FAQs
Can a foreign investor own 100% of a mainland company in Dubai?
Yes. As per the latest UAE commercial laws, foreign investors can now enjoy 100% ownership in many business activities and categories across the Dubai mainland without the need for a local Emirati sponsor. Our experts can help determine if your specific business activity is eligible for full foreign ownership.
What are the key operational advantages of a Dubai Mainland company over a Free Zone company?
A Dubai Mainland license offers significantly greater operational freedom and access. The main advantages include:
- Full Market Access: The freedom to trade directly with the local UAE market and government entities without restrictions.
- Wider Scope: The ability to bid on high-value government and semi-government tenders and contracts.
- Flexible Location: The ability to set up your physical office anywhere within Dubai, including premium business districts.
- Unlimited Visa Quotas: There is generally no limit on the number of employee visas you can apply for (visa eligibility depends on the size of your office space).
How long does the process take to register and obtain a Mainland Trade License in Dubai?
The timeline can vary slightly based on the business activity and specific external approvals required by government entities (like the Department of Economy and Tourism, or DET). However, with streamlined processes and the support of experts, the initial stages—from getting trade name approval to obtaining the final trade license—can typically be completed within 3 to 7 working days, provided all necessary documents are promptly submitted and finalized.
Are there any restrictions on the visa quotas for employees of a Mainland company?
No, one of the key benefits of a Mainland setup is that there is no strict limit on the number of visas you can apply for. Your company’s visa quota is directly determined by the size of your registered physical office space (Ejari), which offers scalability as your business grows. This flexibility is a major advantage over jurisdictions that impose a fixed visa limit.
What is the first and most critical step in starting the Mainland company formation process?
The first critical step is Activity Determination and Name Reservation. You must clearly define your core business activities (choosing from the thousands approved by the DET) and then reserve a unique and compliant trade name. Following this, the Initial Approval from the DET is secured, which allows you to proceed with preparing the legal documents and securing a registered office space (Ejari) for the license application.
What are Dubai Free Zones, and why are they ideal for business setup?
Dubai Free Zones are special economic areas governed by independent authorities with their own regulations. They offer 100% foreign ownership, tax exemptions, and full profit repatriation, unlike the mainland. They are ideal because they provide a streamlined, tax-efficient, and stable environment for international trade and services.
How to set up a business in a Dubai Free Zone step-by-step?
The process involves choosing your Free Zone, business activity, company structure, and securing an approved trade name. Next, you submit necessary documentation and complete the license application with the authority. Finally, pay the required fees, receive your trade license, and proceed with any necessary visa applications.
What are the costs and fees involved in setting up a business in a Dubai Free Zone?
Costs primarily include the annual license fee, which varies significantly by Free Zone, license type, and the number of visas required. There are one-time registration/incorporation fees and additional costs for your office space or flexi-desk package. Further expenses are incurred for visa applications for owners and employees, plus any sector-specific external approvals.
What are the key benefits of setting up a business in a Dubai Free Zone?
Key benefits are 100% foreign ownership of the company and the ability for full repatriation of capital and profits. Companies enjoy complete exemption from corporate and personal income taxes, along with customs duties on imports and exports. Free Zones offer simplified incorporation procedures, world-class infrastructure, and strong logistical support for global business.
What are the steps to register a company in a Dubai Free Zone?
First, you select a legal structure and trade name, then apply for initial approval from the chosen Free Zone authority. Next, you prepare and submit all required legal documents, such as the application form and passport copies of the owners. Upon approval, you sign the lease/office agreement, pay the final fees, and the Free Zone will issue your company's trade license.
