Key Cost Components and Influencing Factors:
1. License Type and Business Activity:
Different business activities and associated licenses have varying costs. For example, a professional license might start approximately around AED 17,900, while an LLC company formation might be around AED 23,900, according to Quickplus Business Consultants.
2. Office Space:
The size and location of your office space will significantly impact the overall cost.
3. Visas:
The number of visas required for yourself and your employees will add to the expenses.
4. Local Sponsor Fees:
While 100% foreign ownership is now possible for many mainland activities, some setups might still involve local sponsor fees, which can range approximately from AED 10,000 to AED 25,000.
5. Government and Administrative Fees:
This includes registration fees (e.g., AED 235 for company registration and AED 735 for trade name registration with the DED), legal and documentation costs, and other administrative charges.
6. Ongoing Operational Costs:
Be prepared for annual operating costs that can range from AED 10,000 to AED 50,000, according to Quickplus Business Consultants.
In summary, while a general range can be provided, obtaining a personalized quote from Quickplus Business Consultancy is recommended for a precise cost estimate for your specific mainland company formation in Dubai.
Benefits of Mainland Company Formation in Dubai
Mainland company formation in Dubai offers a range of strategic advantages for entrepreneurs and investors looking to operate within the UAE and beyond. Below are the most notable benefits of setting up a business on the mainland:
1. Unrestricted Market Access
Mainland businesses can operate across the entire UAE and internationally, with no limitations on trade or client engagement in both private and government sectors.
2. Enhanced Business Reputation
Companies registered in Dubai mainland are viewed as more credible and professional, increasing trust among clients, government bodies, and financial institutions.
3. Access to Government Contracts
Only mainland companies are eligible to bid for UAE government projects, opening up high-value opportunities for growth and long-term contracts.
4. Operational Flexibility
Mainland entities benefit from flexibility in office location, business activities, and the ability to expand operations across the UAE without restrictions.
5. Easier Employee Hiring and Sponsorship
Mainland companies can sponsor an unlimited number of employee visas, allowing for fast and efficient team expansion.
6. Corporate Tax Advantages
Dubai provides a business-friendly tax environment, featuring defined thresholds and exemptions for small enterprises, encouraging sustained profitability.
7. Organized Banking and Finance Access
Mainland businesses have easier access to corporate banking services, credit facilities, and long-term financial partnerships with UAE banks.
Types of Dubai Mainland Licenses
If you’re looking to establish a business in the UAE, it’s important to be aware of the various types of Dubai mainland licenses. Each license category is aligned with specific business activities and legal requirements set by the Dubai Department of Economic Development (DED).
1. Professional License in Dubai Mainland
A professional license is required for individuals or companies offering services based on specialized knowledge, expertise, or qualifications. This includes sectors such as consulting, IT services, legal advisory, design, and education. To obtain this license, the applicant must demonstrate relevant skills or certifications.
Best for:
- Consultants
- IT professionals
- Legal and accounting firms
- Educational and training providers
2. Commercial License in Dubai Mainland
A commercial license is essential for companies involved in buying, selling, or trading goods within the UAE or internationally. This license covers retail, wholesale, and import-export businesses and is mandatory for legal trade operations on the mainland.
Best for:
- Trading companies
- Retail outlets
- E-commerce businesses
- General trading firms
3. Industrial License in Dubai Mainland
An industrial license is required for businesses involved in manufacturing, production, or industrial processing. This license is issued by the DED in coordination with other relevant UAE authorities and includes approvals for machinery use, warehouse space, and safety standards.
Best for:
- Factories
- Food and beverage production
- Textile and packaging companies
- Equipment and machinery assembly
4. Tourism License in Dubai Mainland
A tourism license is mandatory for businesses offering services in Dubai’s tourism and hospitality sector. This includes travel agencies, hotels, tour operators, and entertainment services. The license is issued by the Department of Tourism and Commerce Marketing (DTCM) in addition to the DED.
Best for:
- Travel and tour agencies
- Hotels and resorts
- Desert safari companies
- Cruise and excursion providers
Choosing the right Dubai mainland license is a critical step in your company formation journey.
For personalized guidance and fast licensing, connect with Quickplus — your trusted business consultants in Dubai.
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Documents Required for Individual Shareholder
- Passport Copy (Valid for at least 6 months)
- Visa Page Copy (if applicable)
- Emirates ID (if applicable)
- Passport-sized Photos
- Personal Information Sheet or Application Form
- 3 Name Choices
Documents Required for Corporate Shareholders
- Company Trade License / Certificate of Incorporation
- Memorandum of Association
- Board of Resolution for Company Setup and Appointment of Authorized Signatory
- UBO List
- Incumbency Certificate
- 3 Name Choices
- Passport copy of Company Manager
- Visa copy of Company Manager
- Emirates ID of Company Manager