration, corporate tax compliance, and audit-ready reporting for foreign entrepreneurs.

With Commenda, global businesses can confidently meet UAE banking and tax obligations without delays or compliance risks. Book a demo today.

Frequently Asked Questions (FAQs)

1. Can a non-resident open a business bank account in the UAE?

Yes, non-residents can open business bank accounts in the UAE, but the process is more complex and often requires a locally registered company or branch.

2. What documents are required to open a business bank account in the UAE as a foreign company?

Banks typically require incorporation documents, trade licenses, passports, Emirates IDs (if applicable), and proof of business activity.

3. Do I need a local director or representative to open a business account in the UAE?

While not always mandatory, having a local director, authorized signatory, or UAE resident representative can simplify account approval.

4. Can I open a business bank account in the UAE online without visiting?

Most banks require at least one in-person meeting for KYC, though some corporate service providers can facilitate remote applications.

5. Which banks in the UAE allow foreign-owned or non-resident businesses to open accounts?

Leading banks like Emirates NBD, Mashreq Bank, and RAKBANK offer services for foreign-owned entities.

6. How long does it take to open a business bank account in the UAE for a foreign entity?

Approval can take 2–6 weeks, depending on documentation completeness, KYC checks, and the bank’s internal policies.

7. Are there minimum deposit or balance requirements for foreign-owned business accounts in the UAE?

Yes, most banks require a minimum balance of AED 0 to AED 350,000, depending on the account type.

8. Can I open a multi-currency or USD/EUR business account in the UAE?

Yes, many UAE banks offer multi-currency accounts, particularly for international transactions.

9. What are the tax implications of holding a business account in the UAE as a foreign company?

The UAE has no corporate tax for many free zone entities, but new rules impose a 9% corporate tax on mainland businesses with profits exceeding AED 375,000.

10. What should I do if my business documents are not in the UAE’s official language?

All documents must be translated into Arabic by a certified translator and notarized, often requiring legalization or an apostille.

11. Are fintech alternatives like Wise or Mercury accepted for doing business in the UAE?

While fintech accounts are useful for international payments, they do not replace a UAE-based bank account for compliance and licensing requirements.

12. What are common reasons business bank accounts get rejected for foreign entities in the UAE?

Common issues include incomplete documentation, lack of a clear business plan, insufficient local presence, or industries flagged as high-risk.

13. Do I need to register a company locally before applying for a business bank account in the UAE?

Yes, a local company registration (free zone or mainland) is usually required to open a business bank account.

14. Will opening a business bank account in the UAE trigger local tax obligations?

Not directly, but operating in the UAE may create tax or regulatory obligations depending on your company structure and revenue.