What are the types of mainland business licenses in the UAE?

The UAE mainland offers several business licenses catering to different business activities and structures. Here's a breakdown of the most common ones:


1. Commercial License:




  • Ideal for: Businesses involved in trading goods and commodities, like import/export, distribution, and retail.

  • Benefits: Allows operation throughout the UAE mainland, not restricted to specific zones. Offers wider flexibility in business activities compared to Free Zones.

  • Considerations: Requires a local service agent (LSA) for companies with foreign majority ownership.


2. Industrial License:




  • Ideal for: Businesses involved in manufacturing, production, and assembly activities.

  • Benefits: Allows operation within designated industrial areas in the UAE mainland.

  • Considerations: Requires a dedicated industrial facility within the UAE mainland. Might require additional permits depending on the specific industry and environmental regulations.


3. Professional License:




  • Ideal for: Businesses offering professional services like consultancy, engineering, design, and IT solutions.

  • Benefits: Can be obtained as a freelancer or by establishing a company with 100% foreign ownership.

  • Considerations: May require specific professional qualifications for license holders depending on the chosen activity.


4. Tourism License:




  • Ideal for: Businesses operating in the tourism sector, such as travel agencies, tour operators, and hotels.

  • Benefits: Allows operation throughout the UAE mainland.

  • Considerations: May require specific permits and adherence to tourism regulations set by the relevant authorities.


Additional Considerations:




  • Limited Liability Company (LLC): A popular legal structure for mainland companies, allowing 49% foreign ownership with a local sponsor holding the remaining 51%.

  • Branch of a Foreign Company: Existing foreign companies can establish a branch office in the UAE mainland, subject to specific regulations.


Choosing the Right License:


The type of license you need depends on your specific business activity and legal structure. ProSmart Business can assist you in navigating the process and identifying the most suitable license for your needs.

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