Mainland Company Ownership Transfer in Dubai: Process, Cost & Legal Requirements

A mainland company ownership transfer in Dubai means changing who owns a business registered with the Dubai Department of Economy and Tourism (DET). This can be selling shares, adding a partner, or changing the complete owner. You must follow DET ownership transfer requirements to do it legally.

Many businesses setup in Dubai change owners. Partners may leave, new investors may join, or the business may be sold. Even with 100% foreign ownership, you still need a share transfer agreement UAE and an MoA amendment. And notarisation of company documents Dubai to make the transfer official.

Mainland Business Ownership Transfer in the UAE

Mainland business ownership transfer in the UAE means changing who owns a mainland company. This can be done by selling shares or changing the primary licence holder.

A share transfer means part of the company goes to a new partner. A licence holder change means the whole company goes to someone new.

You must do an ownership transfer when a partner leaves, a new partner joins, or the company is sold. Following DET rules makes the transfer legal and official.

Types of Mainland Businesses Eligible for Ownership Transfer

Not all businesses can transfer ownership the same way. In Dubai, three main types of mainland businesses can do it.

Limited Liability Companies (LLCs): Mainland LLC Share Transfer Dubai

LLCs can transfer shares between partners. You can transfer part of the ownership or the whole company to someone else.

• Sole Establishments

For sole establishments, the licence holder can be changed to a new owner. Some special approvals may be needed depending on the business activity.

• Civil Companies

In civil companies, professional partners can change company ownership Dubai mainland. Liability rules must be considered when making the transfer.

How 100% Foreign Ownership Laws Changed Ownership Transfers.

New laws now allow foreign investors to entirely own mainland companies in Dubai. The old rule that required a 51% Local service agent requirement UAE has been removed in most sectors.

Some sectors still have restrictions, so not every business can be wholly foreign-owned.

Even with these changes, all ownership transfers must follow legal steps. You still need a share transfer agreement and an MoA amendment. Along with that, a notarisation of documents is required to make the transfer official.

Step-by-Step Process to Transfer Mainland Business Ownership

The process of transferring a mainland company to Dubai follows specific, simple steps to ensure that the procedure is both legal and hassle-free:

Step 1: Prepare the Share Transfer Agreement UAE

Draft agreement in which it is stated who is selling and who is buying the shares.

Step 2: Get Partner Approvals

If demanded by the MoA of the organization, approval of existing partners is mandatory for transfer.

Step 3: Modify the MoA (Memorandum of Association), if needed

Revise company documents to reflect the new ownership.

Step 4: Notarize Company Documents 

All agreements and MoA amendments must be notarised in Dubai.

Step 5: Submit to DET 

File the updated documents and forms with the Dubai Department of Economy and Tourism (DET).

Step 6: Pay Fees

Pay any transfer fees the DET may impose.

Step 7: Update Trade Licence

DET shall provide a new trade licence under the name of the new owner.

Documentation needed for the Transfer of Ownership of Mainland-Based Companies

To transfer a mainland company to Dubai, you need the following:

• Seller and buyer photocopies of the passport.
• The company’s existing trade licence.
• All parties signed the UAE share transfer agreement.
• MoA amendment in Dubai with the new ownership displayed.
• Notarization of company papers in Dubai.
• Board or partner consent letters as necessary.
• POA (If will do the transfer remote).

Cost of Mainland Business Ownership Transfer

Publishing a mainland company in Dubai has its own set and running costs involved in it. Here’s a clear breakdown:

Government and DET Fees

• Filing fee: AED 1,000 – 3,000 (varies with company type).
• Trade license update fee: AED 500 – 2,000.

Notary and Legal Costs

• MoA notarisation Charges: 500 – 1,500 AED.
• Attestation for Documents: AED 200 – AED 800 per document.
• Legal advice (optional but advisable): AED 1,500 -3,000.

Additional Compliance Costs

• UBO filing update: AED 500 to AED 1,000.
• VAT registration modification (If applicable): AED 300 – 600.
• Approvals from external regulators: AED 500 to 2,000.

How Long Does Ownership Transfer Take in Dubai?

The Dubai mainland share transfer process usually takes 1 to 6 weeks.

Easy cases, depositing shares between already existing partners, can be resolved within 1-2 weeks. More complicated matters — like the addition of a new investor or multiple MoA amendments — may take 4–6 weeks.

Lines for lack of documents, notarisation and extra approvals. Having ensured everything is adequately prepared will make the process of the transfer quicker.

What Every Foreign Company Needs to Do Before Transferring the Ownership of Its Mainland Business

Checking it out. Before initiating a mainland company owner transfer in Dubai, ensure due diligence is done:

• Check company status:

Ensure the trade licence, approvals and registrations are in place. Make certain that licenses, approvals and registries are current.

• Review liabilities:

Confirming outstanding liabilities, VAT debts or litigation claims.

• Verify partners:

Consent to transfer executed by all partners on the date of closing, and no undisclosed liens on the partnership business.

• Inspect contracts and agreements:

Ensure any client, supplier or lease agreements in place will not be impacted.

• Confirm DET compliance:

Ensure the company complies with all Dubai Department of Economy and Tourism regulations.

Compliance Requirements After Ownership Transfer

Once you have finished with the Dubai mainland share transfer process, there are specific compliance procedures that need to be carried out.

• UBO and Corporate Records Update

Update the UBO information and company register with DET. These must, legally, be achieved within set timescales. Non-updated-record penalties or fines can result if regular updates are not made.

• VAT and Tax Registration Updates

If VAT registration is affected by any transfer of ownership, you should update the Federal Tax Authority with the new details. The shareholders’ agreement also may have to be revised to reflect the new owner, and corporate tax filings may need updating. Being compliant is the way to stay out of legal trouble and maintain a successful business.

Mainland vs Free Zone Transfer of Ownership – The Key Differences

The transfer of ownership in Dubai can take place in mainland companies or free zone companies, but the procedure differs.

• Approval Authorities

The Dubai Department of Economy and Commerce grants approvals for transferring mainland ownership. Free zone transfers are processed by the free zone authority concerned.

• Legal Documentation

For transfers to the Mainland, the MoA and notarised documents must be updated. Shareholders’ Resolutions and Free Zone Forms. The free zones generally work through shareholder resolutions and particular forms of the free zones.

• Processing Time and Flexibility

Free zone transfers are typically quicker, frequently taking just a week to get through. Transfers from the mainland are slower (usually 1-6 weeks ) because of more stringent legal / compliance checks.

Common Pitfalls and Risk Factors

• Incomplete documentation

MOA amendments, notarizations of agreements or DET forms missing can also cause delays.

• Ignoring approvals

Failure to obtain the consent of all partners or authorities may render the transfer invalid.

• Overlooking compliance

(Not updating the UBO records, nor the VAT, nor the corporate tax will translate into penalties.

• Assuming all transfers are simple

A few — like having new investors, or changing licence holders — are complicated and require careful legal advice.

• Skipping due diligence

Skipping the due diligence of the company’s liabilities, contracts, and obligations can later become a big headache.

What Happens to Employees and Visas After Ownership Transfer?

If such a transfer of ownership is concluded with a mainland-based company, employees and visas generally remain in place in Dubai.

Workers hold onto their jobs, and their contracts stay in force.

 The new owner takes full responsibility for staff, salaries, and benefits.

Company-sponsored visas do not cancel automatically. Visa records must be updated under the new owner with the relevant authorities. If this step is missed, fines or delays can happen.

Updating the Company Bank Account After Ownership Transfer

After a mainland company ownership transfer in Dubai, the company bank account must be updated.

Banks will request new shareholding information, updated MoA and amended trade licence. Verification from the new owner may be required at a branch of bank.

During the update, some transaction capabilities will be limited. Early compliance to update a bank’s records prevents delays in making payments and ensures the business remains on track.

Can Ownership of Mainland Business Be Transferred Remotely?

Yes, it is possible to do a mainland company ownership transfer in Dubai remotely in most cases.

Should all parties consent, the procedure can be advanced via Power of Attorney. Documents may be prepared online, and some steps can be done without being in the UAE.

However, the notarisation of company documents Dubai and even bank updates will require a Local service agent requirement UAE or a brief flying visit. Planning makes remote transfers easier and faster.

Practical Tips for Buyers and Sellers

Before you transfer business ownership in Dubai, a few simple steps can protect both sides.

• Do proper due diligence.

Check licences, debts, taxes, and legal records before signing any agreement.

• Protect both interests

Draft in plain language within the share transfer agreement, UAE, to demarcate the rights and payments.

• Use escrow if needed.

With high-value contracts, escrow provides a way to secure funds until the transaction has been fulfilled.

• Get professional help

Specialist advice guarantees that all DET transfer of ownership obligations are adequately met, and you don’t make any mistakes.

Post-Ownership Transfer Checklist

• Amend the trade licence in the name of the new owner had spoken with them over the phone.
• Amend and notarise the MoA.
• Update the UBO register in the prescribed timeschedule.
• Notify the Bank and Review Account Signatories.
• Performing any Required updates to VAT and tax records.
• Check employee and visa records.
• Retain copies of all approved documentation.

Our business setup experts in Dubai will help you in the transfer ownership process as well as the post-ownership compliance. They are licensed business setup consultants in Dubai with over 12+ years of experience. 

Frequently Asked Questions About Mainland Ownership Transfer

Q1: Is notarisation mandatory for ownership transfer in Dubai?

Yes. The MoA amendment and share transfer will need to be notarised in Dubai for its legality.

Q2: What is the cost to transfer a mainland business?

The overall charge would be generally between AED 3,000 to AED 10,000, depending upon the company form and the notarisation / approvals that are necessary.

Q3: Can a single business establishment be reassigned to another proprietor?

Yes. A sole establishment can be transferred by changing the licence holder, subject to DET approval.

Q4: How long does DET approval take?

Employees keep their jobs. Contracts and visas issued are still valid, but shall be revised by the new owner.

Q5: Can the business be wholly owned by foreign investors after the transfer?

Employees keep their jobs. Contracts and visas remain valid but must be updated under the new owner.

Q6: Can foreign investors fully own the business after the transfer?

Yes. Many sectors now allow 100% foreign ownership after the transfer, based on current UAE laws.

Conclusion — Is Mainland Business Ownership Transfer Right for You?

A mainland company ownership transfer in Dubai is helpful if you want to sell a business, add a new partner, or take complete control of a company. It suits owners and investors who want a legal and clear change company ownership Dubai mainland.

It is essential to follow all DET-approved steps. Correct documents, notarisation, and updates keep the transfer safe and avoid problems later.

When the process is done the right way, ownership transfer is smooth and secure. Clear rules and proper compliance help you move forward with confidence.

Contact our Business setup experts in Dubai for a smooth process!