Business Setup in UAE
United Arab Emirates’ Business environment is favorable for investors around the globe. UAE’s infrastructure is one of a kind that offers onshore & Offshore Company Set Up Options. If you want to open a company within the Jurisdiction of UAE, you can look up two options i.e., setting up a business in Mainland or Free zone. Let’s explore the difference between mainland and Free Zones company setup.
Difference between Free Zone and Mainland Companies?
It is the most frequently asked question by the people who are interested in business setup at UAE.
Mainland company often referred as an onshore company is licensed by Dubai Economic Development (DED) of the concerned Emirate. It is allowed to do business inside local markets and outside of the UAE without any constraints. If a potential investor wants to incorporate a business at UAE mainland, it is mandatory for his business to at least be 51pc in the name of a local sponsor and the rest 49pc can be on his name. however, recently there has been a change of policy by DED- Foreigners could now own 100% of a company with some selected professional activities, as opposed to the previous maximum equity stake of 49% but it should be noted that there are some crucial emirate industries which are exempted from these changes.
FZ Business Consultancy – We help clients set up their business in UAE along with Business Support & Visa Services.
Onshore Business Setup in UAE.
Advantages of Mainland Company Setup
- Ability to trade internationally
- 100% corporate tax exemption
- No Currency restrictions
- No recruitment limitations
- Diverse business activities options
- Easy Business setup process
- No minimum capital requirement
- 100% repatriation of capital and profits
- Trade allowed with other mainland companies
- Allowed to open multiple branch offices
License offered at Mainland UAE
Commercial license is issued to a company engaged in trading activities. You can trade, import, and export products into, out of, and across the UAE with a commercial license.
Industrial license, issued to a company engaged in manufacturing activities. Many robust manufacturing industries can be found in Dubai and its neighboring emirates, which produce a diverse range of items. The following are some of the industries: Automobile components, Aviation, Food Packaging etc.
Professional license is usually issued to service providers. Accountancy firms, business consultants, IT services, technical services, salons, and other professionals and businesses in Dubai require a professional license
Free Zone Company
Free Zone Company is established under a certain emirate jurisdiction and is governed by its own Regulatory authority named as Free Zone regulatory authority. There are over 48 operational free zones in UAE. In contrast with mainland company, Free zone companies offer 100% foreign ownership and is 100% tax free. However, Free zone companies can only trade within the free zones area and outside UAE.
FZ Business Consultancy is a registered and authorized agent of the following free zones present across all emirates.
- Ajman Free Zone
- Ajman Media City Free Zone
- Sharjah Media City Free Zone
- Hamriyah Free Zone Authority
- SAIF Zone
- Dubai International Free Zone Authority
- Dubai Multi commodities Centre
- Dubai South
- Dubai Silicon Oasis
- ADGM
- Umm Al Quwain Free Zone
- Ras Al Khaimah Economic Zone
- Fujairah Free Zone
Business setup with FZ Business Consultancy
We have business setup professionals with years of experience who will work with you to a tailor- made company formation options that are straightforward, cost-effective, and suitable for your business. Furthermore, FZ can assist you in bank account opening and completing your license application without complicating it any further.
Contact us at FZ Business Consultancy FZE office or submit a business inquiry online.
Highly professional consultants who listen and understand clients demand. Would recommend their office for Company Set up, License renewal, Employee Visas, Family visas and Typing Services. They cater almost all Free zones and mainland zones in UAE.
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