Since full foreign ownership took effect under Federal Decree-Law No. 32 of 2021 on Commercial Companies, as amended, the question is no longer "can I own my company?" but "where do I incorporate?": the mainland, a free zone, or a financial centre. A wrong answer costs a full restructuring later. This consultation comes before the decision.
Available Entry Models
A mainland company with full foreign ownership in most activities. A free-zone company among more than forty zones with different specializations. A branch of an existing foreign company. Or distribution and agency with no entity, with careful regard to the commercial agencies regime. Each model carries its own cost, operating scope, and geographic limits, and the choice starts from your actual activity, not the cheapest offer.
The Mainland
Mainland incorporation opens the entire local market with no scope restrictions, at full foreign ownership in most activities except defined strategic-impact activities with their own conditions. Licensing is issued by the Department of Economic Development of the relevant emirate, and some activities require additional approvals from federal or local sector regulators before work begins.
Free Zones and Financial Centres
Free zones suit export and specialized activity: fast incorporation, flexible office packages, and full ownership, with clear rules for operating inside the local market. The two financial free zones - the Dubai International Financial Centre and Abu Dhabi Global Market - run their own legal systems and courts on English common-law foundations, the usual choice for financial activities and regional holding structures.
What the Consultation Settles
The precise activity and its correct license. Where your customers actually are: local or international. Visa and office requirements. The bank account and its documentation. The tax treatment of each route, including the conditions for qualifying treatment in the free zones. The location decision is built on these facts together, not on one zone's promotional offer.
Common Mistakes
Choosing a free zone for its price, then discovering the ban on direct local-market dealing. Incorporating on the mainland without mapping the activity's sector approvals first. Assuming the bank account is a formality. Building the whole structure around a tax incentive without verifying the conditions for keeping it.
See our company formation in the UAE and our commercial and corporate practice for related work.
Frequently asked questions
Do I need an Emirati partner?
In most mainland activities, no - full foreign ownership stands, with specific exceptions reviewed per activity.
Mainland or free zone?
It depends on your activity and customers: direct local-market work leans mainland; international and specialized activity studies free zones first.
How long does incorporation take?
Days in many free zones; weeks on the mainland depending on the activity and approvals.
Do you have a UAE office?
We serve our clients through our partners in the UAE, with your file managed fully remotely by our team.