100% Foreign Ownership on Dubai Mainland — What's Changed in 2026?

Smith June 8, 2026 ·1 writeup ·joined Jun 2026

8 min read

In 2026, the Dubai mainland allows 100% foreign ownership for over 1,000 commercial and industrial activities. Under which foreign investors can establish their company without allocating 51% of it to a local Emirati sponsor. They require a local representation when conducting specific business activities, such as banking, oil, and utilities.

100% Foreign Ownership on Dubai Mainland — What's Changed in 2026?

According to the recent data, over 41,000 foreign companies registered with the Department of Economy and Tourism (DET) in the first half of 2026. One of the driving factors of this surge is the 100% foreign ownership policy, allowing investors and entrepreneurs to own their company completely. As a local Emirati sponsor is no longer required, there are many key changes that have been introduced as of 2026 that are critical for business owners to understand.

What Changed in the UAE Foreign Ownership Law?

The UAE foreign ownership law has undergone key changes, including:

1. Abolition of the 51% Ownership Law

Under the UAE Commercial Companies Law (Federal Decree-Law No. 32 of 2021), the requirement for a local Emirati sponsor helding 51% of the company’s ownership was abolished.

2. Strategic Exemptions

There are specific business activities that still require a local Emirati sponsor, including:

Security, Defence, and Military
Banking and Insurance
Telecommunications
Currency Printing
Energy Sector
Transport and Logistics
Hajj and Umrah Services

3. Removal of the Local Agent

Businesses that are looking to open a branch company in the Dubai mainland can open it without the need for a local service agent.

What is Specifically New for 2026?

As of 2026, there are key changes to the 100% foreign ownership law that every business owner must understand, which include:

1. Elimination of the 51% Rule: The elimination of 51% foreign ownership is still relevant in 2026, allowing foreign entrepreneurs to own 100% of their companies.

2. Unrestricted Market Access: The businesses that are operating in the Dubai mainland are provided with complete UAE market access. They can:

Trade anywhere in the UAE, and
Bid for government contracts.

3. Wide Scope of Business: Foreign entrepreneurs can operate across a wide spectrum of business activities. They are provided with over 1,000 commercial and industrial activities, ranging from trading to retail and manufacturing.

4. No Need for a Local Agent: In 2026, businesses are required to have a local agent for professional services for a license.

5. Digitized Processes: The company formation in the Dubai mainland, as of 2026, is completely shifted towards digitalization to make the process faster and more efficient.

Industries Eligible for 100% Foreign Ownership in the Dubai Mainland?

The Dubai mainland allows full ownership for over 1,000 commercial and industrial activities. Here are some of the industrial sectors that are still eligible in 2026:

Trading and Retail
Manufacturing Industry
Professional Services
IT and Tech Services
Tourism and Hospitality
Real Estate and Contracting

Steps to Start a Dubai Mainland Company in 2026

Here are the steps to start a dubai mainland company in 2026:

1. Business Activities and Legal Structure: Define the business activities and legal structure of the company, such as an LLC or a Sole Establishment.

2. Register with a Legal Trade Name: Submit 3 to 4 preferred business names to the Dubai Department of Economy and Tourism (DET), ensuring compliance with the UAE laws.

3. Initial Approval: Obtain the initial approval from the DET to move forward in the process.

4. Workspace or Physical Office: Secure a physical office, as it is mandatory for the Dubai mainland entities to have a physical space.

5. Gather Documents: Gather necessary documents, including:

Passport Copies
Passport-Size Photographs
Trade Name Certificate
MoA and AoA
Application Forms
No-Objection Certificates (NOCs)
Office Lease Agreement
Ejari Registration
Local Sponsor Documents (if required)

6. Obtain a Trade License: Submit all the documents to the DET and obtain the relevant trade license.

7. Visa Application: Apply for the UAE visas for investor, employee, and family residency.

8. Open a Corporate Bank Account: Open a separate corporate bank account for the company or branch to maintain compliance with the local regulations.

9. Register for VAT and Corporate Tax: Register with the UAE VAT and Corporate Tax for regulatory compliance.

Conclusion

The UAE 100% foreign ownership laws allow foreign investors and business owners to set up their company without transferring 51% ownership to a local Emirati sponsor. As of 2026, the key updates include simplified setup and licensing due to the adoption of digitalized processes.

If you require guidance regarding company setup in the Dubai mainland, consult with Arabian Wingz. As expert business setup consultants in the UAE, we provide tailored assistance in the Dubai mainland business setup, by handling paperwork to liensing and banking support. Thus, to get end-to-end support, get in touch with us and get the best company setup services in Dubai.