The United Arab Emirates has gained the reputation of being a competitive and significant player in the world of business with its rapidly developing infrastructure, investor friendly policies and political stability. Today, the U.A.E. has one of the most open and dynamic economies in the world with its Tax free status. Setting up a Mainland Company in the UAE avails an investor the opportunity to access the U.A.E local market.
A free zone business can only operate within the free zone and outside the U.A.E., meaning no business can be conducted within Dubai or any other emirate. This poses a problem if your main market is in within U.A.E. However, you may legally appoint a broker or service agent for local market distribution. On the other hand, if you setup in the mainland, you may carry out business activities both locally and internationally.
There are 2 categories of business you can set up in Dubai Free Zones, namely:
This company is 100% owned by the person who set it up. You don't require a sponsor or an agent to act as liaison to manage the venture. There is no restriction tying you down.
This type of Dubai company registration refers to a business operating outside its boundaries. Example, a business in Switzerland opens up a similar enterprise in U.A.E.