USA TO DUBAI · MAINLAND COMPANY

Dubai Mainland Company Setup from the USA

Starting a business in Dubai from the United States is more accessible than many American businessmen may realise. A company in the form of a Dubai mainland company can provide an entrepreneur with a constant flow of clients from the territory of the United Arab Emirates, the ability to use the most convenient office, and 100% of foreign ownership over the majority of activities.

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For an American businessman, it is essential to choose the appropriate activity, legal form, and licensing, office organisation, and other nuances at the stage of preparation and application. The licensing process of the mainland company in Dubai falls under the jurisdiction of the Department of Economy and Tourism of Dubai (DET). In parallel, other regulatory bodies may be involved if the activity of the company is subject to specific regulations.

Flyingcolour Business setup provides assistance to USA businessmen in laying the foundation for doing business in the UAE, as well as subsequent accounting, tax, and compliance audits. In addition, they offer services in obtaining a mainland license and PRO services, bank account opening, visa, accounting, VAT, taxation, and other services.

01 / YOUR GUIDE

Can a US Citizen Own a Business in Dubai?

Yes, a business in Dubai can be owned by a US citizen, and the United Arab Emirates allows 100% foreign ownership for most of economic activities. However, some specific activities with strategic impact may have particular requirements or need approval from specific authorities. For related requirements, explore our UAE mainland business setup.

The UAE Ministry of Economy and Tourism highlights that most economic activities are open for 100% foreign ownership, but there are several strategic-impact activities that may have additional requirements. These are typically connected to national security interests and include defence and security, banking and finance, telecommunications, pilgrimage services, and certain fisheries-related activities.

This means that an American entrepreneur is not obliged to have a UAE shareholder just because the company is based on the mainland.

The exact ownership position depends on the specific activity as well as the legal form of the company. That is why checking the activity is one of the first and most important steps before registering the company.

02 / YOUR GUIDE

What Is Dubai Mainland Company Formation?

A Dubai mainland company refers to a business entity that is not established within a specific free zone under a special licensing regime, but rather is formed under general laws to do business in the UAE mainland.

Dubai mainland companies are formed by the Department of Economy and Tourism (DET) upon approval from other relevant government entities, if required. DET has the authority to provide licensing services for mainland companies.

For a US entrepreneur, forming a mainland company can be appropriate where he/she intends to do business on the mainland directly, for example: dealing directly with clients located in Dubai or elsewhere in the UAE

It can also offer more flexibility in terms of location and method of operation depending upon the activity, licence and premises requirements applicable to the business.

Why Do US Entrepreneurs Consider Dubai Mainland?

Dubai has a well-developed business environment, connecting corporations with the Middle East and international markets. Dubai Chambers describes the emirate as a global business hub with international networks, infrastructure, and a diversified business ecosystem.

A mainland structure may be appropriate for American businessmen with companies such as:

Consultancy
Technology and software
General trading
E-commerce
Marketing and advertising
Professional services
Management services
Real estate-related activities, where permitted
Import and distribution
Manufacturing and industrial activity

The license and approvals will depend on the actual activity rather than the description of the business.

03 / YOUR GUIDE

How to Open a Business in Dubai from the US

The basic process is: select your activity, choose the legal structure, reserve a trade name, apply for initial approval, arrange premises, obtain additional approvals (if any) and receive the business licence.

Dubai's official business ecosystem recognises mainland, free zone and offshore structures, depending on the activity and objectives of the company.

Step 1: Select Your Business Activity

Your first decision is the business activity.

For example, a technology consultancy and a food trading company will not necessarily require the same licence or approvals.

Selecting a precise activity will also determine the appropriate legal form, documentation and approvals.

Step 2: Choose the Legal Structure

Your legal structure should reflect the ownership, activity and operational needs of the business.

Depending on the nature of the activity, this can be in the form of an LLC, sole establishment, branch or other forms permitted in Dubai.

The legal structure can also impact liability, documentation and ongoing operations.

Step 3: Reserve the Trade Name

With your structure and activity selected, the proposed name of the business can be submitted according to Dubai's trade name rules.

The name must comply with applicable UAE rules and should not conflict with any existing names or keywords.

Step 4: Apply for Initial Approval

The relevant application and documents are submitted to the appropriate authority.

Note that initial approval does not always entail all approvals have been received, as some activities require additional approvals from specific government agencies.

Step 5: Arrange Business Premises

Depending on the nature of the activity and required licences, a mainland business may require suitable premises.

The type and size of premises can also impact the overall cost and number of employee/investor visa quotas applicable to the business.

Step 6: Obtain Additional Approvals

Certain sectors have additional requirements.

For example, businesses operating in professional, healthcare, education, financial, tourism, food or other specialised sectors may require approvals from the relevant authorities.

Step 7: Receive the Mainland Business Licence

Having completed the necessary approvals and documentation, the business licence can be issued.

At this point, the company can proceed with meeting operational requirements such as immigration registration, visas, bank account and tax registrations (where applicable).

Dubai Chambers also outlines the process as including selecting a jurisdiction, legal structure, office space, submitting documents to DET or the relevant free zone authority and visa processing.

04 / YOUR GUIDE

What Documents Are Required to Start a Business in Dubai?

US entrepreneurs typically require identification and corporation documents, although specific documentation requirements are determined by a company's business activity, legal structure and shareholder profile.

Commonly required documents may include:
Passport copy of shareholders
Passport-size photographs where required
Proposed trade name
Details of business activity
Application forms
Memorandum or constitutional documents, where applicable
Proof of address or supporting information where requested
Corporate documents for a shareholder that is an existing company
Board resolution or authorisation documents where applicable
Business plan or additional documents for certain activities
Professional qualifications for selected professional activities
External approvals for regulated activities

A US company investing in or establishing a UAE entity may require additional corporate documents, authentication, notarization or legalisation depending on the structure.

The safest approach is to obtain a document checklist after the activity and ownership structure have been confirmed rather than using a generic list.

05 / YOUR GUIDE

Dubai Mainland Company Formation Cost

There is no official Dubai mainland formation cost for all types of US entrepreneurs. Its actual value depends on a company’s licence, activity, legal structure, office location, visas, government fees and other approvals. Verify the applicable requirements through official Invest in Dubai business setup guidance.

For instance, a small professional services company could have nothing in common with a trading enterprise due to bigger premises and more visas needed.

The company formation costs might include the following:

Trade name and registration fees
Approval and licence costs
Government and administrative expenses
Premises or office
Lease-related expenses
Visa costs for investors and employees
Emirates ID, medical processing
External approvals, if any
Banking-related expenses
Accounting and tax services
Renewal of a licence
Other costs depending on an activity

Flyingcolour advises that its company formation costs for the main land are calculated based on several criteria, including activity, location, visas and office rather than a fixed rate.

Important: Be cautious with advertisements promising that every Dubai mainland company can be established for one identical price. The cheapest headline package may not include office space, visas, government charges or required approvals.

06 / YOUR GUIDE

UAE Mainland Business License for US Citizens

US citizens are eligible to apply for a UAE mainland business licence if their proposed activity and structure meet the required criteria.

The category of the licence reflects a general scope of the business nature.

Commercial Licence

A commercial licence is suitable for businesses engaged in trading and commercial activities.

Activities might include certain wholesale, retail, import, export and distribution activities.

Professional Licence

Professional activities include a variety of consultancy and service businesses, depending on the applicable legal form and licensing requirements.

This might apply to American consultants, technology experts, marketing companies and other professional services.

Industrial Licence

Businesses engaged in manufacturing or industrial activities usually require an industrial licence and additional approvals.

Such businesses often have more rigorous requirements related to the premises, equipment, environmental and other technical aspects.

Specialised Licences and Approvals

Some activities require special approvals or licenses.

Thus, US entrepreneurs should not base their choice of a licence on the name of the category. Instead, they should carefully consider the actual nature of their intended business activity.

07 / YOUR GUIDE

100% Foreign Ownership in Dubai Mainland

100% foreign ownership is permitted for the majority of economic activities in the UAE, including numerous mainland businesses.

According to the UAE Ministry of Economy and Tourism, the majority of activities are available to 100% foreign ownership, with strategic impact activities subject to specific licensing and regulatory requirements.

This is a significant departure from the previous UAE mainland ownership laws.

As noted in the legislative overview by the Ministry, activities amended in 2020 permit 100% foreign ownership, with Federal Decree-Law No. 32 of 2021 on Commercial Companies replacing the 2015 law.

In essence, a US investor should consider that a local partner is not necessarily required but should also acknowledge that not all activities have the same ownership requirements.

08 / YOUR GUIDE

Dubai Mainland vs Free Zone Company

The main difference is the operating model and market access, not simply ownership. Both mainland and free zone structures can offer 100% foreign ownership in applicable circumstances.

Factor	Dubai Mainland	Dubai Free Zone
Foreign ownership	100% available for most activities	100% generally available
Licensing authority	Dubai DET	Relevant free zone authority
UAE mainland market	Designed for mainland operations	Rules depend on activity and current regulations
Office options	Subject to activity and requirements	Depends on free zone
Business location	Mainland Dubai	Specific free zone
Activities	Broad range, subject to approvals	Depends on free zone
Visas	Available subject to requirements	Available subject to requirements
Best structure	Businesses needing mainland presence	Businesses suited to a particular free zone

Free zones operate under the regulations of their respective authorities. The UAE Ministry of Economy and Tourism confirms that free zones can offer up to 100% foreign ownership, while the applicable rules depend on the relevant free zone.

Dubai has also introduced a Free Zone Mainland Operating Permit framework, announced in October 2025, allowing eligible free zone companies to operate in Dubai's mainland through a structured permit system.

That makes the mainland-versus-free-zone decision more nuanced than it used to be.

09 / YOUR GUIDE

What Are the Tax Considerations for a US-Owned Dubai Company?

A Dubai company is not necessarily tax-free. US entrepreneurs should consider UAE Corporate Tax, VAT and their US tax obligations separately. For related requirements, explore our UAE corporate bank account opening.

The UAE Corporate Tax regime applies to financial years opening on or after 1 June 2023. The standard UAE Corporate Tax rate is 9% on taxable income exceeding AED 375,000, with taxable income of AED 375,000 and below subject to 0% rate under the decision.

This does not necessarily mean that every company will be liable to pay 9% of its revenue as Corporate Tax.

Corporate Tax is levied on taxable income under UAE tax rules, with certain exemptions, reliefs and special regimes applying depending on the taxpayer and nature of transactions.

What About VAT?

The UAE's standard VAT rate is 5%, with rules applying depending on the nature of supplies and imports.

For UAE-resident businesses, mandatory VAT registration applies where taxable supplies and imports exceed AED 375,000 in the previous 12 months or are expected to exceed AED 375,000 in the next 30 days, and a voluntary registration threshold of AED 187,500 applies.

US owners should also consult with a qualified US tax professional on the UAE structure as forming a foreign company does not automatically relieve them of their US reporting or tax obligations.

10 / YOUR GUIDE

Can You Set Up a Dubai Company From the USA Without Travelling?

In many ways a significant part of the process of forming a company can take place remotely based on the structure, the authorities and document requirements.

The exact process depends on whether the shareholder is an individual or an existing US company and whether notarization, legalization, original signatures or physical verification is needed.

Flyingcolour indicates that it facilitates remote company formation for international entrepreneurs and can support the documentation, licensing and other associated processes.

However, remote incorporation should not be mistaken that every process after incorporation is completely remote.

For example, visa and Emirates ID procedures for residence in the UAE can have physical steps.

11 / YOUR GUIDE

Why Choose Dubai for a US Business Expansion?

Dubai has the potential to give the US entrepreneurs an opportunity to get involved in a highly international environment and enter the Middle East market.

Dubai Chambers points to the international connectivity, infrastructure, talent, and business ecosystem as some of the advantages for setting up a company. It may also act as a strategic base for doing business in the Middle East for US citizens, considering local and international business plans, including:

Middle East expansion
International trading
Regional consulting
Technology services
E-commerce
Professional services
Import and distribution
Regional headquarters functions

Of course, the structure of the business should be selected based on the company’s needs. Although Dubai appears to be a magic wand to make your business more affordable and easier, it is essential to remember that thorough preparation is required.

12 / YOUR GUIDE

How Can Flyingcolour Business Setup Help USA Business Entrepreneurs?

Flyingcolour Business setup provides end to end business setup and support for US entrepreneurs looking to establish businesses in Dubai and across the UAE.

As per the company, their key services for US-based entrepreneurs include mainland, free zone and offshore formation, PRO services, residency support, banking, accounting, VAT and taxation, audit and advisory support.

Business Activity and Structure Planning

The company can assist with evaluating the intended activity and comparing between structures such as mainland, free zone and others prior to the application process.

This helps in mitigating the risks of choosing the wrong licence type that will not be suitable for the intended business activities.

Mainland Company Formation

Their team can assist with the setup, incorporating the company and obtaining necessary approvals as required by the government.

Visa and PRO Services

Along with visas processing for investors and employees, Emirates ID and various other government-related procedures may also be required for setting up the business in the United Arab Emirates.

Additionally, PRO and residency support services are included in their portfolio of services for businesses in the UAE.

Business Banking Assistance

Necessary documentation as well as a separate due-diligence process with banks is required before establishing a corporate bank account.

Per the company, they provide banking support and documentation guidance as part of their business setup services in the UAE.

Accounting and Tax Support

While incorporation may be the end of the beginning, businesses may require further accounting, VAT and Corporate Tax support depending on the structure and type of ownership.

The company professes to provide accounting and tax-related advisory services and has identified itself as an FTA-approved tax agency for Corporate Tax and VAT services.

Ongoing Compliance

With regard to Continuous Compliance, a well-setup company should ensure that it maintains its licence in good standing and complies with all applicable laws, accounting and taxation procedures.

The company offers continuous compliance and related advisory services for businesses in the UAE.

13 / YOUR GUIDE

Why Work With Dubai Mainland Company Setup Consultants?

A setup consultant can take the burden of the various aspects of incorporation away from the entrepreneur, ensuring they do not have to deal with each aspect of government and administration separately.

This can be invaluable for a US-based founder unfamiliar with Arabic licensing terminology and protocols.

A competent consultant will help you understand:

The activity to which your business relates
The most suitable legal structure according to your ownership
Whether 100% foreign ownership applies
What licence is needed
What documentation is required
Whether other approvals apply
What premises are needed
How the visa process works
What tax registrations apply
What compliance is needed

Flyingcolour Business setup claims to have been operating in the UAE business setup space since 2004, offering company formation, accounting, tax, immigration and advisory services.

14 / YOUR GUIDE

10 Key Facts US Entrepreneurs Should Know Before Setting Up in Dubai

100% foreign ownership is possible for most economic activities in the UAE, with some strategic impact activities subject to specific conditions.
Companies in the Dubai mainland are subject to Dubai DET licensing and any additional approvals that may apply to their activity.
There is no standard company formation cost in the Dubai mainland, as the cost depends on the specific activity, premises, visas, approvals and other factors involved.
UAE Corporate Tax applies to a taxable entity under the UAE Corporate Tax regime and is calculated as 0% of taxable income up to AED 375,000 and 9% of taxable income exceeding this threshold according to the applicable rules.
A business resident in the UAE is usually liable to register for VAT when the value of taxable supplies and imported goods exceeds AED 375,000, unless an exemption applies under the regulations.
The voluntary VAT registration threshold for qualifying persons is AED 187,500.
A company in the mainland and a company in a free zone are separate legal entities, and the choice between them depends on specific circumstances, including the location of the activity, its nature and any additional requirements.
An additional approval may be required to perform specific activities, meaning that a licence may not be sufficient to start operating in the UAE.
A remote company formation may be possible for a US citizen, as long as additional requirements are met. These restrictions may concern visas, personal identification and banking matters.
Persons forming a company in the UAE should seek independent advice on their tax and reporting obligations in the UAE and the US, as the UAE company formation alone does not establish their tax residency status in the US.

15 / YOUR QUESTIONS

Frequently Asked Questions About Dubai Mainland Company Setup From USA

1. Can a US citizen own 100% of a Dubai mainland company?

Yes. The UAE allows for 100% foreign ownership in most economic activities. Activities that have an impact on strategic sectors are subject to specific conditions, which means that the activity must be clarified before incorporation.

2. How can I open a business in Dubai from the US?

The business opening procedure usually involves determining the activity, legal structure, trade name selection, obtaining the initial approval, completing the premises requirements, additional approvals (where applicable) and obtaining the business licence.

3. What is the Dubai mainland company formation cost?

There is no standardised figure, as the cost depends on the selected activity, licence, legal structure, office requirements, visas, government fees and additional approvals.

4. Do US citizens need a UAE local sponsor?

Not necessarily, as there are a number of activities on the mainland that allow for 100% foreign ownership, meaning that a UAE national shareholder is not required. Certain strategic activities may have specific ownership or regulatory requirements.

5. Can I set up a Dubai mainland company without travelling from the USA?

Depending on the authority, structure and documentation, a number of incorporative steps can potentially be completed online or through postal means. Physical presence may still be required for visa, Emirates ID, bank or other procedures.

6. What documents are required to start a business in Dubai?

These typically include a copy of the passport, photographs, information regarding the intended activity, trade name and incorporation documents. Additional documents may apply to shareholders, regulated activities and professional licences.

7. Which licence is suitable for a US consulting company?

Depending on the specific consulting activity and structure, a professional or alternative licence may be required, which should be confirmed prior to incorporation.

8. Is Dubai mainland better than a free zone for a US entrepreneur?

It depends on the specific activity and other factors, as the free zone and mainland company setup options differ in terms of licence and operational requirements. The choice between the two should be determined by the intended business model, customers, premises and activities.

9. What is the UAE Corporate Tax rate?

UAE Corporate Tax rules state that the first AED 375,000 of taxable income is subject to 0% tax, and income exceeding AED 375,000 is subject to 9% tax according to the applicable rules.

10. Does a Dubai company have to register for VAT?

Depending on the company's status, it may not be necessary to register for VAT. In the case of a UAE resident, registration is generally required if the total supplies and imports of goods and services exceeds AED 375,000 in the past 12 months or is expected to exceed AED 375,000 within the next 30 days.

11. Can a US company establish a branch in Dubai?

A foreign company can establish a UAE branch, based on the applicable UAE law, licensing and approvals rules. Branches and new company formation are two separate legal structures, which need to be analysed in relation to the specific business requirements.

12. Can I get a UAE residence visa through my Dubai company?

Depending on the company structure, it may be possible to apply for an investor or work visa (subject to the application approval), based on the specific UAE residency and employer sponsorship rules.

13. Can Flyingcolour help with opening a UAE business bank account?

Flyingcolour confirms that it offers business banking assistance and documentation for new companies incorporated in the UAE, however, the application for a business bank account is subject to each bank's requirements.

14. Why should a US entrepreneur use Dubai mainland company setup consultants?

They can support the incorporation and setup process, including the selection of activity, legal structure, licence, documentation, government filing, visa and additional compliance requirements. Company setup consultants can be a useful option for any US entrepreneur who does not physically reside in the UAE.

15. How can Flyingcolour help USA business entrepreneurs?

Flyingcolour offers UAE business setup services, including company formation (mainland, free zone, offshore), PRO services, residency, banking, accounting, VAT, Corporate Tax, audit and compliance services. It provides business consultancy with a specialisation in supporting USA entrepreneurs in their business setup in the UAE.

16 / YOUR GUIDE

Start Your Dubai Mainland Company From the USA

Establishing a Dubai mainland company from the USA need not be a complex process. The critical step is to understand the structure of the company in order to determine the required payment for the licences, premises and other services. For related requirements, explore our Dubai free zone business setup.

It is essential to consider the proposed business activity, structure of ownership, target market, office requirements and anticipated visa needs in order to establish the appropriate licence and set up requirements.

Flyingcolour can assist US-based entrepreneurs to progress from the initial business plan through to company formation, licensing, visa facilitation, banking support, accounting, taxation and continued UAE compliance.

Ready to learn more about setting up a Dubai mainland company from the USA? Contact Flyingcolour to obtain a tailored assessment of your proposed activity, ownership and set up requirements.

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