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.