Introduction Mainland Company Formation in Dubai
The United Arab Emirates is the leading business hub in the world. The UAE is rapidly developing and plans to expand its technology and infrastructure, making it the most luxurious and renowned emirate in the UAE. Business Setup in Dubai allows you to make accurate, flexible, differential profit-sharing arrangements & contracts with your UAE National Sponsor for Mainland Company Formation in Dubai. The Investor can pay a fixed annual fee, a percentage of sales, or a percentage of profits. In the UAE, a fixed yearly fee is the most popular method because it does not require disclosing your accounts to anyone, such as your Sponsor.
Mainland Company Registration in Dubai
Dubai Local Sponsors can include a Fee Arrangement in their legal agreement. A limited
Liability Company can be formed with two to 50 partners, with liability limited to their
shares. Dubai tax-free status and role as a trade hub make it an ideal location for Mainland
Company Formation, with a shareholding pattern being the most suitable option.
Starting a business in Dubai can be challenging due to local sponsor requirements,
Emirati regulations, and document preparation. An authorized consultant can assist with
company formation, guide registration fees, and offer support throughout the process. Dubai
offers benefits such as no customs duty, investor visas, staff additions, bank credibility,
easy branch opening, participation in tenders, government projects, real estate purchases,
and free trade in the local UAE market and the GCC region.
Mainland Company Formation in Dubai
A Dubai Mainland Company requires an Emirati Local Sponsor or a Silent partner. The percentage of Local Partners is described below.
- UAE national sponsors: 51%
- Foreign Shareholder (s): 49%
Creating a limited liability company in Dubai with a local partner requires legal procedures. The local sponsor agrees in court that he has no involvement in the company and is not responsible for the company profits or losses in Dubai, the United Arab Emirates, Mainland Company Formation in Dubai, or any other country.
Type of LLC Business Setup in Dubai Mainland Licences!
Dubai mainland Limited Liability Company (LLC) businesses must select the appropriate license for their activities, with several main types available for business setups.
- Commercial LicenseA Commercial License is required for companies engaged in trading activities. This license allows them to operate in major sectors such as import and export, retail, and general trading in different products.
- Industrial LicenseAn industrial license is essential for businesses in Dubai that manufacture and transform raw materials into finished products or engage in packaging and assembly processes. It is also crucial for operating factories or production units.
- Professional LicenseA Professional License allows expatriates to own 100% of professional services, including consultancy, accountants, lawyers, and medical practitioners, with a local service agent instead of a partner.
- Tourism LicenseTo capitalise on the thriving tourism industry, a tourism license is necessary for businesses operating in the Dubai tourism sector, including travel agencies, tour operators, and hotel management.
- E-commerce LicenseThe E-commerce License allows online businesses to operate platforms for selling goods and services, making it ideal for those planning to sell in online trading and digital product marketplaces.
- Agricultural LicenseAn Agricultural License is required for businesses dealing in farming, agriculture, and related activities, including crop production, animal husbandry, and the supply of agricultural products.
Creating a limited liability company in Dubai with a local partner requires legal procedures. The local sponsor agrees in court that he has no involvement in the company and is not responsible for the company profits or losses in Dubai, the United Arab Emirates, Mainland Company Formation in Dubai, or any other country.
“Establishing an LLC in Dubai mainland requires selecting the appropriate license, assessing operations, and consulting with us to ensure compliance with local regulations.”
Types of Business Structures
There are a few essential license types in Dubai Mainland areas, which differ from the licensing options of free zone areas. In the UAE (United Arab Emirates), seven categories of Business organisations can be established in Dubai, Ajman, Sharjah, and other UAE regions to start a business. It sets out the requirements for shareholders and directors, minimum capital levels, and incorporation procedures. General Partnership Company.
- Sole Proprietor Company
- Partnership
- Limited Liability Company (LLC)
- Shared Partnership Company
- Public Shareholding Company
- Joint Venture Company
- Private Shareholding Company
MBS CONSULTANCY AS A DUBAI BUSINESS CONSULTANT
- Legal Structures for Business Setup!
- We take care of all the legal requirements for a business in Dubai to provide maximum benefit to business owners.
- Submit the proposed company name and registration application to the Department of Economic Development (DED).
- Get the company Memorandum of Association in DED, notarised as Dubai Pro.
- File the company documents with DED to obtain a trade license from the Chamber of Commerce and Industry.
- Create a name board
- Submit the application to the Ministry of Labour for an Establishment Card.
- Ensure the registration of native workers with the Ministry of Labour and the General Authority for Pensions and Social Security.
Activities And Licensing Ministry / Department
- Medical Pharmacy, etc. Ministry of Health
- Telecommunication Equipment. Ministry of Communication
- Air Transport, Air Cargo, etc., Dept. of Civil Aviation
- Financial Institutions, Banks, Money exchanges, etc., Central Bank
- Agriculture, Veterinary, etc. Ministry of Agriculture
- Engineering and Construction, etc. Municipality
- Education, Training, etc. Ministry of Education
- Publishing, Printing, newspapers, Advertising, Video Film, Photography, etc. Ministry of Information
- Branches of foreign companies, insurance companies, chartered accountancy firms, etc.
- Customs Clearance, Freight Forwarding, Sea Cargo, etc. Ministry of Economy: Seaports and Customs Authority
LLC Company Setup Procedures in Dubai
- Choose the appropriate legal structure for the business.
- Select the name and the activities involved in your application.
- Complete and submit the required documentation to get the UAE Department of Economic Development license.
- Some special business activities get first approvals from relevant regulatory and government authorities.
- Get an office, virtual office, warehouse, or land for the company formation operations.
- Obtaining a Trade License, certificate of incorporation, memorandum of Association, Share Certificates, and Tenancy Agreement for your Dubai LLC Company Setup.
- Processing Visas, Labour Cards, and other legal documents
- Open a Corporate Bank Account in Dubai
Required Documents for LLC Company Formation in Dubai
- Investors Passport Copy
- Local sponsors' passport copy
- Managers passport copy
- NOC letter from the sponsor if the partner or the Manager has a residence visa in the UAE.
- Registration application form from the Dubai Economic Department
- Trade name reservation
- Initial approval from the Dubai Economic Department
- Tenancy contract for the office and warehouse, attested by the planning department and the civil defence department of Dubai municipality, along with the location plan
- Memorandum of Association duly attested by a public notary.
DED Type Of License Activity Annual Fee Description | Fee (Sole) | Fee (Civil) | Fee (LLC) |
---|---|---|---|
Trade Name Submission | AED 776 | AED 14,500 | AED 14,500 |
Initial Submission Approval | AED 256 | AED 256 | AED 256 |
Local Service Agent Agreement | AED 441 | AED 4410 | AED 650 |
Virtual Office with Ejari & Tenancy for 1 year | AED 4500 | AED 4500 | AED 4500 |
License Fee | AED 8000 | AED 9000 | AED 12,500 |
*T & C Apply | *T & C Apply | *T & C Apply |
Ideal Place for Company Formations in Dubai
Dubai is the top-ranked business hub in the United Arab Emirates, offering flexible and affordable options for investors. The city has eight jurisdictions, including Bur Dubai, a historic district with a rich history and attractions like museums, heritage sites, and traditional shops. Bur Dubai is ideal for starting businesses in residential and industrial zones, educational institutions, medical centres, shopping centres, and the automobile industry.
Deira is an ideal location for startup companies, SMEs, traders, and small shops, as it is a cultural and historical area. Al Karama, a residential district near Dubai Creek Park, offers real estate business opportunities and easy connectivity to Downtown Dubai. Business Bay, located near Sheikh Zayed Road, is ideal for professional consultancies, financial sectors, hospitality, and retail industries.
Sheikh Zayed Road, the longest road in the emirate, offers numerous trading benefits due to its connection to the Abu Dhabi and Ras Al Khaimah Emirates. Dubai has many business setup centres, such as the World Trade Centre, Burj al-Khalifa, Dubai Mall, Emirates Mall, and other skyline buildings. Jumeirah, a locality with residential plots, tourism sectors, and shopping centres, is ideal for small startups and large businesses.
Al Qouz, Dubai fastest-growing area, is known for its residential and industrial areas, which include large warehouses, garages, and labour accommodations for manufacturing companies. The area is between Sheikh Zayed Road and Al Khail Road, making it an excellent option for manufacturing, sampling companies, and industrial facilities.
Looking to establish a strong business presence in the UAE? Our expert PRO Services in Dubai and PRO Services in the UAE ensure a smooth and hassle-free business setup experience. Whether you are choosing a UAE Free Zone for its tax benefits or planning a Dubai Free Zone Business Setup, our team provides end-to-end guidance tailored to your business goals.
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Some FAQ About This Service
A mainland company in Dubai is a business entity that operates within the local market and can trade directly with the UAE market. It is registered with the Department of Economic Development (DED) and allows companies to conduct business across various sectors without restrictions.
Dubai recent regulations do not mandate a minimum share capital requirement for LLC, but banks often require a recommended AED 300,000 for corporate accounts.
Traditionally, local UAE nationals hold at least 51% of LLC shares, but certain business activities allow 100% foreign ownership under specific conditions.
A mainland company can sponsor foreign employees with a valid trade license. It meets the local labour laws and regulations of the Ministry of Human Resources and Emiratisation.
The process can take anywhere from a few days to a few weeks, depending on the type of business, the setup complexity, and the documentation completeness.