العربية• International Business Setup
The first decision in the UAE: where to set up, not only how
Since Federal Decree-Law No. 26 of 2020, followed by Federal Decree-Law No. 32 of 2021 on Commercial Companies, a foreign investor can fully own a mainland company in most activities without a local partner, with exceptions for activities of strategic impact. Alongside the mainland there are free zones, each with its own rules.
So every file starts with where the business will operate and who its customers are. You deal with LegalIn alone, from Egypt. We handle the in-country steps through our network of offices there, so you do not need to engage another firm.
• Is this route for you?
- You target customers inside the UAE.
- International trade or services run from a free zone.
- An Egyptian company that wants a branch or subsidiary in the UAE.
- Founders who need an entity to contract with UAE parties.
• Foreign ownership and investment regime
Full ownership in most activities, with a list of strategic activities
| Item | Details |
|---|---|
| Ownership | 100% on the mainland for most activities without an Emirati partner, and 100% in free zones |
| Legal basis | Federal Decree-Law 26/2020, then Federal Decree-Law 32/2021 on Commercial Companies |
| Exception | Activities of strategic impact, set by the Cabinet, where ownership may be restricted, including security and defence, telecoms, banking and insurance, commercial agencies, Hajj and Umrah, fishing and pearling |
| Licensing authority | The competent authority in each emirate; in a free zone, the free zone authority |
• Comparison
Mainland or free zone?
| Item | Mainland | Free zone |
|---|---|---|
| Foreign ownership | Full in most activities, with exceptions | Full |
| Selling in the local market | Direct | Usually not allowed directly; through a licensed distributor, or a mainland branch or company |
| Licensing authority | The competent authority in each emirate | The free zone authority and its rules |
| Suits | Businesses targeting customers inside the UAE | International trade and activity within the zone |
• Available forms
Mainland company forms
The limited liability company is the most common form for foreign investors. Your Egyptian company can also open a UAE branch without a national service agent.
Limited liability company
The most common form for commercial and service activities.
Private and public joint stock companies
For larger projects or those planning a wider shareholder base.
General and limited partnerships
Available under the law; we assess their suitability case by case.
Branch of a foreign company
Your Egyptian company can open a UAE branch; we compare it with a standalone company for your case.
• How we handle the file
From Egypt to the licence
- Reviewing the activity and target customers.
- Choosing between mainland and free zones, and the emirate.
- Choosing the form and the ownership and management structure.
- Preparing and attesting documents.
- Obtaining the licence from the competent authority.
- Post-licence steps: tax registration and compliance requirements.
• Before we start
What we need to know
- Your exact activity, and who and where your customers are.
- The partners and their nationalities, and whether the investor is an individual or a company.
- Whether you need a physical office or staff in the UAE.
- How the new entity relates to your company in Egypt, if any.
This decides the emirate and licence type, and from it we set the document list.
• Common pitfalls
What can delay the file?
Choosing a free zone, then finding your customers are inside the UAE and need direct sales.
Assuming full ownership is available for every activity without checking the strategic activities list.
Registering an activity on the licence that does not match what the company actually does.
Ignoring tax registration after incorporation: companies are subject to federal corporate tax, even in free zones.
• FAQ
Questions we often hear before setting up in the UAE
Do I need an Emirati partner?
Not for most mainland activities, but activities of strategic impact have special rules.
Which is better: mainland or free zone?
It depends on where your customers are and on the activity; we compare both for your case before starting.
Can a free zone company sell inside the UAE?
Direct sales are usually not allowed; they go through a licensed distributor, or a mainland branch or company.
Can my Egyptian company open a branch in the UAE?
Yes, and a foreign company branch no longer needs a national service agent. We compare a branch with a standalone company for your case.
Do I need a firm in the UAE?
No. You deal with LegalIn, and we coordinate with our network of offices there.
Is the company taxed?
The UAE applies a federal corporate tax; we review registration and its requirements with your accountant as part of the file.
• Related routes
Your file may also involve
• Your next step
Considering the UAE?
Send us your activity and customers’ details. We settle mainland or free zone with you and the next step.
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