Mainland Business Setup: Your Complete Guide
A Mainland Business Setup is a type of business license issued by theย Department of Economic Development and Tourism (DET)ย in Dubai, United Arab Emirates. The license can be renewed every year, with the fee depending on the type of business, i.e. commercial, professional, and industrial activities, the rent of the office space, and a number of employees.
Generally, the procedure involves applying for a trade name, submitting the required documents, and paying the fees. In some cases, additional approvals may be required, such as from theย Dubai Municipalityย orย SIRA Approval,ย theย Civil Defense Department (CDD), and more!
Mainland Business Setup License Application Guides
Ready toย open your business in the UAE? Hereโs what youโll need to consider:
Pick a Trade Name that Rings a Bell
Brainstorm a catchy name that reflects your brand and ensure its availability by seeking help from business service experts. This will avoid any roadblocks later.
Identify Your Business Activities
Clearly define the activities your company will undertake to secure the appropriate license category. Weโll also help determine if any external approvals are necessary.
External Approvals (If Required)
In some cases, you may need additional approvals from relevant government entities.
Number of Partners
Decide how many partners will be involved in your company.
Choose Your Company Structure
Decide on your legal structure, such as a sole proprietorship, civil company, limited liability company (LLC), or branch of a foreign company. Each structure has its own set of requirements and ownership restrictions.
Ejari Registration (If Required)
Not all businesses require Ejari registration in the first year of operation. However, eligibility depends on your specific activities. Consulting a professional can ensure you meet all registration requirements for your license.
Mainland Business Setup License Legal Type
100% Ownership
The UAE Government officially announced in June 2021 that certain activities are allowed and eligible for 100% foreign ownership in the mainland, whether trading, manufacturing, transportation, production, services, and more! This means that foreign investors can own a business in Dubai without the need for a local partner or sponsor.
Local Sponsor
Mainland Business Setup in Dubai needs a local sponsor or a UAE national, and the general shareholding arrangement of Dubai Mainland Company is that the UAE national sponsor holds 51% of the company and the foreign shareholder(s) holds 49% of the company. The mainland company provides flexible legal contracts between foreign investors and local sponsors, where the local sponsors receive an annual fee or a percentage of sales/profits. The foreign investor holds 100% control over the company and the local partner has no involvement in the day-to-day operations of the business.ย
Local Service Agent
A company with a legal form of sole establishment or civil company requires a local service agent when obtaining a license. This local service agent is paid annually, depending on the agreed amount. This local agent has nothing to do with the company and has no rights to the company.
Types of Licenses in Mainland Business Setup
Professional Services License
Commercial License
Industrial License
Advantages of Having a Mainland Business Setup License
Establishing a business on the mainland in Dubai, UAE, gives you the freedom to extend your businessโ branches to other parts of Dubai and across the UAE. With this license, you can offer a B2B or B2C service. This allows companies to operate in any of the mainland areas in Dubai that are strategically located with easy access to the market and business hub here in Dubai, such as Business Bay, Bur Dubai, Sheikh Zayed Road, and more!
Streamline your Mainland Business Setup with Our Expert Guidance
Our experienced team is committed to providing personalized guidance and comprehensive support throughout your mainland business setup journey. We offer a range of services, including in-depth consultations to understand your business goals, activities, and any necessary external approvals. Additionally, we provide expert assistance with document preparation, efficient license application management, up-to-date legal advice, and ongoing support for compliance and visa processing.
