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Mainland Company Formation in Dubai 2025: Setup, Costs & Requirements

Mainland Company Formation in Dubai
25 Sep 2025
By Vista Corp

Dubai’s mainland territory continues to dominate as the premier business destination for entrepreneurs and investors in 2025, with the UAE recording over $23.7 billion (Prices may vary, please consult with the provider) in foreign direct investment last year. Unlike free zone companies, mainland entities offer unrestricted access to the entire UAE market and beyond, making them the preferred choice for businesses seeking maximum market penetration.

Why Choose Dubai Mainland in 2025

The Dubai Department of Economic Development (DED) has streamlined mainland company formation processes, introducing digital-first approaches that reduce setup time by up to 40% compared to previous years. Recent regulatory changes allow 100% foreign ownership across most business activities, eliminating the traditional local sponsor requirement.

Understanding Dubai Mainland Company Formation

What Is a Dubai Mainland Company

A Dubai mainland company is a business entity registered directly with the Dubai Department of Economic Development (DED), operating under UAE federal commercial laws. These companies enjoy full access to the local UAE market and can conduct business throughout all seven emirates without restrictions.

Key Advantages of Mainland Setup

Complete Market Access

  • Unrestricted trading throughout the UAE
  • Direct access to government contracts and tenders
  • Ability to establish branch offices in other emirates
  • Full integration with local supply chains

100% Foreign Ownership
Since 2021, foreign investors can own 100% of mainland companies in most business activities, providing complete operational control and profit retention.

Enhanced Business Credibility
Mainland companies often enjoy higher credibility with local partners, banks, and government entities, facilitating easier business relationships and contract negotiations.

Flexible Business Operations
Greater flexibility in business activities compared to free zone companies, with easier license amendments and business expansion options.

Types of Mainland Business Licenses

Commercial License

Ideal for trading, import/export, and retail businesses. Popular activities include:

  • General trading and wholesale operations
  • Retail and e-commerce businesses
  • Import/export of goods and commodities
  • Real estate brokerage and property management
  • Tourism and hospitality services

Cost Range: AED 15,000 to AED 25,000 (Prices may vary, please consult with the provider)

Professional License

Required for service-based businesses and professional consultancy. Common examples:

  • Legal and accounting services
  • Engineering and architectural consultancy
  • Medical and healthcare services
  • Educational and training institutes
  • Digital marketing and IT services

Cost Range: AED 18,000 to AED 30,000 (Prices may vary, please consult with the provider)

Industrial License

For manufacturing and industrial operations:

  • Manufacturing and processing facilities
  • Assembly and packaging operations
  • Food production and processing
  • Textile and garment manufacturing
  • Chemical and pharmaceutical production

Cost Range: AED 20,000 to AED 35,000 (Prices may vary, please consult with the provider)

Tourism License

Specialized license for tourism-related activities:

  • Travel agencies and tour operators
  • Hotel and restaurant operations
  • Event management companies
  • Adventure and recreational services

Step-by-Step Mainland Company Formation Process

Step 1: Initial Business Consultation

Work with experienced business setup consultants such as Shuraa Business Setup, Vistacorp (www.thevistacorp.com), or other reputable providers to:

  • Assess business feasibility and market potential
  • Determine optimal business structure and license type
  • Understand regulatory requirements and compliance obligations
  • Develop comprehensive business setup timeline

Step 2: Business Activity Selection and License Planning

Choose from over 2,000+ approved business activities. The DED has updated its activity list in 2025 to include new digital economy sectors:

  • Cryptocurrency and blockchain services
  • Artificial intelligence and machine learning
  • Sustainable energy and green technology
  • Digital health and telemedicine

Step 3: Company Name Reservation

Submit name applications through the DED’s online portal. New 2025 guidelines allow:

  • Instant name approval for eligible applications
  • Reserved names valid for 6 months (extended from previous 3 months)
  • Multi-language name options for international businesses

Step 4: Document Preparation and Attestation

Required Documents:

  • Passport copies of all shareholders and directors
  • Emirates ID or residence visa copies
  • Proof of address (utility bills or tenancy contracts)
  • Educational certificates for professional licenses
  • Experience certificates for specialized activities
  • No-objection certificates from current employers (if applicable)

Document Processing Time: 3-5 business days with professional attestation services

Step 5: Office Space Requirements and MOA Preparation

Office Space Options:

  • Physical Office: Traditional office space with Ejari registration
  • Co-working Spaces: Flexible, cost-effective solutions starting from AED 500 monthly (Prices may vary, please consult with the provider)
  • Serviced Offices: Fully equipped spaces with administrative support
  • Virtual Offices: Legal address for license purposes

Memorandum of Association (MOA) Preparation:
Professional drafting ensuring compliance with UAE commercial laws and DED requirements.

Step 6: License Application and Government Approvals

Submit comprehensive application package to DED including:

  • Completed application forms
  • Attested documents
  • Office lease agreement or Ejari certificate
  • Approved MOA
  • License fees payment

Processing Time: 5-7 working days for standard applications

Step 7: Emirates ID and Residence Visa Processing

Coordinate with General Directorate of Residency and Foreign Affairs (GDRFA) for:

  • Investor and employee visa applications
  • Emirates ID registration
  • Medical fitness tests
  • Security clearance procedures

Visa Processing Cost: AED 3,000 to AED 5,000 per person (Prices may vary, please consult with the provider)

Step 8: Corporate Bank Account Opening

Major UAE banks offering mainland company banking:

  • Emirates NBD Business Banking
  • First Abu Dhabi Bank (FAB)
  • ADCB Business Banking
  • Mashreq Bank Corporate Services
  • HSBC UAE Business Banking

Minimum Deposit Requirements: AED 10,000 to AED 25,000 (Prices may vary, please consult with the provider) depending on bank and account type

Step 9: VAT Registration and Tax Compliance

Mandatory VAT registration for businesses with annual turnover exceeding AED 375,000 (Prices may vary, please consult with the provider). Additional considerations:

  • Corporate tax registration for businesses with annual profits above AED 375,000 (Prices may vary, please consult with the provider)
  • Economic Substance Regulations (ESR) compliance for relevant activities
  • Ultimate Beneficial Ownership (UBO) declaration

2025 Cost Breakdown Analysis

Basic Setup Costs

ComponentCost Range (AED)Notes
Government License Fee15,000 – 35,000 (Prices may vary, please consult with the provider)Varies by activity type
Trade Name Registration1,000 – 2,000 (Prices may vary, please consult with the provider)DED registration fee
Memorandum of Association2,000 – 5,000 (Prices may vary, please consult with the provider)Legal drafting and attestation
Office Space (Annual)15,000 – 80,000 (Prices may vary, please consult with the provider)Location and size dependent
Security Deposit5,000 – 20,000 (Prices may vary, please consult with the provider)Refundable amount
Service Agent Fee5,000 – 15,000 (Prices may vary, please consult with the provider)Annual management fee

Professional Service Costs

ServiceCost Range (AED)Provider Examples
Business Setup Consultancy8,000 – 20,000 (Prices may vary, please consult with the provider)Vistacorp, Shuraa Business Setup
Legal Advisory5,000 – 15,000 (Prices may vary, please consult with the provider)Specialized legal firms
PRO Services3,000 – 8,000 (Prices may vary, please consult with the provider)Government liaison services
Document Translation/Attestation1,500 – 4,000 (Prices may vary, please consult with the provider)Certified translation services
Bank Account Opening Assistance2,000 – 5,000 (Prices may vary, please consult with the provider)Banking relationship management

Total Investment Range

Conservative Estimate: AED 60,000 – AED 80,000 (Prices may vary, please consult with the provider)

Comprehensive Setup: AED 80,000 – AED 150,000 (Prices may vary, please consult with the provider)

Mainland vs Free Zone Comparison 2025

FeatureDubai MainlandUAE Free Zones
Market AccessEntire UAE + InternationalRestricted local trading
Foreign Ownership100% (most activities)100%
Local SponsorshipNot requiredNot required
Corporate Tax9% on profits >AED 375,000 (Prices may vary, please consult with the provider)9% on profits >AED 375,000 (Prices may vary, please consult with the provider)
Office RequirementsPhysical office mandatoryFlexible options available
License RenewalAnnual1-50 years (varies)
BankingEasier account openingMay face restrictions

Industry-Specific Setup Considerations

Technology and IT Services

Special Requirements:

  • Telecommunications Regulatory Authority (TRA) approvals
  • Data protection compliance measures
  • Cybersecurity framework implementation
  • Software licensing agreements

Setup Cost: AED 70,000 – AED 120,000 (Prices may vary, please consult with the provider)

Healthcare and Medical Services

Regulatory Requirements:

  • Dubai Health Authority (DHA) licensing
  • Medical professional credentials verification
  • Facility compliance inspections
  • Medical equipment import permits

Setup Cost: AED 100,000 – AED 200,000 (Prices may vary, please consult with the provider)

Financial Services

Additional Approvals:

  • UAE Central Bank approvals
  • Securities and Commodities Authority (SCA) licensing
  • Anti-money laundering compliance systems
  • Professional indemnity insurance

Setup Cost: AED 150,000 – AED 300,000 (Prices may vary, please consult with the provider)

Common Challenges and Solutions

Documentation Challenges

Challenge: Complex attestation requirements for international documents
Solution: Partner with experienced PRO services and document clearing specialists

Office Space Selection

Challenge: Balancing cost-effectiveness with business requirements
Solution: Consider flexible workspace solutions and co-working arrangements

Banking Relationships

Challenge: Meeting increasingly stringent KYC requirements

Solution: Prepare comprehensive business plans and maintain transparent financial projections

Choosing the Right Business Setup Partner

Top-Rated Business Setup Consultants

Leading Service Providers:

  • Vistacorp (www.thevistacorp.com) – Comprehensive business formation services
  • Shuraa Business Setup – Established consultancy with 25+ years experience
  • Business Link UAE – Specialized mainland formation services
  • Riz & Mona Consultancy – Full-service business solutions
  • Al Rostamani Business Services – Integrated corporate services

Selection Criteria

When choosing a business setup partner, evaluate:

  • Experience: Minimum 5+ years in UAE market
  • Success Rate: Track record with similar business types
  • Service Range: Comprehensive vs. specialized offerings
  • Cost Transparency: Clear pricing without hidden fees
  • Post-Setup Support: Ongoing compliance and growth assistance

Ongoing Compliance Requirements

Annual Obligations

  • License renewal with DED
  • Trade license fee payment (varies by activity)
  • VAT return submissions (quarterly)
  • Corporate tax return filing (annual)
  • Labor contract renewals
  • Emirates ID renewals for visa holders

Estimated Annual Compliance Costs

Basic Compliance: AED 15,000 – AED 25,000 (Prices may vary, please consult with the provider)

Comprehensive Compliance: AED 25,000 – AED 45,000 (Prices may vary, please consult with the provider)

Recent Regulatory Updates (2025)

New Business Activities

DED has introduced 150+ new business activities covering:

  • Digital transformation services
  • Sustainable development consulting
  • Remote healthcare services
  • Cryptocurrency advisory (with restrictions)
  • Carbon credit trading

Simplified Procedures

  • Online application processing reduced to 3-5 days
  • Integrated government portal for multiple approvals
  • Reduced documentation requirements for established businesses
  • Fast-track options for strategic investors

Interactive Cost Calculator Guide

Factors Affecting Total Cost

  1. Business Activity Type (Professional vs. Commercial vs. Industrial)
  2. Office Location and Size (Business districts vs. suburban areas)
  3. Number of Visas Required (Investor and employee visas)
  4. Additional Licenses (Industry-specific approvals)
  5. Professional Service Level (Basic vs. comprehensive packages)

Cost Optimization Strategies

  • Phase Implementation: Start with basic setup, expand gradually
  • Shared Services: Utilize co-working and virtual office solutions
  • Package Deals: Bundle services for discounted rates
  • Timing Considerations: Leverage promotional periods and government incentives

Future Outlook and Business Opportunities

Emerging Sectors in Dubai 2025

  • Green Technology: Renewable energy and sustainability solutions
  • FinTech Innovation: Digital banking and payment systems
  • Health Technology: Telemedicine and digital health platforms
  • Logistics 4.0: Smart warehousing and autonomous delivery systems
  • Space Economy: Satellite services and space technology

Investment Incentives

  • UAE Golden Visa: Long-term residency for investors
  • Tax Incentives: Reduced rates for strategic sectors
  • Government Support: Funding programs for innovative startups
  • Free Trade Agreements: Enhanced market access opportunities

Comprehensive FAQ Section: Dubai Mainland Company Formation

General Setup & Business Structure

Q1: What is a Dubai mainland company and how does it differ from free zone companies?

A Dubai mainland company is a business entity registered with the Dubai Department of Economic Development (DED) under UAE federal commercial laws. Key differences include:

Mainland Companies:

  • Unrestricted access to entire UAE market and international markets
  • Can bid for government contracts and tenders
  • Flexible office location anywhere in Dubai mainland
  • Direct trading with local UAE market without restrictions
  • Enhanced credibility with local partners and banks
  • Greater integration with local supply chains

Free Zone Companies:

  • Primarily focused on international business
  • Limited local market access (require local distributor)
  • Restricted to specific free zone areas
  • Cannot directly participate in government tenders
  • More suited for export-oriented businesses

Q2: Can foreigners have 100% ownership of mainland companies in 2025?

Yes, foreign investors can now own 100% of mainland companies in most business sectors. This represents a significant change from previous regulations requiring 51% UAE national ownership. Key points:

  • Eligible Sectors: Most commercial, professional, and industrial activities
  • Strategic Sectors: Some activities may still require local partnership
  • Legal Structure: Available for LLCs and Professional Service Companies
  • Implementation: Effective since June 2021 with ongoing expansions
  • Documentation: No complex local sponsor agreements required for eligible businesses

Q3: What are the main types of business licenses available for mainland companies?

Commercial License:

  • Trading, import/export, retail operations
  • General trading and wholesale businesses
  • E-commerce and online retail
  • Real estate brokerage and property management
  • Cost Range: AED 15,000 to AED 25,000 (Prices may vary, please consult with the provider)

Professional License:

  • Consulting, legal, accounting, medical services
  • IT services, digital marketing, education
  • Engineering and architectural services
  • Cost Range: AED 18,000 to AED 30,000 (Prices may vary, please consult with the provider)

Industrial License:

  • Manufacturing, processing, assembly operations
  • Food production, textile manufacturing
  • Chemical and pharmaceutical production
  • Cost Range: AED 20,000 to AED 35,000 (Prices may vary, please consult with the provider)

Tourism License:

  • Travel agencies, hotels, restaurants
  • Event management, adventure services
  • Cost Range: AED 22,000 to AED 35,000 (Prices may vary, please consult with the provider)

Setup Process & Timeline

Q4: How long does mainland company formation take in 2025?

Standard Timeline: 7-14 working days for complete setup. Breakdown includes:

Phase 1 (Days 1-3):

  • Business activity selection and name reservation
  • Initial document preparation and attestation
  • Office space identification and lease negotiations

Phase 2 (Days 4-7):

  • License application submission to DED
  • Government approval processing
  • MOA preparation and notarization

Phase 3 (Days 8-14):

  • Final license issuance
  • Corporate bank account opening
  • Visa processing and Emirates ID applications

Fast-Track Options:

  • Express processing available for additional fees
  • Digital-first applications can reduce timeline by 40%
  • Pre-approved business activities processed faster

Q5: What documents are required for mainland company setup?

Personal Documents:

  • Passport copies of all shareholders and directors (attested)
  • Emirates ID or residence visa copies
  • Passport-size photographs (white background)
  • Proof of address (utility bills or tenancy contracts)
  • Educational certificates for professional licenses
  • Experience certificates for specialized activities

Business Documents:

  • Completed license application forms
  • Memorandum of Association (MOA)
  • Office lease agreement and Ejari registration
  • Trade name reservation certificate
  • No-objection certificates from current employers (if applicable)
  • Business plan (detailed for certain activities)

Additional Requirements:

  • Document translation to Arabic (if not in English/Arabic)
  • Attestation from UAE consulates in home country
  • Security clearance certificates for certain activities

Q6: What are the office space requirements for mainland companies?

Minimum Space Requirements:

  • Office Spaces: 200 square feet minimum in Dubai
  • Warehouses: 500 square feet minimum
  • Retail Shops: 200 square feet minimum
  • Abu Dhabi: 14 square meters minimum

Office Types Available:

  • Physical Office: Traditional dedicated office space
  • Serviced Offices: Fully equipped with reception services
  • Co-working Spaces: Flexible arrangements starting AED 500 monthly (Prices may vary, please consult with the provider)
  • Virtual Offices: Legal address for licensing purposes only

Ejari Registration:

  • Mandatory rental contract registration with Dubai Land Department
  • Required for all commercial lease agreements
  • Essential for visa processing and government services
  • Typically handled by landlord or real estate agent

Costs & Financial Requirements

Q7: What is the total cost of setting up a mainland company in Dubai?

Basic Setup Costs (AED):

  • Government License Fee: 15,000 – 35,000 (Prices may vary, please consult with the provider)
  • Trade Name Registration: 1,000 – 2,000 (Prices may vary, please consult with the provider)
  • Memorandum of Association: 2,000 – 5,000 (Prices may vary, please consult with the provider)
  • Office Space (Annual): 15,000 – 80,000 (Prices may vary, please consult with the provider)
  • Security Deposit: 5,000 – 20,000 (Prices may vary, please consult with the provider)

Professional Services:

  • Business Setup Consultancy: 8,000 – 20,000 (Prices may vary, please consult with the provider)
  • Legal Advisory Services: 5,000 – 15,000 (Prices may vary, please consult with the provider)
  • PRO Services: 3,000 – 8,000 (Prices may vary, please consult with the provider)
  • Document Translation/Attestation: 1,500 – 4,000 (Prices may vary, please consult with the provider)

Total Investment Range:

  • Conservative Estimate: AED 60,000 – 80,000 (Prices may vary, please consult with the provider)
  • Comprehensive Setup: AED 80,000 – 150,000 (Prices may vary, please consult with the provider)

Q8: Is there a minimum capital requirement for mainland companies?

No Mandatory Minimum Capital: UAE law does not specify minimum share capital for mainland companies. However:

Banking Requirements:

  • Most banks require AED 10,000 – 25,000 (Prices may vary, please consult with the provider) initial deposit
  • Higher deposits may be required for certain business activities
  • Corporate accounts typically need higher minimum balances

Practical Considerations:

  • Sufficient working capital recommended for operations
  • Some license types may have industry-specific capital requirements
  • Government contracts may require proof of financial capability

Q9: What are the ongoing annual costs for mainland companies?

Mandatory Annual Expenses:

  • License Renewal: 15,000 – 30,000 AED (Prices may vary, please consult with the provider)
  • Office Rent: 15,000 – 80,000 AED annually (Prices may vary, please consult with the provider)
  • PRO Services: 5,000 – 12,000 AED (Prices may vary, please consult with the provider)
  • Visa Renewals: 2,000 – 4,000 AED per visa (Prices may vary, please consult with the provider)

Optional Services:

  • Accounting Services: 8,000 – 25,000 AED (Prices may vary, please consult with the provider)
  • Legal Advisory: 5,000 – 15,000 AED (Prices may vary, please consult with the provider)
  • Business Development Support: 10,000 – 30,000 AED (Prices may vary, please consult with the provider)

Total Annual Operating Costs: AED 45,000 – 166,000 (Prices may vary, please consult with the provider)

Legal Structure & Ownership

Q10: What legal structures are available for mainland companies?

Limited Liability Company (LLC):

  • Ownership: 100% foreign ownership available in most sectors
  • Liability: Limited to invested capital amount
  • Activities: Trading, manufacturing, commercial operations
  • Minimum Partners: 2 shareholders required
  • Management: Flexible management structure

Professional Services Company:

  • Ownership: 100% foreign ownership
  • Activities: Consulting, professional services, healthcare
  • Licensing: Requires professional qualifications
  • Structure: Suitable for individual professionals or partnerships

Civil Company:

  • Ownership: 100% foreign ownership with local service agent
  • Activities: Professional and technical services
  • Liability: Joint and several liability among partners
  • Formation: Simpler formation process

Q11: Do I still need a local sponsor for mainland companies?

Current Regulations (2025):

  • No Local Sponsor Required: For most business activities with 100% foreign ownership
  • Local Service Agent: Required for certain business structures (not an owner)
  • Strategic Sectors: Some activities may still require local partnership

Service Agent vs. Sponsor:

  • Service Agent: Provides liaison services, no ownership stake
  • Annual Fee: AED 5,000 – 15,000 (Prices may vary, please consult with the provider)
  • Responsibilities: Government paperwork, license renewals, visa processing

Sectors Still Requiring Local Partnership:

  • Certain defense and security-related activities
  • Some telecommunications services
  • Specific natural resources sectors

Banking & Financial Services

Q12: How do I open a corporate bank account for my mainland company?

Required Documents:

  • Trade license and establishment card
  • Memorandum of Association (MOA)
  • Passport copies of authorized signatories
  • Emirates ID copies of authorized signatories
  • Office lease agreement and Ejari certificate
  • Business plan and financial projections

Major Banks Offering Services:

  • Emirates NBD Business Banking
  • First Abu Dhabi Bank (FAB)
  • ADCB Business Banking
  • Mashreq Bank Corporate Services
  • HSBC UAE Business Banking
  • Commercial Bank of Dubai (CBD)

Account Opening Process:

  • Timeline: 5-10 working days after document submission
  • Minimum Deposit: AED 10,000 – 25,000 (Prices may vary, please consult with the provider)
  • Monthly Charges: AED 100 – 500 (Prices may vary, please consult with the provider)
  • Online Banking: Included with most business accounts

Q13: What are the VAT and tax implications for mainland companies?

VAT Registration:

  • Threshold: Mandatory for annual turnover exceeding AED 375,000 (Prices may vary, please consult with the provider)
  • Rate: 5% standard VAT rate
  • Registration: Within 30 days of crossing threshold
  • Returns: Quarterly submissions required

Corporate Tax (Effective 2023):

  • Rate: 9% on annual profits exceeding AED 375,000 (Prices may vary, please consult with the provider)
  • Small Business Relief: 0% tax for profits up to AED 375,000 (Prices may vary, please consult with the provider)
  • Free Zone Companies: Same rates apply

Other Tax Considerations:

  • Withholding Tax: May apply to certain payments
  • Economic Substance Regulations (ESR): Compliance required for relevant activities
  • Ultimate Beneficial Ownership (UBO): Declaration required

Visas & Employment

Q14: How many visas can I get with my mainland company?

Visa Allocation Formula:

  • Standard Rule: 1 visa per 100 square feet of office space
  • Minimum Office: 200 sq ft = 2 visas maximum
  • Larger Offices: Proportional increase in visa allocation

Visa Types Available:

  • Investor Visa: 2-3 years renewable
  • Employee Visa: 2-3 years renewable
  • Partner Visa: Based on shareholding percentage
  • Dependent Visas: For family members

Visa Processing:

  • Cost: AED 3,000 – 5,000 per person (Prices may vary, please consult with the provider)
  • Timeline: 10-15 working days
  • Requirements: Medical fitness test, Emirates ID, security clearance

Q15: Can I sponsor my family with a mainland company visa?

Family Sponsorship Eligibility:

  • Spouse: Direct sponsorship available
  • Children: Up to 18 years (males), unmarried daughters any age
  • Parents: Subject to salary and accommodation requirements
  • Salary Requirements: Minimum AED 4,000-10,000 monthly depending on nationality

Required Documents:

  • Marriage certificate (attested)
  • Birth certificates for children (attested)
  • Educational certificates
  • Medical fitness certificates
  • Passport copies and photographs

Ready to establish your Dubai mainland company? Contact experienced business setup consultants like Vistacorp (www.thevistacorp.com) or other reputable providers for personalized guidance and comprehensive support throughout your business formation journey.

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