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Mainland Company Setup in Dubai UAE
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Mainland Business Setup in Dubai
Why Mainland Business?
Are you planning for the company formation in Dubai UAE? Do you want to make your business presence open in UAE? Do you want to do trading unrestrictedly within and outside of UAE easily? If your answer is in the affirmative, go ahead with the business setup in Dubai mainland. Below is the reason
Why mainland business is the best suitable for your requirements?
- Acquire office space in any area of Dubai or other emirates you want
- Freedom of trading activities with any business inside or out of UAE
- No requisite for the minimum capital to kick-start the business
- Viable business registration & its approval
- Undertake various projects of governmental bodies
What is Dubai Mainland?
Dubai mainland is the prime geographical area specified by the department of economic development (DED) in Dubai UAE. The companies on the mainland are also known as onshore companies. Which allows them to perform business activities inside the local area and outside of the UAE without any restriction.
Types of Dubai mainland license:
When it comes to mainland company setup, there are two types of company licenses where UAE national’s presence is a must in any of the two forms:
1- Commercial Business License:
In the commercial license, 51% shares are in hands of UAE nationals and 49% will be owned by the ex-pat partner.
2- Professional Business License:
In the professional license, 100% shares are held by the ex-pat partner only, and the UAE national acts as a local service agent.
How can you start mainland company in Dubai?
The first and foremost step to kick-start the process of mainland company setup is to have a verified office address acquired from the Dubai municipality. Along with this, there are many other factors such as commercial or professional business license, local partner or local service agent, fulfilling minimum office space requirement, visa processes, etc.
Steps to set up a business in Dubai:
- Business Activity Selection and Name Approval
- Selection of Local Partner or Service Agent
- Apply for Initial Approval for Mainland Company Setup
- Preparation of Court Notarization and MOA
- Get Office Space and Tenancy Contact
- Final Submission for Mainland Company Formation in UAE
We at Business Link assist our valued client at the above-mention phases of the set-up business in Dubai mainland. Our team of expert business consultants will guide & support you in each and every legal procedure require for mainland business setup.
Difference Between Local Partner and Expat Partner
A local partner or local sponsor is required to sign up for all the applications connected to governmental bodies. They don’t interfere in the daily business operations unless agreed. While on the other side, the ex-pat partner is responsible to handle the day-to-day business activities.
Office Space Requirement for Mainland Company Setup
It requires to have 200 sq ft on lease on an annual basis for the mainland company formation in Dubai UAE. After this, the Dubai economic development department issues the license. Once the ejari certificate is issued by the land department UAE, it can be presented in DED for the license insurance.
Mainland Company Setup in Dubai UAE
Dubai has become one of the fastest cities in terms of business establishment and its growth for the last several years. DED the department of economic development of Dubai has made the process of setting up a business in Dubai very easy and smooth. There are two types of businesses one can commence i.e. mainland or free zone business. When it comes to growth and freedom, mainland business overwhelms the free zone businesses. Business Link UAE is one of the professional business consultancy having years of experience in providing outstanding support to let one start his/her own mainland business in UAE.
What is the Visa Facilities for Mainland Companies?
If we talk about the visa facility, E-quota (electronic quota) is issued to every mainland company in Dubai UAE. It’s completely flexible because mainland company is not subject to have any visa limitations. If the company’s size increases and it requires more staff, then the E-quota can be increased accordingly by the ministry of labour.
Generally, it completely depends upon the office space. The more office space you have, the more visas you can get.
Note: This condition doesn’t apply to messenger visas, driver visas, sales staff, or PRO visas.
Approvals from the Governmental Authorities:
The license for Dubai DED company formation requires government authorities approvals for specific business activities as below:
- For the education-related license, it’s required to have the approval from KHDA i.e. Knowledge and Human Development Authority
- For medical related license, it’s required to have approval from DHA i.e. Dubai Health Authority
- For a food-related license, it’s required to have approval from the Food department of a municipality
This is not the end, there are many other governmental bodies such as civil defense, real estate regulation authority, etc where one needs to have a license to perform certain business activities. Business Link provides fast efficient pro services to all the businesses across UAE.
So, there is no need to have the standard government approvals per license from DED, Dubai municipality, Ministry of interiors or Immigration, etc.
What are the key advantages of mainland companies in Dubai?
Foremost advantages of mainland business setup in Dubai:
1- Unrestrict business activities with other mainland companies:
This is one of the most important benefits you can get in the mainland company setup in any emirate of UAE. Freezone companies are completely bound to trade within that Freezone or of the other emirates of the UAE.
In case, Freezone companies want to trade with mainland companies, they require to have certain licenses. But the mainland companies are totally free to trade in any area of UAE or outside.
2- Extensive business opportunity:
Mainland companies get a huge scope for business growth as compare to Freezone companies. Freezone companies restrict to work within a certain area or field while the mainland allows working with any area. So, they can get better opportunities for growth.
3- Work with governmental bodies:
When it comes to working as a contractor for government projects, only the mainland companies are benefitted. Freezone companies can only work with the private sectors. So, if someone is planning to get the projects from the UAE government, it’s better to go with the business setup in Dubai mainland only.
4- Open Presence in the UAE Market:
The best advantage that mainland companies get is that they can establish in any area of Dubai UAE. Apart from that, they can involve in trading activities within or outside of the UAE without any restriction.
5- Financially viable:
Mainland business is one of the most viable options to set up a business in Dubai UAE. The reason behind it is that there is no requirement of minimum capital for Dubai company registration. So, it’s like a breathtaking incentive to mainland businesses.
Frequently Ask Questions: Business in UAE
Here is the list of frequently asked questions regarding setting up a business in Dubai, Freezone company formation, mainland business setup process, offshore business formation, and a lot more. Go through these Q & A to find out what you are looking for. If you can’t find the answer you want, just feel free to write to us at info@businesslinkuae.com. One of our business consultants will get back to you once receiving your email.
What is Dubai Mainland?
The mainland is a geographical area where all the private businesses permit commercial business activities by DED i.e. Dubai Economic Department. It is the prime location where various foreign companies such as international chains of food, car makers, etc start their business.
What is the difference between Dubai freezone and Dubai mainland?
The basic difference between Dubai free zone and the mainland is that FZ companies restrict to do business within the specific area only. While mainland companies can do business anywhere even outside UAE, too.
What is the legal structure of Mainland Company in Dubai – UAE?
There are many types of legal structures you need to know when you want to start your business
- Sole Establishment
- Civil company
- Limited liability company
What is the advantage and disadvantage of having mainland license?
Some investors feel un-secured by having local sponsor with 51% share capital involvement especially if they heard from other investors whom they had bad experience about it, but the big advantage that you can have any number of visas or sign services contracts with government authority if you have LLC Company easily. There is many activities local sponsor doesn’t have to have 51% shares especially if it’s related to services provider activity.
How to liquidate my company if its free zone or mainland?
Usually the company liquidation take around 45 days to be completed , each company structure has different requirements. You need to contact one of the professional services provider to guide you accordingly.
