Dubai Mainland License Explained: What It Is and Who Needs It?
The Dubai Mainland is an extremely fertile ground for enterprise for expats and Nationals alike due to its business-friendly legislation. Overflowing with companies of various forms and sizes, there has hardly been a better time to start a business here.
Part of the mandatory requirements to start one, however, is to obtain a Dubai Mainland License. Today, we will be discussing all there is to know about this license. Stay tuned!
What is a Dubai Mainland License?
A Dubai Mainland license, administered by the Department of Economic Development (DED), allows businesses to operate within the broader Dubai region, including the ability to trade with other companies both inside and outside the UAE.
The companies registered are under the authority of the Emirates, granting them more freedom in their functions compared to free-zone companies.
Benefits of Setting Up with a Mainland License
- Unrestricted Access to Markets: With a Dubai Mainland license, companies can conduct business freely across the Emirates. This is in contrast to Free Zone entities, which are confined to their zones.
- Government Projects and Contracts: Mainland-licensed companies are eligible to engage with government and semi-government entities, which can greatly enhance revenue and status for the businesses involved.
- Broader Business Activity Scope: Setups in the mainland often allow a wide array of business types from commercial to professional services, and adapt quickly to market demand.
- Visa Advantages: Mainland companies can sponsor visas for many employees. The number usually increases with your office space, offering flexibility for growth.
- Financial and Currency Flexibility: Mainland companies usually don’t face restrictions on currency exchanges or international capital transfers, easing trade operations. Also, they operate under a stable regulatory framework, benefiting from a clear legitimate structure.
Who Needs a Mainland License in Dubai?
Both Mainland and Free zone company establishment have their significant advantages. So the question of who needs a mainland license is an important one. To help with the decision, here is a breakdown of businesses that require a mainland license:
- Retail, Hospitality & Client-Facing Businesses: If your business involves operating from a physical storefront, such as a shop, salon, clinic, or restaurant, a mainland license is required. This ensures you can rent or own property in non–free zone areas like Sheikh Zayed Road, Deira, or Business Bay, and legally serve local customers.
- Businesses Serving UAE Clients Across the Emirates: Businesses aiming to serve mainland-based clients need a mainland license. Free zone entities are typically restricted to operating within their zones or internationally unless they secure special approvals or a local distributor.
- Logistics, Construction, Real Estate & Manufacturing: Industries involving on-the-ground operations like logistics (warehousing and delivery), construction, real estate brokerage, manufacturing, and sourcing, require mainland licensing for legitimate compliance.
- Businesses Pursuing Government Contracts or Tenders: Mainland-licensed companies are the only ones eligible to bid on government and public sector projects in Dubai, or engage with the authorities on formal agreements.
- E-commerce & Fulfillment Operations: If you’re based in a free zone but want to conduct local warehousing, offer same-day delivery, or handle direct-to-consumer logistics in mainland Dubai, a mainland license is necessary. This is often in combination with your free zone setup, and is known as dual licensing.
Why Choose FVR for Your Dubai Mainland License?
FVR provides expert, bespoke solutions for Mainland business registration and Licensing. With a free consultation, we can help you identify what type of license your business needs. Afterwards, we take charge of your application.
We offer:
- Free Consultation: Your first meeting with FVR is completely free!
- Quick License delivery: We make it possible to obtain your Mainland License within 5 business days pending approvals.
- Expert Bespoke solutions: We provide guidance on the specific License your business needs.
- Full End-to-End support: We take full charge of the process of registration, licensing and delivery.
Now that you understand what a Mainland License is, take the next step and contact us to help you register your business and obtain your license.
Frequently Asked Questions (FAQs)
1: How is a Mainland License different from a Free Zone License?
A: With a Mainland License, you are free to trade anywhere across the UAE and internationally, but free zone licenses are usually restricted to a free zone.
2: Do I need an office space for a Mainland License?
A: Yes, having a physical office space is a mandatory requirement for obtaining a Mainland License.
3: What is the cost of obtaining a Mainland License?
A: This varies depending on license type but can be anywhere from AED 15,000 to AED 50,000.
4: How long does it take to get a Mainland License in Dubai?
A: This can take anywhere from 5 to 10 business days.
5: Do I need a local sponsor for a Mainland License?
A: No! 100% foreign ownership is possible for most Mainland companies, removing the need for a local sponsor.