The foundation of a Mainland company in Dubai is an attractive option for entrepreneurs seeking unrestricted access to the local market in the United Arab Emirates (UAE). Unlike a Freezone company, a Mainland company offers the opportunity to do business both within the UAE and internationally, without geographical restrictions. This article explains the costs and benefits of setting up a mainland company in Dubai with the support of Setupco Consultancy and the renowned management consultant Andreas Schmidt.
Table of contents
What is a mainland company?
A mainland company is a company that is integrated into the regular UAE market and can therefore do business throughout the country. While Freezone companies are only allowed to operate in their specific zone, Mainland companies can operate without restrictions in the Freezones as well as in the entire UAE market.
The main advantages of a Mainland company include:
- Full freedom of movementMainland companies can do business in the UAE and internationally without restrictions.
- Access to government contractsOnly Mainland companies are authorized to participate in tenders and contracts with the UAE government.
- Flexible business expansionMainland companies have the flexibility to expand their location or open new branches in the UAE.
- No limit on the number of visasUnlike Freezones, which limit a certain number of visas based on office size, Mainland companies have the freedom to apply for as many visas as they need, depending on the size of their office.
How much does it cost to set up a mainland company in Dubai?
The cost of setting up a mainland company in Dubai varies depending on the type of business, the license required and the number of employees. Setupco Consultancy, under the direction of Andreas Schmidtoffers customized solutions that are tailored to the individual needs of each entrepreneur. The most important cost factors are:
1. License costs
The license costs are a central component when setting up a Mainland company. The choice of license depends on the type of business activity. Common license types include:
- Trade licenseFor companies that import, export or sell goods within the UAE.
- Service licenseFor consulting companies, freelancers and service providers.
- Industrial licenseFor production plants and industrial companies.
The license costs for a mainland company in Dubai usually start at approx. 15,000 to 20,000 AED (approx. 3,750 to 5,000 EUR) per year, depending on the type of license and the area of activity.
2. Local sponsor or service agent
A major difference to the establishment of a freezone company is that in many cases a mainland company requires a local sponsor or a Service agent is required. Traditionally, a local sponsor had to own 51 % of the company shares. However, there are now many industries where 100 % of foreign ownership is permitted. In cases where a local sponsor is required, Setupco Consultancy can help find a trusted sponsor. The cost of the sponsor service starts at approx. 10,000 to 20,000 AED (approx. 2,500 to 5,000 EUR) per year.
3. Office and business premises rental
Unlike a Freezone company, Mainland companies are required to rent a physical office. The cost of office space varies greatly depending on location and size. A small office in Dubai can cost about 30,000 to 50,000 AED (approx. 7,500 to 12,500 EUR) per year. This represents a significant cost factor that entrepreneurs must take into account.
4. Visa costs
Mainland companies require visas for their investors, shareholders and employees. The cost of an investor visa is usually around 5,000 to 7,000 AED (approx. 1,250 to 1,750 EUR) per person. There are also the costs for employee visas, which vary depending on the number of employees. The larger the office, the more visas can be applied for.
5. Registration and formation costs
The one-off set-up costs for a mainland company in Dubai include company registration, regulatory approvals and administrative processing fees. These costs are usually approx. 10,000 to 15,000 AED (approx. 2,500 to 3,750 EUR).
6. Additional services from Setupco Consultancy
The services of Setupco Consultancy under the leadership of Andreas Schmidt include comprehensive advice and support throughout the entire start-up process. They not only help with choosing the right license, but also provide support in finding suitable office space, applying for visas and complying with all legal requirements.
Setupco's consulting fees start at approx. 7,000 AED (approx. 1,750 EUR) and include personal advice, document management and the complete handling of the foundation process.
Total costs for setting up a Mainland company
The total cost of setting up a mainland company in Dubai can range from 70,000 and 120,000 AED (approx. 17,500 to 30,000 EUR) are. These costs depend heavily on the license selected, the office requirements, the number of visas required and the additional services.
Why choose Andreas Schmidt and Setupco Consultancy?
Andreas Schmidt and his team at Setupco Consultancy are experts in the field of company formation in the UAE. With extensive experience and a broad network in the region, they support international entrepreneurs in successfully realizing their business ideas. They know the legal requirements and challenges of setting up a mainland company in Dubai and ensure that the entire process runs smoothly and efficiently.
Whether you are a Luxury watch businessa Jewelry trading company or a Car rental Andreas Schmidt offers customized advice and solutions to help you achieve your business goals. His in-depth understanding of local conditions and his connections to the relevant authorities ensure that your business is established quickly and with legal certainty.
Setting up a mainland company in Dubai offers entrepreneurs numerous advantages, in particular unrestricted access to the local market and the opportunity to participate in government projects. With the support of Setupco Consultancy and the expertise of Andreas Schmidt the process is transparent, efficient and tailored to your individual needs. The cost of setting up a Mainland company can vary depending on the specific requirements, but a budget of 17,500 to 30,000 EUR is a realistic estimate.
For detailed information and personal advice, please contact Setupco Consultancy available at any time.