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MAINLAND LICENCE DUBAI - COMPLETE GUIDE
A Mainland Licence Dubai gives businesses a valid legal identity. It enables applicants to conduct business anywhere in the United Arab Emirates along with the freedom to conduct business from any location in the nation and the elimination of trade barriers.
TYPES OF MAINLAND BUSINESS LICENCES IN DUBAI
- Professional Licence – This license is issued to firms engaged in service-oriented activities. It is commonly obtained by professionals involved in consulting or other professional services. The cost of obtaining a professional license is generally lower compared to other licenses.
- Commercial License – Businesses involved in buying, selling, or trading of goods or services need to obtain a commercial license. Many traders opt for a general trading license, which allows them to engage in multiple trading activities with a single license. Obtaining and managing a commercial license, including any amendments or cancellations, is relatively straightforward.
- Industrial License – Firms engaged in manufacturing activities, such as factories or industrial operations, are required to obtain an industrial license. Depending on the specific type of industrial activity, additional approvals from external ministries and government departments may be necessary.
- Tourism License – Any business involved in tourism-related activities must hold a valid tourism license. The Department of Economy and Tourism in Dubai plays a significant role in issuing tourism licenses. This license is essential for conducting inbound and outbound tour operations.
THE PROCESS TO APPLY FOR A MAINLAND LICENSE IN DUBAI
- Selecting a Business Activity – Relin consultant will help the applicant to select a specific business activity or activities they want to perform in Dubai. This will help in determining what type of license is appropriate for their business.
- Selecting a Legal Structure and Reserve Trade Name – We will assist you in selecting a suitable legal structure for the business, such as a sole proprietorship, partnership, or limited liability company (LLC). Once the structure is decided, we will reserve a trade name for the business with the Department of Economic Development (DED). The name should comply with DED’s naming regulations. To know more about the company formation process, refer to Dubai company registration.
- Applying for Initial Approval – Relin consultants will help to prepare and submit the required documents, including passport copies of shareholders and sponsors, to the DED for initial approval. This step verifies that the business activity is permissible and aligns with the government’s guidelines. Documents such as a memorandum of association, lease agreement for office space, and NOC (No Objection Certificate) from the sponsor should also be submitted to the DED.
- Obtaining External Approvals – Depending on the business activity, we may need approvals from external ministries or government departments. For example, certain industries require approvals from the Dubai Municipality, Dubai Health Authority, or other relevant authorities.
- Rent an Office – Lease an office space in a commercial building within Dubai. The office should comply with the DED’s office requirements and guidelines for your specific license type.
- Obtain Ejari for the Office – The applicant must register the office lease agreement with Ejari, the official system for registering rental contracts in Dubai. This step provides proof of the office location and is required for obtaining the license.
- Make Relevant Payments – The applicant must pay the necessary fees for license issuance, initial approval, and any external approvals required. The payment amount will vary depending on the business activity and license type.
- Obtain the License – Once all the required documents and payments are processed, the applicant will receive their Dubai mainland license. This license grants the legal authority to operate the business within the mainland of Dubai.
ADVANTAGES OF OBTAINING A DUBAI MAINLAND LICENSE
- Mainland trade can be conducted anywhere in the country. Entities conducting business offshore or in free zones must do so from certain locations.
- There are no restrictions of any type and the applicants are free to conduct their business venture anywhere in the UAE.
- Dubai, in the United Arab Emirates, serves as the entry point to the Middle East. Therefore, there is room for business diversification in the other GCC nations.
- In many countries, foreign investors are frequently asked to pay hefty sums of money in the name of corporate tax. In Dubai, mainland businesses may benefit from corporate tax exemptions or low corporate tax rates.
- The UAE has a lot of concessions and incentives in store for investors due to its pro-business government. In the UAE, there is no requirement for a “minimum capital requirement” to create a firm.
- There are no limitations on currency exchange, thus mainland businesses in the UAE are not subject to these rules and can trade freely.
- Capital Incentives — The UAE has a lot of concessions and incentives in store for investors due to its pro-business government. In the UAE, there is no requirement for a “minimum capital requirement” to create a firm.
- There are no limitations on currency exchange, thus mainland businesses in the UAE are not subject to these rules.
- Establishing the company in the UAE mainland gives the applicant access to a global market. They can use the mainland’s worldwide exposure to grow or diversify their business.
Reach out to us at Relin Consultants for further assistance with your Mainland license in Dubai.
What is mainland business in Dubai?
There are no geographical restrictions and no trade restrictions on a mainland Dubai company. Anywhere in the UAE, mainland businesses can offer services or conduct business with clients directly. The establishment of a mainland firm also permits businesses to have numerous branches, giving them a significant presence across the Emirates.
What are the benefits of a business set up in Dubai Mainland?
Benefits of setting up a business in Dubai Mainland include:
- Promotes global trade
- Unlimited work permits
- 100 percent foreign ownership
- a wide variety of business activities across several industries
- Opportunities to trade globally and establish a presence worldwide.
Is renting an office space a requirement for starting a mainland business in Dubai?
On Dubai’s mainland, office space is necessary. For the issuance of a trading license, an office space must be used. As proof of a registered residence, details about an ownership agreement or tenancy may be required.
Is VAT applicable to the Mainland Companies in the UAE?
Tax-registered businesses operating both on the UAE’s mainland and in free zones must pay VAT.
What are the types of mainland licenses available in Dubai?
Professional licenses for service-oriented enterprises, commercial licenses for trading businesses, industrial licenses for manufacturing businesses, and tourism licenses for businesses with an emphasis on tourism are some of the license categories available on the mainland.
Can I operate anywhere in Dubai with a mainland license?
Yes, you can operate and conduct business anywhere on the UAE mainland, including Dubai, if you have a mainland license. As a result, you have access to the local market and the chance to work for businesses in both the mainland and the free zone.
Can I apply for multiple activities under a single mainland license?
If they are compatible and are under the permitted activities recognized by the DED, it is possible to request numerous activities under a single mainland license.