This company can engage in the wholesale trading of goods and products to retailers, to industrial, commercial, professional users. The activity is exclusively available to companies intend to practice wholesaling in offices and warehouses only.

Household & Consumer Goods

Dubai

Entrepreneurs can open corporate accounts in traditional banks with physical branches, as well as in digital banks and payment systems.
When choosing a bank to open a corporate account, consider the following: service level, fees, available currencies, online banking performance, bank reputation, as well as other conditions that may be important for your business.
Successfully opening a corporate bank account requires a well-prepared documentation package, which may vary depending on the specific requirements of each bank. Documents submitted incorrectly or incompletely may negatively affect the bank's final decision in processing the application.

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Since January 1, 2018, the UAE has implemented a VAT rate of 5%, which applies to most goods and services and is charged to companies operating within the country, except for those registered in designated zones.
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A Designated Zone is a territory within a free zone that is treated as outside the UAE for tax purposes, allowing goods to be exempt from taxation, provided certain criteria are met. The main taxation rules in Designated Zones are as follows:
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The Designated Zones are listed in the Cabinet Decision to Federal Decree-Law No. (8) of 2017 on Value Added Tax (VAT).
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Goods moved between or within Designated Zones are not subject to tax.
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The export and import of goods between a Designated Zone and a foreign company are also not subject to tax.
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For local companies and those registered in Non-Designated Zones (free zones not included in the Designated Zones list), the standard tax rules set forth in the Federal Decree-Law on VAT apply.
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Companies with an annual turnover exceeding AED 375,000 are required to register with the Federal Tax Authority (FTA) as VAT taxpayers.
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Companies with a turnover between AED 187,500 and AED 375,000 may register on a voluntary basis.
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Companies can offset VAT paid on purchases of goods and services (input VAT) against the VAT they collect on sales (output VAT), shifting the tax burden to the final consumer.
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Some goods and services may be exempt from VAT or taxed at a 0% rate, such as international transportation, educational, and medical services.
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Value Added Tax (VAT)

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As of June 1, 2023, the UAE has introduced a corporate tax at a rate of 9%, levied on the taxable net profit of companies with income exceeding AED 375,000.
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A 0% rate is applied to taxable income not exceeding AED 375,000.
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Charitable, non-profit organizations and medical institutions are fully exempt from corporate tax.
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Corporate Tax

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Since October 1, 2017, the UAE has introduced an excise tax aimed at reducing the consumption of harmful products and funding healthcare initiatives. The tax applies to alcohol, tobacco products, and beverages containing added sugar, including energy drinks and carbonated beverages.Excise tax rates vary depending on the product category:
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50% on carbonated drinks (excluding mineral water)
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100% on tobacco products
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100% on energy drinks
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100% on electronic smoking devices and liquids used for them
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50% on products containing added sugar or sweeteners.
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Companies dealing with excise goods must register with the Federal Tax Authority (FTA), submit monthly declarations, and maintain records. Excise tax is paid upon the import, production, or release of goods for consumption in the UAE.
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Excise Tax

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Custom duties in the UAE are applied to most imported goods at a standard rate of 5% of the cost, insurance, and freight (CIF). Exceptions include certain categories of goods, such as medicines and food products, which may be exempt from duties or subject to a reduced rate.
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Goods imported into UAE free zones are generally not subject to customs duties as long as they remain within these zones. However, when such goods are transferred to the UAE mainland, standard duties apply.
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Customs Duties

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In the UAE, personal income is not subject to taxation.
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UAE citizens and residents are exempt from paying taxes on their personal income, including salaries, interest, dividends, inheritances, gifts, luxury goods, and capital gains.
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Personal Income Tax

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<li>Individual emirates may impose specific local taxes and fees in line with their economic and social needs. These taxes and fees are aimed at supporting public services and implementing infrastructure projects.</li>
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Local Taxes and Fees

Mainland companies can conduct business both within the UAE and internationally. This helps to expand business, create and strengthen partnerships, and enables interaction with clients and partners worldwide.

Access to Local and Global Markets

Mainland encompasses the entire mainland territory of the emirate, providing companies with direct access to the region's key business and transportation hubs. Proximity to international airports, seaports, and major business centers ensures efficient logistics and high mobility, making Mainland an attractive choice for companies focused on local growth and global expansion.

Strategic Location

The registration of a mainland company enables foreign entrepreneurs to retain 100% ownership of their company, granting full control over profits and unrestricted capital repatriation outside the UAE. This fosters an optimal environment for strategic financial planning and efficient business management, free from limitations on economic activities. For certain business activities, a UAE national partner or a local service agent (LSA) may be required.

Full Profit Control

Mainland companies have the right to participate in government tenders and secure long-term contracts for major projects, enhancing financial stability and driving business growth.

Participation in Government Tenders

The Department offers licenses for more than 2,000 types of business activities, enabling entrepreneurs to develop projects across various industries, including trade, information technology, healthcare, education, construction, manufacturing, hospitality, logistics, and more.

Wide Range of Business Activities

Mainland companies can freely lease or purchase premises in any area of the emirate, including business districts, commercial zones, industrial areas, and logistics hubs, allowing them to tailor the location of offices and production facilities to their specific business needs.

Infrastructure

May contain the name of a shareholder

Must not violate the country laws or contain words that are obscene, indecent or generally offensive

Must not contain the names of Allah, Buddha or God, or any other religious terminology

Must not be identical or similar to local/global brands or registered trademarks

Must not contain the names of local/international religious, political or governmental organizations

Must correspond to the company’s business activities

DED Dubai (Department of Economy and Tourism) is a government regulator responsible for registration and licensing, monitoring compliance with regulatory requirements, support of business activity, and the strategic development of the commercial and tourism environment of Mainland Dubai, UAE.
Mainland in the UAE refers to the main land territory of the country, encompassing all seven emirates: Abu Dhabi, Dubai, Sharjah, Ajman, Umm Al Quwain, Ras Al Khaimah and Fujairah. All business activities in this territory are governed by federal and local laws, ensuring transparent and stable conditions for conducting business. A company registered on the Mainland in any of the emirates gains local company status, enabling it to operate both within the UAE and internationally, collaborate with local and foreign partners, and participate in government tenders and projects. Combined with Dubai&rsquo;s advanced infrastructure and strategic geographic location, the Mainland becomes an ideal platform for companies aiming to grow and strengthen their positions in the Middle East, Africa, and South Asia.
DED issues the following types of business licenses:
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<li>Commercial (wholesale and retail trade)</li>
<li>Professional (provision of services)</li>
<li>Industrial (manufacturing)</li>
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The combination of DED&rsquo;s transparent legal regulations, a strategically advantageous location, and advanced infrastructure makes the Mainland an ideal environment for businesses striving for long-term success and a strong market presence. These advantages allow companies to collaborate effectively with partners, expand their client base, and leverage access to key economic centers in the region, fostering sustainable growth and enhancing competitiveness on the international stage.

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Download the company formation guide

Cost Calculation

Reserving Trade Name

Submitting Application

Registering Lease Agreement in Ejari System

Signing Memorandum of Association

Receiving License

Receiving Establishment Сard

Applying for Entry Permit/E-visa

Status change

Scheduling Medical Fitness Test

Applying for Emirates ID

Undergoing Medical Fitness Test

Obtaining Insurance Policy

Submitting Biometric Data

Receiving Resident Visa

Receiving Emirates ID

Submitting and Reviewing Documents

Tariffs

Guide

Self-service company registration with no extra fees

Сhat Support

Assistance with document review and submission

Expert

An UPPERSETUP expert manages the entire process

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