Mainland Company Formation: A Complete Guide to Business Setup in UAE Mainland

Mainland Company Formation: A Complete Guide to Business Setup in UAE Mainland

The UAE has established itself as one of the most attractive global destinations for entrepreneurs and investors. With its strategic location, world-class infrastructure, and business-friendly policies, the Emirates—especially Dubai and Abu Dhabi—are home to thousands of thriving enterprises. Among the different options for starting a business, Mainland Company Formation stands out as one of the most flexible and rewarding choices.

In this guide, we’ll break down everything you need to know about Business Setup in UAE Mainland, including its advantages, requirements, and steps to get started.

What is Mainland Company Formation in the UAE?

A mainland company is an onshore entity registered under the Department of Economic Development (DED) of the respective emirate. Unlike free zone or offshore entities, a mainland company can operate freely across the UAE without restrictions on business location or trade scope.

This makes mainland business setup in the UAE ideal for companies that want to access the local market directly and expand operations without geographical limitations.

Benefits of Mainland Business Setup in UAE

Setting up a mainland company comes with a wide range of advantages, including:

• 100% Foreign Ownership: As per recent reforms, foreign investors can fully own mainland companies in most sectors without requiring a local sponsor.

• Wider Market Access: Operate anywhere in the UAE and beyond, unlike free zone companies restricted to specific jurisdictions.

• Diverse Business Activities: Mainland companies can engage in over 2,000 licensed activities, covering commercial, industrial, and professional sectors.

• Government Contracts: Eligibility to bid for lucrative government projects and tenders.

• Visa Sponsorship: Ability to sponsor employee visas and even investor visas for business partners and family members.

• Scalability: Easy to expand your company by opening branches or extending business activities.

Types of Mainland Licenses in the UAE

When setting up a mainland business, entrepreneurs must apply for the right license based on their activities. The main categories include:

1. Commercial License – For trading, retail, import/export, and distribution businesses.

2. Professional License – For service providers like consultants, IT specialists, and legal advisors.

3. Industrial License – For manufacturing, production, and industrial operations.

4. Tourism License – For travel agencies, tour operators, and hospitality businesses.

Choosing the right license is crucial for legal compliance and smooth operations.

Steps to Setup a Mainland Company in UAE

Here’s a simplified step-by-step process to establish your mainland business:

1. Choose Your Business Activity – Select the activities your company will undertake.

2. Decide on a Legal Structure – Options include Limited Liability Company (LLC), Sole Proprietorship, or Branch of a Foreign Company.

3. Register a Trade Name – Reserve a unique trade name with the Department of Economic Development.

4. Apply for Initial Approval – Secure approval for your activity and trade name.

5. Lease Office Space – Obtain a tenancy contract registered under Ejari (in Dubai) or its equivalent.

6. Prepare Legal Documents – Draft and notarize the Memorandum of Association (MoA) or Local Service Agent Agreement if required.

7. Submit Documents & Pay Fees – File the completed application and pay licensing fees.

8. Collect Your Business License – Once approved, you’ll receive your DED license to begin operations.

Documents Required for Mainland Company Formation

• Trade Name Reservation Certificate

• Initial Approval Certificate

• Passport copies of shareholders/partners

• Emirates ID copies (if applicable)

• Tenancy contract & Ejari certificate

• Memorandum of Association (MoA)

• Additional approvals (depending on activity, e.g., health or tourism authority)

Cost of Business Setup in UAE Mainland

The cost of mainland company formation in the UAE typically ranges between AED 15,000 to AED 50,000. The final amount depends on your business activity, office location, license type, and other related expenses.

Working with experienced consultants ensures you only pay the necessary fees while avoiding hidden costs.

Why Choose Mainland Company Formation?

If your goal is to access the UAE market, expand across the region, and build a scalable business with maximum operational freedom, mainland business setup in UAE is the right choice. It provides a stable foundation for growth and opens doors to countless opportunities in one of the world’s most dynamic economies.

Conclusion

Mainland Company Formation in the UAE offers unparalleled advantages for entrepreneurs and investors. From 100% ownership and broader market reach to the ability to compete for government projects, mainland businesses are positioned for long-term success.

At Stratrich Consulting, we simplify the entire process—from paperwork and approvals to license issuance—ensuring a seamless business setup in UAE mainland. With our guidance, you can focus on growing your venture while we handle the legalities.

Ready to start your mainland company in the UAE? Contact Stratrich Consulting today and bring your business vision to life.