Business setup in Dubai has three modes which of these are:
- Business in Dubai Mainland
- Business in Dubai Freezones
- Business in Dubai Offshore
We will talk about setting up a company in Dubai Mainland in this article.
To establish a business in Dubai mainland, the owner of the business should appoint a local sponsor who holds the majority of the share, which is a minimum of 51 per cent. The local sponsor, in this case, can be an individual as well as a company. Hence, it is mandatory to have a local sponsor. The most significant advantage of a business set up in the mainland is that it can operate in the UAE as well as the rest of the world. Next step will be to register with the Department of Economic Development, Dubai. DED is the main regulatory body which governs the formation of companies in Mainland Dubai. A company must have a minimum of 200 square feet of physical space as an office to get registered as a Mainland Company. It is also compulsory for a company to prepare audits at the end of the year, in the case of mainland companies. The minimum capital requirements vary from the type of business operations and legal form of business entity.
Following steps can highlight the business setup process in Dubai Mainland:
- Choose the trade name of the business
- Select the appropriate business activity and legal type that fits your business
- Select a local sponsor or a local service agent
- Get the initial approval for name and company's activity
- Get the Memorandum of Association/Agreement notarized
- Choose the suitable office space and get the contract of tenancy
- Obtain any other additional permission (if required)
- Final submission for a license
Every business setup, before incorporation, must have certain documents to get registered and to establish its entity in the business ecosystem. In case of a Dubai Mainland Company, following documents are required:
- License Application
- Attested LLC agreement
- Governmental forms
- Name reservation certificate
- Initial approval certificate
- External departments approval
- Tenancy contract
- EJARI registration certificate
- Passport copies partners and NOC for partners (if any)
- Dubai Chamber of Commerce and Industry Registration
Benefits of Mainland Company
Dubai has the advantage as a place which is highly accessible from every corner of the world and has the finest of infrastructure that a business can get on the face of the earth. It is a gateway to the Gulf or Middle-East and an excellent hub for export and import. The Emirates have the finest, skilled human resource from the world according to the needs of a business. Dubai is one of the safest business hubs to be as well.
Following are the advantages/benefits of starting a business in mainland Dubai:
- 100 per cent repatriation of income
- Tax benefits in terms of no income tax, corporate tax, tariffs and other duties
- A great advantage in terms of forming branch and expanding to Gulf Cooperative Council countries
- Permitted to operate in UAE, Freezones and rest of the world as well.
- Business entities are allowed to undertake government projects.
- No currency restrictions for the business entities
- A very stable local authority which is cooperative with the entrepreneurs
We at Business Setup Worldwide assist small, medium and large business entities in setting up and expand their business. We can help you in establishing a company in Dubai Mainland, from incorporation to other business solutions like accounting, payroll, IP, Visa, and so forth. Our team has expertise in company consultation. We also handle the legal and documentation matters. Contact us for assistance in starting a business in Dubai.