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Home Blog

Mainland Company Formation in Dubai: The Complete Guide for 2025

by karam.pucit
May 6, 2025
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Starting a business in Dubai is a dream for many entrepreneurs—and setting up a mainland company in Dubai is the most flexible and rewarding way to tap into the UAE’s thriving economy. Unlike free zones, mainland company formation in Dubai allows businesses to trade freely across the UAE and internationally, bid on government contracts, and diversify operations without territorial restrictions.

Here’s everything you need to know to get started.


What Is a Mainland Company in Dubai?

A mainland company is a business licensed by the Department of Economy and Tourism (DET) (formerly DED), which authorizes it to operate across the UAE market. With the recent policy updates, foreign investors can now own 100% shares in most business activities—eliminating the earlier need for a local Emirati sponsor for many sectors.


Key Advantages of Mainland Company Formation

  • 100% Foreign Ownership (in most sectors)
  • Unlimited Market Access across the UAE
  • Eligibility for Government Contracts
  • Freedom to Open Offices Anywhere in Dubai
  • No Currency Restrictions
  • Visa Quota Flexibility based on office space

Types of Mainland Company Structures

  1. Limited Liability Company (LLC)
    • Most popular for trading and service businesses.
    • Requires 1 to 50 shareholders.
    • Suitable for retail, manufacturing, real estate, and more.
  2. Sole Establishment
    • Ideal for solo professionals or service providers.
    • Owned by a single individual.
  3. Civil Company
    • Used for professionals like doctors, engineers, and consultants.
  4. Branch of Foreign Company
    • Allows international companies to open a branch in Dubai without forming a new legal entity.

Steps to Form a Mainland Company in Dubai

1. Define Your Business Activity

  • Choose from over 2,000 DET-approved business activities.
  • Some activities still require special approvals from ministries or authorities.

2. Choose a Legal Structure

  • Decide between LLC, sole proprietorship, civil company, or branch.

3. Reserve a Trade Name

  • Must be unique, relevant, and compliant with UAE naming laws.

4. Get Initial Approval

  • Shows that the government has no objection to you starting your business.

5. Draft & Notarize MOA

  • The Memorandum of Association outlines company structure and roles.
  • Notarization is required at Dubai Public Notary.

6. Choose Office Space

  • Physical office is mandatory.
  • Lease agreement (Ejari) is required for license issuance.

7. Submit Final Documents & Pay Fees

  • Includes MoA, tenancy contract, initial approvals, and shareholder details.

8. Receive Trade License

  • Once approved, you’ll receive your mainland trade license, enabling full business operations.

Cost of Mainland Company Formation in Dubai (2025 Estimate)

ItemApproximate Cost (AED)
Trade License10,000 – 15,000
Office Rent (Ejari)12,000 – 50,000+
Name Reservation & Initial Approval1,000 – 2,500
MoA Drafting & Notarization2,000 – 4,000
Total Setup Cost25,000 – 70,000+

Note: Prices vary depending on business activity, number of visas, and office size.


Popular Business Activities for Mainland Setup

  • General Trading
  • Management Consultancy
  • Real Estate Brokerage
  • Digital Marketing Agency
  • IT Services
  • Restaurants & Cafés
  • Construction & Contracting

Key Considerations Before You Start

  • Location Matters: Being in a commercial or mixed-use zone is mandatory.
  • Corporate Tax Compliance: Mainland businesses with profits over AED 375,000 are now subject to UAE corporate tax (9%).
  • Visa Eligibility: Office size impacts the number of visas you can sponsor.

Why Choose Dubai for Mainland Setup?

Dubai’s business-friendly policies, investor protection laws, tax incentives, and world-class infrastructure make it a top global hub for entrepreneurs and corporations. With the 100% ownership reforms and easier registration processes, there’s never been a better time to launch a mainland business.


Final Thoughts

If you’re looking to operate without limits and tap into both local and international markets, mainland company formation in Dubai is your best route. With the right guidance and a clear plan, setting up your business can be fast, cost-effective, and future-ready.

karam.pucit

karam.pucit

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