The Department of Economic Development has designated Dubai Mainland as the zone for all commercial activities carried out by private businesses. Conducting business under particular jurisdiction allows convenient movement of vehicles and its geographical coverage includes prominent parts of the city. Thus, setting up a business in Dubai Mainland offers a proximity of all expediencies.
Choosing Dubai Mainland for business setup provides several advantages. Nevertheless, unlike any other jurisdiction, this too, has its own limitations. One of the major drawbacks is that in the mainland, the businessowner does not have the liberty of 100% ownership of the company. According one of the provisions under the UAE commercial law, all mainland commercial companies must have a local partner or sponsor who owns 51% of the shares. However, this partner is a silent partner and does not interfere in your finance or operations. Therefore, businessowners do not consider this a setback. Instead, they opine that this local connection serves as an advantage. The Emirati sponsor is often able to provide a better insight on the regional market. Furthermore, this collaboration helps companies acquire more investments for business.
Below are some of the advantages of Business Setup in Dubai Mainland:
Some aspects to bear in mind before setting up a business in Dubai Mainland:
In summation, it is not only the nominal procedure, a strategic location and some of the other benefits that make business setup in Dubai Mainland lucrative. Another basic factor for company formation in this jurisdiction is the need to get into a partnership with a UAE national. Most of the business owners have realised that having a local support is quite fruitful in terms of building their company’s recognition in the UAE market.
To know more about how to start a business in Dubai Mainland contact Business Setup now!
Shuraa Business Setup is a leading business setup consultancy offering customised solutions for A-Z business-related matters in Dubai as well as other parts of the UAE. For more information or to book a free consultation with a company formation expert, call Shuraa at +971 44081900 or WhatsApp on +971 50 7775554 for a call back.