Establishing a business on the mainland in the UAE presents an ideal choice for investors aiming to establish a robust presence within the local market. Opting for mainland business setup offers investors greater flexibility for expanding their ventures. It facilitates the seamless establishment of new office spaces or warehouses, the addition of more employees, collaboration on government projects, and various other opportunities for growth.
The Department of Economic Development (DED) oversees the issuance of business licenses in the UAE, operating under the guidelines of each Emirate. Certain categories of business licenses may require approval from specific ministries and other government bodies. The DED offers over 3000 activities grouped into various business license categories, providing investors with ample choices for company setup in the UAE.
Entellus Consult offers comprehensive company setup services aimed at assisting entrepreneurs in transforming their business concepts into fully operational enterprises. Leveraging our profound understanding of government protocols and global benchmarks, coupled with our experience in the Middle East market, we expedite the mainland company formation process while providing invaluable assistance to our clients. With our specialized expertise, we possess the capacity to successfully execute even the most intricate setup procedures within designated timelines. Our dedicated department is equipped to provide prompt and dependable formation solutions, supported by a management team devoted to delivering personalized services tailored to the unique needs of each client.
Mainland companies can be categorized as Professional Services, Commercial Trading entities and Industrial Activity
Selecting the appropriate business activity and legal structure (sole proprietorship, partnership, corporation, or LLC) are essential prerequisites for setting up a mainland business in the UAE. Business licenses in the UAE are generally classified into the following categories..
Catering to specialized professional services, craftsmen, and artisans.
Issued for service provider companies such as training, management consultancy, etc. Full or partial ownership is depending on the activity requirements. Certain activities are allowed 49% of foreign ownership, while others have full ownership. In this case the role of the Local Service Agent (individual or corporate) is limited to administration only.
Facilitating the establishment of industrial or manufacturing activities.
Specific for manufacturing enterprises and industrial companies. Valid for a definite period, the industrial trade license obligates the company to have a leased or owned physical warehouse inside the country and manufacturing facilities.
Encompassing all types of trading activities.
Adequate for businesses involving trading or retail activities (buying and selling of goods, import and export activities, real estate service, logistics, travel & tourism, auto vehicle rental business, etc). A maximum of 10 activities per license are allowed.
In Dubai, the DED is responsible for issuing licenses for mainland businesses, also known as local companies. Various license categories exist, including professional licenses for service providers, industrial licenses for manufacturing enterprises, and commercial licenses for trading or retail activities. Different types of mainland company formations in Dubai include sole establishments, limited liability companies, branches of foreign companies, representative offices, and civil companies.
Mainland company formation in the UAE typically requires the involvement of an Emirati citizen either as a Local Service Agent (LSA) or a 51% partner, depending on the type of company structure chosen. An LSA represents the company in government dealings but does not hold any shares. However, foreign entrepreneurs can achieve 100% ownership of their business under certain legal structures, such as sole proprietorship or partnership under a civil agreement.
To assist with registering a mainland company in the UAE, Entellus Consult provides experienced specialists who guide clients through the incorporation process. They aid in selecting the appropriate business activity and license type, offer insights into advantages and disadvantages, and provide recommendations on banking partners, visa categories, employee permits, office rental locations, and other essential services for business success.
and public shareholding
Free trade policies in the UAE allow you to trade globally, meaning you can do business within the UAE and outside.
Unlike free zone companies, businesses with a mainland license can cater to the UAE market without any limitations. This provides a significant advantage in terms of customer reach and business opportunities.
Dubai mainland companies are allowed to carry out business with government & quasi-government bodies in the UAE or the GCC. This means your company can bid for government tenders and contracts in verticals such as construction, realty, transport, and tourism worth billions of dollars each year.
Businesses can conduct transactions in any currency, providing significant flexibility in international trade.
This is vital if you’re planning to expand. Unlike FZE companies, Dubai mainland companies are allowed to apply for unlimited visas based on the requirement of the company.
Starting a business on the mainland does not require a minimum capital investment, making it accessible for startups and SMEs.