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Thinking about starting a company in Dubai? A mainland license might be your best move. It lets you trade freely across the UAE and work with both local and international clients. In this guide, we’ll explain exactly how mainland company formation in Dubai works, step by step, with no confusion.

You’ll learn what setup involves, what it costs, and what rules apply. Whether you’re a new founder or a foreign company expanding, this guide will help you make smart choices from the start.

What is a Mainland Company in Dubai, UAE?

A mainland company is a business licensed by the Department of Economic Development (DED) in Dubai. It allows you to operate anywhere in the UAE without restrictions on location or clientele.

Unlike free zone companies—often limited to specific zones or foreign trade—mainland companies can serve local clients and even bid for government contracts.

One key advantage is that, since 2021, many business activities no longer require a local sponsor, depending on the nature of the setup.

Mainland companies can be formed under the following business structures:

LLC (Limited Liability Company):

Widely used, allows 100% foreign ownership in major sectors.

Sole Establishment:

For individuals offering services under their name.

Civil Company:

Used by licensed professionals like doctors or engineers.

Private Shareholding Company:

For larger businesses with several investors.

Benefits of Mainland Company Formation in Dubai

Mainland company setup in Dubai gives you more freedom than a free zone setup. You can trade across the UAE, open offices anywhere, and take on both private and government contracts. Below are the main benefits:

100% Foreign Ownership

Business Anywhere in UAE

Flexible Office Location

No Currency Restrictions

Keep All Your Earnings

No Capital Requirement

No Corporate Tax

Easy Visa Processing

No Audit Requirement

Simple Setup Process

Access to Govt Contracts

DED Registration

Mainland vs. Free Zone: A Quick Comparison

Feature Mainland Company Free Zone Company
Market Access UAE + International Within Free Zone + International
Office Requirement Mandatory physical office Can operate with flexi-desk
Government Contracts Eligible Not eligible
Visa Quota Flexible (based on office size) Limited (depends on package)
Foreign Ownership 100% allowed in most activities 100% allowed
Expansion Flexibility Easy expansion across UAE Limited to Free Zone unless branch is set up

Regulatory Authorities Involved in Dubai Mainland Business Setup

To set up a mainland company in Dubai, several government departments must approve various aspects of your business. Each authority has a specific role depending on your activity and setup type.

Below are the main authorities involved:

  • Department of Economic Development (DED): Issues the trade license and approves the company name and activity.

  • Dubai Municipality: Reviews and approves the office premises and Ejari for the business location.

  • Federal Tax Authority (FTA): Oversees VAT registration for businesses that meet the criteria.

  • Ministry of Human Resources and Emiratisation (MOHRE): Grants labor approvals and employee work permits.

  • General Directorate of Residency and Foreigners Affairs (GDRFA): Processes investor and employment visa applications.

Some businesses may also require additional approvals from specific departments like the Dubai Health Authority (DHA) or Real Estate Regulatory Agency (RERA) based on their sector.

Activities Requiring Special Approvals in Dubai Mainland

Business Activity Approving Authority
Healthcare (clinics, pharmacies) Dubai Health Authority (DHA)
Education (schools, training) Knowledge and Human Development Authority (KHDA)
Legal services Dubai Legal Affairs Department
Finance (auditing, advisory) Ministry of Economy / UAE Central Bank
Food businesses Dubai Municipality (Food Safety Department)
Construction & engineering Dubai Municipality / Society of Engineers
Media & publishing National Media Council (NMC)
IT & telecom Telecommunications Regulatory Authority (TDRA)
Security services Ministry of Interior / SIRA
Import/export & logistics Dubai Customs / DP World

Requirements for Mainland Business Setup in Dubai

To set up a business in Dubai mainland, you must meet the following key requirements:

Ownership

  • For commercial activities, a local sponsor may still be needed for restricted sectors (51% shareholding).

  • For professional licenses, foreigners can own 100% but must appoint a Local Service Agent (LSA).

Documents Needed

  • Passport copies of all shareholders
  • Visa or entry stamp (for non-residents)
  • No Objection Certificate (if applicable)
  • Trade name reservation & initial approval
  • MOA or LSA agreement
  • Ejari (lease contract)

Office Space

  • A physical office is mandatory, with a minimum of 200 sq ft.

  • The space must be registered through Ejari.

Trade Name & Activity

  • The name must follow DED rules and match your approved business activity.

Start Your Company Today with Expert Support!

Step-by-Step Process to Set Up a Mainland Company in Dubai

Below is a quick look at the key steps you’ll need to follow to get your mainland business setup in Dubai established:
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Choose Business Activity

Select your activity from the DED-approved list, it determines your license type.

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Select Legal Structure

Common options include LLC, Sole Establishment, or Civil Company, based on your ownership and business model.

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Reserve Trade Name

Pick a name that follows DED rules and reflects your business.

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Get Initial Approval                                                             

Submit passport copies, visa info, and basic forms to DED for permission to proceed.

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Sign MOA or LSA Agreement

Draft and notarize the Memorandum of Association (MOA) or Local Service Agent (LSA) contract.

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Secure Office Space & Ejari

Rent at least 200 sq ft, and register the lease through Ejari.

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Final License Issuance

Submit all documents to DED, pay the fees, and get your Dubai mainland license.

Rizmona Consultancy 15 Years Experience

Mainland Company Formation in Dubai

How Riz & Mona Consultancy Can Help?

With 15+ years of experience, RIZ & MONA Consultancy is your trusted partner for setting up and growing your mainland company in Dubai. We handle the entire process — from legal structuring and MOA notarization to approvals and license issuance — so you can focus on your business.

What We Offer:

  • 100% Transparency

  • Dedicated PRO & Legal Support

  • Industry-Specific Packages

  • Ongoing Business Support

Book your free consultation today and let our experts guide your business success in Dubai.

RIZ & MONA – Your Business Setup Advisors

10000 Happy Clients Rizmona

FAQS

How long is a Dubai mainland business license valid?

The license is valid for one year and must be renewed annually through the Department of Economic Development (DED).

Can I have multiple business activities under one license?

Yes, you can list multiple activities, but they must fall under the same license category (commercial, industrial, or professional). Each additional activity may increase the licensing cost.

Do I need to be physically present in Dubai to register a mainland company?

Yes, for key steps like signing the MOA or collecting your trade license, your physical presence is usually required. However, some steps can be managed remotely through a Power of Attorney.

Can I add partners or shareholders to my mainland company later?

Yes, you can add or remove partners by amending the Memorandum of Association (MOA) through a legal process and DED approval.

What happens if I don’t renew my Dubai mainland license on time?

Late renewal leads to penalties, possible blacklisting, and suspension of your company’s activities. The business may also be fined for each month it remains inactive.

Is a local bank account required after registration?

Yes, after getting your license, you must open a UAE corporate bank account to carry out business transactions and comply with local regulations.