Mainland Company Formation in Dubai: A Complete Guide to Setting Up Your UAE Mainland Business

Establishing a mainland company in Dubai remains one of the most strategic steps for entrepreneurs who want unrestricted access to the UAE market, limitless business activities, and the freedom to trade both locally and internationally. As a team specializing in Dubai mainland company formation, we help businesses navigate regulatory frameworks, licensing structures, and operational requirements to establish a strong and compliant commercial presence in the UAE.

Dubai’s mainland sector is regulated by the Department of Economy and Tourism (DET) (formerly DED) and offers unmatched advantages, such as 100 percent foreign ownership in most activities, flexible office locations, and the ability to win government contracts. This comprehensive guide explores everything you need to know about forming a Dubai mainland company in 2025 and beyond.

Why Choose Mainland Company Formation in Dubai?

Dubai continues to grow as a global economic hub with world-class infrastructure, investor-friendly laws, and easy access to international markets. Setting up a mainland business positions you to leverage the UAE’s economic strength, trade volumes, low taxation, and stable regulatory systems.

Key Benefits of Dubai Mainland Company Formation

100% Foreign Ownership

Recent reforms allow expatriates to own 100 percent of a mainland company without requiring a local Emirati sponsor for most activities. This gives entrepreneurs full control over operations, profits, and corporate structuring.

Freedom to Trade Across UAE

A mainland license allows companies to trade anywhere within the UAE, including working directly with local markets, distributors, and retail sectors. This advantage is not available for free zone entities unless a local agent is involved.

Eligibility for Government Contracts

Mainland companies can bid for government and semi-government contracts, offering significant growth opportunities in sectors like construction, oil and gas, IT, healthcare, logistics, and consultancy.

No Restrictions on Office Locations

Mainland companies may set up offices anywhere in Dubai, allowing them to choose prime commercial areas close to customers, suppliers, and business partners.

Expanded Business Activities

The DET offers thousands of approved activities, including commercial, industrial, and professional categories, giving investors freedom to choose and combine activities under one license where applicable.

Seamless Visa Processing

Mainland companies can process unlimited visa quotas, subject to office space requirements. This helps businesses scale teams as they grow.

Types of Mainland Company Licenses in Dubai

Dubai offers several license categories depending on your intended business activity. Each license type comes with distinct regulations and benefits.

1. Commercial License

This license is ideal for businesses involved in trading, retail, wholesale, import, and export. A commercial license can cover single or multiple trading activities, giving companies flexibility to expand.

2. Professional License

Designed for skilled professionals offering services such as consultancy, IT services, accounting, design, legal services, education, digital marketing, and healthcare. Professional licenses allow full ownership and do not require capital-intensive resources.

3. Industrial License

For companies engaged in manufacturing, production, or industrial activities. Industrial licenses require warehouse space and additional approvals from ministries depending on the nature of operations.

4. Tourism License

Dubai’s booming tourism sector enables businesses to operate travel agencies, tour operations, and hospitality-related services under a mainland tourism license.

Step-by-Step Mainland Company Formation Process in Dubai

Setting up a mainland company involves a structured process overseen by the DET and other government departments.

Step 1: Choose the Business Activity

Selecting the right business activity defines license type, approvals required, and ownership rules. We ensure your chosen activities align with DET regulations.

Step 2: Select the Company Structure

The UAE mainland allows multiple structures such as:

• LLC (Limited Liability Company)

• Sole Establishment

• Civil Company

• Branch Office

Most investors prefer an LLC due to its flexibility and limited liability protection.

Step 3: Register the Trade Name

A unique trade name must comply with DET guidelines and reflect your company’s identity. It cannot include offensive terms, religious references, or previously registered names.

Step 4: Apply for Initial Approval

This confirms that the government has no objection to the company being formed. Initial approval is mandatory before completing licensing steps.

Step 5: Prepare the MOA (Memorandum of Association)

The MOA outlines ownership, shareholders’ rights, and structural details. It must be notarized as per UAE legal requirements.

Step 6: Secure Office Space and Ejari

Mainland companies must have a physical office or business center. An Ejari certificate is required to finalize licensing.

Step 7: Obtain Final Approval & License Issuance

The DET reviews all documents, completes inspections (if required), and issues the official Dubai mainland business license.

Costs of Mainland Company Formation in Dubai

The cost varies based on activity, approvals, visa requirements, and office size. However, typical setup costs include:

• Trade name registration

• Initial approval fees

• MOA notarization

• License issuance

• Office rental

• Immigration and labour establishment card fees

On average, Dubai mainland company formation costs start from AED 12,000 to AED 30,000, excluding additional approvals or specialized activities.

Documents Required for Mainland Company Formation

To streamline the setup process, you will need:

• Passport copies of shareholders

• Visa copies (if applicable)

• Passport-size photographs

• Emirates ID (for UAE residents)

• Ejari tenancy contract

• MOA or LSA agreement

Additional documents may be required for regulated activities.

Dubai Mainland Company Structures Explained

Limited Liability Company (LLC)

An LLC is the most common business structure for entrepreneurs. It offers:

• Protection of personal assets

• Up to 100% foreign ownership

• Flexibility to conduct wide-ranging activities

Sole Establishment

Ideal for individuals providing professional services.

Civil Company

Used by qualified professionals such as doctors, engineers, and lawyers.

Branch of Foreign Company

Allows foreign businesses to establish a presence in Dubai while maintaining full ownership.

Visa Eligibility for Mainland Companies

Visa quotas depend on office size. Typically:

• Flexi-desk: 1–3 visas

• Standard office: multiple visas

Investor, employee, and dependent visas can be processed under mainland entities.

Corporate Bank Account Opening for Mainland Companies

Opening a company bank account involves:

• Submitting the license

• MOA

• Passport copies

• Proof of business activities

Banks perform due diligence, and approvals usually take 1–3 weeks.

Why Investors Prefer Dubai Mainland Over Free Zones

Mainland Advantages

• Ability to trade in local UAE markets

• Freedom to have office anywhere

• Government contract eligibility

Free Zone Limitations

• Restricted to free zone or outside UAE unless local agents are used

• Limited activity scope

Business Activities Allowed for Mainland Companies

Mainland companies are permitted to conduct thousands of activities across:

• Construction

• Real estate

• IT and software

• Consultancy

• Manufacturing

• Trading

• Healthcare

• Automotive

• Hospitality

This flexibility makes mainland formation ideal for diverse industries.

Compliance Requirements for Mainland Companies

Mainland companies must fulfill regulatory obligations, including:

• Corporate tax registration

• VAT registration (if revenue meets threshold)

• Annual financial audits

• Timely license renewals

• Employee visa monitoring

Maintaining compliance ensures uninterrupted operations and legal protection.

How We Assist with Mainland Company Formation in Dubai

We provide end-to-end assistance, including:

• Activity selection and legal structure guidance

• Trade name reservation

• MOA drafting and notarization

• Office space and Ejari support

• License issuance

• Visa processing

• PRO and compliance services

Our expertise ensures a smooth, fast, and compliant setup experience.

25 FAQs About Mainland Company Formation in Dubai

1. What is a mainland company in Dubai?
   A mainland company is licensed by the DET and allows unrestricted trading within Dubai and the UAE.

2. Can foreigners own 100% of a mainland company?
   Yes, most activities now allow 100% foreign ownership.

3. Is a local sponsor required?
   Only certain strategic sectors require Emirati participation.

4. How long does mainland company formation take?
   Typically 3 to 7 working days if documents are ready.

5. What is the minimum capital requirement?
   Most activities require no minimum capital unless specified.

6. Can a mainland company trade internationally?
   Yes, mainland companies can trade globally and within UAE.

7. What is a trade license?
   It is an official permit that allows companies to operate legally.

8. Can mainland companies bid for government projects?
   Yes, they are eligible for government tenders.

9. Do I need a physical office?
   Yes, a physical office or business center is mandatory.

10. How many visas can I apply for?
    Visa limits depend on office size.

11. Is corporate tax applicable?
    Yes, corporate tax applies based on UAE regulations.

12. Do mainland companies need yearly audits?
    Yes, financial audits are mandatory.

13. Can a mainland company sponsor employees?
    Yes, companies can sponsor staff visas.

14. Can I have multiple business activities?
    Yes, depending on DET rules.

15. Can I upgrade my business license later?
    Yes, licenses can be expanded or modified.

16. What are common mainland business activities?
    Trading, consulting, IT, manufacturing, real estate, tourism.

17. Are professional licenses allowed 100% ownership?
    Yes, professional licenses offer full ownership.

18. Are office leases expensive in Dubai?
    Costs vary based on location and size.

19. Can mainland companies open corporate bank accounts?
    Yes, most UAE banks accept mainland entities.

20. What is Ejari?
    It is the official tenancy registration system.

21. Is VAT registration mandatory?
    Mandatory if turnover meets AED 375,000 annually.

22. Can I form an LLC alone?
    Yes, with 100% ownership rules now in place.

23. Are there restrictions on business names?
    Yes, names must follow DET guidelines.

24. Do I need prior approvals for some activities?
    Yes, regulated activities require approvals from ministries.

25. Is renewal required every year?
    Yes, trade licenses must be renewed annually.