Start Your Mainland Company in Dubai – Unlock Limitless Business Opportunities!

Thinking of setting up a business in Dubai? A mainland company gives you the flexibility to operate across the UAE and globally, with access to over 3,000 business activities. Enjoy 100% ownership, zero trade restrictions, and unlimited growth potential.

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Mainland Company Formation in Dubai

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A UAE mainland company is an entity licensed by the Department of Economic Development (DED) in the respective Emirate, granting it the flexibility to operate across the UAE and beyond. Establishing a mainland company in Dubai offers numerous advantages, including unrestricted trade opportunities and access to a diverse market. Below, we outline the key benefits of mainland company registration and provide a step-by-step guide to setting up your business in Dubai.

Benefits of Mainland Company Formation in Dubai

Establishing a mainland company in Dubai offers numerous advantages that make it an attractive option for entrepreneurs and businesses seeking growth. Here are the key benefits:

  • Broader Market Reach: Mainland companies have the freedom to operate across Dubai and the UAE, allowing access to a wider customer base and a larger market.
  • Full Ownership: You can maintain 100% ownership of your business, providing complete control and flexibility in decision-making and operations.
  • Flexible Location Options: Choose from a variety of locations across Dubai to set up your business, ensuring you select the most suitable environment for your operations.

These advantages make mainland company formation an ideal choice for businesses aiming to expand and succeed in the UAE.

Location Flexibility and Unrestricted Trade

A mainland company in Dubai offers the benefit of unrestricted trading within the UAE and unlimited location choices for your operations. These companies can engage in transactions with the government and directly sell to consumers throughout the Emirates. Additionally, mainland businesses can open multiple branches, establishing a widespread presence across the UAE.

Broad Scope of Business Activities

Mainland companies in Dubai can engage in a wide array of business activities. If you wish to diversify your services, simply re-register the new business activity with the Department of Economic Development (DED), and you can immediately begin operations in the expanded field.

Access to Lucrative Government Contracts

An important advantage of setting up a mainland business in Dubai is the ability to secure government contracts. The UAE government has allocated substantial funding for major infrastructure and development projects. In recent years, for example, the Abu Dhabi Executive Council approved AED 17.5 billion (USD 4.76 billion) for government initiatives, including AED 4 billion for infrastructure, AED 2 billion for education, and AED 1.2 billion for upgrades to governmental and social facilities. As a mainland company, you’ll be well-positioned to access these lucrative opportunities.

100% Ownership of Mainland Businesses

Historically, 100% foreign ownership of UAE businesses was only allowed in specific circumstances, such as in free zones or for professional services companies (sole establishments or civil companies). However, recent reforms introduced by HH Sheikh Mohammed bin Rashid Al Maktoum have enabled 100% foreign ownership of mainland businesses across various sectors, providing international investors with greater control and flexibility. This change offers significant potential for growth in the UAE’s dynamic economy, although certain strategic sectors, such as oil and gas, still require a local partner.

With these reforms, Dubai’s mainland company formation offers unparalleled opportunities for international investors looking to establish a strong presence in the UAE.

Transitioning from Free Zone to Mainland Company Formation in Dubai

If you’re currently operating within a UAE free zone and are considering transitioning to a mainland company, we’re here to guide you through the process. While over 30,000 companies currently trade from the UAE’s three largest free zones, and foreign entrepreneurs enjoy the convenience of pre-packaged business setups, these structures often come with limitations. As your business grows, transitioning to a mainland company may be essential to expand your reach and seize new opportunities. With the right UAE national sponsor or company formation expert, this transition can be both strategic and seamless.

Your Comprehensive Checklist for Mainland Business Setup in Dubai

Ready to take your business to the next level? Here’s your step-by-step checklist to successfully set up your mainland business in Dubai:

1. Select Your Business Activity

The first step in setting up a mainland company in the UAE is selecting your business activity. The Department of Economic Development (DED) offers over 2,000 approved activities spanning industries like trade, agriculture, hospitality, and manufacturing. Unlike free zones, mainland companies are free to operate in any of the listed activities, offering unmatched flexibility.

2. Choose the Ideal Location for Your Business

Once you’ve decided on your business activity, the next decision is where to base your company. Mainland businesses have the freedom to choose their location anywhere in the UAE. Whether you need proximity to key ports like Jebel Ali, Mina Zayed, or Mina Khalid for import/export operations, or prefer a strategic location to cater to your target audience, Dubai’s mainland offers endless possibilities. Additionally, mainland companies can establish multiple branch offices, allowing for a broad local presence.

3. Determine Your Legal Structure

For foreign entrepreneurs, the most common legal structure for a mainland company is a Limited Liability Company (LLC). LLCs are independent legal entities owned by two or more shareholders, and they are required for commercial or industrial activities. If you’re looking to set up a professional services company, you can do so without the need for a local sponsor, maintaining 100% foreign ownership.

4. Engage a Local Sponsor or Service Agent

For LLCs, a local sponsor (a UAE national or a UAE-based company) is required to hold 51% of the company shares. However, through a corporate nominee, you can retain 100% operational and financial control of your business. For professional service companies, a Local Service Agent (LSA) is needed. The LSA does not hold any shares in the business and simply acts as a representative for administrative dealings with the government.

5. Choose Your Company Name

Your company name is crucial to your brand identity. In the UAE, certain guidelines must be followed when naming your company. For example, offensive language, religious references, or inferences to other organizations are prohibited. Additionally, company names should reflect the phonetic spelling rather than translations. For detailed naming guidelines, refer to our “Choosing a Company Name in the UAE” guide.

6. Apply for Your Mainland Trade License

To operate your mainland company, you must apply for a trade license with the Department of Economic Development (DED). The application process requires a variety of documents, including a license application, the memorandum of sponsor arrangements, and ownership percentages among shareholders.

7. Secure Office Space

Once your license is secured, the next step is finding office space. UAE mainland businesses can choose from serviced offices, which are fully equipped and ready for immediate use, or shell-and-core offices, which require a full fit-out. The choice will depend on your budget, space requirements, and the type of business you operate.

8. Apply for the Relevant Visas

In the UAE mainland, there are no restrictions on the number of visas you can apply for, as long as they correspond with the office space you lease. Typically, 100 sq. ft. of space is required per visa. As a business owner, you can also sponsor visas for your dependents, such as family members or domestic staff. Additionally, an investment visa grants you and your family the right to live and work in the UAE for up to three years.

9. Partner with a Company Setup Consultant

Setting up a mainland company in Dubai can be a complex process that requires expert knowledge of legal and regulatory requirements. Partnering with a UAE-based business setup consultant will make the process smoother and more efficient. A consultant can align with your business goals and ensure your company formation is done correctly, giving you the confidence to succeed in the competitive Dubai market.

By following this comprehensive checklist, you’ll be on your way to a successful mainland company setup in Dubai, unlocking new growth potential and broader market opportunities. Let us assist you in making your business transition seamless and impactful with InstaZone.