Key Highlights

• Indian entrepreneurs can remit up to USD 250,000 annually to their UAE business under the Liberalized Remittance Scheme, with TCS now applying only above ₹10 lakh (increased from ₹7 lakh in 2025).
• RAKBANK offers startup-friendly accounts with zero minimum balance for the first year, while digital banks like Wio Business provide instant approval in 3-5 days with no balance requirements.
• Incomplete or inconsistent paperwork is the most common reason for bank account rejections in the UAE, according to banking consultants and compliance experts.

You’re sitting in your Mumbai office, excited about expanding your tech startup to Dubai. Your trade license is ready, your office lease is signed, and you’re ready to start operations. But then you hit a wall—opening a UAE business bank account.

Your first bank application gets rejected. No clear reason given. You try another bank—same story. Weeks turn into months. Meanwhile, your business plans sit in limbo, and you’re burning cash without being able to operate fully.

Sound familiar? You’re not alone. 

Over 22,415 Indian companies entered the UAE market in the first half of 2025 alone, making Indians the largest group of foreign entrepreneurs in Dubai. 

Yet, many face the same banking nightmare. The good news? With the right knowledge, documentation, and strategy, you can crack this process and get your business bank account approved faster than you think.​

Why UAE Business Banking Matters More Than You Realize

Here’s the truth: without a UAE business bank account, you cannot legally operate your company or receive international payments. Additionally, banks require you to maintain a valid trade license. If your license expires, your bank may freeze or block your account until you submit a renewed license.​

But beyond compliance, a UAE business bank account opens doors you didn’t even know existed:

Direct Multi-Currency Operations: Your account can hold AED, USD, EUR, and GBP simultaneously, eliminating costly conversion fees every time you deal with international clients. For Indian entrepreneurs running global operations, this translates to savings of thousands of dirhams monthly.​

Zero Personal Income Tax: The UAE doesn’t impose personal income tax, allowing you to retain more earnings for reinvestment and growth. Combined with a 9% corporate tax only on profits exceeding AED 375,000, the tax efficiency is unmatched.​

Enhanced Business Credibility: When you send invoices from a UAE bank account with an IBAN, international clients take you seriously. It signals legitimacy and professionalism in a way that Indian bank accounts simply cannot match for UAE-registered businesses.​

Competitive Foreign Exchange Rates: UAE banks offer significantly better forex rates on large-volume international transfers compared to routing payments through multiple banking systems. For businesses dealing with suppliers across continents, this adds up to substantial cost savings.​

Access to Trade Finance Solutions: Need letters of credit for importing goods? Want supply chain financing? UAE banks provide sophisticated trade finance tools that facilitate international commerce—critical for import-export businesses.​

The numbers speak for themselves. Non-oil trade between Dubai and India reached AED 193 billion in 2024, driven largely by Indian entrepreneurs leveraging the UAE’s banking infrastructure for global transactions.​

Understanding Your RBI Liberalized Remittance Scheme Connection

Before you transfer a single rupee to your UAE business, you need to understand how India’s Reserve Bank of India (RBI) regulates outward remittances. This is where the Liberalized Remittance Scheme (LRS) becomes your best friend or your biggest headache if you don’t follow the rules.

1. What Is LRS and How Does It Work?

The LRS allows resident Indians to remit up to USD 250,000 per financial year (April to March) for permitted transactions without requiring prior RBI approval. This limit applies per individual, not per business, which is crucial to understand when planning your initial capital transfer to the UAE.

For business purposes, LRS covers trade and business expenses, investment abroad for business ventures, and payments to international suppliers and contractors. This means you can legitimately transfer funds to capitalize your UAE company or pay for business setup costs.​

2. The 2025 TCS Changes You Must Know

Here’s where things got better for Indian entrepreneurs in 2025. The Tax Collected at Source (TCS) threshold for LRS remittances increased from ₹7 lakh to ₹10 lakh. This means:​

• Remittances up to ₹10 lakh per financial year attract zero TCS
• Remittances above ₹10 lakh attract 20% TCS (except for education and medical purposes, which have lower rates)
• The TCS you pay is not a final tax—you can claim it as credit when filing your Income Tax Return​

For context, if you remit ₹15 lakh for your UAE business setup, you’ll pay 20% TCS on the ₹5 lakh excess (₹1 lakh). But this isn’t lost money; it’s adjustable against your tax liability in India.

3. Form A2: Your RBI Compliance Document

Every outward remittance requires you to submit Form A2 to your Authorized Dealer (AD) bank in India. This form captures critical information, including your name and address as the remitter, the amount and currency being transferred, the purpose code for the transaction, and details of the beneficiary.​

Purpose codes matter. For business setup in the UAE, you’ll typically use codes related to business expenses or capital investment. Your Indian bank will guide you, but ensure you’re accurate, as mismatched purpose codes can trigger scrutiny.

4. Maintaining Compliance Documentation

Smart Indian entrepreneurs maintain meticulous records of all LRS transactions. Keep copies of Form A2, bank transfer receipts showing TCS deducted, invoices or contracts justifying the remittance purpose, and any correspondence with your bank regarding the transaction.​

This documentation becomes invaluable when you’re dealing with both Indian tax authorities during ITR filing and UAE banks during account opening, as they’ll want to understand your source of funds.

Types of UAE Business Structures and Their Banking Implications

Your business structure in the UAE directly impacts which banks will accept you and how quickly you’ll get approved. Let’s break down your options.

1. Mainland Company Bank Accounts

If you’ve registered your company with the Department of Economic Development (DED) in Dubai or any other emirate, you have a mainland company. These accounts offer maximum flexibility—you can operate anywhere in the UAE and internationally.​

Key characteristics: Access to all UAE banks, ability to deal with local UAE clients and government contracts, and typically requires a physical office with Ejari (tenancy registration). Minimum balance requirements range from AED 25,000 to AED 100,000 depending on the bank.​

Best for: Indian entrepreneurs targeting the local UAE market, those needing government contracts, or businesses requiring unrestricted UAE operations.

2. Free Zone Company Bank Accounts

Free zones like DMCC, IFZA, JAFZA, and RAKEZ have become the go-to choice for Indian entrepreneurs. Over 9,000 Indian firms set up in Dubai during H1 2025, with the majority choosing free zone structures.​

Why free zones work: You get 100% foreign ownership without a local partner, a reduced compliance burden compared to mainland companies, and often faster business setup (5-7 days in some free zones). Most importantly, free zone companies qualify for 0% corporate tax on qualifying activities.​

Banking advantages: Free zones have established relationships with UAE banks, making account opening somewhat smoother. DMCC and IFZA are particularly well-regarded by banks. However, banks still conduct full due diligence. The free zone status helps but doesn’t guarantee approval.​

Minimum balance requirements: Typically range from AED 0 (RAKBANK RakStarter) to AED 50,000 (Emirates NBD).​

3. Offshore Company Bank Accounts

Here’s where things get challenging. Offshore companies registered in jurisdictions like RAK ICC face significant banking hurdles. Offshore companies face significantly higher rejection rates from UAE banks due to enhanced due diligence requirements and perceived money laundering risks.

Why the high rejection rate? Banks view offshore structures as higher risk for money laundering and tax evasion. Enhanced due diligence is mandatory, documentation requirements are more stringent, and minimum balance requirements are typically higher (AED 100,000+).​

Our recommendation: Unless you have specific reasons for an offshore structure (like holding company purposes with no UAE operations), opt for a free zone or mainland company. The banking access alone justifies this choice.

4. Digital Banking Alternatives

A new category has emerged for Indian entrepreneurs: digital banks and fintech solutions. Wio Business, Wise Business, and Karbon offer multi-currency accounts with zero minimum balance and approval within 3-5 days.​

The catch? These aren’t always accepted for VAT registration or certain licensing renewals. Use them as complementary accounts for international transactions, but maintain a traditional bank account as your primary business account.​

Disclaimer: Minimum balance requirements and banking policies change frequently. Always verify current requirements directly with your chosen bank or through a licensed UAE business setup consultant. 

Also Read: Zero Balance Business Bank Account in Dubai: Your Complete Guide

Complete Documentation Checklist for Indian Entrepreneurs

Bank rejections happen primarily due to incomplete or inconsistent documentation. Let’s ensure you get this right the first time.

1. Core Identity and Incorporation Documents

Start with your foundation documents: valid passport copies of all shareholders (all pages, not just the photo page), Certificate of Incorporation from your UAE authority, Memorandum of Association (MOA) and Articles of Association (AOA) showing your company structure, share certificates proving ownership distribution, and a board resolution authorizing account opening and naming authorized signatories.​

Pro tip: Ensure all names are spelled identically across every document. A variation like “Ramesh Kumar” versus “Ramesh K.” can trigger rejection.

2. UAE-Specific Requirements

If you have UAE residency (which most banks prefer), you’ll need a UAE residence visa with entry stamps visible in your passport, Emirates ID (front and back copies), and proof of UAE address like Ejari (tenancy registration), utility bills dated within the last 3 months, or Makani number documentation.​

For non-residents: Some banks allow account opening without UAE residency but expect enhanced scrutiny and potentially require one resident signatory or a Power of Attorney holder who is UAE-based.​

3. Financial Documentation

Banks want proof you’re financially credible. Provide 6 months of personal or company bank statements from India or UAE showing regular transactions. activity and healthy balances. If you’re a new startup without business statements, strong personal statements become even more critical.​

Include 3-5 sample business invoices demonstrating your transaction history. If you’re brand new and don’t have invoices yet, provide client agreements, letters of intent, or partnership MOUs showing intended business activity.​

Prepare a detailed source of funds declaration explaining where your capital comes from—savings from previous employment, business profits from India, investment from partners, or family support. Be specific and truthful.​

4. Business Activity Proof

This is where many Indian entrepreneurs slip up. Banks need to understand what you actually do. Provide a detailed company profile (2-3 pages) describing your services or products, target markets (UAE, India, global), and competitive advantages.​

Create a comprehensive business plan with a market analysis showing you understand the UAE market, financial projections for the next 12-24 months, and a revenue model explaining how you’ll make money.​

List your client and supplier details, including names, countries, and nature of business relationships. Banks use this to assess if you’re dealing with high-risk jurisdictions.​

5. For Non-Resident Indian Entrepreneurs

If you’re planning to manage your UAE business primarily from India, additional requirements apply. You’ll need a notarized Power of Attorney if someone in the UAE will manage the account on your behalf, extended bank statements (6-12 months instead of 6) to prove financial stability, and parent company documentation if you’re setting up a UAE subsidiary of your Indian business.​

6. Special Requirements by Business Type

Your industry determines additional documentation needs. For trading and import-export businesses, include bills of lading samples, shipping documentation, and trade contracts with suppliers. 

Technology and IT services companies should provide service contracts with clients, software licensing agreements if applicable, and client testimonials or reference letters. Consulting businesses need professional credentials, certifications, client engagement letters, and a detailed portfolio of past work.​

Crypto and high-risk sectors face the most stringent requirements: regulatory licenses from DMCC, ADGM, or DIFC; clean wallet history for crypto businesses; enhanced compliance documentation; and often a higher minimum balance commitment.​

7. Document Certification and Attestation

Here’s what often confuses Indian entrepreneurs: which documents need official attestation? For documents from India (like parent company certificates or personal documents), get attestation from the Indian Embassy in the UAE or the UAE Consulate in India. For UAE documents, self-attestation by the company’s authorized signatory is typically acceptable.​

Recent updates allow both digital and physical document submission, though final account activation still requires in-person verification in most cases.​

Step-by-Step Process to Open Your Business Bank Account from India

Let’s walk through exactly how to open your UAE business bank account, even while you’re still in India.

Phase 1: Pre-Application Preparation (2-4 Weeks)

Step 1: Assess Your Business Structure and Eligibility

Before approaching any bank, understand your business category. Are you a new startup with no transaction history? An established Indian company expanding to the UAE? A tech services business or physical goods trader?​

Your answers determine which banks will even consider you. RAKBANK loves startups, Emirates NBD prefers established SMEs, and Mashreq NeoBiz targets digital-native businesses.​

Step 2: Secure Your UAE Trade License

No trade license means no bank account. Complete your business setup through your chosen free zone authority or DED. This typically takes 5-10 days for free zones, longer for the mainland.

Ensure your trade license activities precisely match your banking intentions. If your license says “IT consulting” but your business plan describes “e-commerce,” banks will question the inconsistency.

Step 3: Compile and Organize Documentation

Use our checklist above and create a master folder—both digital (PDF scans) and physical copies. Organize documents in this sequence: company registration documents, shareholder passports and IDs, financial documents, business activity proof, and additional sector-specific documents.​

Create a cover letter summarizing your business, expected monthly transaction volumes, and primary transaction types (salary payments, supplier payments, and client receipts).

Step 4: Select the Right Bank

This decision is critical. Compare banks based on minimum balance requirements, approval timelines, monthly maintenance fees, multi-currency support, online banking capabilities, and relationship manager accessibility.​

For Indian entrepreneurs, we’ve found these patterns: RAKBANK approves startups fastest (5-10 days) with zero minimum balance for the first year. Emirates NBD offers the best digital banking platform but requires an AED 50,000 minimum balance. 

Mashreq NeoBiz offers two options: Lite (zero balance with AED 200 monthly fee) for startups and freelancers, or Prime (AED 50,000 minimum balance with no monthly fee) for established businesses. Both provide excellent online features perfect for tech companies.

Phase 2: Application Submission (1-2 Weeks)

Step 5: Initiate Remote Application

Many UAE banks now allow initial application submission online, even from India. Visit the bank’s business banking section, complete the pre-qualification form, and upload preliminary documents.​

Within 2-3 business days, a relationship manager will contact you to discuss next steps. Be prepared for a preliminary phone call where they’ll assess your business genuinely—they’re not just checking boxes, they’re evaluating risk.

Step 6: Submit Complete Documentation

Here’s the insider secret: submit everything at once. Incomplete applications get pushed to the bottom of the queue, restarting your compliance clock.​

Use the bank’s checklist as your guide, but include extra supporting documents that strengthen your case—client contracts, awards or certifications, media coverage of your business, or reference letters from established companies.​

Step 7: Pre-Compliance Video Interview

Expect a video call with the bank’s compliance team. They’ll ask about your business model and revenue sources, transaction patterns and main counterparties, and source of funds and capitalization.​

Be honest and specific. Vague answers like “consulting services for various clients” raise red flags. Instead say, “We provide software development services primarily to European SaaS companies, with typical project values ranging from $20,000 to $100,000.”

Phase 3: Verification and Approval (2-4 Weeks)

Step 8: KYC/AML Background Checks

While you wait, banks are busy. They’re screening you against international sanctions lists, verifying Ultimate Beneficial Owner (UBO) declarations, checking adverse media mentions, and validating business legitimacy through public records.​

If your name is similar to anyone on a sanctions list, expect delays. Banks will request additional documentation to differentiate you. Stay responsive—delays in providing clarification extend your timeline significantly.

Step 9: Committee Approval

Most UAE banks have weekly or biweekly committees that review new applications. Your relationship manager presents your case to this committee. This is why timing matters—if you submit documents on Friday, you might wait 10 days just for the next committee meeting.​

Phase 4: Account Activation (3-5 Days)

Step 10: Make Initial Deposit

Once approved, you’ll receive activation instructions. Transfer your minimum required balance from India using the LRS process we discussed earlier. Remember to complete Form A2 and ensure TCS is properly handled.​

The bank will provide their IBAN and SWIFT code for the transfer. Most transfers from India reach the UAE within 1-3 business days.​

Step 11: Receive Banking Credentials

Within days of your deposit clearing, you’ll receive online banking login credentials, a debit card and checkbook (delivered to your UAE address), and confirmation of account activation.​

Schedule a virtual or in-person meeting with your relationship manager to understand transaction limits, international transfer procedures, VAT payment setup, and salary card options for employees.​

Step 12: Activate International Capabilities

Don’t assume your account is fully operational for global transactions immediately. You need to specifically enable international wire transfer permissions, configure multi-currency access if you opted for that account type, and set up beneficiary accounts for regular payees.​

Test everything with a small transaction first. Send $100 to a test account in India or your home country to ensure the system works before attempting large business payments.

Comparing Your Banking Options: Which Bank Fits Your Needs?

Let’s cut through the marketing and give you real comparisons based on actual Indian entrepreneur experiences.

1. RAKBANK: The Startup Champion

Indian entrepreneurs consistently rate RAKBANK highest for new businesses. The RakStarter program eliminates minimum balance for 12 months, giving you breathing room to grow. After the first year, you need an AED 10,000 average balance or pay AED 99 monthly—still the most affordable in the UAE.

Limitations: Smaller branch network compared to Emirates NBD or FAB, and basic digital platform (functional but not cutting-edge).​

Real case: Priya, a Delhi-based consultant who set up in DMCC, got her RAKBANK account approved in 6 days with zero balance. She now manages $50,000 in monthly transactions with minimal fees.

2. Emirates NBD: The Digital Leader

If you’re tech-savvy and want the best online banking experience in the UAE, Emirates NBD is unmatched. Their mobile app handles everything from instant transfers to expense categorization.​

The trade-off: AED 50,000 minimum balance requirement. If you fall below, you’ll pay AED 150-250 in monthly fees.​

Best for: Established businesses that already have capital and need sophisticated cash management tools.

3. Mashreq NeoBiz: The Tech Startup Favorite

Mashreq’s NeoBiz offering targets the new generation of digital businesses. You get real-time analytics, advanced reporting, and API integrations for tech companies. The application process is streamlined with minimal paperwork.​

Minimum balance: NeoBiz Lite requires zero minimum balance (AED 200 monthly fee), making it competitive with RAKBANK for cost-conscious startups. NeoBiz Prime requires an AED 50,000 minimum balance but charges no monthly fee, making it suitable for businesses with stronger capital positions.

Real case: An Indian SaaS founder reported approval in 5 days with Mashreq NeoBiz, citing the relationship manager’s understanding of technology business models.

4. ADCB: The Trade Finance Expert

If you’re in import-export, ADCB deserves serious consideration. They specialize in letters of credit, documentary collections, and supply chain finance—critical tools for traders.​

Flexibility: Multiple account tiers from AED 10,000 (Silver) to AED 100,000 (Platinum) minimum balances, depending on services needed.​

Limitation: More conservative approval process, taking 2-3 weeks typically.​

5. Wio Business: The Digital Disruptor

For micro-businesses and freelancers, Wio Business offers something traditional banks cannot: instant approval, zero fees, and zero minimum balance. Open your account entirely from your phone in 10 minutes.​

Important limitation: Wio accounts may not be accepted for all licensing renewals or VAT registration—always confirm with your free zone authority.​

Use case: Many Indian entrepreneurs maintain both a Wio account for quick international transactions and a traditional bank account for official business needs.

Disclaimer: Banking fees, minimum balance requirements, and approval timelines are subject to change. For the most current details and any cost-related queries, verify directly with the banks’ official websites or visit their branches. Do not make financial commitments based solely on this comparison without confirming current terms with the bank.

Also Read: How to Open an Offshore Bank Account in Dubai: A Complete Guide

Common Rejection Scenarios and How to Avoid Them

Let’s talk about the elephant in the room. Even with perfect documentation, you might get rejected. Understanding why helps you prevent it.

Rejection Reason #1: Incomplete or Inconsistent Documentation

Incomplete or inconsistent paperwork is the most common reason for bank account rejections in the UAE, according to banking consultants and compliance experts.

Prevention strategy: Create a master checklist and verify every document against it. Have a colleague review everything with fresh eyes. Check that all signatures match your passport signature exactly.​

Rejection Reason #2: Vague Business Model

If the compliance officer reads your business plan and can’t understand how you’ll make money, you’re rejected. Generic descriptions like “consulting services” or “general trading” trigger immediate skepticism.​

Fix this: Be specific. Instead of “IT consulting,” write, “We provide React Native mobile app development services to European fintech startups, with project values ranging from $30,000 to $80,000 and typical client relationships lasting 6-12 months.”

Include specific client names (with permission), sample contracts showing actual work, and financial projections based on realistic assumptions.​

Rejection Reason #3: Source of Funds Red Flags

Banks must verify where your money comes from. Unclear origins, large sudden deposits in your Indian bank statements without explanation, and funds from high-risk jurisdictions all cause problems.​

Solution: Prepare a detailed source of funds letter explaining your capital’s origin with supporting evidence. If it’s from employment, include salary slips and tax returns. If from a previous business, provide sale documentation or profit distribution evidence. If from family, get a gift deed notarized.​

Rejection Reason #4: High-Risk Industry Concerns

Crypto, forex trading, precious metals, real estate brokerage, and money remittance businesses face enhanced scrutiny.​

What banks want to see: Regulatory licenses from DMCC, ADGM, or DIFC for crypto businesses; clear compliance procedures documented; a clean transaction history; and sometimes higher minimum balance commitments (AED 100,000+).​

Real example: A Mumbai-based crypto trader got rejected by three banks before getting approved by RAKBANK—only after obtaining a DMCC crypto license and providing detailed blockchain wallet histories.​

Rejection Reason #5: Non-Resident Status Complications

Banks view non-residents as higher risk. You face additional scrutiny, potentially higher minimum balances, and sometimes the requirement for a UAE-resident signatory.​

Overcome this: Apply for a UAE residency visa alongside your business setup, appoint a qualified UAE-based person with Power of Attorney if needed, and provide extended documentation (12 months of bank statements instead of 6).​

Many Indian entrepreneurs initially face this challenge. Consider timing your first UAE visit to coincide with account opening—physical presence during the process dramatically improves approval odds.​

Rejection Reason #6: Dealing with Sanctioned Countries

If your business plan shows suppliers or clients in sanctioned countries (Iran, North Korea, Syria, etc.), banks will likely reject you.​

Alternative approach: Diversify your counterparties before applying, provide extra compliance documentation proving you follow international sanctions, and consider banks with more international trade experience (like ADCB or Emirates NBD).​

Rejection Reason #7: Cannot Meet Minimum Balance

Be honest with yourself. If you’re stretching to deposit AED 50,000 and that represents your entire capital, you’ll struggle when that balance is locked.​

Better option: Choose startup-friendly banks like RAKBANK (AED 0 minimum) or Wio Business (AED 0 minimum). Build your business first, then upgrade to a premium bank account later when you have stronger financials.​

Frequently Asked Questions

1. Can I open a UAE business bank account while still living in India?

Yes, many banks now allow remote application submission and preliminary approval. However, most still require at least one in-person visit to the UAE for final verification and account activation. Some banks, like Wio Business, offer fully remote onboarding if you already have an Emirates ID.​

Timeline: Expect remote applications to take 2-4 weeks from submission to preliminary approval, then you’ll need to visit the UAE for 2-3 days to complete activation.​

2. What is the minimum capital required to open a business bank account?

There’s no fixed minimum capital requirement across all banks. Requirements vary widely: RAKBANK requires an AED 0 minimum balance for the first year; Mashreq NeoBiz Lite requires AED 0 (with an AED 200 monthly fee), while NeoBiz Prime requires AED 50,000; Emirates NBD requires AED 25,000-50,000 depending on account type; ADCB ranges from AED 10,000 to AED 100,000 based on tier; and FAB requires AED 100,000+ for corporate accounts.​

Hidden cost: Even zero-balance accounts charge fees if you don’t maintain minimums after the promotional period. Read the fine print on monthly charges.​

3. Can I open a bank account for my existing Indian company or do I need a UAE entity?

You must establish a UAE entity—either a subsidiary, branch, or new company. Indian companies cannot open business bank accounts in the UAE without a UAE trade license.​

Your options: set up a Free Zone company (most common for Indian SMEs), establish a UAE mainland company, or register a branch of your Indian company in the UAE (requires more documentation and parent company approvals).​

The trade license is the mandatory prerequisite—no exceptions.​

4. How long will the entire process take from application to active account?

Based on our analysis of Indian entrepreneur experiences, here’s the realistic timeline breakdown:

• Document preparation: 2-4 weeks (gathering, certifying, organizing)
• Application submission: 1-2 weeks (initial application to complete submission)
• Bank verification and approval: 2-4 weeks (KYC checks, committee review)
• Account activation: 3-5 days (after approval, making initial deposit)

Total timeline: 5-11 weeks for traditional banks. Digital banks like Wio can approve in 3-5 days total.​

Factors that speed things up: Complete documentation submitted at once, UAE residency already in place, established business with transaction history, and choosing startup-friendly banks like RAKBANK.​

Factors that cause delays: Missing or inconsistent documents, non-resident status requiring extra checks, high-risk industry requiring enhanced due diligence, and applications submitted right before bank committee meetings.​

5. Can I transfer money to multiple countries from my UAE business account?

Absolutely. This is one of the UAE’s biggest advantages. Your business account supports SWIFT transfers to virtually any country, multi-currency accounts letting you hold and transact in AED, USD, EUR, GBP and others, and competitive forex rates compared to routing through multiple banking systems.​

Important: International transfer capabilities may be limited initially. After opening your account, specifically request activation of international wire transfer services and test with a small transaction before attempting large transfers.​

6. How do I ensure compliance with RBI’s Liberalized Remittance Scheme when transferring funds?

This is critical for Indian entrepreneurs. Follow this process: obtain Form A2 from your Indian bank or download it from the RBI website, complete it accurately with the correct purpose code for business investment, submit it to your Authorized Dealer bank with supporting documents, and allow TCS to be deducted as per current rules (20% on amounts above ₹10 lakh).​

Keep meticulous records: Form A2 copies, bank transfer receipts, TCS certificates, invoices or contracts justifying the remittance, and correspondence with your bank.​

Reverse remittances (UAE to India) don’t fall under LRS but must still follow FEMA guidelines. Document every transfer’s purpose and source.​

7. I’m in crypto/digital assets. Can I open a bank account easily?

Let’s be honest: it’s challenging, but not impossible. Crypto businesses face enhanced scrutiny from all UAE banks due to regulatory concerns and AML requirements.​

Success factors: Obtain proper licensing from DMCC (crypto license), ADGM (crypto asset license), or DIFC (innovation testing license). Prepare enhanced documentation, including blockchain wallet histories, proof of clean transaction sources, detailed compliance procedures, and often higher initial deposits (AED 100,000+).​

Banks more open to crypto: RAKBANK has shown more flexibility for properly licensed crypto firms, Mashreq NeoBiz considers crypto consulting and development businesses, and Emirates NBD may work with DMCC-licensed entities.​

Reality check: Even with perfect documentation, expect 4-8 weeks approval time for crypto-related businesses versus 2-4 weeks for traditional businesses.​

8. As an import-export business, which account type should I choose?

Trade businesses need specific banking features. Look for trade account features including letters of credit (LC) facilities, documentary collections, supply chain finance options, multi-currency accounts, and competitive forex rates for large transactions.​

Best banks for traders: ADCB specializes in trade finance with streamlined LC processes, Emirates NBD offers comprehensive trade solutions with a strong international network, and FAB provides robust trade finance for established businesses with larger volumes.​

Don’t underestimate the value of a relationship manager who understands import-export cycles. When you need an LC issued quickly for a time-sensitive shipment, that relationship matters.​

Your Next Steps: Taking Action Today

You now have the complete roadmap to opening your UAE business bank account successfully. But knowledge without action is worthless.

At JSB Incorporation, we’ve helped thousands of Indian entrepreneurs successfully navigate UAE business setup and banking. Our specialized services include end-to-end company formation across 24+ UAE jurisdictions, including DMCC, IFZA, JAFZA, and mainland options.

We prepare your documentation to banking standards from day one, avoiding the common pitfalls that cause rejections. Your business plan, financial projections, and source of funds declaration are crafted specifically for UAE banking compliance requirements.

Ready to start your UAE business journey with confident banking access? 

Book your free consultation call today with the experts of JSB Incorporation to open your business bank account in the UAE.