• 19 May, 2024

Setting Up a Mainland Company in the UAE πŸ‡¦πŸ‡ͺ

Are you considering establishing a business in the United Arab Emirates (UAE)? Understanding the process of setting up a mainland company is crucial. In the UAE, mainland companies have certain advantages and regulations compared to free zone or offshore companies. Lets delve into the steps and requirements for forming a mainland company in the UAE.

What is a Mainland Company? Β  Β 

A Mainland Company Formation In Dubai is an onshore company that can conduct Β 
business within the UAE without any restrictions on geographical location. These Β 
companies can engage in activities throughout the UAE and can even bid for Β 
government contracts.


Steps to Form a Mainland Company


1. Choose Your Business Activity Β 
The first business setup in Abu Dhabi a mainland company is determining the type of Β 
business activity you want to engage in. This decision will influence the type of license Β 
you need to obtain. Β 
2. Select a Local Partner Β 
For mainland companies, it's mandatory to have a local partner who owns at least 51% Β 
of the company shares. This local partner can be an individual or a corporate entity. Β 
3. Choose a Legal Form Β 
Select the legal form for your company, such as a limited liability company (LLC), sole Β 
proprietorship, or partnership, depending on your business requirements. Β 
4. Reserve a Trade Name Β 
Choose a unique name for your company and ensure it complies with the naming Β 
conventions set by the UAE authorities. Once approved, the name will be reserved for Β 
your company. Β 
5. Prepare Memorandum of Association (MOA) Β 
Draft a Memorandum of Association (MOA) outlining the company's objectives, Β 
activities, and shareholders' details. This document needs to be notarized.

6. Obtain Initial Approval Β 
Submit the required documents, including the MOA and other legal forms, to the Β 
Department of Economic Development (DED) for initial approval. Β 
7. Rent Office Space Β 
You need to rent physical office space for your mainland company. The office should Β 
comply with the requirements set by the DED. Β 
8. Finalize Legal Documents Β 
Once you receive initial approval, finalize all legal documents, including the lease Β 
agreement for your office space. Β 
9. Obtain Business License Β 
Apply for a business license from the DED based on your company's activities. The Β 
license is essential for legal operation in the UAE. Β 
10. Register for Employees' Visas Β 
After obtaining the business license, you can proceed to apply for visas for your Β 
employees and dependents.


Benefits of Mainland Company Formation


1. Flexibility in Business Activities Β 
Mainland companies enjoy flexibility in conducting business activities across the UAE Β 
without any geographic restrictions. Β 
2. Access to Government Contracts Β 
Mainland companies can bid for government contracts, opening up opportunities for Β 
business growth and expansion. Β 
3. No Currency Restrictions Β 
There are no currency restrictions for mainland companies, allowing for easy Β 
repatriation of profits. Β 
4. Greater Market Reach Β 
With the ability to operate throughout the UAE, mainland companies can access a Β 
larger market compared to free zone or offshore companies. Β 

Conclusion Β  Β 
Establishing a mainland company in the UAE offers various advantages, including Β 
flexibility in business activities, access to government contracts, and greater market Β 
reach. However, it's essential to understand and comply with the regulatory Β 
requirements set by the UAE authorities. With the right guidance and assistance, setting Β 
up a mainland company can be a smooth and rewarding process.