Mainland Company Setup in UAE
Mainland Company Setup in UAE, or in other words a mainland LLC setup in UAE are for clients and individuals wishing to set up companies, branches and subsidiaries in the UAE to conduct business both in the UAE national and international market. Once your business is up and running , as the owner you may hire staff or apply for UAE residence visas for yourself and dependents such as family members.
UAE onshore (Mainland Companies) has strict regulations that states an Emirati citizen must be part of the Mainland Company structure as laid down below in different circumstances:
- Foreign investors may own 49 percent of the shares of the company and retain full control of the Company as director. However, an Emirati national must own no less than 51 percent of shares in all commercial, retail, hospitality and health licenses.
- In the case of consultancy or professional licenses, an Emirati national may be appointed as a local agent. The Emirati national shall not have shares in the company, nor will they have rights as a director. Therefore, the foreign investor retains full control of the company as well as 100 percent of the shares.
- Company Agent: An Emirati national must be assigned as a local agent. They will not have shares in the company, nor will they have rights as a director. Therefore, the foreign mother company is able to retain control of its branches, subsidiaries and representative’s offices.
Important Factors to Consider before Setting up a Mainland Company in UAE
There are important factors to consider before incorporating a local LLC Mainland company in UAE;Since, UAE Mainland affords complete freedom to registered companies to do business in the local market as well as outside the UAE, it is one of the most preferred business jurisdictions in the UAE. It opens the door to greater scope of business activities and also allows you to work with UAE governmental bodies. Moreover, one can open an office anywhere in the UAE. A mainland company will be licensed by the Department of Economic Development (DED) of the respective Emirate.
Some of the various benefits of setting up a business on the mainland are listed below:
- Can do business flexibly in any part of the UAE
- There is no limit on number of visas
- More business activities available for licensing
- No business or personal taxes.