The Mainland Company formation in Dubai
- Unlimited Visas
- No Minimum Capital Required
- Business Base in Dubai
Over 1000 Happy Customers
What is mainland company ?
Companies licensed by the Department of Economic Development in an Emirate, known as mainland companies, enjoy unrestricted business operations throughout the UAE. These locally registered entities present attractive options for entrepreneurs seeking to establish themselves in the region. Various licenses catering to different business activities are available within the mainland framework. To delve deeper into the specifics of company formation in Dubai, explore the available resources and connect with relevant authorities.
Benefits of mainlaind comapny in dubai
Dubai mainland company has the following benefits
1. Unrestricted Business Scope
- Broad range of permitted business activities within the UAE and beyond.
- Freedom to trade with local and international clients.
- No geographical limitations on business operations.
2. Visa Flexibility
- Ability to sponsor visas for employees based on office space size.
- Simplified visa processing and greater flexibility compared to free zones.
- Potential to attract and retain a diverse workforce.
3. Location Freedom
- Unrestricted choice of office location within Dubai's mainland.
- Greater operational freedom compared to geographically confined free zones.
- Ability to establish a presence in key business districts or preferred areas.
4. Visibility and Reputation
- Enhanced brand recognition and reach within the wider UAE market.
- Stronger connections to local networks and potential customers.
- Building trust and credibility as a locally established entity.
5. Government Contracts
- Eligibility to participate in lucrative government tenders and contracts.
- Direct collaboration opportunities with public sector entities.
- Greater access to government-driven projects and initiatives.
What Type of Mainland Trade License Available in UAE ?
There are three types of licensing Options avaiable in the UAE
Professional trade licence
Obtaining a professional business trade licence from the Department of Economic Development (DED) is a mandatory requirement for all businesses and entrepreneurs seeking to offer professional services within the Dubai mainland. This licensing procedure ensures professionals and their businesses possess the necessary qualifications and skills to meet Dubai's high standards.
Purpose of Professional Licensing:
- Quality Assurance: It verifies the applicant's expertise and qualifications in their chosen field, protecting clients from unprofessional or unqualified service providers.
- Regulatory Compliance: It ensures businesses operate within the legal framework established by the DED, contributing to a fair and ethical business environment in Dubai.
Who Needs a Professional Licence?
All professionals, specialists, craftsmen, and artisans aiming to establish a mainland company in Dubai require a professional trade licence. This includes a wide range of professions, from consultants and engineers to doctors and artists.
Company Structures with Professional Licences:
- Limited Liability Company (LLC): In this setup, a local sponsor holds a 51% ownership stake, while the foreign investor owns the remaining 49%. This is the most common structure for professional businesses in Dubai.
- Civil Company and Sole Establishment: These structures allow 100% ownership for foreign investors. However, a UAE national must be appointed as a Local Service Agent (LSA) to handle legal formalities and act as a liaison with the DED.
For Civil Companies and Sole Establishments, while foreign investors enjoy 100% ownership, the involvement of a UAE national as a Local Service Agent (LSA) is mandatory. This LSA facilitates legal procedures and acts as a liaison with the DED.
Commercial trade licence
Operating a business involving the buying and selling of goods or engaging in any form of trade activity within the UAE mainland necessitates acquiring a commercial trade licence. This vital document allows you to establish your presence as either a Limited Liability Company (LLC) or a Sole Establishment and engage in either specialized or general trading activities.
Choosing the Right Licence:
Understanding the diverse types of commercial trade licences is crucial for navigating the company formation process in Dubai. Choosing the correct licence ensures you have the legal authorization to conduct your specific business operations. Some examples of businesses requiring this licence include:
- Broadcast and Communications Companies: Media houses, telecommunication providers, etc.
- Rental Transportation Services: Car rental agencies, limousine services, etc.
- Retail Companies: Shops, department stores, online retailers, etc.
- Construction Companies: General contractors, specialized sub-contractors, etc.
- Healthcare Businesses: Clinics, pharmacies, medical equipment suppliers, etc.
- Real Estate Businesses: Developers, property management companies, brokerages, etc.
Key considerations when choosing a trade licence:
- Scope of Activities: Clearly define the type of goods or services you intend to trade in.
- Location: Specific requirements may apply based on your chosen business location within Dubai.
- Investment Requirements: Different licence types may have varying minimum investment thresholds.
Navigating the intricacies of commercial trade licences can be complex. It's highly recommended to consult with a business formation specialist or legal professional to ensure you select the appropriate licence and fulfill all necessary requirements. These experts can guide you through the application process, ensuring a smooth and compliant entry into the bustling Dubai trade landscape.
Industrial trade licence
Unlocking Industrial Prowess: Navigating Industrial Trade Licences in the UAE
For businesses aspiring to establish an industrial or manufacturing foothold in the UAE, acquiring an industrial trade licence is the key that unlocks your potential. This essential document authorizes you to engage in activities that transform natural materials and resources into finished products, propelling your industrial pursuits forward.
The Department of Economic Development (DED) acts as the primary gateway for securing an industrial trade licence. However, depending on the nature of your specific industrial activity, additional approvals might be required from various ministerial bodies, including:
- Ministry of Finance: Oversees financial aspects of industrial projects.
- Ministry of Economy: Regulates industrial production and trade.
- Ministry of Energy and Infrastructure: Ensures compliance with energy and infrastructure standards.
Remember, securing the licence is just the first step. Be prepared to meet specific requirements, such as:
- Physical Premises: Establishing a physical warehouse within the UAE is mandatory.
- Minimum Capital: Depending on the emirate, a minimum paid-up capital requirement might apply.
- Technical Specifications: Detailed reports outlining production tools and estimated costs may be necessary.
- Local Sponsor: For companies under mainland formation, local sponsorship might be required.
The path to an industrial trade licence can be intricate. Partnering with a business formation specialist or legal professional can alleviate complexities and ensure smooth sailing through the process. They can:
- Identify the right licence type: Tailor-fitting the licence to your specific industrial activity.
- Guide you through approvals: Ensuring you obtain all necessary permissions from relevant authorities.
- Advise on compliance: Guaranteeing your operations adhere to legal and regulatory frameworks.
Empowering Industrial Dreams:
Possessing an industrial trade licence signifies your commitment to contributing to the UAE's thriving industrial landscape. By carefully navigating the intricacies of this process, you pave the way for your industrial endeavours to flourish, unlocking a world of possibilities within the dynamic heart of the Middle East.
Famous Mainland Activites in UAE
Mainland activities in the uae are
| Activity Name | Description |
|---|---|
| Gym | Gyms or gymnasiums and health clubs can be formed as either professional licences or LLCs. |
| Hospitality | Hospitality licences cover food and beverage activities such as cafes, bars, and restaurants. |
| Import-Export | These licences enable you to trade freely with mainland clients without having to use distributors. |
| Retail | Retail licences cover shops in malls and other outlets and include everything from clothing to book stores. |
| Event and Entertainment | Licences include event management and event planning for private and public events. |
| Manufacturing | Manufacturing licences cover the manufacture of goods in the UAE for distribution locally and globally. |
| Healthcare | Healthcare licences require special approval from the Dubai Health Authority. |
Can you get 100% Foreign Ownership of your mainland companies ?
For foreign investors, navigating the sands of Dubai's mainland was once a complex dance. Partnering with local Emirati shareholders was mandatory, with a 51% minimum ownership stake, effectively limiting foreign control. Even alternative company structures like sole establishments required a local service agent, adding another layer of complexity.
Landmark Reform: Embracing 100% Foreign Ownership
In a transformative move to attract foreign investment and boost confidence, the UAE in 2020 amended its Commercial Companies Law. This landmark decision, taking effect in June 2021, paved the way for 100% foreign ownership of onshore companies in Dubai. This opened the door for foreign investors to operate independent businesses, unshackled from the previous limitations.
While not a complete free-for-all, 100% ownership is applicable to a comprehensive "positive list" exceeding 1,100 business activities across diverse sectors. From bustling general trading and construction (think towering skyscrapers!) to vibrant education and hospitality (imagine luxurious hotels and buzzing tourism), the list offers a treasure trove of opportunities for foreign entrepreneurs.
Adapting Existing Structures: A Smooth Transition
Existing Dubai mainland companies can also embrace this change. Emirati partners can choose to step aside or reduce their shareholding through legal amendments, allowing foreign investors to gradually take the reins within the established company structure.
Importantly, the law revamp doesn't disrupt existing procedures for licensing, incorporation, or renewing Dubai mainland companies. The process remains streamlined through the established channels of the Dubai Economy Department, pictured above.
Legal Structures: Familiar Ground with New Possibilities
The familiar legal structures for foreign investors – sole establishments, civil companies, and Limited Liability Companies (LLCs) – remain unchanged. While a sole establishment under a foreigner's name isn't possible, transferring an LLC license to a one-person LLC opens doors for individual ownership.
Reduced Burdens, Streamlined Operations
The amendment eliminates the need for Emirati agents for foreign company branches and allows existing agents to be removed. This streamlines operations and reduces administrative burdens for foreign businesses, making the investment climate even more attractive.
Impact and Opportunities: Riding the Wave of Change
This transformative law has unleashed a wave of foreign investment in the UAE, with Dubai at the forefront. The city has witnessed a surge in mainland company formations, fueled by the allure of full ownership and attractive tax-free benefits. In the initial week alone, 59 new onshore companies were incorporated, a testament to the law's impact.
Seizing the Moment: Become a First Mover in Dubai's Dynamic Landscape
If you're a foreign investor eyeing the dynamic shores of Dubai, this is your chance to be a first mover and capitalize on the exciting possibilities of a fully-owned mainland company. Explore the diverse opportunities, navigate the streamlined processes facilitated by the Dubai Economy Department, and potentially join the throng of entrepreneurs reshaping Dubai's business landscape.
Remember, this is just the beginning of an exciting new chapter for foreign investors in Dubai. With these changes in place, the sands of Dubai's business landscape are shifting, and the opportunities are ripe for the taking. So, grab your metaphorical surfboard and ride the wave of change!
Principal Features
Here are some principal and key features of dubai mainland company
| Attribute | Details |
|---|---|
| DED | Mainland companies in Dubai are registered with the Department of Economic Development in Dubai. |
| Types of licenses offered | Commercial License, Professional License, Trade License, and Industrial License. |
| Number of visas | The company may have unlimited visas issued depending on office size. |
| Location | The office may be based anywhere in mainland Dubai. |
| Law | Commercial Companies Law, Law no. 2 of 2015. |
| Ownership | 100% foreign ownership for activities under the ‘positive list’. Local sponsor is required to own 51% of shares in LLC for all other activities. (This does not apply to sole establishments.) |
| Paid-up capital | No paid-up capital requirement. |
