Dubai Mainland Company Formation

Dubai Mainland is a geographically categorized jurisdiction by the Department of Economic Development in Dubai (DED). All the private businesses that are subjected to conduct commercial activities in accordance with the DED. … Setting up a business in Dubai Mainland provides close proximity to all the conveniences.

What is the difference between Dubai and free zone visa?

The main difference between Employment visa in Mainland and Free Zone is that Mainland visa is valid for Two Years while the free zone visa is valid for Three Years. … While the visa in both the case is valid in the whole UAE.

Can a free zone company do business in Dubai?

Free zone jurisdictions do not permit companies registered under free zone authorities to do business in Dubai Mainland. … Apart from this, free zone companies may do business in Dubai Mainland through a civil work company, limited liability company or establish a branch office.


What are the UAE free zones?

Free trade zones are areas in the United Arab Emirates (UAE) that have a special tax, customs and imports regime. These zones work under their own regulations. There are several UAE free zones across Dubai, Abu Dhabi, Sharjah, Fujairah, Ajman, Ras al Khaimah (RAK) and Umm Al Quwain.

What is a Freezone company?

The UAE’s free zones – also known as free trade zones – are essentially economic areas where goods and services can be traded, usually at preferential tax and customs rates. They were originally rolled out to boost international business in the region by offering benefits such as 100% foreign company ownership.

About Mainland Company Formation

Mainland company is a popular choice of entrepreneurs and start up owners . Dubai Mainland comes under the jurisdiction of the Department of Economic Development(DED) . The Government of UAE and business environment helps investors to start business with ease. Dubai Mainland is a popular choice because of lot of factors which helps business owners to take off their business . However , it is also true that the company formation process is time consuming process. UAE has an excellent infrastructure , support from the government , ease of doing business , International standards, educated manpower, all these factors makes UAE the best place to start business in UAE. When it comes to start a business in Dubai, It is imperative to know the rules and regulations about the business and how to open a company in Dubai . Applicants/Investors need to appoint/hire a UAE resident/Citizen as a Local sponsor who will hold a minimum 51% company shares in the mainland company & remaining 49% shares will be owned by the investor , The UAE National will be a sleeping partner which means that there will be an agreement between the investor and the local sponsor that the local sponsor will not have any say in the operations of the company and 100% profit will be of Investor . However, If an applicant is establishing a professional company and obtaining a professional license , the applicant/Investor will have 100% shares/ownership , However, still , a local service agent is mandatory. Mainland businesses can choose their office location anywhere in Dubai. This feature allows them not only to trade with local market but can also open up multiple branches of the company thus enabling them to build a strong presence in UAE.
Top 5 Benefits of Setting up Business in Dubai Mainland
  • No Minimum Capital requirement.
  • Freedom to start/do business anywhere in Dubai.
  • No corporate or Personal tax charges.
  • No restriction to undertake government projects.
  • Access to office spaces anywhere in Dubai
  • Requirements to start a company in Dubai Mainland
  • A Verified Office address from Dubai Municipality. This requirement may vary based on the type of license.
  • Name Approval from the Dubai Authorities.
  • Type of Business Activity –Approval required by the Dubai Authorities.
  • Appoint a Local Sponsor
  • MOA
  • Office space and also tenancy contract
Limited Liability Company (LLC)
Dubai attracts millions of investors/start up owners every year , lot of investors come to Dubai and start business to enjoy tax free income , dynamic business environment & great infrastructure. If you are interested to start limited liability Company in Dubai, You will need a local UAE citizen/Sponsor who will own minimum 51% share in the company and the investor will own 49% share in the company. The UAE National will be a sleeping partner, which means that there will be an agreement between the investor and the local sponsor that the local sponsor will not have any say in the operations of the company and 100% profit will be of Investor. In case of LLC, a minimum of 2 and maximum of 50 shareholders can be appointed.
Procedure – LLC
  • Selection of Name of the Company
  • Select/Choose the legal structure of the business
  • Select the exact location for the company
  • Select office /warehouse for operation of the company
  • Obtain Necessary approvals from the Department of Economic Development of UAE
  • Obtain Trade License
  • Obtain MOA & Share certificates
  • Tenancy agreement
Documents required for LLC Company
  • A Passport copy of Applicant/Investor
  • A passport copy of manager & Local UAE national
  • Trade Name Certificate
  • MOA Dually signed by the public notary
  • NOC letter from the sponsor if the partner or the Manager has a residence visa in the UAE
  • Registration application form from Dubai Economic Department
  • Pre/Initial approval the government
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