In the last two decades or more, UAE has emerged as the number one business destination in the Middle East, for foreign companies. The tax-free regime and the business-friendly policies of the rulers have brought multinationals and SMEs across industry verticals to the country in large numbers. This has created a cosmopolitan lifestyle in cities such as Dubai, which boasts of world-class shopping malls, hospitals, schools and residential complexes. Interestingly, most of the population speaks English making communication seamless across the country.
If you are a foreign enterprise looking to start operations in the UAE, you can set up the company as a “Mainland company”, a “Free-zone company” or an “Offshore company”.
Working with Quickbiz Business Setup Services, we ensure you have a comprehensive understanding of options before choosing your company setup jurisdiction and how to establish your business’s presence in Dubai, UAE.
What is Dubai Mainland Company?
A MAINLAND COMPANY is allowed to run its business and trade freely both inside and outside the UAE without any restriction. Other advantages of being a mainland company in Dubai is that you can conduct a wide range of business activities and can choose an office premises anywhere in Dubai.
How to setup a Mainland Company in Dubai
Setting up a mainland company is governed by a Govt. agency called the Department of Economic Development (DED), and involves certain steps as outlined below:
1. Choosing the Business Activity
The DED maintains a roster of business types or business activities and it is important, you need to choose your business activity carefully that best matches one from the list. Generally, Services or Consultancy businesses would be granted a “Professional License’ while businesses dealing with goods or industrial activity are granted ‘Commercial License’. We can assist with finding the right business type with all market research and analysis.
2. Finding Business Partners & Legal Structure
This concerns who the partners are, and what their shareholding pattern is. We help in finding legal partners or sponsors to set up a company in Mainland, Dubai.
3. Reserving a name for your company
A name must be suggested and reserved for the company, which will be valid for 6 months initially. However, if the DED finds a similar name in existence, it has the right to cancel or amend the reserved name.
4. Initial Approval
An Initial Approval certificate that records the type of business, partners, activities etc. is granted by the DED indicating that the Government has no objection to your operating the company in UAE as per the proposal submitted by you.
5. Preparing the Memorandum of Association (MOA)
We will help you draft a MOA which must be signed by all the partners. Some businesses require a UAE national to be involved, and represent your company on licensing and compliance matters with the Govt. In such a case, you must sign a Local Service Agent (LSA) agreement with him/her.
6. Renting Office space
All Dubai-based businesses must have a physical location or address. We help in finding the appropriate company office space and drafting the tenancy agreement with the landlord and have it registered by an “Ejari”. You can also attach a trade license to the same location, with certain restrictions.
7. Paying for the License
You will be issued a payment voucher and must pay for the license within 30 days of receiving it.
Although these steps look easy and simple to proceed on the surface, there are various terms and conditions, documentation, signatures and legal formalities on each of them. Quickbiz Business Setup Services will act as a single-window consultancy and initiate or manage all the legal procedure and documentations with little to no hassle for you, this leads to lucrative business set up in Dubai, UAE.