Types of Company Structures for Mainland business setup in UAE
Dubai being a strategic hub powering business and beyond offers several business structures to choose from -based on your operational needs, the number of shareholders, and the preferred ownership model. Below are the most common options for Business setup in mainland
Limited Liability Company (LLC)
A Limited Liability Company (LLC) is a popular structure for mainland company formation in Dubai and is ideal for business setup in mainland UAE, requiring 2 to 50 shareholders, each liable only for their capital investment. This structure allows flexible operations, enabling trade both within the UAE and internationally. Thanks to recent reforms, foreign investors can now hold 100% ownership in many sectors, making mainland company formation even more appealing.
Branch of a Foreign Company
A Branch of a Foreign Company allows a business outside the UAE to expand and operate in Dubai mainland, providing a seamless pathway for business setup in mainland UAE. Unlike a separate entity, the branch is an extension of the parent company and can conduct identical activities. Fully owned by the foreign company, it operates without restrictions, although the parent company assumes responsibility for any debts. This structure is an ideal choice for foreign businesses seeking mainland company formation in Dubai to establish their presence in the UAE market.
Solo Proprietorship
A Sole Proprietorship is owned and managed by a single individual, making it ideal for freelancers and consultants. The owner has full control but assumes unlimited liability, meaning personal assets are at risk if the business incurs debts. This structure is a straightforward option for mainland company formation in Dubai and a practical choice for business setup in mainland UAE.
Civil Company
A Civil Company is formed by professionals such as doctors and lawyers, allowing licensed partners to provide specialized services. However, partners hold unlimited liability, meaning they are personally responsible for the company’s debts. This structure is a popular choice for mainland company formation in Dubai and is well-suited for business setup in mainland UAE, especially within the service industries.