Mainland company formation in Dubai has its own advantages. Some of the key benefits include: trading access in Dubai Mainland, other parts of UAE and GCC countries. Mainland companies can also expand their reach by opening new branches, actively participate in govt. tenders or bids and projects and recruit a number of office employees without any restrictions.
Time required to register a Mainland company in UAE depends on the business activity an entrepreneur is going to choose. For some business activities, approvals may take longer than usual. But, in an ideal situation, 3-4 days is what it takes to register your Mainland company in the UAE.
Limited Liability Company or LLC is the most common legal structure entrepreneurs use while forming a Mainland company in the UAE. This legal structure provides required flexibility for business expansion. Earlier, there was a need to have a UAE local as partner to own majority shares (51%) in the company formation but with the recent 100% FDI law, this is not mandatory for a number of sectors.
Yes. While registering your Mainland company, you must possess a rented office space and tenancy contract in the company name. While issuing the company license, authorities review the tenancy contract.
Foreign nationals such as Doctors, CAs, consultants, legal advisors can incorporate a Mainland company in the UAE with 100% ownership. This is called Civil Work Company. Here, instead of a local sponsor, they need to appoint a Local Service Agent (LSA) as POC (Point of Contact) of Civil Work Company to liaise with the government authorities. The LSA neither owns company shares nor takes part in business activities of the company.
Yes, Mainland companies need to pay 5% VAT to the Federal Tax Authority (FTA for all the transactions that are initiated in Mainland.