can a Zona franca company conduct business en Dubái mainland

Confirm the legal entity, issuing authority and exact activities.

Identify customers, locations, contracts, goods, employees and premises.

Identify every external approval required.

Confirm whether the activity and Zona franca qualify for the operating-permit route.

Evaluate a permit, branch, distributor and separate mainland LLC.

Determine whether the operation creates non-qualifying income or a Domestic Permanent Establishment.

Confirm invoicing, importer responsibilities and product treatment.

Secure any no-objection certificate, resolution or supporting document required.

Submit the permit or branch application with the necessary supporting records.

Obtain an office, shop or warehouse suitable for the activity.

Confirm how existing staff can perform mainland duties.

Create ledgers, cost centres and records for mainland activity.

Update the company's operating profile where necessary.

Do not exceed the permit, branch or external approval.

Review the structure before each licencia, permit and tax-reporting deadline.

The official operating permit was launched at AED 5,000 for six months, renewable for the same period and fee. This amount should be reconfirmed and should not be treated as the entire operational cost.

The licencia is issued under a particular Zona franca framework. Mainland operations may require DET approval.

Permits, branches and direct structures may now be available.

It applies only to eligible activities and approved operations.

Mainland operations can create taxable income at 9% and affect Qualifying Zona franca Person analysis.

Separate financial records are required for authorised mainland operations.

Not every Zona franca is a Designated Zone, and Designated Zone treatment is limited.

Yes, a Zona franca company can conduct eligible business in the Dubái mainland—but it must use a legally permitted route.

A Zona franca licencia does not automatically authorise unrestricted operations everywhere en Dubái. Depending on the activity, the company may need a mainland operating permit, a branch licencia from the Dubái Departamento de Economía y Turismo, a mainland distributor or importer, a dual-licensing arrangement, or an independently incorporated mainland company.

Dubái materially expanded the available options through Executive Council Resolution No. 11 of 2025. Under this framework, a company licensed by a Dubái Zona franca authority may operate outside its Zona franca and within the Emirate of Dubái after obtaining the required licencia or permit from the Dubái Departamento de Economía y Turismo.

Dubái subsequently introduced the Zona franca Mainland Operating Permit for eligible non-regulated activities. This creates a more direct path for certain Zona franca companies to undertake approved mainland operations without immediately establishing a separate mainland company.

KPM Global Services LLC can review a Zona franca company's licencia, business model, customers and tax position before recommending the appropriate Dubái mainland operating route.

A Dubái Zona franca company may conduct business in the Dubái mainland through one or more of the following routes:

Online or cross-border transactions that do not require an additional physical mainland presence, subject to the applicable rules

The company should not assume that issuing an invoice to a mainland customer is the only test.

Executive Council Resolution No. 11 of 2025 established a clearer legal framework for Zona franca establishments seeking to conduct activities outside their zones and within Dubái.

The Resolution applies to Zona franca establishments operating outside their designated zones, with an exception for financial institutions licensed in the Dubái International Financial Centre, which remain subject to their specialised framework.

Under the Resolution, a Dubái Zona franca establishment may operate outside its Zona franca after obtaining the necessary licencia or permit from DET. Dubái Legislation Portal

Branch licences issued under the framework are generally valid for one year and may be renewed, subject to the applicable conditions.

The Resolution does not mean every Zona franca company can automatically perform every activity in mainland Dubái. DET and the relevant Zona franca authority determine activity eligibility, licensing conditions and coordination requirements.

Dubái introduced the Zona franca Mainland Operating Permit as an implementation route supporting eligible Zona franca businesses that want to operate in mainland Dubái.

According to the official Dubái announcement, the initial phase covers certain non-regulated activities, including areas such as:

Eligibility depends on the approved activity and participating licensing framework. A company should not rely only on a broad activity category. Its exact licensed activity must be checked.

Designed to allow eligible Zona franca companies to conduct approved mainland operations

Capable of supporting use of the company's existing workforce for authorised mainland activities

The current fee and conditions should be reconfirmed before applying. Government of Dubái Media Office

Does Every Dubái Zona franca Company Qualify?

A company established in another emirate's Zona franca should not assume that Dubái's local permit framework applies to it in the same manner.