How to Set Up a Business in the UAE: Mainland vs Free Zone
You can set up one of two types of company. A mainland company is licensed by the emirate Department of Economic Development. In Dubai, this is Dubai DET. A free-zone company is licensed by a free-zone authority, such as DMCC. The mainland route follows a 9-step process. The free-zone route goes through the authority you choose. That authority issues the licence within 14 working days, per u.ae. Costs depend on the emirate, your activity, and your legal form. u.ae does not publish one fixed fee list.
At a glance
- Cost:
- Varies by emirate, activity & legal form (no fixed official schedule)
- Total time:
- 15 minutes (Basher) to 14 working days (free zone); mainland varies
- Steps:
- 9 steps
- Where to apply:
- u.ae
Last reviewed October 2026 against official sources. Re-checked annually · next review due October 2027.
The Steps
Follow these in order
Each card shows the phase, expected time, and any cost. Data checked against official UAE sources(October 2026).
0 of 9 steps
- Before You Go Self-check
Identify the business activity
Your business activity decides your legal form and your licence type. There are 2,000+ activities to choose from. A business can hold more than one activity.
Click to mark as done
- Before You Go Self-check
Select a legal form
You can choose from several legal forms. The options include a general partnership, a limited partnership, an LLCLimited Liability Company — A business structure that protects your personal assets from business debts and lawsuits.Click for official info ↗, a PJSC, and a private joint stock company (PrJSC). Your form must match your activity.
Click to mark as done
- Go From 15 minutes (Basher)
Apply for a trade licence
Apply through the DED or DET in your emirate. Or use the Basher platform. u.ae says Basher can set up a business in 15 minutes.
Click to mark as done
- Fill / Prepare Same day
Register the trade name
Register your trade name with the economic department in your emirate. The name must include the short form of your legal form, such as LLC or EST. The name must not go against public morals or public order. It must not contain the names of religions or governing authorities. And it must not already be registered by someone else.
Click to mark as done
- Submit & Pay Varies
Apply for initial approval
Initial approval means the government has no objection to your business being set up. It does NOT give you permission to trade. Foreign investors need GDRFA approval before initial approval. Some activities need approval from their sector regulator first.
Click to mark as done
- Fill / Prepare Days
Draft the MoA / service-agent agreement
You need a Memorandum of Association if your legal form is a limited partnership, an LLC, a PJSC, or a PrJSC. Law firms, courts, or a notary public prepare the document and attest it.
Click to mark as done
- Go Varies
Select a location
You must have a physical address. Your premises must follow DED rules and municipal planning rules. In Dubai, you must register your lease with Ejari.
Click to mark as done
- Follow Up Varies
Get additional government approvals
Some businesses need approval from a sector regulator. For example, the TDRA regulates telecoms. The CBUAE regulates financial institutions. MOHRE regulates recruitment. And the SCA regulates financial advisory work.
Click to mark as done
- Submit & Pay Pay within 30 days of voucher Varies by emirate/activity/form
Submit documents and pay fees
You collect your licence from the economic department. You can use a service centre or the website. Pay within 30 days of the payment voucher. If you do not pay in time, your application is cancelled. Fees depend on the emirate, the activity, and the legal form. Check the current fee list with the DED or DET before you set your budget.
Click to mark as done
FAQ
Frequently Asked Questions
Mainland or free zone — which should I choose?
The emirate DED or DET issues mainland licences. The zone authority issues free-zone licences. Per u.ae, your choice depends on three things. It depends on your sector. It depends on where your customers are. And it depends on the licence and office rules you must meet. The free-zone route goes through the authority you choose. That authority issues the licence within 14 working days, per u.ae.
Can a foreigner own 100% of a mainland company?
The rules depend on your activity and your legal form. u.ae notes that some companies owned fully by non-GCC nationals need a local service agent. Check the current rules for your activity with DET or the DED before you rely on them.
Can a free-zone company trade on the mainland?
The u.ae pages we reviewed do not cover this. Ask the free-zone authority and the DED before you assume you can trade on the mainland.
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