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UAE MAINLAND BUSINESS LICENSE
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What is Mainland Company Formation?
Mainland company formation in Dubai is a profitable investment opportunity for investors and business establishments. These mainland firms are permitted to operate and function within the Emirati jurisdiction’s commercialized geographical regions. Dubai Mainland License is any commercial, professional, or single establishment business entity registered with the Dubai Economic Department (DED). First and foremost, having a Dubai mainland license gives you the freedom and flexibility to grow and operate your business. The government has changed various legislation and procedures. These procedures govern the operation of mainland enterprises in the UAE.
Forming a Mainland UAE Company.
Setting up a mainland company ensures a profitable future for your business portfolio. Mainland company formations offer an inclusive range of trade, 100% right to ownership, and flexibility in location.
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Here are some reasons you may want to start a mainland company in the UAE.
- Flexibility in Location and Zero Trade restrictions
A mainland company can trade between businesses without restrictions, and there are no limits on location. They can also offer services to the government and trade with consumers in the UAE. You can have a strong reputation in the Emirates when you form a mainland company with multiple branches throughout the UAE.
- Inclusive Range
You can carry out an inclusive range of work if you have a mainland business. And when you want to branch out within your mainland company, you must re-register the new business operation with the Department of Economic Development (DED) and then you’re ready to trade!
- Ability to use government contracts
Government tenders have significant businesses in the UAE. Recently, the Abu Dhabi Executive Council approved AED 17.5 bn of spending on government projects and AED 4 bn on infrastructure projects. Additionally, AED 1.2 bn was approved to upgrade government and social facilities. A mainland company can use these government contracts to their advantage.
- 100 % ownership of the business
Initially, you could own 100% only under two circumstances:
If you decide to set up in a free zone.
If you choose to set up a professional services company on the mainland.
With the change in ownership rules, international investors can own a business without needing a local partner. This, in turn, provides the potential for the UAE’s growth machine economy to foreign investors. But there are still some sectors like oil and gas that still require a local partner.