Hi, I'm Alejandro from Peru. I'm planning to register a trading company in Dubai Mainland. Before I proceed, could you share some of the most important facts about the trading industry and how a mainland company benefits this type of business?
Hi Alejandro,
Dubai Mainland remains one of the most preferred destinations for trading businesses because it gives companies direct access to the UAE market while also serving as a gateway to international trade. If your business involves importing, exporting, wholesale, or retail distribution, a mainland setup offers significantly more flexibility than many other business structures.
Here are some of the key facts every entrepreneur should know.
1. Full Foreign Ownership
Today, most commercial trading activities allow 100% foreign ownership, meaning overseas investors can establish and operate their businesses without requiring a local majority shareholder.
2. Direct Access to the UAE Market
One of the biggest advantages of a mainland trading company is unrestricted market access. Unlike many free zone companies, a mainland business can sell products directly to customers and businesses throughout the UAE while also trading internationally.
3. Eligibility for Government Projects
Mainland companies are eligible to participate in government tenders and public procurement opportunities, making them an attractive option for businesses planning long-term expansion.
4. Wide Range of Commercial Activities
A mainland commercial licence issued by the Dubai Department of Economy and Tourism (DET) can cover activities such as:
- Import and export
- General trading
- Wholesale distribution
- Retail trading
- Product-specific commercial activities
Choosing the correct activity during registration is important because it determines your regulatory requirements and future business flexibility.
5. Physical Office Requirement
Every mainland trading company must maintain a registered commercial office supported by a valid Ejari tenancy contract. Your office size can also influence the number of residence visas your company is eligible to sponsor.
6. Corporate Tax Framework
Businesses benefit from the UAE's competitive tax environment:
- 0% corporate tax on taxable profits up to AED 375,000.
- 9% corporate tax on taxable profits exceeding AED 375,000, in accordance with current UAE corporate tax regulations.
7. Free Movement of Capital
The UAE does not impose foreign exchange controls, allowing businesses to repatriate capital and profits overseas without currency restrictions, which is particularly valuable for international trading companies.
If your goal is to build a business that imports, exports, distributes products across the UAE, or supplies both private and government customers, a Dubai Mainland trading company provides one of the strongest platforms for long-term growth. Before applying, spend time selecting the right commercial activities, as they influence licensing, banking, customs procedures, and future expansion opportunities.