Business Setup in Dubai

Mainland License in Dubai, UAE

The Dubai Economic Department issues a Dubai Mainland License to companies and other structures based on the Mainland. A company on the Mainland can practice any activity. However, some activities are restricted explicitly to UAE nationals only. As such, a company in the Mainland must be sponsored by a UAE national with at least 51% of its capital. You can obtain this sponsorship through a local sponsor like Just Business.

Getting a Dubai mainland license is relatively easy, but there are several things to know before applying for a license. The cost for a license varies according to business type and size, but you can expect to pay between AED 10,000 to AED 30000. The advantages of operating in the Mainland include access to international and local markets, zero-currency exchange restrictions, and 100% repatriation of capital. The strategic geographical location of Dubai is another benefit of a license, allowing businesses to reap the rewards of a low cost of doing business.

The cost of getting a Dubai mainland license is comparable to obtaining a license in the free zones. The mainland option also allows for unlimited visas, which is advantageous for businesses that employ foreign nationals. The number of visas you can issue is directly related to the space you have in your warehouse or office. In addition to the benefits of a license, a mainland company can branch out to other parts of the UAE, such as Dubai.

How to start a Mainland Business in Dubai?

A Mainland Business in Dubai gives you the freedom to engage in international trade and explore global connections. This business setup’s flexible structure allows you to quickly expand your operations to foreign markets. However, you must plan your logistics well to penetrate the international market and reap the rewards. This article discusses some of the benefits of a Mainland Business in Dubai. 

A Mainland Business in Dubai is a corporation that is registered in the Mainland. Unlike a branch office, a Mainland business is an independent entity that can conduct business activities inside or outside the UAE. Onshore companies require a professional or commercial license and a minimum of 51% UAE national ownership. For a Sole Establishment, there are no such restrictions. However, you may have to fill out additional forms to apply for a license.

A Mainland Business in Dubai requires office space. Initially, a foreign entrepreneur can only manage the formation of a company on the Mainland with the help of a local service agent or sponsor. The sponsor must be a resident of the UAE and own 51% of the business. Once the company has a local sponsor, it can hire additional staff and expand its operations in Mainland UAE. Alternatively, you can hire an expert business consultant in the UAE to set up an LLC on the Mainland. An Expert Business Consultant can coordinate with the Government Authorities and prepares your application form. Expert consultants can assist you with tenancy contracts and other necessary documentation.

Benefits of Mainland License in Dubai

A Mainland License is a great investment opportunity for those interested in starting a business in the United Arab Emirates. Unlike a free zone company, a mainland company can set up an office in any part of the UAE. This is an excellent way to gain an increased presence in the local market. On the other hand, free zone companies can only operate within the free zone and must use a distributor to conduct business on the Mainland. 

Distributors tend to cut into the profits of a mainland company.

Among other benefits of a Mainland License, this type of business allows the foreign owner to conduct business without a local partner. A Dubai Mainland License allows the foreign investor to have complete control of his business, and his local partner has no involvement in the company’s day-to-day operations. Additionally, the Department of Economic Development assists in commercial compliance, consumer protection, and the licensing of mainland enterprises.

A Mainland License in Dubai enables businesses to choose their office location. Moreover, because they can use any location within Dubai, a mainland company can open multiple branches in the UAE and build a strong presence in the country. Moreover, a mainland company can carry out government contracts, whereas free zone companies are not permitted to do so. Additionally, a Mainland license allows businesses to obtain unlimited visas, despite the number of visas that will depend on the office space available in the city.

How to set up a Mainland Company in Dubai

The first step in establishing a Mainland company in the Emirate of Dubai is to choose the name for your new business. It should be unique, easy to remember, and not related to any religion or nationality. The next step is to get the documents you need to set up your company, such as your EID, NOC for UAE Residents, and a residential address. Once these are in place, you can register your new business and start working on your new venture immediately.

Setting up a mainland company in the UAE gives you a lot of benefits, including a wide range of trade and 100% ownership. There are no geographical restrictions on what you can and cannot do, and you can open as many branches as you need, depending on your needs. The government and economic development ministry encourages mainland companies and offers various tax incentives, such as the exemption from corporate tax. In addition, the UAE has an excellent infrastructure and a diverse pool of talented human resources.

While the free zone offers certain advantages, there are many disadvantages. While you can conduct business with mainland companies, you must remember that they are more expensive than free zone companies. Using a free zone company is an excellent idea if you’re starting a new business in the UAE, but if you want to expand, you need a mainland company. It’s not difficult to set up a mainland company in the UAE, and it only takes a few weeks to become operational. Very few documents need to be submitted, and We can complete the process quickly and easily.

Documents required to set up a mainland company

Mainland companies benefit local and foreign businesses because of the plethora of opportunities they offer and the fact that you can own 100 per cent of the company. You can even open several branches if you wish, and the government has no restrictions on trade, so you can easily offer products and services to the UAE government and consumers. Documents required to set up a mainland company in Dubai vary according to the business activities that you’ll be conducting.

If you are planning to start a company in the UAE, you must first determine whether you want to form a Freezone or a mainland company. The UAE government’s legal requirements for free zones companies are significantly different than for mainland companies. To avoid any legal problems, make sure you take the advice of a UAE company formation consultant before you start. These consultants understand your business goals and can help you feel confident in your decision to establish a business in the UAE.

When you establish a mainland company in Dubai, you must obtain approvals from the relevant government bodies. Depending on your business activity, you may need approvals from the Department of Economic Development (DED), Dubai Municipality, and the Ministry of Labor. Certain activities require special approvals, including engineering consultancy, money exchange, health care activities, and RTA activities. You should consult with a company formation attorney to obtain the necessary approvals.

Mainland Business set up jurisdictions in Dubai.

In contrast to offshore companies, mainland companies are generally taxed less than offshore companies. For example, mainland businesses can operate in a UAE-free zone while offshore companies cannot. Mainland businesses can also open bank accounts in the UAE, while offshore companies cannot. Ultimately, the decision depends on your own goals. In this article, we’ll compare the advantages of both Mainland and offshore businesses and how they affect your business.

The main advantages of setting up a mainland business in the UAE include high consumer traffic, low establishment costs, and ease of exporting. A mainland business is licensed by the Department of Economic Development of the relevant emirate. Depending on the type of business you’re planning to establish, your license could allow you to conduct business both in and outside the UAE. Commitbiz will be by your side at every step, providing one-on-one mentorship and legal guidance to help you reach your business goals.

The UAE’s government has a comprehensive development plan to make it the global business centre of the 21st century. It is open to international business opportunities in several sectors. The government is exceptionally accommodating and continues to provide incentives for new businesses to establish and operate here. Mainland Business set up jurisdictions in Dubai permit all kinds of business activities, from a single employee to a global operation. The government is committed to making the environment as business-friendly as possible.