Mainland Company Formation in Dubai

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The vast majority of investors wanted to do business with less to zero worries when it comes to the location of their company. This is precisely why business people and investors are attracted to do a business set up in Dubai Mainland. However, they have the right to undertake a business anywhere in Dubai and UAE.

Mainland Company Registration in the UAE

The most common Mainland Dubai Companies in the UAE can be delegated as follows:

  1. Limited Liability Company (LLC)

    Proceeding with your dream to set up a new mainland enterprise, you should have the option to learn how to run this type of company formation. As mentioned in our previous article, we declared that a local sponsor is essential to set up a Mainland Company.

    For the LLC Company, a foreign investor can't have 100% ownership of his enterprise. According to the law in the UAE Mainland, 51% of the total shares of a commercial company will be held by a UAE National (local sponsor or silent partner). The remaining 49% goes to foreign investors. Therefore, one of the foreign investor's responsibilities is to hire a local Emirati sponsor.

    Regarding this, the local sponsor shall agree in court. He will not have any involvement in either the organization activity or profit-sharing of the organization set up in Dubai Mainland.

    Additionally, there are limitations in the rule, as mentioned earlier, as it is confined to performing specific business undertakes such as the following:

    • Banking Business
    • Insurance Business
    • Money Investment Business
  2. Professional Company (Civil Work Company)

    Unlike the rules applied in LLC, a foreign investor can retain 100% ownership of the company’s shares in Civil Work Company. How is it possible? Professionals in accounting, consulting, legal, doctors, and other related areas have the privilege to form a Mainland Company, especially a Professional Company, which is also known as a Civil Work Company.

    In addition to this, a Civil Work Company needs to appoint a Local Service Agent to take care of the official procedures and to liaise with the different government ministries. This is required to register the Civil Work Company with the Department of Economic Development

    Since a Civil Work Company is exclusively for the holders of professional licenses only, it is essential to obtain external approval from a corresponding government ministry before processing the permit.

  3. Branch or Representative Office of Foreign Companies
    • Branch of a Foreign Company in the UAE:

      Setting up a foreign branch office in UAE enables you to perform the activities offered by its parent organization. In any case, the actions to be completed by the foreign branch office is still subject to approval by the Ministry of Economy.

    • Representative Office in the UAE:

      Setting up a Representative Office enables you to likewise advertise and sell the services or product items by the parent company. However, a representative office cannot commercially trade or sign contracts in the UAE, for the parent company should do it.

      Service agents are not liable or obligated to deal with any financial matters associated with the company at home or abroad. They are only tasked with completing the entire incorporation process. Therefore, any financial affairs relating to the company within or outside the Emirate are not the responsibility of the service agent.

AMCA: Your Partner in Setting Up your Business

AMCA, known to be focused on excellence and in-depth knowledge about business setup, will help you in your mainland company formation in Dubai and UAE. With the assistance of our professional consultants, we will be dealing with the necessities needed for the building. We will help you from the beginning of its process until the end, and we guarantee you to be untroubled while setting up your business.

Do not hesitate to contact us, and we will be happy to give you all the information required for your Mainland Company Formation.