Dubai Mainland Company Formation Cost

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Dubai Mainland Company Formation Cost

Dubai Mainland Company Formation Cost: Updated 2025 Guide

Setting up a Mainland company in Dubai is one of the most rewarding steps for entrepreneurs who want to access both the UAE market and international trade opportunities. But before you begin, it’s important to understand the Dubai Mainland company formation cost and how it breaks down between government charges, legal requirements, and service provider fees.

With the right planning, you can avoid surprises and budget accurately for your business journey. Let’s explore the details step by step.

Government Fees for Dubai Mainland Company Formation

Government fees are mandatory costs that every investor must pay to the Dubai Department of Economy & Tourism (DET, formerly DED) and other authorities. These cover approvals, licenses, and registrations that give your business legal status in the UAE.

  • Trade Name Reservation – AED 660
    Your first step is reserving a unique trade name with the DET. This protects your business identity and ensures compliance with naming rules.
  • Initial Approval – AED 310
    DET charges a small fee for granting initial approval, confirming your chosen activity is allowed on the Mainland.
  • Commercial License – AED 10,000
    Every Mainland business requires a commercial license to operate legally. Costs vary depending on activity, but AED 10,000 is a common baseline.
  • Establishment Card – AED 2,000
    This is a crucial document for handling visas and immigration matters. Without it, you cannot open a corporate bank account or apply for employee visas.
  • Immigration Card – AED 1,100 per person
    Both investors and staff require an immigration card to live and work in Dubai legally.

Tip: These fees are fixed by government authorities and may change from time to time. Always confirm the latest costs before applying.

Mainland company formation cost

Service Provider Fees in Dubai Mainland

In addition to government charges, investors usually rely on professional business setup companies or legal advisors to handle documentation and approvals. These service provider fees can vary based on the complexity of your business activity and the level of support you need.

  • Legal Fees – AED 5,000 to AED 10,000
    Legal professionals help prepare your Memorandum of Association (MoA), Local Service Agent (LSA) agreement, and other essential paperwork.
  • Corporate Sponsorship – AED 10,000 to AED 15,000 per year
    Some business activities still require a UAE national sponsor who formally holds 51% of the company. With transparent contracts, you maintain full operational control while meeting local compliance rules.
  • Office Rent – AED 30,000 to AED 50,000 per year
    A physical office or Ejari is mandatory for Mainland companies. Costs depend on location, size, and facilities. Prime areas like Downtown Dubai or Business Bay are more expensive, while smaller offices outside the city center are more affordable.
  • PRO Services – AED 5,000 to AED 10,000
    PRO (Public Relations Officer) services cover visa applications, immigration approvals, and government liaison work. This saves time and ensures compliance with local laws.

Total Cost of Mainland Company Formation in Dubai

So, how much does it really cost to start a Mainland business in Dubai?

On average, investors spend between AED 40,000 and AED 100,000, depending on the scale of operations, number of visas, and size of office space. A small consultancy with one investor visa will sit at the lower end of this range, while larger firms with multiple staff and a bigger office will require a higher budget.

Mainland vs Free Zone Cost – Which Is Better?

Many entrepreneurs wonder whether a Mainland license is worth the higher cost compared to a Free Zone license. Here’s a quick comparison:

FeatureMainland CompanyFree Zone Company
Entry Cost~AED 18,000 – 25,000 (basic license)~AED 5,500 – 15,000 (starter packages)
Market ReachTrade across all of UAE + globallyTrade within free zone & internationally; mainland trade needs distributor
Visa AllocationUnlimited (based on office size)Limited (based on package)
Office RequirementPhysical office (Ejari) requiredFlexi-desk or shared office acceptable
CredibilityHigher acceptance with banks & govt tendersLimited to free zone contracts
Corporate Tax9% above AED 375,0000% on qualifying income (QFZP rules), 9% on non-qualifying

Choose Mainland if you want maximum scalability, government tenders, and UAE-wide presence. Choose Free Zone if you’re testing the market with limited staff.

Step-by-Step Process for Mainland Company Registration

The process of Mainland company setup may look complex, but with professional support, it can be completed in 1–3 weeks.

  1. Select Business Activity & Legal Structure
    Choose from over 3,000 activities and decide on the best legal form (LLC, Sole Establishment, Branch).
  2. Reserve Trade Name
    Register a unique trade name with the DET.
  3. Apply for Initial Approval
    Get official clearance to proceed with your chosen activity.
  4. Draft & Sign MoA/LSA
    Prepare your Memorandum of Association or Local Service Agent agreement.
  5. Lease Office & Register Ejari
    Secure an office space and register it with the Dubai Land Department.
  6. Final License Issuance
    Submit documents, pay fees, and receive your Mainland license.
  7. Apply for Visas & Establishment Card
    Begin the immigration process for investors and employees.

Documents Required for Dubai Mainland Setup

To streamline your Mainland company formation, you’ll need:

  • Passport copies of all shareholders and partners
  • UAE entry stamp or residence visa copies (if applicable)
  • Passport-sized photos
  • Proposed trade name options (2–3 choices)
  • Draft MoA/LSA agreement
  • Ejari (tenancy contract)
  • NOC from sponsor (for residents)
  • External approvals if activity is regulated (e.g., healthcare, education, food trading)

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FAQS

FAQs on Mainland Company Formation Cost

Our team of experts addresses common questions from people worldwide regarding company formation in the UAE.

Expect between AED 40,000 and AED 100,000, depending on activity, visas, and office size.

Yes, Mainland requires Ejari and usually higher overall costs, but it offers unrestricted trading and more credibility.

Most companies are established within 1–3 weeks if documents are ready.

Most activities allow 100% foreign ownership, but some regulated activities may still require a UAE national as a service agent.

Not if you work with a transparent consultancy. Always account for visas, office rent, and external approvals in addition to license fees.

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