Looking to start a business in Dubai and not sure if mainland company is best option for you? Dubai is a globally attractive hub for business. This is a good proximity to all of the people needed for a good business and it is to be remembered that it gives modern infrastructure and business-friendly policies which makes it ideal for entrepreneurs. Setting up with a Dubai mainland company can be advantageous if you want to expand your business in the UAE. In this article, we will walk you through the main advantages, the process, and the requirements that you need to know before establishing a mainland company.
What is a Dubai Mainland Company?
A Dubai mainland company is a business that is licensed by the Dubai Department of Economy and Tourism (DET), formerly Dubai Department of Economic Development (DED). Such companies may conduct operations anywhere in the UAE and abroad. They are not limited to specific areas as free zone businesses and may engage with both local and international customers with no limitations. Get details about Setup Business in Dubai Mainland.
Benefits of a Mainland Company in Dubai
There are several advantages to setting up a mainland company:
Freedom to Trade Across the UAE
Another great benefit is that mainland companies can operate in any area of the UAE, which allows them to target a wider customer base.
No Limit on Business Activities
This is a very flexible zone where commercial, industrial and professional activities are allowed.
100% Foreign Ownership
Foreign investors can now own 100% of mainland companies in a host of sectors, This is a significant departure from the previous rule requiring a local sponsor.
Office Location Flexibility
Unlike other countries, you can choose your office location anywhere in Dubai which helps in the access of customers.
Ability to Work with Government
Most free zone businesses cannot bid on state projects and contracts, while mainland companies are allowed to.
Unlimited Employee Visas
You can apply as many employee visas required to run your operations, depending upon your office space. Looking for a Company Registration Service in Dubai?
Steps to Set Up a Dubai Mainland Company
While this may appear to be an arduous process, it is pretty straightforward if you take it step-by-step:
Choose Your Business Activity
Choose an appropriate activity from the DET’s activities list This will determine whether you have a commercial, industrial or professional type of license.
Select a Company Name
Select a distinct name as per the UAE naming conventions. Do not include offensive or religious references.
Decide on Legal Structure
LLC, sole establishment or civil company based on partners and activity.
Apply for Initial Approval
File your application with DET for preliminary approval, This indicates that the government has no problem with your business plan.
Draft the MOA (Memorandum of Association)
Execute MOA and other legal documents. If you choose a local service agent, you will find them detailed here.
Choose and Rent Office Space
Find an Office for lease in a location in Dubai right for your business. Final approval is only after a tenancy contract (Ejari) is in place.
Get External Approvals (if needed)
Certain businesses need to get approved by outside agencies, the municipality or the health department.
Submit Documents and Pay Fees
After all documents prepared, you submit it to DET. Complete the payment of the licensing and registration taxes.
Collect Your Trade License
Once you have received the approval, you will have your trade license, and your facility is now legally able to open.
Documents Required
Here’s a rundown of the most common documents you’ll need:
- Copies of passports of all shareholders
- UAE visa or entry stamp
- Passport-size photographs
- Initial approval from DET
- Ejari (tenancy contract)
- MOA & LSA agreement (if applicable)
Depending on the activity, some types of business may require further documentation. Obtaining an International Business License in Dubai.
Things to Keep in Mind
You should familiarize yourself with the laws of UAE and be aware of the recent amendments. Most companies go through a business setup service provider to assist them with all the documentation, approvals and legal formalities. Apart from saving time these make the process free from errors.
A Smart Move Towards Business Success in Dubai
A mainland company in Dubai offers endless opportunities and is a gateway to businesses all over the UAE and the world. It’s a strong means of expanding your business, offering complete foreign ownership, freedom to operate, and access to government contracts. This can be done through proper planning and compliance which is the key to success.
The Ultimate Guide to Setting Up Your Dubai Mainland Company Call our experts today and get started hassle-free setup!
FAQ
You also receive 100% ownership for foreign entities, alongside full access to the UAE market; in addition, you will be eligible to bid for government contracts.
Yes, 100% foreign ownership is permissible in many sectors without the need for a local sponsor.
That includes selecting an activity, getting approvals, leasing office space, and obtaining your trade license.
If all documents are complete, it normally takes 5 to 10 business days.
While certificate copies, visa stamp, photographs, Ejari, MOA and DET approval are required.