Mainland is also referred to as an onshore company. It has been provided a license by the Department of Economic Development of the respective emirate which allows it to do business in the local market as well as outside the UAE without any restrictions. In common analogy, any company which has been set in the United Arab Emirates under the government authority is considered a mainland company.
While dealing in the business sector of UAE, one has to be well aware of three kinds of company types/forms. The articulated details differentiate them but there should be a better understanding of these companies as they cover the legality of any business.
It is a Limited Liability Company type of entity. In terms of UAE law, it is mandatory to have a UAE national (corporate or individual) owning a minimum of 51% shares and the remaining 49% of shares must be allotted to the other shareholder in the company. Mainland companies benefit majorly by having access to the UAE Market.
A mainland license does require standard approvals for the license.For instance, the Department of Economic Development(DED), Dubai Municipality (DM), Ministry of Labor (MOL), Ministry of Interiors or Immigration (MOI).
In some cases, there are also third party governing approvals that will be needed, depending on your business activities: Knowledge and Human Development Authority(KHDA) for all Education related activities, Dubai Health Authority(DHA)/Health Authority Abu Dhabi(HAAD) for all medical related business activities, Food Control Department of Municipality for all food-related license, Civil Defence for all security-related activities, Real Estate Regulation Authority(RERA) for all real estate regulated business activities.
For Mainland Companies, the minimum requirement is 200sqft. That is supposed to be leased out annually. Only after this requirement Department of Economic Development can issue them a license.
Companies involved in the manufacturing and production of goods require this license. The manufactured items may be ready to sell or required by another manufacturer.
There are three types of travel related activities that require this license. Operator of inbound tourism, operator of outbound tourism, and for a travel agent.
A company with a professional license can be 100% foreign owned. This type of license is required for services based on skill or academic knowledge.
This license is for companies that are involved in activities related to the buying, selling of goods and services.
Company set up in Dubai, especially for first time business owners, can be a difficult and time consuming process. Our team is well equipped at managing the entire incorporation procedure. We can provide valuable assistance that will save you time and effort in the company formation process allowing you to focus on making your business a success.