The UAE stands as a thriving business hub, attracting entrepreneurs of diverse backgrounds to establish their ventures within its borders. According to the 2023 Commercial Transactions Law, individuals must be at least 18 years old to initiate business endeavors in the country.
 

Embarking on the journey of setting up a business in the UAE mainland involves adhering to a series of steps outlined by the Ministry of Economy. These steps encompass obtaining necessary approvals, compiling essential documents, and following specific procedures.

Applying for business setup can be done conveniently through various channels. Entrepreneurs have the option to submit their applications online via the unified Basher platform or the respective economic department's website. Alternatively, they can opt for in-person application submissions at government service centers, Tasheel offices, legal service offices, On Time government service offices, or customer happiness centers of the emirate's Department of Economic Development.

As per the Ministry of Economy's guidelines, here's an overview of the steps involved in establishing your business in the UAE mainland.

Identify license type

Familiarize yourself with your business concept and define the specific economic activity it will engage in, along with its corresponding category. In the UAE, businesses are classified into six primary types of economic licenses:

• Occupational
• Tourism
• Industrial
• Commercial
• Agricultural
• Professional

Decide the legal structure

Assess your business requirements to select the most suitable structure. This decision is pivotal as it dictates the legal framework and compliance standards for your operations.

In the UAE, businesses can adopt various legal forms, including:

• Sole establishment
• Civil company
• Limited liability company
• Public joint stock company
• Private joint stock company
• Branch of a GCC company
• Branch of a local company
• Holding company
• Representative office of a foreign company

Register trade name

Ensure that the name of your business is distinct and does not resemble any existing company. To register your business name, visit the Department of Economic Development in your emirate. You can submit your application either online through a website or smart app, or in person.
 

When registering your trade name, adhere to the following conditions:
 

• Include an appropriate abbreviation of the company's legal structure as a suffix (e.g., LLC, PJSC).
• Ensure the name does not contain inappropriate or offensive language.
• Align the name with the nature of your business.
• Avoid using names of rulers, government agencies, or government body names and logos.
• Verify that no other company is registered under the same trade name.
• Obtain approvals from the Department of Economic Development and the Ministry of Economy for the name and trademark.
• Renew trade name certificates as required.

Initial approval and agreements

Before proceeding, secure the initial approval from the UAE Government in the form of a 'no objection' certificate, indicating consent for your business establishment within the country. This approval is pivotal for advancing subsequent steps in the business setup process and facilitates the application for necessary licenses.
 

It's important to note that while the 'no objection' certificate signifies governmental approval, it does not authorize immediate business operations.
 

Following the receipt of this certificate, draft either a Memorandum of Association (MOA) or a Local Service Agent Agreement (LSA), depending on the nature of your business:

• An MOA is mandatory for businesses categorized as:
  • Civil company
  • Limited liability company
  • Public shareholding company
  • Private shareholding company
• An LSA is requisite for sole proprietorships.

Additionally, be prepared to obtain further approvals from various government entities, contingent upon the type of economic activity involved.

Choose a location

Every business in the country necessitates a physical address conforming to the regulations stipulated by the relevant emirate's Department of Economic Development, as well as the directives and statutes of local municipalities and authorities.

In Dubai, registration of the tenancy contract for office or warehouse space must be carried out through the Dubai Land Department's Ejari portal.
 

Once the necessary paperwork is in order, proceed with document submission and fee payment to obtain your business license. Required documents typically include:

• Receipt of initial approval
• Copies of all previously submitted documents
• Copy of the attested lease contract
• Memorandum of Association (MOA), if applicable
• Approvals from other pertinent government entities, if required

Upon completion of the submission process and payment of fees, retrieve your business license from designated service centers or via the website.
 

Register with Chamber of Commerce and Industry

Concluding the setup process, registration with the Chamber of Commerce and Industry becomes imperative. Each emirate boasts its own chamber, and registration should be completed within the same emirate where your company is located.

These steps delineate the procedure for establishing a business in the UAE mainland. Should you opt to set up your business in a UAE free zone, a distinct process is in place.