Mainland Company Formation in Dubai without Local Sponsor

Dubai is a strategic location with a plethora of options for entrepreneurs and investors to establish and grow enterprises. In the last few decades, UAE has expanded its economy to provide worldwide business opportunities in a variety of sectors. The government is incredibly adaptable, and it continues to expand the number of opportunities that are available to new, established, and growing businesses.

Free-zone, off-shore, and mainland are three main jurisdictions in the UAE that offer business prospects to enterprises. A free zone company is one that is formed within the emirate’s defined jurisdiction and is permitted to conduct business within the same free zone. An offshore company is one that is incorporated in one territory but has its parent organization in another.

Mainland, also known as an onshore company, is authorized by the Department of Economic Development (DED) of the relevant emirate. It is allowed to operate freely in the local market as well as outside the UAE. For many entrepreneurs, establishing a Mainland Company in the UAE is an appealing prospect. The following are the main benefits for business enterprises under a Mainland license:

  • Easy and quick registration process.
  • No minimum capital is required for forming a business.
  • Capacity to operate in both the private and public sectors.
  • Flexibility to open offices and conduct business anywhere in the United Arab Emirates.
  • The ability to diversify their company into new industries.
  • Relief from corporate and income tax.

In order to set up a business on the Dubai mainland, you must first obtain the required license. Commercial, industrial, professionals, and tourism are four categories under which licenses are issued.

Mainland Company Formation without Local Sponsor

When it comes to starting a local business in the UAE, there are some specific restrictions that apply to foreign nationals. Aspiring entrepreneurs can open a firm on the Dubai mainland using a variety of legal frameworks, including a Limited Liability Company or a Partnership Company.

The majority of UAE emirates have created specifically designed free zones for new businesses. Dubai, like many other cities, has its own set of free trade zones. These are one-of-a-kind, self-contained business environments in the UAE that allow international companies 100% ownership.

To set up a business in a free trade zone (FTZ), there is absolutely no necessity for a local sponsor. However, businesses established in free zones are unable to trade within their local marketplaces. On the other hand, these FTZs provide 100 percent profit repatriation as well as a number of exemptions and refunds.

Potential firms can achieve this by establishing a civil or professional services business in Dubai Mainland. Professional Services Licenses can be obtained for prospective business entities via company incorporation advisors in Dubai.

Professional Services License

Obtaining a professional license is the sole option for expats and foreigners to possess a 100 percent share in the business in Dubai Mainland. Engineers, lawyers, doctors, accountants, and consultants are just a few examples of professionals who work in this type of environment. There are, however, some prerequisites that must be followed:

  • Individuals, or individual partners in partnership firms, should engage in the same professional practice.
  • Professional licensees in Dubai Mainland are only allowed to engage in professional/consultancy activities.
  • Individuals and partners must possess the necessary professional qualifications.

To execute the legal formalities, however, it is necessary to appoint a UAE national as a local service representative. Except for obtaining a predetermined annual fee for the service provided, the agent has no active role in the company. They will have no stock and will not be responsible for the company’s liabilities. The representative or agent will open a dialogue, register official papers with several government authorities, and act as an intermediary between your firm and many Dubai legal entities.

When filing for a professional license, the first and most important stage is to create a detailed overview of the operations carried out in your firm. The next step is to hire a local service representative to handle all of the legal paperwork required to acquire a professional license in Dubai. Obtain first clearance from the DED following the appointment. Besides, you must secure a business name and then present all required documentation to the DED for authorization.

Advantages of Professional Trade License

There are numerous advantages of owning a professional trade license in the UAE.

  • 100 percent foreign ownership
  • Secure commercial deals with DED.
  • You can apply for labour quotas, visas, licenses, and much more.
  • You can choose from a variety of professional services.
  • License renewal is done at an affordable cost.
  • No corporate or income tax.
  • Engage with several clients and markets.

How can Bin Eid Advocates assist you in Mainland Company Formation?

We provide the finest features and speed up the process of forming a Mainland Company in the UAE. Our service includes the whole range of procedures needed to establish a Mainland company. Our connections with UAE ministries and government agencies enable us to acquire quick government clearances for our clients.

We assist clients in establishing professional businesses. Our team of expert consultants will help you obtain the required license and assist you with all legal and judicial formalities as per UAE laws.

Summing up

Dubai is an ideal location for any businessman to establish a firm due to its excellent tax system.

However, in order to start a business in Dubai, you must have a legal license. A professional license is given to an individual or a business to practice any profession that requires skills and intelligence.

Unlike commercial and industrial licenses, a professional license permits foreign investors to own 100 percent of the company, giving them the benefits of a sole proprietorship. Due to the numerous business benefits provided by the UAE free zones, the professional license is always in high demand amongst investors. Therefore, if you want to start a service-based business in Dubai, you’ll need a legal professional license.

Feel free to contact us at any time for assistance with UAE free zone company licenses, mainland business establishments, or license renewals in the UAE.

Disclaimer: This is to inform you that Bin Eid Advocates & Legal Consultants is our registered trademark name, and is our only official website. If someone contacts you with our name (Bin Eid Advocates & Legal Consultants), please confirm the genuinity through Phone Call, Email, WhatsApp or by visiting our Office. You can email us at, WhatsApp to +971 54 562 7999 or visit for complete contact details. If you go ahead without due diligence, we won’t be responsible for your monetary loss. We also take strict actions against fraudsters who misguide people using our brand name.