Yes, in most cases. Since Federal Decree-Law No. 26 of 2020 took effect in 2021, foreigners can own 100% of a mainland company in most activities, with no Emirati shareholder. Free zone companies have always allowed full foreign ownership.
A short list of activities with strategic impact is still restricted. NXTSTAR checks your activity against that list and sets up the structure that keeps you in full control.
Last reviewed: by the NXTSTAR team.
Rules are set by the authority and can change. Confirm the current position before you apply.
What the law changed
The 2020 decree removed the general requirement for 51% Emirati ownership, or a local agent, for most business activities. The rules were consolidated in Federal Decree-Law No. 32 of 2021 on Commercial Companies. Each emirate's licensing authority applies them to its own activity list.
Activities that stay restricted
The law lets the Cabinet designate activities with strategic impact and set conditions for them. The federal portal lists these as not open to full foreign ownership:
- Security, defence and activities of a military nature.
- Telecommunications.
- Banks, exchange houses, financing companies and insurance.
- Printing currency.
- Commercial agencies.
- Hajj and Umrah services and Quran centres.
- Fishing and related marine activities.
Three ways to hold a UAE business
- A mainland company you own outright, licensed by the emirate's economic department. It can trade anywhere in the UAE.
- A free zone company you own outright, licensed by the zone's authority.
- A branch of your existing foreign company, on the mainland or in a free zone. A branch is not a separate legal person from its parent.
Some structures still use a local service agent, who holds no shares and takes no part in management. Dubai asks for an attested service agent contract for civil establishments and certain fully foreign-owned structures.
What an overseas investor should line up first
- The exact activity, checked against the restricted list of the emirate you choose.
- Whether the shareholder is you personally or your foreign company. A corporate shareholder needs attested parent company documents.
- Who will be the manager on the licence, and whether they need a UAE residence visa.
- The bank account. Banks ask for the full ownership chain and source of funds, and decide independently.
What NXTSTAR does, and what we do not
We confirm ownership rules for your activity, prepare the corporate documents and attestations, form the company and handle visas.
We do not give tax or investment advice, and we cannot open a bank account on a bank's behalf.
Common questions
Do I still need a local sponsor?
Not for most activities. The 2020 decree removed the general requirement for majority Emirati ownership. Restricted activities are the exception.
Is full ownership the same in every emirate?
The federal law applies everywhere, and each emirate publishes its own list of activities. Check the list of the emirate you plan to license in.
Is a free zone better for foreign ownership?
Both allow it. The choice now turns on where your customers are and what premises you need, not on ownership.
How much does it cost?
We do not publish prices. Ask us for a written quote that separates authority fees from our service fee.
Sources
The rules on this page come from the authority's own published material, checked on 7 October 2026.
Investing in the UAE from abroad?
Tell us what you want to do and we will tell you which route fits, what it involves and what we would need from you.