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Company Formation
Company Formation

Dubai Mainland & Freezone Business Setup Process:

Setting up a business in Dubai Mainland through the Department of Economic Development (DED) involves several key steps. Whether you are looking to establish a Commercial, Professional, or Industrial enterprise, the process generally follows these steps:

  1. Select Business Type: Decide on the type of license that suits your business, whether it’s a Commercial License for trading, Professional License for services, or an Industrial License for manufacturing.
  2. Local Service Agents: Choose local service agents, a requirement for Local Liability Companies (LLCs) or local startups. These agents facilitate communication with local authorities and ensure compliance.
  3. Name Approval: Obtain approval for your business name from the DED. This step ensures that your chosen name complies with regulations and is available for registration.
  4. Memorandum of Association (MOA): Draft and sign the Memorandum of Association in collaboration with your local service agent. Submit the MOA along with the license application to the DED.
  5. License Application:  Submit the completed license application to the DED. This application includes details about your business activities, structure, and other relevant information.
  6. Consider Free Zones: For a speedy startup, 100% ownership, and potential tax exemptions, consider opting for a Free Zone license. Free Zones offer a more streamlined process but come with location restrictions.
  7. Location Assessment: Evaluate the suitability, accessibility, and cost of potential business locations. Ensure that the chosen location aligns with your business goals and target market.
  8. Visa Eligibility: Check the visa eligibility and requirements for yourself and any employees. Understanding the visa process is crucial for ensuring smooth operations and compliance with immigration regulations.

FAQs

Can I have 100% ownership of my business in Dubai Mainland?

A: Yes, by setting up in certain Free Zones or as a sole proprietor, you can achieve 100% ownership. However, in Dubai Mainland, a local service agent is typically required for LLCs.

What is the role of a local service agent?

A: A local service agent assists in liaising with government authorities, ensuring compliance, and facilitating communication. They do not have ownership stakes but play a crucial role in the setup process.

How long does it take to get a business license in Dubai Mainland?

A: The timeline varies, but it generally takes a few weeks to a couple of months. The process can be expedited in Free Zones, offering quicker startup times.

Are there specific restrictions on business activities in Dubai Mainland?

A: Yes, certain activities may require special approvals or have restrictions. It’s essential to check with the DED to ensure your planned business activities comply with regulations.

Can I operate my business from any location in Dubai Mainland?

A: The choice of location depends on your business type and activities. Some areas may have specific zoning regulations, so it’s crucial to assess location suitability and compliance.

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