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Mainland Company Formation

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Setting Up a Mainland Company in Dubai: A Step-by-Step Guide

Establishing a mainland company in Dubai offers significant opportunities for businesses due to the city’s strategic location, robust infrastructure, and favorable business environment. Here’s a comprehensive guide to setting up a mainland company, including key steps, required documents, and important considerations.

  1. Industrial License
    • Applicable for: Manufacturing, production, packaging, and similar activities.
    • Note: Requires external approvals from relevant government departments.
  2. Commercial License
    • Applicable for: Buying and selling goods, import and export, logistics, physical products, software, construction, and real estate.
  3. Professional License
    • Applicable for: Individuals offering professional services based on intellectual or artistic abilities.
  4. E-trader License
    • Applicable for: Home-based individuals or entrepreneurs selling products/services via social media or online platforms.
  5. Dual License
    • Applicable for: Companies operating in specific free zones wishing to extend their presence to the mainland without additional office space or local partnership.
    • Available in collaboration with: Dubai CommerCity, Dubai Airport Free Zone (DAFZA), Dubai Design District (d3), DIFC, DMCC, One Central.

Select a legal form based on your business activities and ownership preferences:

  1. General Partnership
    • Description: Two or more partners with joint and separate liability for the company’s obligations.
  2. Limited Partnership
    • Description: One or more general partners with joint liability and one or more limited partners with liability proportional to their capital share.
  3. Limited Liability Company (LLC)
    • Description: Partners’ liability limited to their capital share. Can have up to 50 partners and can be established with 100% foreign ownership.
  4. Private Joint Stock Company
    • Description: Up to 200 shareholders with capital divided into nominal value shares. Cannot publicly offer shares.
  5. Public Joint Stock Company
    • Description: Capital divided into negotiable shares. Shares can be publicly offered.
  6. Civil Company
    • Description: Owned by partners practicing professional activities such as consultancy or training.
  7. Sole Proprietorship
    • Description: Owned by one person who is personally liable for all business obligations.
  1. 100% Foreign Ownership: Available for most business activities, but restricted in strategic sectors. Consult the list of activities ineligible for 100% foreign ownership.

Certain activities require additional approvals and No-Objection Certificates (NOCs) from relevant authorities. These include:

  1. Telecommunications: Telecommunications and Digital Government Regulatory Authority (TDRA)
  2. Healthcare: Dubai Health Authority / Dubai Science Park
  3. Construction: Dubai Municipality
  4. Financial Consultation: Securities and Commodities Authority
  5. Cryptocurrency: Virtual Assets Regulatory Authority (VARA) / Dubai Financial Services Authority

Refer to the list of relevant ministries and agencies for specific sectors.

  1. For All New Businesses:
    • Copy of the licensee’s passport (if foreign) or Emirates ID (if Emirati/Resident)
    • Copy of residence permit/visa (for non-GCC nationals)
    • Company’s Articles of Association (not applicable for one-person LLC)
  2. For Public Shareholding Companies and Private Joint-Stock Companies:
    • Feasibility study of the project
  3. For Branches of Companies Based in Other Emirates:
    • Parent company’s board resolution to open a branch
    • Letter of authorization from the managing director
    • Parent company’s commercial registration certificate
    • Parent company’s Memorandum of Association (MoA)
  4. For Branches of Foreign or Free Zone Companies:
    • Parent company’s licence
    • Documents must be attested by the UAE Embassy, Ministry of Foreign Affairs, and translated into Arabic.
  1. Initial Approval:
    • Submit your trade licence application and documents to the Dubai Department of Economy & Tourism for initial approval.
  2. Trade Name Reservation:
    • Register your trade name, business activity, and company structure. Ensure compliance with Dubai’s specific trade name rules.
  3. Receive Your Trade License:
    • Submit:
      • Initial approval receipt
      • Duly attested Memorandum of Association (MOA)
      • Service agent contract (if applicable)
    • Receive:
      • Trade license from the relevant government authority.

1. Choose Your Licence

Every mainland company in Dubai requires a specific licence to operate. The main types of licences are:

  1. Industrial License
    • Applicable for: Manufacturing, production, packaging, and similar activities.
    • Note: Requires external approvals from relevant government departments.
  2. Commercial License
    • Applicable for: Buying and selling goods, import and export, logistics, physical products, software, construction, and real estate.
  3. Professional License
    • Applicable for: Individuals offering professional services based on intellectual or artistic abilities.
  4. E-trader License
    • Applicable for: Home-based individuals or entrepreneurs selling products/services via social media or online platforms.
  5. Dual License
    • Applicable for: Companies operating in specific free zones wishing to extend their presence to the mainland without additional office space or local partnership.
    • Available in collaboration with: Dubai CommerCity, Dubai Airport Free Zone (DAFZA), Dubai Design District (d3), DIFC, DMCC, One Central.

2. Choose Your Legal Structure

Select a legal form based on your business activities and ownership preferences:

  1. General Partnership
    • Description: Two or more partners with joint and separate liability for the company’s obligations.
  2. Limited Partnership
    • Description: One or more general partners with joint liability and one or more limited partners with liability proportional to their capital share.
  3. Limited Liability Company (LLC)
    • Description: Partners’ liability limited to their capital share. Can have up to 50 partners and can be established with 100% foreign ownership.
  4. Private Joint Stock Company
    • Description: Up to 200 shareholders with capital divided into nominal value shares. Cannot publicly offer shares.
  5. Public Joint Stock Company
    • Description: Capital divided into negotiable shares. Shares can be publicly offered.
  6. Civil Company
    • Description: Owned by partners practicing professional activities such as consultancy or training.
  7. Sole Proprietorship
    • Description: Owned by one person who is personally liable for all business obligations.

3. Check Foreign Ownership Eligibility

Select a legal form based on your business activities and ownership preferences:

  1. 100% Foreign Ownership: Available for most business activities, but restricted in strategic sectors. Consult the list of activities ineligible for 100% foreign ownership.

4. Obtain Additional Approvals

Certain activities require additional approvals and No-Objection Certificates (NOCs) from relevant authorities. These include:

  1. Telecommunications: Telecommunications and Digital Government Regulatory Authority (TDRA)
  2. Healthcare: Dubai Health Authority / Dubai Science Park
  3. Construction: Dubai Municipality
  4. Financial Consultation: Securities and Commodities Authority
  5. Cryptocurrency: Virtual Assets Regulatory Authority (VARA) / Dubai Financial Services Authority

5. Gather Necessary Documents

  1. For All New Businesses:
    • Copy of the licensee’s passport (if foreign) or Emirates ID (if Emirati/Resident).
    • Copy of residence permit/visa (for non-GCC nationals).
    • Company’s Articles of Association (not applicable for one-person LLC).
  2. For Public Shareholding Companies and Private Joint-Stock Companies:
    • Feasibility study of the project.
  3. For Branches of Companies Based in Other Emirates:
    • Parent company’s board resolution to open a branch.
    • Letter of authorization from the managing director.
    • Parent company’s commercial registration certificate.
    • Parent company’s Memorandum of Association (MoA).
  4. For Branches of Foreign or Free Zone Companies:
    • Parent company’s license.
    • Documents must be attested by the UAE Embassy, Ministry of Foreign Affairs, and translated into Arabic.

6. Follow the Steps to Obtain a Mainland License

  1. Initial Approval:
    • Submit your trade licence application and documents to the Dubai Department of Economy & Tourism for initial approval.
  2. Trade Name Reservation:
    • Register your trade name, business activity, and company structure. Ensure compliance with Dubai’s specific trade name rules.
  3. Receive Your Trade License:
    • Submit:
      • Initial approval receipt
      • Duly attested Memorandum of Association (MOA)
      • Service agent contract (if applicable)
    • Receive:
      • Trade license from the relevant government authority.

Get In Touch

Setting up a mainland company in Dubai involves several steps, from choosing the right licence and legal structure to obtaining necessary approvals and documentation. By following this guide and leveraging the expertise of business setup professionals like Mantraa Advisory Service  Business Setup, you can navigate the process smoothly and establish your business efficiently in Dubai’s dynamic market.

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