Dubai Mainland Company Setup — Cost and Process (2026)

Dubai mainland is still the default. Despite the rise of free zones, mainland companies account for the majority of business activity in Dubai — and for good reason: no restrictions on trading within the UAE, the ability to bid on government contracts, and unrestricted office locations.

Since 2020, 100% foreign ownership has been available for most mainland activities, removing the historical requirement for a 51% UAE national partner. This change, combined with Dubai's streamlined digital licensing process through the Department of Economy and Tourism (DET), has made mainland setup faster and cheaper than ever.

But "cheaper" does not mean free. Between licensing fees, visa costs, office rent, and professional services, the total cost of setting up a mainland LLC in Dubai ranges from AED 25,000 to AED 80,000 depending on your activity, visa needs, and office choice. This guide breaks down every cost, walks through the process, and explains how to set up your accounting correctly from day one. For professional help, browse the FindCPA company formation directory.

What Is a Dubai Mainland Company?

A Dubai mainland company is a business licensed by the Dubai Department of Economy and Tourism (DET) that can operate anywhere in the UAE without geographic or trade restrictions. Unlike free zone entities, mainland companies can trade directly with the local market, bid on government contracts, and open offices anywhere in the emirate.

A mainland company operates under the jurisdiction of DET (formerly DED — Department of Economic Development). It is governed by Federal Decree-Law No. 32 of 2021 (the Commercial Companies Law) and registered in the commercial register maintained by the Ministry of Economy.

The most common mainland entity types:

The LLC is the default choice for most entrepreneurs. It provides limited liability protection, allows 100% foreign ownership for most activities, and is the simplest structure for obtaining visas and opening bank accounts.

Key advantage over free zones: No trade restrictions within the UAE. A free zone company generally cannot sell directly to customers in the UAE mainland without a distributor or service agent (though some free zones have dual licensing arrangements). A mainland company faces no such limitation.

What Are the Total Costs of Setting Up a Mainland LLC?

Total setup cost for a Dubai mainland LLC ranges from AED 25,000 to AED 80,000 in the first year, depending on activity type, number of visas, and office arrangement. Core licensing costs are AED 12,000-20,000. Visa costs add AED 5,000-7,500 per person. Office space ranges from AED 5,000 for a virtual office to AED 50,000+ for physical premises.

Here is the complete cost breakdown for 2026:

Hidden costs to plan for:

• Medical insurance (mandatory for visa holders): AED 1,500-5,000 per person annually
• WPS bank account setup: some banks require minimum deposits of AED 50,000-100,000
• Accounting software subscription: AED 1,200-5,000 annually
• VAT registration and first return: AED 2,000-5,000 if using an agent
• Annual license renewal: approximately 80% of the initial license cost

What Is the Step-by-Step Process?

The process involves 7 steps: choose your activity, reserve a trade name, get initial approval, draft the MOA, sign the lease, apply for the trade license, and set up your immigration establishment card. With all documents ready, the process takes 3 to 7 working days for the license and an additional 2 to 4 weeks for visas.

Here is the detailed process:

Step 1: Choose your business activity (Day 1).

DET maintains a list of over 2,000 licensed activities. Each activity determines your license category (commercial, professional, industrial, or tourism) and the fees charged. You can select multiple activities on a single license — but all must fall under the same category.

Common activities for service businesses: management consultancy, IT consultancy, marketing services, general trading, accounting and bookkeeping services.

Step 2: Reserve your trade name (Day 1).

Submit online via the DET Invest in Dubai portal. The name must be unique, not offensive, and comply with naming guidelines (no religious references, abbreviations must be spelled out). Reservation is valid for a limited period — typically 30 to 60 days.

Step 3: Get initial approval (Day 1-2).

DET reviews the application for regulatory compliance. Some activities require additional approvals from other authorities — for example, legal consultancy requires approval from the Legal Affairs Department, healthcare activities require DHA approval. Initial approval is typically same-day for straightforward activities.

Step 4: Draft and notarize the MOA (Day 2-5).

For LLCs, the Memorandum of Association sets out the company's shareholders, share distribution, capital, management structure, and operational rules. A legal consultant or PRO service drafts the document. It is then notarized at the Dubai Courts Notary Public.

For sole establishments, no MOA is required.

Step 5: Sign a lease and register with Ejari (Day 3-7).

Every mainland company needs a physical or virtual address registered with Ejari (Dubai's tenancy registration system). Options:

Step 6: Apply for the trade license (Day 5-7).

Submit all documents through the DET portal. Required documents:

• Initial approval certificate
• Notarized MOA (for LLCs)
• Ejari certificate
• Passport copies of all shareholders
• Entry stamp or UAE residence visa copies
• Photographs

License issuance is typically same-day once all documents are accepted.

Step 7: Set up immigration establishment card (Day 7-14).

Register with the General Directorate of Residency and Foreigners Affairs (GDRFA) to obtain your establishment card. This allows you to sponsor employee and investor visas. You will need:

• Trade license copy
• Ejari certificate
• Bank account confirmation (some cases)
• Immigration deposit (AED 3,000 per visa for limited guarantee companies)

What Documents Do You Need Before Starting?

For a mainland LLC, you need: passport copies of all shareholders, proof of address (home country), passport-sized photographs, proposed trade name, chosen business activities, MOA draft, Ejari-registered lease agreement, and — for regulated activities — additional authority approvals. Have everything translated and attested where required.

Document requirements vary by entity type and shareholder nationality. Here is the complete list for the most common scenario — a mainland LLC with foreign shareholders:

Attestation requirements. Some documents from outside the UAE need attestation from the UAE Embassy in the country of origin and then the UAE Ministry of Foreign Affairs (MOFA). This is common for power of attorney documents and some educational certificates required for professional licenses.

How Should You Set Up Accounting From Day One?

From day one, open a business bank account, subscribe to cloud accounting software, register for VAT if required, set up your chart of accounts following IFRS structure, and engage a bookkeeper. The cost of fixing bad accounting later always exceeds the cost of doing it right from the start.

Many new mainland companies treat accounting as an afterthought. They shove receipts in a drawer for six months and then panic when the VAT return is due or an auditor is required. This is the most expensive way to handle accounting.

Day 1-7: Open a business bank account.

Apply immediately after receiving your trade license. Banks require: trade license, MOA, passport copies, proof of address, and a business plan or description. Processing takes 2 to 6 weeks depending on the bank. Popular options for SMEs: Emirates NBD, RAKBANK (fastest onboarding), Mashreq Neo, and Wio Bank (digital-first).

Day 7-14: Set up accounting software.

Choose a cloud-based system: Xero, QuickBooks Online, Zoho Books, or FreshBooks. Configure it with:

• AED as primary currency
• Your chart of accounts mapped to IFRS line items
• Department or project tracking if relevant
• VAT rates (5% standard, 0% zero-rated, exempt)

Day 14-30: Register for VAT (if applicable).

Mandatory VAT registration is required if your taxable supplies exceed (or are expected to exceed) AED 375,000 in a 12-month period. Voluntary registration is available above AED 187,500. Register through the FTA's EmaraTax portal.

Day 14-30: Engage a bookkeeper or accountant.

For a new mainland company, monthly bookkeeping costs range from AED 1,000 to AED 3,000 depending on transaction volume. This includes bank reconciliation, expense categorization, VAT return preparation, and monthly financial statements.

Day 30-60: Register for corporate tax.

All mainland companies must register with the FTA for corporate tax. The registration deadline is based on your license issuance date — the FTA has published a schedule of deadlines by month of incorporation.

Essential accounting records to maintain from day one:

• All invoices issued (sales)
• All invoices received (purchases and expenses)
• Bank statements — download monthly
• Petty cash vouchers and receipts
• Employment contracts and payroll records
• Lease agreement and rent receipts
• Capital contribution records

For professional help setting up your accounting from incorporation, browse FindCPA's company formation specialists in Dubai.

What Are the Annual Compliance Requirements?

A Dubai mainland company must renew its trade license annually, file VAT returns quarterly (or monthly), file an annual corporate tax return within 9 months of the financial year-end, maintain IFRS-compliant books, and obtain an audit if revenue exceeds AED 50 million or if the MOA requires it.

Setup is a one-time cost. Compliance is forever. Here are the recurring obligations:

Economic Substance Regulations (ESR) apply to mainland companies that conduct relevant activities: banking, insurance, investment fund management, lease-finance, headquarters, shipping, holding company, intellectual property, or distribution and service centres. If none of these apply to your business, you still need to file the notification confirming that.

UBO (Ultimate Beneficial Owner) registration is required under Cabinet Resolution No. 58 of 2020. Mainland companies must disclose their ultimate beneficial owners to the licensing authority. Non-compliance can result in license suspension.

How Does 100% Foreign Ownership Work on the Mainland?

Since June 2021, foreign investors can own 100% of a mainland LLC for most commercial and professional activities. The requirement for a 51% UAE national partner has been removed for activities on the positive list maintained by DET. Some activities — particularly those involving real estate, oil and gas, and defense — still require local partnership.

The 100% foreign ownership reform was implemented through Federal Decree-Law No. 26 of 2020 (amending the Commercial Companies Law) and Cabinet Resolution No. 55 of 2021, which introduced the "positive list" of activities eligible for full foreign ownership.

What changed:

• Before: Foreign investors could own a maximum of 49% of a mainland LLC. A 51% UAE national partner (sponsor) was required.
• After: Foreign investors can own 100% of a mainland LLC for activities on the positive list — which covers over 1,000 activities.

What remains restricted:

Some strategic activities still require UAE national or GCC partnership. These include:

• Oil and gas exploration and production
• Defence and military equipment
• Some security services
• Banking and financial services (Central Bank regulated)
• Insurance (IA regulated)
• Some real estate activities

Practical implications for company setup:

• You do not need a local service agent or sponsor for most activities
• The MOA is simpler — no complex profit-sharing arrangements
• Full control over management decisions and dividend distribution
• Lower setup costs — no annual sponsor fee (previously AED 15,000-30,000)

For professional guidance on structuring your mainland company with full foreign ownership, find a specialist through FindCPA's directory. Also read our guides on company formation in UAE and sole establishment vs LLC.

Setting up in Dubai mainland? Find an accountant on FindCPA to handle formation and compliance. Find a Company Formation Specialist →

Frequently Asked Questions

How long does it take to set up a mainland company in Dubai?

The trade license itself can be issued in 3 to 5 working days if all documents are ready. However, the full process — including lease signing, MOA notarization, license issuance, immigration card, and first visa — typically takes 2 to 4 weeks. Bank account opening adds another 2 to 6 weeks. Plan for 6 to 8 weeks total from first step to fully operational.

Can I set up a mainland company without being in Dubai?

You can start the process remotely — trade name reservation and initial approval can be done online. However, the MOA must be signed in person at the Notary Public (or via an attested power of attorney). Visa processing also requires physical presence. Many entrepreneurs make a single trip of 5 to 7 days to handle all the in-person steps.

What is the minimum capital requirement for a Dubai mainland LLC?

There is no minimum capital requirement specified in the Commercial Companies Law for most LLC activities. However, banks may look at the stated capital when opening accounts and providing facilities. A nominal capital of AED 100,000 to AED 300,000 is standard for most service businesses, though it does not need to be deposited in full at incorporation.

Do I need an office to get a mainland trade license?

Yes. Every mainland trade license requires a registered address with an Ejari certificate. This can be a virtual office, flexi desk, serviced office, or traditional lease. The type of office affects the number of visas you can obtain — virtual offices typically support 1 to 3 visas, while physical spaces support more depending on square footage.

When should I register for VAT and corporate tax after setup?

Register for VAT immediately if you expect taxable supplies to exceed AED 375,000 within 12 months — the registration deadline is 30 days from exceeding (or expecting to exceed) the threshold. For corporate tax, the FTA has set specific deadlines based on your license issuance date. Companies with licenses issued in January or February 2024 had deadlines in mid-2025. Check the FTA website or consult a tax advisor for your specific deadline.

Keep Reading

• Company Formation in UAE — Complete Guide
• Sole Establishment vs LLC in UAE
• UAE Corporate Tax Guide
• Complete Guide to Company Formation Services in UAE