For individuals and businesses, forming a mainland corporation in Dubai has never been easier. Along with ensuring complete ownership of your company, the government’s new company formation rules, allows start-up entrepreneurs and investors more flexibility in regulatory procedures, as well as rapid timelines and easy approval processes. In this blog we would be discussing the process of setting up a business in Dubai mainland in 2021.
What you need to know about mainland license?
Dubai Mainland Company License are permitted to operate and function within Emirati jurisdiction’s designated geographic regions. In UAE, the Department of Economic Development (DED) is in charge of issuing these permits. All business enterprises located in Dubai that are registered as commercial, professional or single establishments under DED are issued with Dubai Mainland License.
From June 2021, to obtain a Dubai mainland license, a local sponsor is no longer required. Instead, overseas investors can now own 100% of a mainland company. DED allows more than 1000 commercial and industrial activities in this license.
How you can benefit with a Dubai mainland license?
- Can conduct business anywhere in UAE and internationally
- Can engage in different commercial operations
- Can seamlessly open and operate corporate bank account
- Capacity to operate in both public and private sectors
- Employment visa processing is simple
- 100% foreign ownership
- There are no currency restrictions
- There is no minimum capital required for forming a business.
- The signup process is easy and quick.
- No limit on the number of visas that can be issued (subject to office size)
- 100 % repatriation of capital and profits
- Tax exemptions
- No need for annual audits
What types of licenses are available in Mainland company setup?
Professional License – you can apply for this type, if you fall under govt. authorized service activities, craftsmen, artisans etc.
Commercial License – this license could be availed by enterprises engaged in trading activities
Industrial License – this could be opted by business owners who are setting up manufacturing or other industrial companies
Tourism License – companies related to travel and tourism activities
Legal structures available in mainland company incorporation
It is quite common to see business owners registering their company as a Limited Liability Company (LLC) in the UAE as it is considered one of the safest and trustworthy option. But along LLC, the Dubai mainland license offers other options as well. According to the type of business, you can opt for the following legal structures:
- Civil company
- Sole establishment
- Subsidiary company
- Branch office setup
- Branch office of foreign company
- Branch office of regional company
To assist you in forming the right type of Business Setup in Dubai mainland, our lawyers and expert management consultants will conduct feasibility studies, due diligence, and corporate structuring/restructuring too.
Process of Business Setup in Dubai Mainland
Selecting a Business Activity – When establishing your mainland company, our team of company formation specialists will ensure that you select the appropriate jurisdiction and business activity. We will advise you on the most beneficial and cost-effective option.
Determine the structure of your company – Depending on your business activity, you can choose between a sole proprietorship or LLC. A sole proprietorship allows you to own 100 percent of the company, whereas in an LLC, 51% is owned by a local sponsor.
Obtaining approval for the trade name – While applying for license you also need to submit 3 name options based on business activity.
Deciding office space – While registering for your mainland incorporation, you have to choose an office space. Minimum office space requirement for any company in Dubai mainland is 200 sq.ft.
Approvals from government authorities – Dubai mainland companies require approvals from DED, Dubai Municipality (DM), Ministry of Labor (MOL) and other related authorities. Some enterprises may also require special approvals for certain business activities such as RTA activities, engineering consultancy, companies in Dubai World Communities, educational services, money exchange and health care activities.
- Trade Name (provide atleast 3 name choices)
- Business Activity (Type of business)
- Passport copy of the shareholders
- Entry stamp or Visa page
- Passport size photograph
For more information on all the details mentioned here, make sure to visit https://primedubai.com/. Call us on +971 52 1054028 or message us on Whatsapp on +971 52 1054028. You can also drop us an email at email@example.com