Mainland company in uae
Mainland company in UAE allows a choice from over 3,000 business activities and the freedom to trade anywhere in the UAE and overseas.
Easy approval processes, flexible regulatory procedures and quick timelines
Possibility to trade in UAE and overseas
For 3,000+ business activities to choose from
What is mainland Company in UAE?
The mainland is the area outside of the Free Zones within the regulation of the Department of Economic Development (DED). Mainland companies are allowed to carry out business without restrictions throughout the UAE and internationally.
Advantages of obtaining a UAE Mainland License
Option to trade anywhere in the UAE and internationally
Choose from a wide range of 2000+ business activities
Enjoy the flexibility of choosing any location for your office or commercial space
The eligibility for visas depends on the office size
No minimum or maximum limit for capital amount
Access to lucrative government contracts which are not available for Free Zone companies
Difference between Free Zones, Mainland and Offshore
Features | Free Zone | Mainland | Offshore |
---|---|---|---|
Company ownership | 100% foreign ownership | When the activity is listed in DED's approved activities list, foreign ownership is 100%. For strategic activities, UE/GCC shareholders must hold 51% of the shares | 100% foreign ownership |
Business scope | Within free zones, Inside UAE (some activities forbidden) and internationally | Inside UAE and internationally | Internationally only |
Minimum share capital | Starting from AED 10,000 (unpaid capital). Each free zone has its requirements for minimum share capital. | No standard requirement, determined by the legal structure | No requirements for the minimum share capital |
Company setup procedure | 100% remote | The physical presence of shareholder(s) or POA is required | 100% remote |
Business setup time | 3-5 days | 5-21 days | 3-5 days |
Work premises | Office facilities are required for all free zone businesses. In almost all free zones Virtual and physical offices options are available | Physical office space is required, depending on the number of visas on the license | Not eligible to take an office space |
Import/ export duties | Free zone companies are allowed to import and export goods to other countries without customs duties | No exemption | With limitations applicable to different Free Zones |
Financial audits | Mandatory for all free zones | Mandatory for all businesses | Mandatory for all businesses |
Corporate bank account | Starting from 3 weeks | Within 2-3 weeks | Starting from 3 weeks |
Visa eligibility | Depending on license type and office space (or flexi desk) size. The majority of Free Zones offer up to 9 visas based only on the flexi desk. | With sufficient office space, visa eligibility can be unlimited | Not eligible to apply for a UAE residence visa |
Company ownership | |
Free Zone | 100% foreign ownership |
Mainland | When the activity is listed in DED's approved activities list, foreign ownership is 100%. For strategic activities, UE/GCC shareholders must hold 51% of the shares |
Offshore | 100% foreign ownership |
Business scope | |
Free Zone | Within free zones, Inside UAE (some activities forbidden) and internationally |
Mainland | Inside UAE and internationally |
Offshore | Internationally only |
Minimum share capital | |
Free Zone | Starting from AED 10,000 (unpaid capital). Each free zone has its requirements for minimum share capital. |
Mainland | No standard requirement, determined by the legal structure |
Offshore | No requirements for the minimum share capital |
Company setup procedure | |
Free Zone | 100% remote |
Mainland | The physical presence of shareholder(s) or POA is required |
Offshore | 100% remote |
Business setup time | |
Free Zone | 3-5 days |
Mainland | 5-21 days |
Offshore | 3-5 days |
Work premises | |
Free Zone | Office facilities are required for all free zone businesses. In almost all free zones Virtual and physical offices options are available |
Mainland | Physical office space is required, depending on the number of visas on the license |
Offshore | Not eligible to take an office space |
Import/ export duties | |
Free Zone | Free zone companies are allowed to import and export goods to other countries without customs duties |
Mainland | No exemption |
Offshore | With limitations applicable to different Free Zones |
Financial audits | |
Free Zone | Mandatory for all free zones |
Mainland | Mandatory for all businesses |
Offshore | Mandatory for all businesses |
Corporate bank account | |
Free Zone | Starting from 3 weeks |
Mainland | Within 2-3 weeks |
Offshore | Starting from 3 weeks |
Visa eligibility | |
Free Zone | Depending on license type and office space (or flexi desk) size. The majority of Free Zones offer up to 9 visas based only on the flexi desk. |
Mainland | With sufficient office space, visa eligibility can be unlimited |
Offshore | Not eligible to apply for a UAE residence visa |
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How can Free Zone Bazaar help you with opening a mainland company?
Simplify the process of acquiring a Mainland License in the UAE with Free Zone Bazaar. We not only help you choose the optimal corporate structure for your company but also provide end-to-end support through registration, ensuring compliance with UAE laws. From visa applications to bank account opening, bookkeeping, and tax compliance, we’ve got your business covered.
Utilize our expertise to your advantage.
FAQ
Owners don’t need to be present in the UAE to incorporate in the Free Zone, whereas presence is required for mainland licenses.
Popular company structures are Free Zone Company FZC (more than one owner), Free Zone Establishment FZE (Single Owner), Mainland Limited Liability Company (LLC), Mainland Civil Company for Professional Services, and Offshore Company.
The timespan to incorporate varies from each Authority; generally, it’s 3 to 5 days.
Free Zone companies are Onshore Resident companies that can do business within the UAE & internationally whereas Offshore companies are No-resident companies that cannot do business within UAE. Moreover, Offshore companies cannot have separate Office premises or Visa quotas under the company.
Mainland companies are resident companies that can be incorporated in the Mainland. investor can set up their office or warehouse in the Mainland. Free Zone company license is issued by the respective Free Zone Authority. Furnished offices and warehouses are available for investors.
UAE is blessed with more than 40 Free Zones and each Free Zone has its advantages and disadvantages. The ideal Free Zone can be identified only after getting the requirements from investors.
Company Formation in the UAE could be used as a method to save and lower taxes in the home country. There is no personal Income tax in the UAE, while the maximum applicable corporate tax is 9% (on specific types of companies and businesses). Hence, business profits, personal income, investments, etc, are either not taxable or bear significantly low tax rates in the UAE. Resident investors in the UAE coming from high tax-paying regions and countries could leverage the Double Taxation Avoidance Agreement (DTAA) and save taxes.
Yes, the UAE is a Tax Haven. Tax charged by the UAE Government is the Value-added-tax (VAT) of 5% on almost all consumer transactions in the UAE. Apart from the VAT, there is no other personal tax in the UAE.
Another type of tax in the UAE is corporate tax on profits. The maximum applicable corporate profit tax rate for Free Zone companies is 9%. Usually, it’s closer to 0,00%, depending on the type of business, clients, vendors and area of business for a specific company.
Not every company needs to pay VAT. Companies with taxable supplies and imports exceeding AED 375,000 per year need to register for VAT and are subject to pay VAT (5%) in UAE. For more information on VAT, contact us to get guidance based on UAE VAT laws and regulations.
Since obtaining a resident visa is not mandatory for shareholders or directors, it is possible to establish a company in UAE without a resident Visa,
It depends on the type of business you’re setting up. If you’re establishing a Mainland company, you’ll need a physical office space as per the regulations of the DED. However, if you’re setting up a Free Zone company, many Free Zones allow for flexi-desk options, which is a more cost-efficient alternative to a full-time office space. Alternatively, there’s the option of a virtual office. A virtual office in Dubai allows entrepreneurs to conduct business without needing physical premises.
Yes, the presence of the signatory is mandatory to apply for a bank account opening in UAE. The banker should verify the original passport and meet the signatory personally. This rule is valid for all UAE bank accounts: Resident, Non-Resident and offshore bank accounts in the UAE.
There is no minimum amount of money required to open a bank account or the initial deposit in order to open the Bank Account, like in other countries. However, UAE banks might require you to maintain a monthly average balance for the bank account. While applying for a bank account opening in the UAE, the specific package will be chosen based on your needs.