Mainland Company Formation in Dubai, UAE
The statutory organisation that oversees and manages the licencing procedures for business establishment services in Dubai or company formation in Dubai, United Arab Emirates, is the Department of Economic Development (DED), which has institutional backing from the Dubai Chamber of Commerce & Industry. It was established with the intention of organising and promoting both internal and external trade in the Emirate as well as studies pertaining to industrial and commercial operations. In Dubai, starting a new business or forming a company is now easier than ever.
The Different Mainland Licensing Authorities in the UAE
- The Different Mainland Licensing Authorities in the UAE
- Department of Economic Development, Dubai
- Economic Development Department, Sharjah
- Department of Economic Development, Abu Dhabi
- Department of Economic Development, Ajman
- Other Emirates: Municipality/ Chamber of Commerce
Different types of Mainland Licenses issued while setting up a business in Dubai, UAE
A trade licence is given to a natural or legal person in Dubai allowing start-ups to engage in any commercial activity for the profit-making purpose of purchasing and selling items. For the development of new businesses, these licences are given for hiring contractors, hotels, transport and storage facilities, wholesale and retail trade businesses, etc. There are two types of trading licences: general trading and specific trading. The range of activities is restricted to trading in only closely linked goods by a specialised trading licence. [For instance, a business cannot trade in building materials if their licenced activity is trading in computer peripherals.
An industrial licence is given to a natural or legal person who wishes to begin any investment activity in Dubai, United Arab Emirates, with the goal of discovering natural resources, transforming raw materials into manufactured products in terms of their structure or appearance, or turning semi-manufactured goods into fully manufactured goods by using mechanical power and sorting, filling, assembling, or packaging them.
3. Professional License
A professional licence is given to a natural or legal person so they can establish a new firm in Dubai, United Arab Emirates, and engage in any occupation where they must use their own physical or mental efforts rather than financial resources. This licence is given to new businesses in Dubai so they can engage in specific professions such consulting in engineering and management, consulting in other fields of study, consulting in auditing and accounting, consulting in healthcare and education, and other similar services.
Some of the business activities require approvals from the government bodies other than Dubai DED. A few examples of some of the activities that require approvals from the government bodies areas listed below:
Department / Section
Road transport activities
Road and Transport Authority
Commercial Activities Department
H.H. The Ruler’s Court
Department of Petroleum Affairs
H.H. The Ruler’s Court
Legal Affairs Department
Telecommunications Regulatory Authority
Architectural & Engineering activities
Details/Documents required for Mainland Company Formation in Dubai, UAE
- Passport Copy / Emirates ID of the shareholders, managers including the local sponsor.
- Attested and Legalized Power of Attorney required if shareholders are not available in the UAE.
- No Objection Certificate from the existing sponsor for the UAE visa holders.
- The activity of the company
- Trade name of the company
- Initial Approval from license authority.
- Tenancy contract / Ejari for the office space
- Legally translated Memorandum and Articles of Association
- Special approvals if required for specific activities.
If the shareholder is a Foreign company - The documents required
Bank Reference Letter.
Board resolution calling for the establishment of the new company in UAE, the appointment of Directors, Managers and Legal Representative duly attested by the UAE Embassy/consulate in the country of origin.
Certificate of registration of the company duly legalized and attested by the UAE Embassy/Consulate in the country of origin.
Certificate of good standing of the company duly legalized and attested by the UAE Embassy/Consulate in the country of origin.
Memorandum and Articles of Association of the company (Applicant Company) duly legalized and attested by the UAE Embassy/Consulate in the country of origin.
Benefits of starting a business in Dubai, UAE
The United Arab Emirates provides new enterprises and start-ups in Dubai with all the benefits of an advanced economy. The services and infrastructure meet the highest international standards, promoting effectiveness, quality, and service. A few advantages are:
- Free enterprise system.
- Highly developed transport infrastructure.
- State-of-the-art telecommunications.
- Sophisticated financial and services sector.
- Top international exhibition and conference venue.
- High-quality office and residential accommodation.
- Reliable power, utilities etc.
- First-class hotels, hospitals, schools, shops etc. Cosmopolitan lifestyle.