Both are low-tax, English-speaking, politically stable, and allow full foreign ownership. They serve completely different founders. Set your profit below and the answer changes in front of you.
Two routes: a free zone company governed by its own authority, DMCC, IFZA, Meydan, RAKEZ, JAFZA, Dubai South, or a mainland LLC registered with the Department of Economic Development, which can trade anywhere in the UAE without a distributor.
A typical IFZA licence runs AED 12,500 to 14,500 in year one including trade licence, establishment card and two investor visa allocations. DMCC is AED 20,000 to 28,000. Renewals, e-channel and labour card add AED 10,000 to 18,000 annually, and a flexi-desk from AED 6,000 satisfies the office requirement.
Qualifying free zone persons pay 0% on qualifying income and 9% on anything excluded. Qualifying requires adequate substance in the zone, not electing out of the regime, staying inside the de-minimis rule, and meeting transfer pricing and audit obligations.
The most mature English-speaking hub in Asia. The private limited company is the standard vehicle, incorporated through ACRA's BizFile+ portal and completed inside 24 hours via a licensed corporate service provider. Common law, world-class courts, top-three globally for contract enforcement.
ACRA fees are SGD 315. A provider bundling incorporation, nominee director, registered address and secretary charges SGD 1,200 to 2,500 in year one. The resident director requirement is the real recurring cost at SGD 2,000 to 3,500 a year; ongoing secretary, filings and office add SGD 3,500 to 6,500 from year two.
The 17% headline is misleading. Start-Up Tax Exemption gives new companies 75% relief on the first SGD 100,000 of chargeable income and 50% on the next SGD 100,000 for three years. On SGD 300,000 of profit an established company under Partial Tax Exemption pays roughly SGD 33,600: an effective rate near 11%.
For most internet-era founders in 2026, Dubai is the better choice.
If you run a digital business, consultancy, trading company or holding structure and do not need to be physically present in Asia, the combination of QFZP status, 0% personal tax and the Golden Visa is difficult to beat.
If you are raising venture capital, building a fintech, or selling to Asia-Pacific enterprises, Singapore's banking depth and regional credibility remain unmatched. Plenty of founders use both: a Dubai holding company over a Singapore operating subsidiary.
The three-year figure above is a planning instrument, not a quote. Four things move it materially.
Estonia and the UK both undercut these two on cost. Whether they beat them on outcome depends on where you and your customers sit.
