Starting your business in UAE Mainland
The seven emirates that make up the United Arab Emirates (UAE), a country located in the Arabian Peninsula.
These emirates are known for their rapidly growing economies,
business-friendly environment, and attractive investment opportunities.
If you are considering setting up a business in the UAE, then you are choosing it right.
UAE Mainland business setup guide
Mainland license incorporation in specific emirate means presence in the mainland area of that emirate, rather
than in a free zone. This comes with several advantages, including the ability to trade directly with the local
market, access to a wider range of business activities, and the option to sponsor your employees for residency visas.
Starting a business in ordinary ways involves a series of steps, including:
Identifying a business activity
Selecting the legal form
Registering trade name
Applying for an initial approval
Drafting a MOA and LSA agreement
Select a business location
Get additional government approvals
Submit documents and get license
Identify your business activity
Business activity is the basis for selecting the legal form and type of license, whether commercial, industrial or professional, etc. There are six types of licenses - industrial, commercial, professional, tourism, agricultural and occupational. While you have the privilege to choose multiple activities from more than 2,000 business activities available in the UAE
Selecting the legal form
The legal form depends mainly on the business requirements and selected activity. Moreover, the legal form is basis for identifying applicable laws and regulations. In the UAE, you can select one of the following legal forms:
Sole establishment
Limited liability company (LLC)
Holding companies.
General partnership
Limited partnership
Public joint stock company (PJSC)
Private joint stock company (PrJSC)
Civil company
Local company branch
GCC company branch
Foreign company branch
Free zone company branch
Registering trade name
A trade name distinguishes one business from another. It also reflects the nature and the form of the business. An investor can apply for the trade name through the economic department in each emirate, through its website or mobile application.
The trade name must:
be followed by the business structure acronym (legal form of the company) such as: LLC, EST, PJSC, PrJSC
not violate the public morals or the public order of the country
be compatible with the required type of activity and the legal status of the company or business entity
not contain names of any religion, or governing authority, nor names or logos of any external bodies
not have been previously registered.
Initial approval
An initial approval means that the UAE Government has no objection for the business to be established in the country. It also allows you to proceed with the next steps in setting up a business before being able to legally practice business activity.
Some activities require additional approvals from government entities related to that particular business before applying for the initial approval.
MOA and LSA
Depending on the legal form of a business, Memorandum of association (MOA) or LSA .
Local service agent agreement (LSA) of the business is required based on the license type.
We will prepare the required memorandum of association and articles of association that must be signed
by all the shareholders for the following business legal forms:
Limited partnership
Limited liability company (LLC)
Public joint stock company (PJSC)
Private joint stock company (PrJSC).
Select a business location
The business premises and location must comply with the requirements defined by the respective emirate’s Department of Economic Development
Selection of suitable emirate (listed below) to register your business
1. Dubai
2. Abu Dhabi
3. Sharjah
4. Ajman
5. Umm-Al-Quwain
6. Ras Al Khaimah
7. Fujairah
Get additional government approvals
In some cases, additional approvals from government entities governing certain business activities are required. The following are examples of such activities sorted by ministry:
- Ministry of Interior for activities related to general transport - driving schools, fire equipment, alarm and safety systems, used-car dealers, used auto-parts, car rental.
- Ministry of Justice for Legal activities and legal consultancy
- Local municipal department for architectural and engineering affairs
- Telecommunications and Digital Government Regulatory Authority (TDRA) for Telecommunication activities
- Executive Council for Travel and tourism, general services, charter trading, ship and maritime agencies, car clubs, charter air transport and foreign company branches
- Ministry of Economy for Insurance activities and insurance consultancy
- Local health departments for Health-related activities
- Supreme Petroleum Council for Onshore and offshore gas and oil-field services and onshore and offshore oil drilling operations
Documents submission for getting the license
In the final stage you will be required to submit the following documents for getting your license:
Initial approval receipt and all the previously-submitted documents
Copy of the attested commercial lease contract
Duly attested MOA
Approvals from 3rd party (concerned government entity)
Duly attested service agent contract (for civil establishments and companies that are 100% owned by non-GCC nationals), the UAE involving a local service agent.
Why Rapid Business ?
It is worth noting that the process of setting up a mainland company in any emirate can be complex and time-consuming affair. At Rapid Business Solutions we provide solutions to all your worries, guide you through the process and ensure that you comply with all the legal requirements.
With the right guidance and support, your process will be smooth and successful, leading to a prosperous business venture in the UAE.
Get in touch with us for free consultation today !
