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YABS
Mainland · Sole Establishment

Sole Establishment — solo professional, mainland.

The cheapest mainland setup for solo consultants. Single-owner Dubai DED professional licence. AED 14,000+ from, 5–7 working days. Trade-off: unlimited personal liability vs LLC's limited-liability protection.

From
AED 14,000
Owners
1 (solo)
Liability
Unlimited (personal)
Timeline
5–7 days
Definition

What Sole Establishment is.

A Sole Establishment is a single-owner mainland licence under Dubai DED, restricted to professional / knowledge-work activities. Unlike an LLC, the owner has unlimited personal liability — your personal assets (home, savings, vehicles) are legally exposed if the business incurs debts or judgments. In exchange, the structure is simpler (no MoA between partners, no shareholding agreements, no board resolutions), and slightly cheaper to set up than the equivalent LLC. Suitable for solo consultants and freelancers transitioning from a free zone or freelance permit to mainland presence — with the explicit understanding of the liability trade-off.

Sole Establishment vs LLC

Which solo structure fits.

Both available for solo founders. The choice is about liability appetite and growth trajectory.

DimensionSole EstablishmentSingle-shareholder LLC
Setup costAED 14,000+AED 16,000+
LiabilityUnlimited personalLimited to capital contribution
Activities scopeProfessional onlyAll activities
Add partners laterRequires conversion to LLCMoA amendment — straightforward
Board resolutions / paperworkMinimalStandard LLC paperwork
Bank perceptionOK for digital banks; some hesitation at universal banksUniversally well-received
Visa quota1–3 typical1–8 depending on office
Annual renewalSame renewal cycleSame renewal cycle
Suitable forConfirmed solo consultants, no growth plansSolo founders with growth optionality
Source: Dubai DED 2026 Q2 + YABS field experience. The ~AED 2,000 setup-cost difference is small; the liability difference is large — most YABS clients choose LLC after seeing this matrix.

Frequently asked questions

What is a Sole Establishment in Dubai?

A Sole Establishment is the single-owner mainland licence under Dubai DED — limited to professional / knowledge-work activities (consultancy, IT, engineering, marketing, design). The owner is personally liable for all business obligations (no limited liability protection). Cheapest mainland setup option for solo consultants and freelancers transitioning to mainland.

Sole Establishment vs LLC — which is right?

Sole Establishment: AED 14,000+ setup, single owner, unlimited personal liability, professional activities only, simple paperwork. LLC: AED 16,000+ setup, 1–50 shareholders, limited liability protection, all activities, slightly more paperwork. For solo consultants happy to absorb personal liability for the slight cost saving — Sole Establishment. For most other cases — LLC for the liability protection.

What activities qualify for Sole Establishment?

Professional activities only: management consultancy, IT consultancy, engineering consultancy, business advisory, marketing services, design services, training, accounting (with credentials), legal advisory (with bar admission). Trading, manufacturing, retail, food service, regulated commercial activities — all require LLC or other commercial structures.

Can I convert Sole Establishment to LLC later?

Yes. Common path: start with Sole Establishment for cost reasons, then convert to LLC once revenue grows or a partner joins. Conversion involves cancelling the Sole Establishment, forming a new LLC, and migrating activities. Total cost ~AED 8,000–12,000 conversion fee. YABS coordinates without business interruption.

Set up Sole Establishment in Dubai

5–7 working days, AED 14,000+ fully delivered. YABS confirms eligibility against your activity at apply stage.

This page was last reviewed by the YABS compliance team in Q2 2026 and reflects current Dubai DED, Dubai Municipality, DHA, MOHRE, FTA, and DLD requirements.