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Mainland Company Registration in UAE: How to Legally Start Your Onshore Business

Mainland Company Registration in UAE: How to Legally Start Your Onshore Business

Time: 2026-01-27
Author: Zhuoxin Enterprise
Source: Zhuo Xin
Views: 10
IntroductionThinking about mainland company registration in UAE? You're targeting the heart of the country's vibrant economy. A mainland license allows you to trade directly within the UAE local market and internationally without restrictions.

Thinking about mainland company registration in UAE? You're targeting the heart of the country's vibrant economy. A mainland license allows you to trade directly within the UAE local market and internationally without restrictions.

This process is distinct from free zone setup. Understanding the steps, benefits, and requirements is crucial for a successful launch.

Understanding Mainland Company Registration in UAE

A mainland company, licensed by the Department of Economic Development (DED) in the relevant emirate (like Dubai, Abu Dhabi, or Sharjah), operates fully within the UAE's domestic market. It can bid for government contracts, open multiple branches, and trade directly with the local market.

This makes mainland company registration in UAE a prime choice for businesses targeting UAE residents and other onshore entities.

The key differentiator is the need for a UAE national as a local service agent or shareholder, depending on the legal structure. This is a mandatory part of the process for most commercial activities.

Key Advantages of a UAE Mainland Business Setup

Why opt for mainland company registration in UAE? The benefits are substantial for the right business model.

Unrestricted Market Access
Your company can trade freely with the UAE's entire consumer and business market. You can supply goods and services to other mainland companies, free zones, and individuals across all seven emirates.

Government Tender Eligibility
Only mainland companies can participate in lucrative government and public sector procurement tenders. This opens a significant revenue stream not available to free zone entities.

Flexible Office and Location Choices
You have the freedom to choose your business location, whether it's a commercial office, retail shop, warehouse, or even operating from home (subject to approval). You can also open multiple branches across the UAE.

No Currency Restrictions
There are no limitations on currency movement. You can repatriate 100% of your profits and capital without any restrictions.

Broad Business Activity Scope
The DED offers an extensive list of over 2,000 approved business activities. From general trading and construction to healthcare and consultancy, you can license a wide range of operations through mainland company registration in UAE.

Step-by-Step Process for Mainland Company Registration

Navigating the mainland company registration in UAE process involves clear, sequential steps. Engaging a local consultancy is highly recommended for smooth navigation.

Initial Approval and Name Reservation
First, choose and reserve a unique trade name with the DED. The name must comply with UAE's naming conventions. Then, apply for initial approval, which is a preliminary green light from the authorities to proceed.

Finalizing Legal Structure and Local Partnership
Decide on your legal form (LLC, Sole Establishment, Civil Company, etc.). For an LLC, the most common type, you must define the shareholding ratio with your local partner (51% UAE national, 49% foreign investor typically). A legally notarized Memorandum of Association (MOA) is required.

Securing Your Physical Business Location
You must lease and obtain a tenancy contract for a physical office, retail space, or warehouse. An Ejari (Dubai) or Tawtheeq (Abu Dhabi) registration is mandatory. This contract is submitted to the DED.

Obtaining Your Mainland Trade License
Submit all documents—including MOA, tenancy contract, passport copies, and approvals—to the DED. Upon payment of fees, you will receive your official mainland trade license, completing the core mainland company registration in UAE.

Post-License Formalities
After licensing, you must complete additional registrations: Chamber of Commerce membership, obtaining a corporate bank account, and registering for VAT (if applicable).

mainland company registration in uae

Essential Requirements and Documents Needed

Preparation is key for mainland company registration in UAE. Having the correct documents streamlines the process.

The mandatory requirements include a minimum share capital (varies by activity, often deposited in a bank), a physical office address, and a local service agent (for professional licenses) or a local shareholder (for commercial LLCs).

Required documents typically include:

  • Passport copies of all shareholders and the local partner/agent.
  • Visa copies and Emirates IDs (if already resident).
  • No-Objection Certificate (NOC) from current sponsor if the shareholder is resident in the UAE.
  • Approved tenancy contract (Ejari/Tawtheeq).
  • Memorandum of Association (MOA) drafted and notarized.
  • A detailed business plan may be requested for certain activities.

Specific activities like engineering, healthcare, or education require additional approvals from relevant governmental authorities (e.g., Ministry of Health, Ministry of Education).

Costs and Timeframe for Setting Up

The cost of mainland company registration in UAE is not fixed. It depends on the emirate, chosen business activity, office space size and location, and legal structure.

Major cost components include DED license fees, trade name reservation, office rental deposits, notarization of the MOA, local agent/sponsor fees (annual), and professional service fees if using a consultant.

A basic mainland company registration in UAE for a consultancy service in Dubai can start from approximately AED 15,000 to AED 25,000 excluding office rent and visas. Costs for trading or industrial activities are higher.

The standard timeframe from initiation to receiving your license is typically 2 to 4 weeks, assuming all documents are in order and approvals are secured without delay.

Frequently Asked Questions (FAQs)

Q1: What is the main difference between a mainland and a free zone company in the UAE?
A1: The key difference is market access. A mainland company can trade directly within the UAE local market and with other mainland companies without restrictions. A free zone company primarily operates within its specific free zone and internationally but faces restrictions when trading directly with the UAE mainland, often requiring a local distributor or customs clearance.

Q2: Do I always need a UAE local partner for mainland company registration in UAE?
A2: For most commercial activities set up as an LLC, yes, a UAE national must hold at least 51% of the company shares. For professional/service activities (consultancies, etc.), you can have 100% foreign ownership but require a Local Service Agent (LSA), a UAE national who does not hold equity but provides facilitation services as required by law.

Q3: How much does it cost to get a mainland trade license in Dubai?
A3: There is no single fixed price. The total cost depends on your business activity, office size and location, number of visas needed, and professional service fees. A reasonable estimate for a simple service-based activity starts from around AED 15,000 to AED 25,000, excluding physical office rental costs.

Q4: How long does the entire registration process take?
A4: With proper preparation and document submission, the core process of mainland company registration in UAE typically takes 2 to 4 weeks to obtain your trade license. Additional time is required for post-license steps like opening a corporate bank account and processing employee visas.

Q5: Can I sponsor visas for my family and employees with a mainland license?
A5: Yes, absolutely. One of the significant advantages of a mainland company is its visa quota eligibility. Based on your office size and business activity, you can sponsor employment visas for your managers, staff, and domestic workers, as well as residence visas for your family members (spouse and children).

Senior Consultant
Simba ZHOU
General Manager of Zhuoxin Enterprise
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