Table of Contents
Frequently Asked Questions
What does activity code 8110.00 — Combined Facilities Support Activities — actually cover
Activity code 8110.00 covers the bundled provision of multiple support services under a single contract. This typically includes cleaning, routine maintenance, HVAC servicing, security, waste management, and minor repairs — all delivered by one operator rather than a collection of separate contractors.
The key commercial distinction is that clients engage one operator to manage the full facilities function, assume coordination responsibility, and report against service level agreements. This model generally commands better margins and longer contract terms than single-trade work.
Typical clients include commercial landlords, retail mall operators, hospitals, hotels, logistics hubs, and government-owned assets.
Should I set up a mainland or free zone licence for a Combined Facilities Support Activities business in Dubai
A mainland licence issued by the Dubai Department of Economy and Tourism (DED) is the appropriate structure if your teams will be working directly on client premises across Dubai. It gives unrestricted access to government tenders and private sector contracts anywhere in the emirate, though a physical office registered under Ejari is required.
A free zone licence — such as one through Meydan Free Zone — suits operators who manage subcontracted field teams, serve clients within free zone boundaries, or want lower overhead during an early growth phase. Flexi-desk arrangements help keep fixed costs down.
Both tracks now permit 100% foreign ownership following the 2021 UAE Commercial Companies Law reform, so the decision largely comes down to where your clients are located and how you intend to deliver services on the ground.
Can a foreign national own 100% of a Combined Facilities Support Activities company in Dubai
Yes. Following the 2021 amendments to the UAE Commercial Companies Law, 100% foreign ownership is permitted for most commercial activities on the mainland, including facilities management services under code 8110.00.
Free zones such as Meydan Free Zone have historically allowed full foreign ownership, so this benefit now extends across both jurisdictions. You are no longer required to take on a local Emirati partner simply to obtain a licence.
What are the main steps to obtain a Combined Facilities Support Activities licence in Dubai
The setup process follows a broadly consistent sequence for both mainland and free zone applications. It begins with trade name reservation through the DED or your chosen free zone authority, followed by an initial approval submission that includes activity code 8110.00, shareholder passport copies, and a proposed business plan.
You then need to secure an office lease — an Ejari-registered tenancy for mainland setups, or a desk/office agreement for free zone applications. After that, a Memorandum of Association must be drafted and notarised for mainland LLCs, with free zones having their own equivalent documentation.
The final step is licence issuance once all documents are approved and fees are paid. Note that certain sub-activities such as electrical work or fire suppression systems require additional trade approvals from Dubai Civil Defence or DEWA before field operations can begin.
Are there any additional regulatory approvals required beyond the main FM licence
Yes. Certain facilities management sub-activities require approvals beyond the core 8110.00 licence. Specifically, electrical work requires approval from DEWA (Dubai Electricity and Water Authority), and fire suppression systems require clearance from Dubai Civil Defence before field operations can commence.
It is important to identify which sub-activities your business will perform and obtain the relevant trade approvals early in the setup process to avoid operational delays once you begin serving clients.
What is the size and growth outlook for the facilities management market in Dubai and the UAE
The UAE facilities management market is projected to exceed USD 7 billion by 2028, according to IMARC Group. Dubai accounts for the largest share of FM demand across the GCC, driven by Expo legacy assets and ongoing mega-projects.
Dubai's construction boom, expanding commercial real estate, and a growing base of multinational tenants have created sustained demand for integrated facilities management, making this one of the more commercially grounded licence categories available in the UAE.
What does the typical business model look like for a Combined Facilities Support Activities operator
The business model generally runs on monthly retainer contracts or per-scope agreements with KPI-driven performance clauses. This structure provides predictable, recurring revenue once anchor clients are secured, which is a significant commercial advantage over project-based or single-trade contracting.
Because clients are paying one operator to manage the full facilities function and assume coordination responsibility, the integrated model typically commands better margins and longer contract terms than businesses offering only a single service line such as cleaning or maintenance alone.
Does VAT apply to facilities management services in Dubai, and at what rate
Yes. VAT at 5% applies to most facilities management services in the UAE, as confirmed by the Federal Tax Authority. This applies to the bundled service contracts typical of activity code 8110.00, including cleaning, maintenance, HVAC, security, and waste management components.
Businesses operating under this licence should ensure they are registered for VAT if their taxable turnover meets or exceeds the mandatory registration threshold, and that their client contracts and invoicing correctly reflect VAT obligations in line with Federal Tax Authority requirements.
Combined Facilities Support Activities Business Setup in Dubai
A building owner can hire six contractors or one. Activity code 8110.00 licenses you to be the one, bundling cleaning, maintenance, HVAC, security and waste management into a single contract with a single point of accountability.
That bundling is the whole commercial argument. Clients are not buying trades, they are buying somebody to run the facilities function and answer for it against service level agreements, and that earns better margins and longer contracts than single-trade work.
This guide covers what the code permits, who buys it, how mainland and free zone compare, the setup steps, and the sub-activity approvals that have to be in place before your teams go on site.
Key Stats at a Glance
| Activity code | 8110.00 |
|---|---|
| Activity name | Combined Facilities Support Activities |
| Trade license issued by | Dubai Department of Economy and Tourism (DET), or the free zone authority |
| Extra approvals | DEWA for electrical work, Dubai Civil Defence for fire suppression systems |
| Foreign ownership | 100% on both tracks, following the 2021 Commercial Companies Law reform – UAE Government Portal |
| Paid-up capital | Not needed for most free zone service licenses |
| Contract length | Typically 1 to 3 years |
| Bank account | Allow 4 to 8 weeks |
| VAT | 5% on most facilities services, with registration at AED 375,000 – Federal Tax Authority |
| Labour compliance | MOHRE registration, Wage Protection System, and health cover under Dubai Health Authority rules |
| Market size | UAE facilities management projected to exceed USD 7 billion by 2028 – IMARC Group |
What This License Covers
Code 8110.00 covers the bundled provision of multiple support services under one contract. In practice that means:
Cleaning
Routine maintenance
HVAC servicing
Security
Waste management
Minor repairs
All of it delivered by one operator rather than a collection of separate trade contractors.
The distinction matters more commercially than technically. Your client is paying you to manage the full facilities function, take on the coordination burden, and report against agreed service levels. That is a different product from turning up to clean, and it is priced differently.
Integrated operators command better margins and longer contract terms than single-trade suppliers, because switching an integrated provider is disruptive in a way that switching a cleaning contractor is not.
Who Your Clients Will Be
Six kinds of asset owner buy this service:
Commercial landlords
Retail mall operators
Hospitals
Hotels
Logistics hubs
Government-owned assets
The revenue model runs on monthly retainers or per-scope agreements with performance clauses tied to KPIs. Once you have anchor clients, that produces predictable recurring revenue, which is a real advantage over project-based work.
The catch sits in the contract length. Agreements typically run one to three years, and labour is your dominant cost variable over that period.
Build price-escalation clauses in from the start and anchor them to a published index rather than leaving increases to renegotiation, because renegotiating mid-contract with a client who has budgeted a fixed figure rarely goes your way.
Mainland or Free Zone
| Factor | Mainland (DET) | Free Zone (Meydan Free Zone) |
|---|---|---|
| Working on client premises across Dubai | Direct, anywhere in the emirate | Suited to subcontracted field teams or clients inside free zone boundaries |
| Government tenders | Unrestricted access | Not the direct route |
| Foreign ownership | 100% since the 2021 reform | 100% |
| Premises | Physical office registered on Ejari | Flexi-desk, keeping fixed costs down |
| Paid-up capital | Depends on the structure | Not needed for most service licenses |
Ownership no longer separates these two. Both tracks allow 100% foreign ownership following the 2021 Commercial Companies Law reform, so the decision comes down to where your clients sit and how you intend to deliver on the ground.
A mainland license from the Department of Economy and Tourism is the structure if your own teams will be working directly on client premises across Dubai. It gives unrestricted access to government tenders and private contracts anywhere in the emirate, and it needs a physical office registered on Ejari.
Meydan Free Zone suits an operator managing subcontracted field teams, serving clients inside free zone boundaries, or keeping overheads low through an early growth phase. Setup runs through a single window and most service licenses need no paid-up capital. Let your clients decide it, not the price.
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Calculate NowStep by Step Setup Guide
Step 1, book your trade name: Check availability through DET or your free zone authority. Names have to follow UAE naming conventions.
Step 2, submit initial approval: File activity code 8110.00 with shareholder passport copies and a proposed business plan.
Step 3, secure your premises: An Ejari-registered tenancy for mainland, or a desk or office agreement in a free zone.
Step 4, draft and notarise the MOA: Mainland LLCs need a notarised Memorandum of Association. Free zones use their own equivalent documents.
Step 5, collect the license and establishment card: You need both for visa and banking processes, so do not treat the card as an afterthought.
Step 6, open a corporate bank account: Allow four to eight weeks with most UAE banks. Audited financials or a credible business plan speed this up.
Step 7, register for VAT: File with the Federal Tax Authority if projected taxable turnover passes AED 375,000 a year.
Step 8, register with MOHRE: Complete this before hiring anybody. Emiratisation quotas apply to mainland entities above certain headcounts.
One point to handle early rather than late. Certain sub-activities need their own trade approvals: electrical work through DEWA, and fire suppression systems through Dubai Civil Defence. Identify which sub-activities you actually intend to perform at the start, because those approvals have to be in place before field operations begin.
Labour compliance
This is the heart of it in a people-heavy business. Every worker has to be registered with MOHRE, paid through the Wage Protection System, and covered by health insurance under Dubai Health Authority rules. None of it is optional, and all of it scales with headcount, so build the administration before you build the team.
Insurance
Public liability and professional indemnity cover are standard client conditions in facilities contracts rather than optional extras. Expect to evidence both during procurement.
Sub-activity approvals
DEWA approval for electrical work and Dubai Civil Defence clearance for fire suppression systems both have to precede field operations. Taking on a contract that includes work you are not yet approved for is the fastest way to stall a mobilisation.
VAT and mixed-use property
Most facilities services are standard-rated at 5%. Mixed-use properties may need apportionment between taxable and exempt uses, so review the Federal Tax Authority guidance on partial exemption before you price a contract rather than after you have won it.
Contract mechanics
Price escalation, KPI definitions and the scope boundary between your service and the client's own responsibilities all belong in the agreement. In an integrated contract, ambiguity about who owns a task tends to resolve in the client's favour.
Market Opportunity
The market size is the starting point. IMARC Group projects UAE facilities management to exceed USD 7 billion by 2028, and Dubai accounts for the largest share of demand across the GCC.
Two forces drive that. The first is physical: Expo legacy assets and continuing mega-projects add buildings that need servicing from the day they open, and Dubai's commercial real estate base keeps expanding. The second is behavioural, as corporate tenants and asset owners increasingly outsource facilities rather than staffing them internally.
The second force matters more for a new entrant. A growing building stock raises the ceiling, but a maturing outsourcing culture is what converts buildings into contracts. Multinational tenants in particular arrive expecting integrated facilities provision as standard, because that is how their portfolios are managed elsewhere.
Conclusion
This is a workable license category sitting on real demand, with full foreign ownership available on either track. The setup itself is simple provided you sequence it properly and identify your sub-activity permits at the start rather than after signing a client.
The harder work is commercial. Get your escalation clauses, KPI definitions and insurance in place before you bid, because facilities contracts run for years and the terms you agree at the outset are the terms you live with.
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