Dubai continues to be a magnet for entrepreneurs, thanks to its pro-business regulations, zero income tax, and rapidly growing economy. One of the most flexible and scalable options for doing business in the UAE is forming a mainland company. A mainland company allows you to conduct business across Dubai, the entire UAE, and internationally—without the jurisdictional limitations of free zones. As we enter 2025, the government has introduced newer reforms, making the Dubai mainland company formation process more streamlined, foreign-investor friendly, and faster than ever before.
If you’re considering expanding into the Middle East or relocating your business to a tax-efficient hub, this blog post is your complete, up-to-date guide. We’ll walk you through every step, document, and cost you need to know to start a mainland company in Dubai, whether you’re on the ground or operating remotely from abroad.
Dubai’s business licensing options can be split into three categories: mainland, free zone, and offshore companies. While free zones offer tax benefits and sector-specific clusters, mainland companies offer unrestricted access to the local UAE market and eligibility to bid on lucrative government contracts. Offshore companies, meanwhile, are ideal for holding assets or global operations but aren’t allowed to operate within the UAE directly.
Here’s a quick comparison:
Feature | Mainland | Free Zone | Offshore |
Market Access | UAE & Global | Limited to Free Zone | Outside UAE only |
Visa Eligibility | Unlimited (office size dependent) | Limited | Not eligible |
Office Requirement | Mandatory (physical or virtual) | Varies | No physical office |
Government Contract Access | ✅ Yes | ❌ No | ❌ No |
Ownership (Post-2021) | Up to 100% Foreign | 100% Foreign | 100% Foreign |
Setting up a mainland company in Dubai comes with a wide range of benefits, especially in 2025 when investor-friendly policies are at their peak. The biggest advantage? You’re free to trade anywhere in the UAE and beyond. Unlike free zone businesses, which are limited to doing business within their specific zones unless they appoint local distributors, mainland companies face no such restrictions. This gives you far more room to grow and scale your operations in local and regional markets.
Moreover, mainland companies are now eligible for 100% foreign ownership in most business activities, thanks to reforms introduced under UAE Commercial Companies Law. This means you no longer need a local Emirati partner holding 51% of the company—unless your business activity falls under a restricted list that still requires a local agent or service provider.
For entrepreneurs looking to build a serious presence in the UAE, starting a mainland company in Dubai provides unmatched flexibility and control over business operations. Whether you’re in tech, trading, consultancy, or construction, the mainland route is built for long-term growth and regional dominance.
Setting up a mainland company in Dubai may seem complex at first glance—but once you understand the step-by-step flow, the process becomes straightforward. In 2025, the Dubai Department of Economic Development (DED) has digitized most of the licensing and company setup procedures, which means you can complete much of it online, and in some cases, within just a few days.
Below is a detailed guide to help you start a mainland company in Dubai, broken down into actionable steps. Each step is critical and ensures your company is legally compliant, properly registered, and ready to operate anywhere in the UAE.
Before you can register your company, you must decide what kind of business activity you want to conduct. The DED offers a directory of over 2,000+ approved activities, ranging from retail and trading to consulting, hospitality, tech, logistics, and more. Some activities may require additional approvals from external authorities (like KHDA for education or DHA for healthcare).
Tips:
Your legal structure will define how your business is run and taxed. For most SMEs and foreign-owned businesses, the Limited Liability Company (LLC) is the most common choice. Other options include Sole Establishment, Civil Company, and Branch Office of a foreign company.
Legal Structure | Ownership Eligibility | Common Use Case |
LLC | Up to 100% foreign | Trading, services, general business |
Sole Proprietorship | 100% foreign (for professionals) | Consultancy, freelancers |
Civil Company | 100% foreign | Professional services |
Branch Office | 100% foreign (parent company retains liability) | Expanding existing business |
Category 3 Company | Regulated by DED, often with fewer capital requirements | Small-scale activities |
What is a Category 3 Company in Dubai?
It’s a type of commercial license category used by DED to classify small-scale operations or low-capital businesses. These usually include startups or sole practitioners operating in niche industries.
Trade name registration is a critical step when forming your mainland company. It’s how your business will be identified publicly and on official records. The Department of Economic Development (DED) is responsible for reviewing and approving trade names in Dubai. In 2025, the process can be done online through the DED’s portal or via authorized service centers.
Key guidelines for trade name approval:
Pro Tip:
Always check domain name availability before finalizing your trade name—this helps with branding and SEO. Consider securing .ae or .com extensions relevant to Dubai-based businesses.
The Initial Approval Certificate is an official nod from the DED that you can proceed with forming your company. It doesn’t mean your license is active yet, but it clears the government’s internal checks. This approval is typically valid for 6 months.
Documents required:
Some high-risk or regulated activities may require additional No Objection Certificates (NOCs) from relevant ministries. For example, a tourism license might need approvals from the Department of Tourism and Commerce Marketing (DTCM).
Estimated time:
24–72 hours for most applications if documents are in order.
Once your office is finalized, it’s time to draft your Memorandum of Association (MOA) and, if applicable, the Local Service Agent (LSA) Agreement. These are legal documents outlining the business structure, ownership, responsibilities, and operational framework of your company.
Key Differences:
As of 2025, many business activities no longer require a local sponsor or agent, but for certain professional services (e.g., legal, medical, or architectural), the LSA agreement remains mandatory.
Where to Draft?
Once all prior steps are complete—trade name approved, initial DED approval secured, MOA drafted, and office lease registered—you’re ready for the final step: license issuance. This is when your company officially becomes a legal business entity in Dubai mainland.
The Department of Economic Development (DED) will review all documents, confirm payment of required government fees, and issue your Mainland Trade License. This document allows you to legally operate within Dubai and across the UAE.
Fees include:
License Type | Approx. Cost (AED) |
LLC General Trading | 15,000 – 30,000 |
Professional License | 10,000 – 20,000 |
Consultancy License | 12,000 – 25,000 |
Timeframe:
Most businesses can obtain a Dubai mainland license within 3–7 working days, provided all documents are in order and there are no activity-specific delays.
Once issued, your license is valid for 1 year, after which it must be renewed annually to stay compliant.
After your license is issued, there are several key tasks required to make your business fully functional and compliant:
Here’s your post-license checklist:
Note: If you’re a foreign national, you must complete a medical fitness test, apply for an Emirates ID, and undergo biometrics as part of your visa issuance process.
Once all these are in place, your mainland company is 100% operational, allowing you to hire staff, sign contracts, and start business operations across Dubai and the wider UAE.
To ensure a smooth and hassle-free Dubai mainland business formation process in 2025, having the right set of documents prepared in advance is key. The Department of Economic Development (DED) and other relevant authorities will request specific documentation based on your nationality, business activity, and chosen legal structure.
Here’s a comprehensive list of the most commonly required documents:
Note: All foreign documents must be notarized and attested by the UAE Embassy in your country and then by the Ministry of Foreign Affairs (MOFA) in the UAE.
Having these documents in hand before you begin the application will significantly reduce processing time and minimize delays. Many mainland company formation consultants in Dubai offer document collection and attestation services to assist foreign investors through the process.
Understanding the cost to set up a mainland company in Dubai is a crucial part of your planning process. In 2025, Dubai continues to offer flexible pricing structures based on your business activity, number of visas, office size, and jurisdiction. Whether you’re a solopreneur or setting up a multi-stakeholder company, the overall cost can vary significantly depending on your choices.
Let’s break down the typical Dubai mainland company formation fees to help you estimate your budget more accurately:
Component | Approx. Cost Range |
Trade Name Registration | 620 – 1,000 |
Initial DED Approval | 100 – 500 |
License Issuance (LLC) | 8,000 – 12,000 |
MOA Drafting & Notarization | 1,500 – 2,500 |
Market Fee (2.5% of rent) | Variable |
Admin/Knowledge Fees | 500 – 1,000 |
Service | Estimated Cost |
UAE Investor Visa (2–3 years) | 3,000 – 5,000 |
Medical & Emirates ID | 1,000 – 1,200 |
VAT Registration (if required) | 500 – 1,000 |
Corporate Bank Account Assistance | 1,000 – 2,000 |
Total Average Range (All-Inclusive): AED 15,000 – AED 35,000
You can also explore mainland company formation packages that bundle many of these services at a discounted rate. Some service providers even offer monthly installment options or 3-cheque payment plans, making it easier for startups and entrepreneurs to enter the market.
✅ Looking for the cheapest mainland company setup in Dubai?
Activities like consultancy or small-scale services (e.g., marketing, web development, etc.) with a flexi desk setup can cost as low as AED 12,999, especially when offered as part of promotional mainland license offers in 2025.
Absolutely—foreigners can start mainland companies in Dubai, and the process has become more accessible than ever in 2025. With the UAE’s forward-thinking reforms, particularly the 100% foreign ownership law introduced in 2021 and expanded in subsequent years, expatriates from most countries can now establish a business on their own, without needing a local partner.
This change has unlocked significant opportunities for investors from India, Pakistan, the UK, Europe, Africa, and beyond who want to expand into the UAE market while maintaining full control over their business.
Yes. The entire Dubai mainland business formation process can be initiated online or via a licensed business consultant. From trade name reservation to license issuance and visa processing, most steps can be completed remotely. Once you’re ready to relocate, you can enter Dubai on an investor visa and activate your Emirates ID and medical test locally.
If you’re starting from abroad, it’s highly recommended to hire a mainland company formation service in Dubai to handle documentation, local authority liaison, and approvals on your behalf.
In 2025, setting up a mainland company in Dubai without a local sponsor is not just possible—it’s the new standard for most business activities. Thanks to the updated UAE Commercial Companies Law, many previously restricted sectors have now opened up to 100% foreign ownership, eliminating the need for a UAE national partner or Local Service Agent (LSA).
This policy shift has been a game-changer for foreign entrepreneurs and SMEs, giving them full control over their business operations, profits, and decision-making—without dilution of ownership or mandatory sponsor fees.
By choosing the right activity, you can fully own and operate your company with zero equity share given to a local sponsor, reducing long-term costs and increasing operational autonomy.
After successfully forming your mainland company in Dubai, your work doesn’t stop at license issuance. To remain operational and legally compliant in 2025, you’ll need to renew your license annually and fulfill specific obligations set by Dubai’s regulatory authorities. Staying up to date with compliance requirements is critical—not doing so can lead to fines, visa cancellations, or even business suspension.
In 2025, Dubai mainland trade license packages are more streamlined, cost-effective, and flexible than ever. Whether you’re launching a solo consultancy, a trading company, or an SME with staff, there are tailor-made options that bundle everything you need—from license issuance to visa support and office space—into one simplified offer.
Most business setup consultants now offer all-inclusive packages designed to save time and reduce confusion. These services are particularly beneficial for expats, new entrepreneurs, and remote investors looking for a hands-off experience.
Package Type | Estimated Cost (AED) |
Basic Professional License (1 visa) | 12,999 – 16,999 |
LLC Setup Package (2–3 visas) | 17,999 – 24,999 |
Premium Business Launch Package | 25,000 – 35,000+ |
Many providers also offer installment plans (up to 3 cheques), ideal for startups or solo founders watching their cash flow.
Always compare what’s included in each package. Some providers offer hidden value—like banking introductions, tax consultations, or free coworking access—that can be extremely useful in your first year of operations.
When starting a business in the UAE, one of the first questions you’ll face is: Should I choose a mainland or a free zone setup? Both structures have their own advantages, but your decision should depend on your business activity, target market, and long-term expansion plans.
Feature | Mainland Company | Free Zone Company |
Ownership (2025) | 100% Foreign Ownership (Most Activities) | 100% Foreign Ownership |
Business Scope | Anywhere in UAE + International | Inside Free Zone + International |
Government Projects | ✅ Eligible | ❌ Not Eligible |
Office Requirement | Mandatory (Physical or Flexi Desk) | Varies by free zone |
Visa Quota | Unlimited (based on office space) | Limited (depends on package) |
Setup Time | 3–7 Working Days | 2–5 Working Days |
Customs Duty Benefits | ❌ No | ✅ Yes (in some free zones) |
Audit Requirement | Mandatory for certain activities | Varies (many free zones require it) |
Renewal Fees | Varies by DED + Market Fee (2.5%) | Fixed by free zone authority |
Location plays a major role in how your business is perceived—and how efficiently it operates. Dubai offers a wide range of mainland commercial zones, each with its own advantages based on cost, connectivity, prestige, and the type of business activities permitted. In 2025, many entrepreneurs are prioritizing visibility, accessibility, and proximity to clients or partners when choosing where to set up.
Let’s explore the top areas for mainland company setup in Dubai and why they matter.
While the process of setting up a mainland company in Dubai has become more streamlined in 2025, many entrepreneurs still fall into avoidable traps that can cost time, money, and credibility. Whether it’s selecting the wrong activity, choosing a poor location, or misunderstanding ownership laws—small mistakes can lead to big complications later.
Here are the most common pitfalls to avoid during your Dubai mainland company formation journey:
Tip: Always cross-check your activity with the updated DED list or work with a consultant.
Tip: Match your business activity to the most suitable commercial zone.
Tip: Check domain availability and DED approval rules before reserving.
Tip: Only work with licensed business setup firms authorized by the DED.
FAQs:
To start a mainland company in Dubai:
The cost varies depending on your activity, visa requirements, and office location. On average:
Mainland companies are businesses licensed by the Dubai Department of Economic Development (DED). They are allowed to:
Yes. Indian citizens (and citizens of most countries) can:
In 2025, the cheapest trade licenses are:
Category 3 companies are low-risk, small-scale businesses under DED classification. They typically:
By now, it’s clear that mainland company formation in Dubai is more than just a paperwork exercise—it’s a gateway to building a robust, regionally connected, and globally scalable business. With reforms like 100% foreign ownership, streamlined licensing, and business-friendly governance, 2025 is truly the best time to establish your presence in the UAE.
If you’re planning to start a mainland company in Dubai in 2025, don’t go it alone. Regulations may be easier, but expert guidance can save you time, money, and frustration. We recommend working with experienced mainland business setup consultants in Dubai to ensure every document, license, and step is handled correctly.
Ready to launch? Book a free consultation with a certified business setup advisor today and get a tailor-made strategy for your business goals.
To start a mainland company in Dubai in 2025, follow these 8 steps:
Mainland companies are businesses licensed by the Department of Economic Development (DED) that can operate anywhere in the UAE and globally. Unlike free zone companies, they aren’t restricted by jurisdiction and can engage in government contracts, open multiple branches, and sponsor unlimited visas.
The cost of mainland company formation in Dubai in 2025 ranges from AED 12,999 to AED 35,000, depending on:
Yes. As of 2025, most business activities allow 100% foreign ownership with no need for a local Emirati sponsor. However, certain restricted sectors (e.g., legal, oil & gas) still require a Local Service Agent (LSA) or a UAE national partner.
Feature | Mainland | Free Zone |
Market Access | UAE + International | Inside Free Zone + Global |
Government Contracts | ✅ Yes | ❌ No |
Office Requirement | Mandatory (Ejari) | Optional or included |
Visa Allocation | Unlimited (based on space) | Limited |
Setup Cost | AED 12K – 35K | AED 6K – 20K |
If all documents are in place, you can complete mainland company registration in 3 to 7 working days. Faster processing is possible with licensed business consultants or through express DED channels.
To start a mainland company in Dubai in 2025, follow these 8 steps:
You’ll need the following documents to form a mainland company in Dubai:
In 2025, the cost to start a mainland company in Dubai ranges from AED 12,999 to AED 35,000, depending on:
Yes. As of 2025, most business activities in Dubai mainland allow 100% foreign ownership with no requirement for a UAE national sponsor. Restricted activities may still require a Local Service Agent.
Mainland companies can operate anywhere in the UAE and take on government projects. Free zone companies are restricted to their zones and international markets. Mainland offers unlimited visa quotas, while free zones typically limit visa allocations.
The fastest way is to:
A Category 3 company in Dubai refers to a small-scale or low-risk commercial entity regulated by the DED. It usually involves minimal capital, basic documentation, and applies to individual service providers or startups.
Yes. You can start a mainland company in Dubai from India by:
Top areas for mainland company formation in Dubai: