Dubai is one of the most attractive destinations for entrepreneurs and investors looking to establish a business in the UAE. Mainland company registration allows businesses to operate both within the UAE and internationally, offering access to a broad market and limitless growth potential.
Overview of Mainland Business Registration in Dubai
A mainland company in Dubai is registered under the Department of Economy and Tourism (DET) and is free to conduct business across the UAE and beyond. Unlike free zone companies, mainland businesses can engage directly with the local market without restrictions.
Dubai’s mainland company setup is ideal for entrepreneurs seeking maximum flexibility, unlimited trade opportunities, and full ownership in most sectors. With a robust regulatory framework, streamlined registration processes, and a business-friendly environment, Dubai has become a preferred hub for global investors.
Benefits of Setting Up a Mainland Company in Dubai
1. Full Foreign Ownership
Previously, foreign investors required a local sponsor (UAE national) with 51% ownership in most sectors. However, the UAE government has updated its laws, allowing 100% foreign ownership in many business activities.
2. No Trade Restrictions
Mainland companies can operate across the UAE and globally, unlike free zone companies, which are restricted to their designated free zone or require a local distributor to trade in the UAE market.
3. Ability to Bid for Government Projects
Mainland businesses are eligible to apply for government contracts and projects, offering lucrative business opportunities across various industries.
4. Unlimited Business Activities
Mainland businesses can engage in a broad range of commercial, industrial, and professional activities without geographical restrictions within the UAE.
5. No Minimum Capital Requirement
Most business activities in Dubai mainland do not require a specific minimum capital investment, making it easier for startups and SMEs to enter the market.
6. No Currency Restrictions
Businesses operating in the mainland can transact in any currency, providing financial flexibility for international trade and investment.
7. No Mandatory Office Space for Some Activities
Certain professional and consultancy businesses can be registered with a virtual office, reducing initial investment costs.
Types of Business Licenses in Dubai Mainland
The DET offers different types of business licenses based on the nature of the business activities:
1. Commercial License
- Suitable for businesses engaged in trading, general trading, import/export, and retail activities.
- Examples: General Trading, E-commerce, Automotive Trading, Building Materials Trading.
2. Professional License
- Issued to individuals or firms offering professional services requiring expertise and skills.
- Examples: Consultancy, IT Services, Legal Firms, Marketing & Advertising.
3. Industrial License
- Required for companies involved in manufacturing, production, or any industrial activities.
- Examples: Food Production, Textile Manufacturing, Equipment Assembly.
4. Tourism License
- Necessary for businesses in the travel and tourism industry.
- Examples: Travel Agencies, Tour Operators, Hotels & Resorts.
5. Agricultural License
- For companies involved in farming, fisheries, and agricultural activities.
- Examples: Organic Farming, Livestock Breeding, Aquaculture.
Step-by-Step Process of Mainland Company Setup in Dubai
Step 1: Choose the Business Activity
Select the appropriate business activity based on your industry and services. The DET provides a list of approved business activities for mainland companies.
Step 2: Select the Legal Structure
Choose a legal structure that suits your business operations. Some common mainland company structures include:
- Sole Establishment (For individuals with full ownership)
- Limited Liability Company (LLC) (Most common, allows multiple shareholders)
- Civil Company (For professionals such as doctors, engineers, and consultants)
- Branch of a Foreign Company (Expanding international businesses into Dubai)
Step 3: Reserve a Trade Name
Register a unique trade name with the DET that reflects your business activity and complies with UAE naming regulations.
Step 4: Obtain Initial Approval
Secure initial approval from the DET, which confirms that your business can proceed with registration.
Step 5: Arrange for Local Service Agent (If Required)
For professional licenses and certain activities, a UAE national may be required as a local service agent, who will not have ownership but will act as a sponsor.
Step 6: Lease Office Space & Obtain Ejari
A physical office is mandatory for mainland companies. Lease commercial space and register the tenancy contract (Ejari) with the Dubai Land Department.
Step 7: Prepare & Submit Legal Documents
Submit the necessary legal documents, including:
- Memorandum of Association (MOA) or Local Service Agent Agreement
- Passport copies of shareholders
- Initial approval receipt
- Lease agreement
Step 8: Obtain Business License
Once all approvals and payments are made, the DET issues the business license. This is the final step in officially establishing the company.
Step 9: Register for VAT & Corporate Bank Account
- Register for Value Added Tax (VAT) if applicable.
- Open a corporate bank account in a UAE-based bank.
Step 10: Apply for Employee Visas & Labor Cards
Companies can apply for employee visas and register with the Ministry of Human Resources and Emiratisation (MOHRE) to hire staff.
Why Choose Dubai for Your Business Setup?
Dubai offers a stable economy, investor-friendly policies, world-class infrastructure, and strategic global connectivity. With an ever-growing business landscape, establishing a mainland company in Dubai is a gateway to unlimited opportunities across the UAE and beyond.
Whether you are an entrepreneur, startup, or multinational corporation, mainland business registration in Dubai provides flexibility, scalability, and global expansion potential.