Business Setup In Sharjah Mainland

Growing Economy

Sharjah is a booming economy and a top destination for foreign investors including many from India. Sharjah Mainland is ideal for Indian entrepreneurs as the government has pro business policies, full foreign ownership allowed in many sectors, strategic location, strong market connectivity, affordable lifestyle and multiple investor benefits.

Strategic Location

One of the biggest advantages of Sharjah is that it has an international airport. It is also well connected to seaports on both the west and east coast of the Arabian Gulf. Its strategic location gives direct access to North Africa and the Indian Ocean, huge trade opportunities for Indian exporters and businesses.

Business Setup

Business setup in Sharjah Mainland is regulated by Sharjah Department of Economic Development (DED) which has a wide range of approved activities. While the mainland allows many types of businesses, it is famous for industrial zones. For complete guidance on industrial or commercial licenses, Indian investors can contact Flyingcolour Business Setup Services.

Benefits of Business Setup in Sharjah Mainland

Tax Benefits

Sharjah Mainland offers exclusive tax benefits to foreign investors. Businesses with annual profits below AED 375,000* are tax free, perfect for Indian entrepreneurs to increase profits and re-invest in growth. This competitive tax policy supports SME formation and startup growth in the region.

Legal structure

Sharjah mainland companies must comply with UAE laws, ensuring clarity and protection for foreign investors. DED governs licensing and commercial activities, making company registration process smooth and transparent. This is a safe environment for Indian business owners to enter the UAE market.

Business-friendly landscape

Sharjah has pro-investment policies, making it easy for NRIs and Indian companies to start business. Efficient company formation process and low operational costs makes it ideal for startups and established companies. Business setup consultants like Flyingcolour® help Indian investors to navigate the regulatory process smoothly.

Strategic location

Located between Dubai and Northern Emirates, Sharjah mainland gives Indian investors direct access to seaports, airports and GCC markets. Its location strengthens trade connectivity with India, Africa and the Middle East. Import-export businesses, logistics companies and SMEs benefit a lot from this location.

Cultural consideration

Indian entrepreneurs benefit from Sharjah’s multicultural environment which respects diversity and promotes collaboration. Understanding local customs and Islamic business practices helps in building partnerships and trust. Building relationships with Emirati sponsors and joining regional business networks helps in long term success.

Types of Legal Structure in Sharjah Mainland

Limited Liability Company An LLC in Sharjah can be formed with 2 to 50 shareholders. Each shareholder’s liability is limited to his share in the capital. Since June 2021, Indian investors can have 100% foreign ownership in Sharjah LLCs without the need of a UAE national as a 51% local sponsor. This has opened up easier business setup in the mainland for Indian startups and SMEs.

Partnership Company A Partnership Company is another option for business setup in Sharjah Mainland. It requires at least 2 partners and all must be UAE nationals. This is not available for foreign or Indian investors. The partners are jointly liable to the extent of their ownership in the company. It is used for specific professional or local trading businesses.

Local service agent/Sole proprietorship This structure allows an individual to run a business in his own name. However, if the owner is not a UAE or GCC national — like most Indian entrepreneurs — he must appoint a local service agent. The agent does not own equity or interfere in business operations but is required for legal formalities like license processing.

Public/Private Shareholder Company In a Shareholding Company, the capital is divided into equal tradable shares. Liability is limited to the value of shares held. While Public Joint Stock Companies follow UAE corporate laws, private shareholding companies offer more flexibility. Founders are individuals who sign the Memorandum and Articles of Association. This is ideal for large scale investments and expanding Indian businesses.

Dubai marinasectors

Types of Business Licenses in Sharjah Mainland

Industrial License

An Industrial License is required for investors who want to set up manufacturing or industrial activities in Sharjah Mainland. This license is for sectors like food processing, textile manufacturing, metal fabrication and oil & gas related production. Indian industrialists and exporters prefer this license to scale up their manufacturing units in the UAE.

Commercial License

A Commercial License is required for businesses involved in buying and selling of goods including trading, logistics and e-commerce. This license allows wholesale and retail trading, import and export, warehousing, distribution and product storage. Many Indian traders in FMCG, electronics and construction materials apply for this license to expand their business in Sharjah’s trade hub.

Professional License

A Professional License is issued to individuals or companies offering professional or skilled services. It’s best for consultants, IT professionals, educators, medical practitioners and creatives. Indian entrepreneurs offering accounting, legal or marketing services benefit from this license which allows 100% foreign ownership in most cases.

Documents Required for Company Registration in Sharjah

Board resolution for international companies

Lease agreement

Feasibility report of the project

Application for business registration in Sharjah

A copy of the business plan

Power of Attorney

Bank reference letters, if applicable

Duly confirmed & notarized MoA and Articles of Association (AOA)

Passport copies of all partners and managers

Steps for Setup Your Company in Sharjah Mainland

1

State the type of business—trading, manufacturing, consultancy, etc.—as per Sharjah DED approved list.

2

Required for some business types or structures (mostly for sole proprietorships or professional licenses).

3

Decide on the business entity—LLC, sole proprietorship, public joint stock company—based on your ownership preference.

4

Choose a unique trade name that meets Sharjah DED guidelines and register it.

5

Prepare the Memorandum of Association as per your business structure and get it notarized.

6

Get preliminary approval for your business activity before moving to final licensing steps.

7

Apply for clearance from specific ministries or departments (health, education, media, etc.) depending on your activity.

8

Get and validate an Ejari-registered tenancy agreement for your office or business premises.

9

Apply to recruit employees under your company from the UAE Ministry of Labour.

10

Compile and submit MoA, lease, passports, approvals and other required documents to DED.

11

Pay license issuance cost, registration fee and visa processing fee if applicable.

12

Receive your Sharjah Mainland trade license and start your business legally.

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Starting a business in the UAE , especially for Indian entrepreneurs, can be daunting without the right guidance. At Flyingcolour we simplify the whole process from choosing the right business license to company registration and visa support. Talk to our expert consultants for a free consultation and start your UAE business journey today!