The UAE continues to be one of the most attractive destinations for foreign investment, with its growing economy and business-friendly policies. One of the most significant changes in recent years is the introduction of 100% foreign ownership in the UAE, which offers new opportunities for entrepreneurs from around the world. This landmark reform allows foreign investors to fully own their businesses without the need for a local partner, especially in sectors previously restricted.

In this blog, we will explore everything foreign investors need to know about 100% ownership in Dubai mainland, the Dubai business ownership rules, and how you can take advantage of the new regulations to grow your business in the UAE.

Before 2019, foreign investors could not own more than 49% of a business in the UAE mainland, with the remaining 51% controlled by a local Emirati sponsor. This posed challenges for entrepreneurs seeking full control over their companies.

With the introduction of 100% foreign ownership in UAE, foreign entrepreneurs can now fully own and operate businesses in specific sectors without a local partner. This change is particularly beneficial for foreign investors who want to establish their presence in the UAE market without sharing profits or decision-making with a local sponsor.

While the policy allows 100 percent ownership in Dubai, not all sectors are eligible. The UAE government has created a “positive list” that includes sectors where full foreign ownership is permitted. Some of these key sectors include:

• Technology: Software development, IT services, and digital solutions.
• Healthcare: Medical practices, healthcare facilities, and pharmaceuticals.
• Renewable Energy: Solar, wind, and other sustainable energy solutions.
• Manufacturing and E-commerce: Retail and product-based businesses.

These sectors align with the UAE’s strategy for economic diversification and growth, offering exciting opportunities for foreign investors.

Setting up a Dubai mainland company 100 ownership allows investors to access the local market directly and engage in business activities across the UAE. Previously, foreign investors could only set up companies with local partners in the mainland. However, with the introduction of 100 ownership in Dubai, investors can now open businesses in Dubai and the broader UAE mainland without the need for a local sponsor

This makes Dubai an even more attractive option for entrepreneurs, as it provides the flexibility to operate freely without sharing control.

With 100% ownership in Dubai, you have full control over your business, management and profits without having to share the authority with a local partner.

No need for a local sponsor, easier and faster to setup your business in Dubai mainland.

As a mainland company owner you can do business across UAE, easier to build your customer base and expand your operations.

This will boost the confidence of foreign investors and further cement the UAE’s position as a global business destination.

At Parker Russell UAE we will guide you through the entire process of setting up 100% foreign owned business in UAE. We will advise on eligibility, legal requirements and best sectors for foreign investors.

Setting up a 100 ownership company in Dubai involves several steps:

The business activity must fall under the sectors that allow 100% foreign ownership in UAE. These include technology, healthcare, renewable energy, and more.

Depending on your business type, you can choose between a Limited Liability Company (LLC) in the mainland or a Free Zone company. A Dubai mainland company 100 ownership typically allows for a broader range of business activities. set up your business in A free zone.

Apply for a trade or professional license through the Department of Economic Development (DED) in Dubai, or the appropriate authority for other emirates.

Register with the DED or the relevant Free Zone authorities to establish your legal entity.

Meet legal and tax requirements such as VAT registration, labor laws, and other industry-specific regulations.

Parker Russell UAE specializes in guiding investors through each step of the process, ensuring compliance with the latest Dubai business ownership rules and tax regulations.

Foreign investors must also comply with the UAE’s VAT system, which came into effect in 2018. If your business exceeds the VAT registration threshold (AED 375,000), you’ll need to register for VAT and comply with all related tax obligations.

It is important for 100% foreign-owned companies in Dubai to maintain proper records and stay updated on any changes to VAT and other regulatory requirements. At Parker Russell UAE, we offer comprehensive VAT advisory services to ensure your business stays compliant.

At Parker Russell UAE, we offer expert services to help foreign investors navigate the complexities of establishing a 100% foreign ownership company in Dubai. Here’s how we can assist you:

1. Business Setup and Structuring: We help you choose the best legal structure for your business and guide you through the setup process.

2. Legal and Compliance Support: Our experts ensure that your business adheres to local laws, including VAT registration, labor laws, and other regulations.

3. Sector-Specific Advice: Whether you’re interested in technology, healthcare, or renewable energy, we help you understand the business opportunities available for foreign investors in the UAE.

The introduction of 100% foreign ownership in UAE marks a transformative shift in the country’s business landscape. Foreign entrepreneurs now have the opportunity to set up businesses in Dubai mainland and other emirates with full control and ownership. This reform makes the UAE an even more appealing destination for global investors.

At Parker Russell UAE, we are committed to helping foreign investors navigate the complexities of setting up a 100% foreign-owned company in Dubai. Contact us today to learn more about how we can assist you in launching and growing your business in the UAE.