What is more suitable for your business


Dubai presents business owners and new-age investors with various lucrative opportunities to find a home for their venture. Moreover, businesses of all types and sizes flourish in the UAE, empowering expatriates to proceed with their aspirants in the region. Once in Dubai, you need to choose where you want to set up your company.

It can be a mainland business setup in Dubai where you need to form an LLC with a local sponsor and enjoy easy access to the local market. On the other hand, you can also choose any of the free zone authorities to establish your company and enjoy 100% ownership of your business. The business experts at Shuraa make this choice easier for you by providing rich insights about both these options.

Business setup in the mainland region

Any company in the mainland region is an inland company that’s free of any legal geographic restrictions. A mainland business setup allows you to carry out your business activities in the local markets as well as outside the UAE. Furthermore, foreign investors must partner with a reliable local sponsor (who is a UAE national) who’ll have 51% shareholding in your company.

You can enjoy your freedom to trade within and outside the UAE for both commercial as well as professional licenses. The Department of Economic Development (DED) is responsible for business licensing and regulations for all the mainland companies. You can enjoy 100% operational ownership of your mainland business setup in Dubai by partnering with Shuraa. We become your sleeping or silent partners at a nominal annual fee and don’t intervene in your business activities.

Who should prefer a mainland business setup?

You should have a clear understanding of the ideal business location for your company, depending on the business activities and other requirements. Here are a few aspects you must consider:

Investors looking to acquire government contracts

The government projects in the UAE are secure, sustainable, and offer skill enhancement opportunities. Therefore, if you’re looking to explore the government sector, you should prefer a mainland business setup in Dubai.

Explore the local market

Is your target audience residing in Dubai’s local mainland region? Would you need access to other Emirates? What’s the ratio of your local and international consumer base? All these questions help you decide whether you should explore the local market or not. The mainland companies have hassle-free access to the local marketplace of Dubai.

Diverse business opportunities

The list of permissible business activities in the mainland region is another critical reason why you should opt for a mainland business setup in Dubai. You can pick and choose from the approved list and acquire any additional approvals if needed.

Benefits of launching your company in the Dubai mainland

Listed below are some of the key benefits associated with a mainland business setup in Dubai:

1. The mainland companies are free from any corporate taxes in Dubai. Moreover, there’s no minimum capital requirement too. All you need to pay is a mandatory VAT of 5%, which is also among the lowest in the world.

2. You can explore the lucrative government sector by setting up a mainland company. The UAE’s government continues to roll out several government consignments each year, and you can make most of this opportunity through your mainland establishment.

3. The mainland businesses don’t have to worry about any currency constraints in the UAE since they do not apply to them. Moreover, a mainland business setup in Dubai simplifies the visa acquisition process too. You can easily apply for multiple visas to ensure the safe stay of your family, relatives, domestic staff, and more.

4. You get access to the world-famous local market of Dubai and make most of the land’s booming economy. This also allows you to open the business of your choice since companies belonging to numerous sectors enjoy immense growth in the mainland.

Business setup in a free zone authority

A free trading zone has an independent jurisdiction that features a unique set of rules and regulations. It varies from one free zone to another, and it’s your choice to pick one from more than 40 free zones in the UAE. Furthermore, several specialized free zones cater to specific industries like the DIFC (Dubai International Financial Center) for financial firms and DMC (Dubai Media City) for media and mass communication.

A free zone business setup in Dubai is cost-effective and offers a healthy working environment where various businesses grow together. Your business can flourish in quick time if you select the ideal free zone. For that, all you need to do is get in touch with the business consultants at Shuraa, and they’ll help decide the best free zone for your business by listing down their advantages and limitations.

Who should prefer a free zone business setup?

Have a look at the aspects mentioned below for a free zone business setup in Dubai and analyze whether it’s the right for your business depending on your business model:

No mandatory shareholding

The biggest advantage with a free zone establishment is that you don’t need to mandatorily offer shareholding of your company to a local sponsor. Furthermore, you’re free to include business partners and decide individual ownership of the company among yourselves.

Low barrier to entry

Small businesses and startups don’t need to worry about hefty payments upfront when they opt for a free zone business setup in Dubai. The initial costs along with the overall business setup cost in free zones are a bit lower when compared to the Dubai mainland business setup cost.

Specialized infrastructure

The free trading zones offer pre-built offices, warehouses, etc., that match your business needs. You get multi-tiered data centers, advanced IT infrastructure, and hassle-free access to all the transportation facilities.

Benefits of launching your company in a free zone

Listed below are some of the key benefits associated with a free zone business setup in Dubai:

1. Be it a local businessman or a foreign investor – both can enjoy 100% business ownership through a free zone business setup in Dubai. The expats need a local service agent who’ll help with paperwork and company formation but won’t have any legal role in the business.

2. Since free zones have independent jurisdiction and cater to specific business industries, your confidential information is never unveiled to the general public. These independent laws also provide additional business assistance with regards to resources, labor, etc.

3. You can repatriate 100% of business profits under a free zone business setup in Dubai. Moreover, you get complete exemption from personal income tax and taxes on capital gains alongside minimal duties on import and export.

Shuraa – your business companion

Business location plays a critical role in determining your company’s performance in the UAE. If you don’t pick the right one from the start, you’ll have to bear several overhead expenses alongside other relocation costs. Therefore, you should partner with Shuraa Business Setup, and our legal advisors will take care of everything for you. Be it licensing, paperwork, banking, or anything else – we cover it all. Get in touch with us today!

Click here to book a free consultation with us or call us at +971 44081900. You can also reach out to us on WhatsApp by dropping a message on +971 50 777 5554. For email assistance, mail your query at info@Shuraa.com.

By admin

Writing and blogging is my passion. Providing meaningful information to readers is my object.