United Arab Emirates

United Arab Emirates

Company Formation in Sharjah Mainland

Emirate of Sharjah — Sharjah Economic Development Department (SEDD)

Formation Time
4–6 business days
Min. Capital
No minimum required
Corporate Tax
9% (0% on profit up to AED 375k; Small Business Relief applies up to AED 3M)
Foreign Ownership
100%

Overview

Sharjah is the third-largest emirate in the UAE and the nation's premier industrial and manufacturing powerhouse, generating over 45% of the UAE's total industrial output. Directly bordering Dubai to the south, Sharjah offers the exact same UAE-wide mainland market access as Dubai, but at setup, commercial rent, and warehousing costs that are 30% to 40% lower. Supervised by the Sharjah Economic Development Department (SEDD), a Sharjah mainland company can distribute goods, perform services, and open commercial facilities across all seven emirates. Sharjah is world-renowned for light and heavy industrial manufacturing, international trading, maritime logistics (with seaports on both the Arabian Gulf and the Gulf of Oman), and publishing. With 100% foreign ownership permitted under federal law, Sharjah is the optimal choice for cost-conscious industrial, trading, and logistics enterprises.

30-40% cheaper than Dubai
45% of UAE industrial output
Borders Dubai (15 min drive)
100% foreign ownership
Tasdeeq municipal support

Why Choose Sharjah Mainland

1

30% to 40% lower license fees and warehouse rental costs compared to Dubai mainland

2

Generates over 45% of total UAE industrial manufacturing output

3

Directly borders Dubai — just 15 minutes to Dubai International Airport and Deira commercial centers

4

Unrestricted commercial market access to trade across all seven emirates and federal tenders

5

100% foreign ownership across commercial, industrial, and professional trade licenses

6

Unique dual-coast maritime access with commercial ports on both the Arabian Gulf and Gulf of Oman

7

9% federal corporate tax with 0% tax on taxable net profits up to AED 375,000

8

Low annual maintenance and municipal lease renewal expenses

Business Entity Types

EntityOwnershipDirectorsCapitalTaxBest For
LLC100%1No minimum9% corporate tax (0% on first AED 375,000)Industrial manufacturing, trading, distribution, building materials, wholesale
Sole Establishment100% for professional licenses1None9% corporate tax (Small Business Relief applies)Consultancies, technical services, maintenance advisory
Branch Office100%1 (Manager)None9% corporate tax on branch earningsInternational industrial groups and logistics operators establishing UAE facilities

Step-by-Step Formation Process

1

Trade Name Reservation

1 day

Reserve commercial name with Sharjah Economic Development Department (SEDD).

2

Initial Approval

1–2 days

Obtain preliminary approval for commercial/industrial activities.

3

MOA Execution

1–2 days

Draft and execute Memorandum of Association via Sharjah Courts notary.

4

Tasdeeq Lease Attestation

1–2 days

Secure warehouse/office and attest lease with Sharjah Municipality (Tasdeeq).

5

SEDD License Issuance

1 day

Pay government fees and receive the official SEDD trade license.

6

Corporate Banking & Visas

2–4 weeks

Open corporate bank accounts with RAKBANK or Wio and process residency visas.

Costs & Fees

Government / License FeeAED 8,000 – 16,000
Our Service FeeUSD 4,000+
Annual RenewalAED 6,000 – 14,000

Fees are indicative and may vary based on business activity, entity type, and additional approvals required. Contact us for a precise custom quote.

Get Custom Quote

Banking

Sharjah mainland companies have strong access to UAE commercial banks, particularly institutions with large Northern Emirates networks like RAKBANK, Mashreq, and Sharjah Islamic Bank, alongside Wio Bank.

Account Opening Time
2–4 weeks
Multi-Currency
Yes — multiple currencies supported

Recommended Banks

RAKBANK (premier Northern Emirates commercial bank)Mashreq BankWio BankSharjah Islamic BankEmirates NBD

Tax Overview

Corporate Tax
9% on net taxable profits exceeding AED 375,000 (0% up to AED 375k)
Personal Income Tax
0% — no personal income tax
VAT / Sales Tax
5% standard VAT
Capital Gains Tax
0%
Withholding Tax
0%
Double Tax Treaties
137 countries

Subject to UAE Federal Decree-Law No. 47 of 2022 on Corporate Tax. Entities must register with the FTA and file annual returns within 9 months of financial year-end.

Frequently Asked Questions

Why is Sharjah mainland 30% to 40% cheaper than Dubai?
Sharjah government licensing fees, commercial office rents, and industrial warehouse square-footage lease rates are substantially lower than Dubai. Because Sharjah shares an open border with Dubai, businesses can store, manufacture, and assemble goods in Sharjah and distribute them directly into Dubai within 15–20 minutes.
Can a Sharjah mainland company operate and deliver goods in Dubai?
Yes. An SEDD mainland trade license grants full commercial authorization to sell, deliver, and contract across all seven emirates of the UAE, including Dubai and Abu Dhabi.
What is Tasdeeq in Sharjah?
Tasdeeq is Sharjah's municipal lease attestation system, equivalent to Dubai's Ejari. Every commercial entity in Sharjah must have its tenancy agreement attested by Tasdeeq to maintain an active trade license.
Does Sharjah permit 100% foreign ownership?
Yes. In accordance with UAE federal commercial companies law, foreign investors can own 100% of a Sharjah mainland LLC without an Emirati sponsor for commercial and industrial licenses.
How does UAE Corporate Tax apply to Sharjah companies?
Sharjah mainland companies pay 9% federal corporate tax on taxable profits exceeding AED 375,000. Profits up to AED 375,000 are taxed at 0%, and Small Business Relief is available for companies with gross revenues up to AED 3,000,000.
Which banks are best for Sharjah mainland companies?
RAKBANK, Mashreq, and digital bank Wio Bank Business are the most popular and efficient banks for Sharjah commercial and manufacturing entities.