Mainland Company Formation in Dubai: 100% Foreign-Owned LLC

Mainland company formation in Dubai means a licence from the Department of Economy and Tourism (DET), the issuer many guides still call the Department of Economic Development (DED). That licence gives direct access to customers on the UAE mainland. For most activities the foreign owner can take 100% of the shares, as the law has allowed since 1 June 2021. The usual vehicle is the limited liability company (LLC) under Federal Decree-Law No. 32 of 2021, with no statutory minimum capital.

We form Dubai mainland companies for foreign founders: legal form, activities checked against Dubai's restricted list, and the file from trade name to DET licence. Once DET issues the licence, we file the corporate tax registration and the beneficial owner details and introduce the company to UAE banks. The written quote follows once we know the activities, the owners and the premises. Federal law applies across the emirates; our UAE company formation overview explains it.

Quick facts	Value
Local company form	LLC (limited liability company under Federal Decree-Law No. 32 of 2021), equivalent of an LLC / private limited company
Licensing authority	DBLC, the Dubai Business Registration and Licensing Corporation of DET (formerly DED)
Foreign ownership	100% allowed since 1 June 2021, except on a short Dubai list that needs a local partner
Minimum share capital	No statutory minimum; capital paid in full at incorporation
Premises	Lease registered on Ejari; minimum workspace 100 sq ft
Corporate tax	9% on taxable income above AED 375,000, 0% below
Small Business Relief	Tax periods ending on or before 31 December 2029, for revenue of AED 3 million or less
VAT	5% (Federal Decree-Law No. 8 of 2017); registration required once taxable supplies pass AED 375,000

Why Choose Mainland Company Formation in Dubai

The whole mainland market. Free zone companies are considered outside the UAE mainland jurisdiction and generally need a mainland channel to sell there. A mainland company invoices mainland customers directly. A Dubai company that wants a base in Abu Dhabi can open a branch there, and since 13 February 2025 such branches need no premises for the first year.

No Emirati partner for most activities. DET counts over 1,000 commercial and industrial activities in which a foreigner can hold 100%.

What you give up. You lose the 0% regime for Qualifying Free Zone Persons, and Emiratisation targets apply as the company grows.

Mainland vs Free Zone: The Differences That Matter

Both routes allow 100% foreign ownership for most businesses. The differences sit in market access, tax, premises and staff.

Point	Dubai mainland company	Free zone company
Licence and register	DET; Dubai commercial register	The zone authority, under the zone's own regulations
Selling to mainland customers	Directly	Needs a DET licence or permit (Dubai) or a mainland distributor, branch or company
Corporate tax	9% above AED 375,000 and 0% below; no free zone regime	Can be 0% on qualifying income as a Qualifying Free Zone Person, with 9% on other taxable income
Premises	Lease registered on Ejari, at least 100 sq ft	Office options set by each zone
Visas	No fixed quota; premises and activity decide	Issued through the zone, within the package quota
Emiratisation	Applies	Does not apply

Can a free zone company trade on the Dubai mainland?

Not directly: under the federal portal's guidance, a free zone company generally needs mainland licences to sell there. Since Executive Council Resolution No. 11 of 2025, DET can license a Dubai free zone company's mainland branch or issue a permit of up to six months for listed activities. DIFC financial firms are excluded, and our free zone company setup guide covers the conditions.

Offshore companies, the third route, are compared with both in our guide to business setup in Dubai. Abu Dhabi and the other emirates license mainland companies through their own authorities; for the capital, see business setup in Abu Dhabi.

Legal Forms for a Dubai Mainland Company

Article 9 of the Commercial Companies Law (CCL), Federal Decree-Law No. 32 of 2021, allows five company forms and voids any other. DET adds two forms that are not CCL companies: the civil company, for professional activities, and the sole establishment.

Limited Liability Company (LLC)

Under the CCL, in force since 2 January 2022, an LLC has 2 to 50 partners, natural or legal persons, or a single owner (Article 71). Its name ends in "LLC". A single owner company is styled "Sole Proprietorship with Limited Liability" (Article 72); DET calls it LLC Single Owner and allows any nationality. Managers may be partners or outsiders, and the CCL sets no nationality or residency rule for them (Article 83).

What does LLC mean in Dubai?

LLC stands for limited liability company, called الشركة ذات المسؤولية المحدودة in the Arabic text of the Commercial Companies Law. It is the UAE's private limited company: each partner's risk stops at the capital put in, unlike a sole establishment, where liability is unlimited.

Other mainland forms

A private joint stock company has 2 to 200 shareholders or one owner. A foreign company branch needs ministry approval, a Foreign Companies Register entry and a UAE registered auditor (Articles 336 to 338). DET also licenses branches of companies from other emirates, free zones and the GCC.

Is there a minimum share capital for a Dubai mainland LLC?

No. Article 76(1) of the CCL asks only for "sufficient" capital, and DET states there is "no standard requirement for minimum share capital" on the mainland. Contributions are paid in full at incorporation, and in-kind contributions are valued under Article 78. Our minimum share capital comparison sets Dubai beside other jurisdictions.

Foreign Ownership Rules on the Dubai Mainland

Full foreign ownership has applied since 1 June 2021 under Federal Decree-Law No. 26 of 2020 and Cabinet Resolution No. 55 of 2021. Agent pages that still quote a 51% Emirati share are out of date. Our foreign ownership and director requirements comparison lines Dubai up against other countries.

Two lists set the exceptions. Federally, Cabinet Resolution No. 55 of 2021 leaves strategic activities to regulators who set the national share, and CCL Article 10 gives the Cabinet the power to define them. They cover security, defence and military activities; banks, exchange houses, finance and insurance; activities regulated by TDRA; and those regulated by the General Authority of Islamic Affairs and Endowments.

Dubai adds its own list. It covers security, defence and military; telecommunications; banks, exchange, financing, insurance, and banknote and coin production; and commercial agencies. It also covers Hajj and Umrah organising, Quran recitation institutes, and fish, natural pearl and marine animal catching. For these, DET says "you'll need to work with a local partner". Check your activity against Dubai's foreign ownership restrictions list.

Do you need a local sponsor or a local service agent?

No local sponsor is needed for an activity open to full foreign ownership. A local service agent is a narrower point, and not a requirement for every company. DET lists a service agent contract only "if required for your business type". That covers some professional licences of civil establishments wholly owned by non-GCC nationals, which file an attested contract. For branches of foreign companies, the federal portal states that the national service agent duty was eliminated by Federal Decree-Law No. 26 of 2020. We confirm the position for your activity before filing.

The DET Licence, Formerly the DED Licence

Dubai's licensing authority is the Department of Economy and Tourism (DET). The DED name lives on in searches such as "DED license" and on some agent sites. The licence still called a DED trade licence comes from DET through DBLC.

Which licence categories does DET issue on the mainland?

DET's licence follows the activity, with three core categories: commercial, professional and industrial. Tourism businesses are licensed too, and special licences include eTrader, Instant and Dual (Free Zone Branch). Our UAE trade licence guide explains each type, and DET's business licensing overview is the official reference.

DED trade licence renewal

DET renews a mainland licence every year, online, by SMS or at a service centre. Each renewal repeats the beneficial owner submission (Cabinet Decision No. 109 of 2023, Article 11(3)), and the trade licence guide above covers the rest.

How to Form a Dubai Mainland Company: Step by Step

DET licenses the company through DBLC and enters it in the Dubai commercial register, which is linked to the federal National Economic Register (Federal Decree-Law No. 37 of 2021). Dubai mainland company setup runs on the Invest in Dubai portal; its guide to mainland companies sets out the official sequence. As your formation agent, we prepare each step and coordinate it with DET.

Choose the activities and legal form. The activities fix the licence type and any external approval, so we check them against both ownership lists first.
Reserve the trade name. A verified Invest in Dubai account books it in 10 minutes. The name has to match the activity and be transliterated, and family or tribe names are barred unless they belong to the licensee.
Obtain initial approval. DET grants it before the premises are registered.
Register the premises. The lease goes on Ejari, as explained below.
Sign the Memorandum of Association. DET issues it in Arabic for LLCs, one person companies and civil companies, and it is authenticated in person or by e-signature (CCL Article 14). Any required service agent contract is signed now.
Obtain external approvals. Regulators such as TDRA, the Central Bank, SCA or MOHRE approve the activities they oversee.
Receive the licence. DET issues it 10 minutes after the file is complete, or 5 minutes for the Instant Licence, in the Invest in Dubai document locker.
Register the company. GDRFA and MOHRE establishment cards, corporate tax registration within three months and the beneficial owner filing within 60 days come next, then visas and the bank account.

Ejari and office space

A standard mainland licence needs premises registered on Ejari with the Dubai Land Department, with a minimum workspace of 100 sq ft. The Instant Licence starts with a virtual site for its first year and needs a real business location at the first renewal. The Dubai Land Department's Ejari registration service registers and renews the contract.

Required Documents

DET's list is short for individuals and longer for corporate shareholders.

Passport (non-resident applicant) or Emirates ID (UAE resident)
Residence visa or entry permit, for applicants from outside the GCC
Articles of Association (a one person LLC does not need them)
Ejari registered lease, or the Instant Licence virtual site
External approvals, where the activity needs them
Attested service agent contract, only where the business type requires one
Feasibility study, for joint stock companies only

Corporate shareholders follow a legalisation chain, not an apostille. Documents are attested at home and by the UAE embassy, counter-attested by the UAE Ministry of Foreign Affairs (MOFA), then translated into Arabic and attested by the Ministry of Justice.

What are the requirements to set up a mainland company in Dubai?

You need an activity open to your ownership structure, a reserved trade name, DET's initial approval and premises on Ejari. Add the Arabic MoA, passports or Emirates IDs, a residence visa or entry permit for non-GCC applicants and any external approval.

Timeline and What Our Package Covers

The official clocks sit in the steps above; none covers the whole formation. External approvals, attestation of foreign documents, the Ejari lease and bank onboarding run on their own clocks. Our formation time comparison shows Dubai against other jurisdictions.

Our package covers:

Choice of route, legal form and activities, checked against both ownership lists
Trade name, initial approval and the MoA details
Coordination of the Ejari lease registration
The DET licence and the establishment cards
Corporate tax registration and the beneficial owner filing
Coordination of visa applications and introduction to UAE banks
A first year compliance calendar

Tax Overview for Dubai Mainland Companies

A mainland LLC pays 0% corporate tax on its first AED 375,000 of taxable income and 9% (rate applicable in 2026) on the excess. The rates come from Article 3 of Federal Decree-Law No. 47 of 2022. A new company has three months from incorporation to register on EmaraTax (FTA Decision No. 3 of 2024).

Small Business Relief runs longer than many guides say. It now covers tax periods ending on or before 31 December 2029, not 2026, for resident companies whose revenue has never passed AED 3 million.

VAT at 5%, e-invoicing from 2027 and the treaty network are set out in our guide to business setup in Dubai, linked above. Our corporate tax rates by country table sets the 9% rate beside others, and the Ministry of Finance corporate tax pages carry the legislation. Owners pay nothing at personal level in the UAE: there is no personal income tax, and UAE-source income paid to non-residents carries 0% withholding tax (Corporate Tax Law, Article 45).

Visas and Work Permits

There is no fixed visa quota on the mainland: the premises size and the activity decide the number. For staff, Dubai's Work Bundle combines the work permit and residence visa steps for DET-licensed firms. Owners and partners can apply for a residence visa such as the Green visa, which the Dubai business setup guide compares with the Golden visa.

Emiratisation is a mainland rule. In the 14 targeted activities, a company with 20 to 49 employees needs at least two UAE nationals, and larger firms have percentage targets.

Banking for Dubai Mainland Companies

Cash contributions to an LLC's capital go into a UAE bank, which releases them to the managers after registration (CCL Article 76). A signatory becomes eligible for an account once an Emirates ID is issued or applied for. We plan the visa steps around the bank's file and introduce the company through our bank account opening service.

Compliance and Reporting Obligations

Two bodies receive a mainland LLC's filings: DET as registrar and the Federal Tax Authority (FTA).

Obligation	Rule
Auditor	Every LLC, single owner LLCs included (CCL Articles 27(1) and 102; Cabinet Decision No. 77 of 2022, Article 12); the auditor must be registered with the federal ministry
Accounts	IFRS (Article 27(3)); first financial year of 6 to 18 months (Article 28)
Records	5 years under the CCL (Article 26), 7 years for corporate tax
Statutory reserve	5% of net profit a year until the reserve reaches half the capital (Article 103)
Beneficial owners	Natural persons with 25% of capital or votes, or other control; filed within 60 days of licensing, updated within 15 days (Cabinet Decision No. 109 of 2023)
UAE resident contact	Someone living in the UAE, named to the registrar, who can disclose beneficial owner data (Article 11(4))
Audited statements for tax	Revenue above AED 50 million (Ministerial Decision No. 84 of 2025)

Beneficial owner penalties sit in Cabinet Decision No. 132 of 2023. Our accounting and tax compliance service keeps a mainland company on this calendar.

Nominees. We do not provide nominee shareholders or nominee directors. Cabinet Decision No. 109 of 2023 makes nominees visible. A nominee manager or board member notifies the company within 15 days (Article 9), and the partners register records nominees and the persons they represent (Article 10). Bearer share warrants are prohibited (Article 11(5)). CCL Article 346 makes intentionally recording false statements in a company's MoA a criminal offence.

Forming a Dubai Mainland Company as a Non-Resident

Full ownership of a Dubai mainland LLC is open to a non-resident for most activities. So is the manager's role: the CCL sets no nationality or residency rule for managers. A non-resident applicant files a passport rather than an Emirates ID. One condition applies at filing: DET wants applicants to hold a valid UAE visit visa or entry permit.

Signing does not need a trip: stakeholders registered on Invest in Dubai can sign virtually. A non-resident corporate shareholder supplies parent documents through the legalisation chain described above.

Two points need someone in the UAE. The company must name to the registrar a person living in the UAE who can disclose its beneficial owners (Cabinet Decision No. 109 of 2023, Article 11(4)). Bank eligibility follows the Emirates ID, which comes with a residence visa such as the Green visa for investors and partners.

Frequently Asked Questions

What is a mainland company in Dubai?

A mainland company in Dubai is a business licensed by the Department of Economy and Tourism (DET) and entered in the Dubai commercial register. It sells directly to customers on the UAE mainland, which a free zone company cannot do without a mainland channel. The usual form is the LLC.

What is a mainland licence in Dubai?

A mainland licence is the trade licence DET issues outside the free zones, still often called a DED licence. Its type follows the activities: commercial, professional or industrial. It is renewed every year. The Dubai Unified Licence, rolling out in stages, adds one DET identifier and QR code for each business.

Can a foreigner own 100% of a Dubai mainland company?

Yes, for most activities. Full foreign ownership has applied since 1 June 2021 under Federal Decree-Law No. 26 of 2020 and Cabinet Resolution No. 55 of 2021. Dubai's short restricted list, including telecommunications, banking, insurance and commercial agencies, still needs a local partner.

What does the total for a Dubai mainland company depend on?

The total turns on five points: the licence type and number of activities, any regulator approval, and the owners whose documents need legalising. The other two are the Ejari lease or Instant Licence site and the visa count. We confirm the total in a written quote.

What business activities are available on the Dubai mainland?

More than 1,000 commercial and industrial activities allow full foreign ownership, according to DET, and its licences cover commercial, professional, industrial and tourism businesses. Activities without external approvals qualify for the Instant Licence. Profit depends on the business plan, not the licence; activities selling to mainland customers fit a mainland company best.

How do I open an LLC company in Dubai?

Choose activities open to your ownership, reserve a trade name on Invest in Dubai and obtain DET's initial approval. Then register a lease on Ejari, sign the MoA that DET issues, obtain any external approval and receive the licence. Corporate tax registration within three months and the beneficial owner filing within 60 days complete the formation.

Get Started: Form Your Dubai Mainland Company

We check your activities against both ownership lists before filing. List the activities and the owners on our contact page, and we reply with a written quote.

Call +48 2222 5 2222 or email info@companyformation24.com to start.

Content prepared by Aleksandra Kowalska, Corporate Client Service. Approved by Tomasz Bielski, Managing Director.

Dubai Mainland Company Formation