Mainland Company Incorporation, UAE

Business set-up in the UAE is itself a rewarding endeavor for industrial gains. Generally, the major choice of set-up comes down to three broad categories of jurisdiction. Namely, these are mainland, free-zone, and offshore enterprises. Each of them has its potential advantages. Therefore, it is left to the investor to choose which kind of operation would suit their enterprise. Consequently, mainland company incorporation is the most developed and preferred form of set-up. In short, though free-zones are more appealing in their proposals, mainland operations bring with them the most advanced infrastructure, the limitless possibility of expansion, and profiled business relations.

Also, among the various mainland operations, a Limited Liability Company (LLC), is the most sought after format and has a widespread expansion array. Additionally, Federal Law No.2 of 2015, the New Commercial Company Law, is the major decree that governs the mainland operations.

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Requisites of Mainland operations:

As a rule, all the industrial entities must adhere to certain commercialized geographical sectors. However, while mainland operations are existent in the nation, a certain number of requisites must be satisfied with their operation.

  • A UAE national must hold 51% of the ownership or stakes in the establishment.
  • For a Limited Liability Company (LLC), the maximum and a minimum number of stakeholders is 2 and 50 stake-holders respectively.
  • For licensing in the UAE, a company requires an initial capital required of at least 150,000 AED.
  • In Dubai, an LLC requires an initial capital of at least 300,000 AED.
  • In Dubai and the UAE, trade names cannot have any religious words or representations.
  • The company guidelines can decide the maximum limit of directors.
  • The presence of a stakeholder in the UAE is obligatory during the initial approval.

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Documents for the Approval:

Documents for Initial Procedures:

i.Application for License completed and attested
ii.Contact for the Field Manager or the proprietor.
iii.Copy of business proposal and agenda
iv.Authenticated and attested Memorandum of Association (MOA)

Accordingly, the MOA must specify alleged stakeholders in the endeavour and the amount of authority each one holds.

v.Notarized and attested copy of Articles of Association (AOA)
vi.Copies of the passport of all investors and field supervisors.
vii.Bank reference letters and other investing minutiae if necessary.

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Documents for Licensing a Limited Liability Company (LLC)

i.Attested passport copies for all stakeholders and managers
ii.Copy of the UAE residence visa only if valid
iii.No Objection Certificate (NOC) from the current UAE visa sponsor
iv.Attested address proofs of all the investors and stakeholders
v.Curriculum Vitae (CV) for each stakeholder
vi.Bank reference letters and other investing minutiae if necessary.


The issued guidelines may have certain variations depending on the business set-up and the type of industry to be wrought. In fact, certain guidelines help form the fixed skeleton of the procedure. Therefore, let us now take a look at what those guidelines are.

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●Determining the type of company from the following:

✔Sole Proprietorship
✔Joint Venture
✔General Partnership
✔Public Shareholding/ Public Joint Stock Company (PJSC)
✔Simple Limited Partnership.
✔Limited Liability Company
✔Professional Company
✔Representative Company

However, a Public Company must have at least 10,000,000 AED as upfront capital to begin operations. In fact, most business entities have their own initial capital requirement.

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Incorporating a Company:

●The DED must receive a notification regarding the name of the company.
●Department of Economic Development, UAE must approve the trade undertaken.
●All the investors and supervisors should provide copies of their passports to the authorities.
●Active members should submit copies of their approved visas.
●Companies must open a bank account within the jurisdiction.
●Also, the initial Capital proof needs to be produced before registration.
●Obtaining the license for the business including a Non-Objection Certification.
●Additionally, the business must be officially registered and all approvals must be put in line before the commencement of the trade. The trade license is key for launch.

Though Dubai has a lot to offer, not all establishments are welcomed or permitted to function. Therefore, the investor must be familiar with the jurisdictions requisites and check whether the intended business matches the profile.

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Department of Economic Development Role:

All the new establishments obtain the license to their trade name from the Department of Economic Development (DED). Furthermore, the DED holds the major power for approving the trade license of a mainland establishment. The registration of the trade name is the initial step. Likewise, the license will be obtained after the registration of the establishment.

i.The name attested by the investors shall be approved within 3 days and the trade name is valid up to 6 months.

ii.The DED presides over the registration and screening of all new enterprises. Additionally, the DED constantly checks for discrepancies in the establishments and enforce the issued guidelines under the jurisdiction

iii.The DED has a major role in compliance with all the business laws administered. Also, it serves as the checkpoint for the percolation of suitable industries.

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Advantages of a Mainland Company Incorporation:

  • Recruitment processes are relatively easier.
  • Additionally, mainland company incorporation makes it easier to get visas approved without legal hassles.
  • The port duties for import and export are very minimal and profitable for the establishments
  • Restrictions on minimum capital are negligible although is obligatory to few type establishments like LLC
  • Unlike free-zones the Annual Audits are not obligatory
  • Limitations on the number and other factors regarding recruitments are negligible
  • Superior Infrastructure at affordable rates and is relatively easy to procure too.
  • Also, businesses get more flexibility enabling expansion throughout the state.
  • Highly advanced transport facilities
  • Above all, these operations get access to better residential sectors.
  • Generally, these companies get an opportunity to trade freely and flexibly with other mainland establishments.
  • Next, such companies get an opportunity to indulge in government projects.
  • As a result of most of the advantages, mainland operations tend to allow for superior trade and market attendance.
  • Lastly, it makes companies comparatively financially feasible and practical for investors and industrialists.

UAE holds a globally superior market with various business extravagances that lure potential investors from all around the globe. Hence, mainland operations are the practical and feasible method for new investors to implant and expand their business domain. Therefore, make sure you get your mainland company incorporation right, with us, at KGRN.

For enquires call @ +971 45 570 204 / Email Us :


Related Resources:

Dubai Mainland Company Setup

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