Introduction
Setting up a mainland business in Dubai is one of the most strategic decisions an entrepreneur can make in the UAE. Unlike free zones, a mainland business allows for greater operational freedom, including trading directly within the local market and bidding for government contracts. With Dubai’s thriving economy, tax advantages, and supportive infrastructure, it’s no surprise that investors from around the world are flocking to establish their presence in this global business hub. In this article, we’ll walk you through the benefits, process, and requirements of setting up a mainland business in Dubai in 2024.
1. What is a Mainland Business in Dubai?
A mainland business in Dubai is registered under the Department of Economy and Tourism (DET), previously known as the Department of Economic Development (DED). Unlike businesses in free zones, mainland companies can operate anywhere in the UAE and are not limited by geographic boundaries or sector-specific rules.
2. Why Choose Mainland Business Setup in Dubai?
- 100% Foreign Ownership in most business activities (post-2021 reforms)
- No currency restrictions
- Full access to UAE local markets
- Ability to work with government contracts
- Unrestricted office locations within Dubai
- Freedom to expand to other Emirates or internationally
3. Who Should Set Up a Mainland Company?
Mainland business setup in Dubai is ideal for:
- Traders and retailers
- Service providers (consultancies, salons, etc.)
- Construction firms
- Restaurants and cafes
- Manufacturing businesses
- Import-export companies
4. Types of Licenses Available
To establish a mainland company, you’ll need one of the following license types:
- Commercial License – For trading activities
- Professional License – For service-based businesses and professionals
- Industrial License – For manufacturing or industrial activities
- Tourism License – For businesses related to travel and tourism
5. Steps to Mainland Company Setup in Dubai
Step 1: Choose a Business Activity
The first step is to select the exact activity or range of activities your business will perform. Dubai DET provides a comprehensive list to choose from.
Step 2: Choose a Legal Structure
Decide whether your business will be a Sole Proprietorship, LLC, Civil Company, or Branch of a Foreign Company. LLCs are the most common type.
Step 3: Reserve a Trade Name
Pick a trade name that aligns with your brand and get it approved by the DET.
Step 4: Apply for Initial Approval
This step confirms that the DET has no objections to you setting up the company.
Step 5: Draft the MOA (Memorandum of Association)
An MOA must be notarized and will define each partner’s share and the company’s activities.
Step 6: Lease Office Space
A physical office is mandatory. Obtain a tenancy contract and Ejari certificate.
Step 7: Submit Documents and Pay Fees
Submit all documents to the DET and pay the license issuance fees.
Step 8: Collect the Trade License
Once approved, you’ll receive your trade license, and you’re ready to start operations!
6. Costs Involved in Mainland Business Setup
The cost of a mainland company setup in Dubai varies based on your business type and size. Typical costs include:
- Trade license fees: AED 10,000–AED 15,000
- Office rent: Varies by location
- Notarization and documentation: AED 2,000–AED 5,000
- Local service agent (if needed): AED 5,000–AED 10,000 annually
7. Benefits of 100% Foreign Ownership
Previously, mainland businesses required a UAE national to hold 51% ownership. Today, many business activities allow for full foreign ownership, empowering entrepreneurs with full operational and financial control of their companies.
8. Visa and Employment Quotas
Mainland companies are eligible for investor visas, employee visas, and dependents’ visas. The number of visas you can obtain depends on your office space (approximately 1 visa per 80–100 sq. ft.).
9. Hiring Staff and PRO Services
To operate efficiently, many businesses opt for Public Relations Officer (PRO) services to handle government paperwork like visa processing, labor cards, and Emirates ID issuance.
10. Office Space and Location Strategy
Mainland businesses are free to rent or buy offices anywhere in Dubai. Key areas include:
- Business Bay
- Sheikh Zayed Road
- Al Barsha
- Deira
- Jumeirah Lake Towers (JLT)
11. Common Challenges and How to Overcome Them
- Document Complexity – Use a trusted business setup consultant.
- Licensing Delays – Stay informed about DET requirements.
- Cultural and Regulatory Compliance – Seek legal advice to remain compliant.
12. Mainland vs. Free Zone: A Quick Comparison
| Feature | Mainland | Free Zone |
|---|---|---|
| Local Market Access | Full | Restricted |
| 100% Foreign Ownership | Available (most sectors) | Available |
| Government Contracts | Eligible | Not eligible |
| Office Location Flexibility | Yes | Within designated zone only |
| Business Expansion | Across UAE and globally | Limited within zone |
13. Best Business Setup Consultants in Dubai
If you’re new to the region, consider working with a consultant like:
- Creative Zone
- Commitbiz
- Virtuzone
- Shuraa
- Riz & Mona Consultancy
These firms can streamline your process and reduce risk.
Conclusion
Establishing a mainland business in Dubai is a strategic step toward entering the UAE market with full operational freedom. With supportive government policies, business-friendly reforms, and strong infrastructure, Dubai remains a top destination for entrepreneurs and investors globally. Whether you’re starting from scratch or expanding your operations, a mainland license gives you the flexibility, authority, and access you need to succeed in one of the world’s most dynamic economies.
Want expert help setting up your business? Reach out to a certified consultant today and make your Dubai business dream a reality.
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