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Where To Start Business In Dubai – Free zone or Mainland?

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If you are looking to start a business in Dubai one question is arising in your mind that where to start business in Dubai – Free zone or mainland? Entrepreneurs from across the globe have different aims and preferences when it comes to setting up a business in Dubai. It is always important to find the most relevant trade-friendly location in Dubai. This city is known as a hub, and the most common reason for this is the presence of different types of business opportunities for people with several preferences. Dubai offers different options to traders and among these options for setting up a business in mainland and free zones.

While starting a business in Dubai, you have to familiar with the concepts of mainland and free zone. The priorities can be subjected to the type of business entity, business activity performed by the company and your intended trading partner. Hence, to manage a business in the UAE, you must have comprehensive knowledge of these jurisdictions to make peculiar decisions.

Mainland Company Formation In Dubai

Mainland Company Formation In Dubai

A mainland company is a company enrolled in one of the UAE’s Department of Economic Development. It means that if you choose to start a business in the UAE mainland, you will require to register a business entity with the DED, which will then offer you a business license to begin doing business in UAE. Mainland companies can practice any commercial, industrial, professional trading, or tourism activity.

Mainland companies are known to be the most advanced business entities in Dubai, UAE. To open the mainland company, your business must meet the legal structure set by the government and requires to meet the Government policies. They must be placed within inadequate commercialized geographical regions that have been included under the jurisdiction of the Emirati Government.

Dubai mainland is the preferred destination for several traders for company setup. The reason for the status of Dubai mainland is the right to do business everywhere in Dubai and UAE. If you are looking for a mainland company setup and business setup in Dubai, then it is for sure you need trusted business consultancy services in Dubai.

Process Of Dubai Mainland Business Setup

• Determine your local services agents those are required for Local Liability Company (LLC) or Local business startup
• Get mane approved from the Department of Economic Development
• Make MOA with professional service agent and submit of DED along with license application
• Check location suitability, accessibility and cost
• Visa eligibility and requirements
• You require a registration specialist as a trusted business solution partner
• Do not prefer a business license without speculation

Benefits To Setup A Mainland Business In Dubai

• Release from corporate tax is provided to Mainland Company in Dubai
• There is zero percent minimum capital need for setting up a Mainland company
• Mainland companies can manage the business with other mainland companies in Dubai or UAE and have the freedom to do their business in any part of the UAE or beyond.
•, Unlike free zones businesses, Mainland companies have several options for managing business activities.

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Free Zone Company Formation In Dubai

Free Zone Company Formation In Dubai

Free zone companies in Dubai are attractive jurisdictions for entrepreneurs who wish to have 100 percent ownership of their businesses. The purpose of a free zone has been set up internationally as a model to improve and promote business in various countries. UAE free zones are giving 100 percent foreign ownership, zero tax, and customs rights to company owners. This makes these free zones in UAE the most convenient location in the Middle East for international operations.

A free zone company is an autonomous business entity with its own different set of laws and regulations. Each free zone is allowed to operate its activities inside the free zone outside the UAE. There are several free zones in Dubai, the common reason that foreign traders choose free zone enterprise to get complete ownership.

The primary difference between the mainland and the free zone is that the Free zone company cannot handle its operation in the non-free zone without the assistance of a local agent, while a mainland company smoothly runs its business entity.

Process Of Dubai Free Zone Business Setup

• Determine a business activity you want to carry out, as the type of license you apply for will depend upon the nature of the business activity.
• After determining business activity, the next step is to decide which free zone is right for you.
• Next, you need to ensure that your business name is available to be registered on the free zone authority portal.
• Collect all the required documents and apply for a license.
• Opening a corporate bank account, you have to again gather the documents to open a bank account.

Benefits To Setup Up A Business In Dubai Free Zone

• 100 percent ownership for traders, regardless of their nationality and country of origin
• 100 percent repatriation of capital and profits
• 100 percent tax exemptions on personal or corporate income or gains
• Exclusion from all import and export duties
• Flexibility to hold properties, participate in several activities and open a bank account in Dubai
• Versatility to engage in international business
• Help in housing amenities, staff visas, and other support services

Also read, Things To Know About When Start Business In UAE

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