If you plan to start a retail or commerce business, Dubai Multi Commodities Centre (DMCC) Free Zone can be your ultimate choice. It was also awarded the Global Free Zone of the Year by fDI magazine not only once but for the last 8 consecutive years.
How amazing is it?
If you are also interested in setting up your business in the DMCC-free zone, this guide can help you understand how to do so and its essential benefits.
Benefits of Forming a Company in DMCC Free Zone:
Setting up a business in the DMCC free zone offers significant advantages. A few of them are as follows.
- You can get complete ownership of your business without needing a local partner.
- No corporate tax and no personal income tax, offering significant savings.
- Dubai’s strategic location provides easy access to international markets and excellent connectivity.
- State-of-the-art facilities, office spaces, and infrastructure supporting various business needs.
- Access to the world’s leading bank accounts and financial institutions.
- Comprehensive support, including licensing, visa processing, and legal assistance.
- Wide range of office solutions from flexi desks to coworking office spaces.
- Fast and simplified process of company setup in UAE.
- DMCC offers various office solutions, from flexi desks to serviced offices.
- Access to world-class amenities and a high standard of living in Dubai.
- Business-friendly environment
- Central location in Dubai with easy access to transportation
How do you start a business in the DMCC Free Zone?
Step 1: Choose your company name
This is your first chance to make a lasting impression. Brainstorm names relevant to your business activities, memorable, and easy to pronounce. The DMCC has some restrictions on company names, so ensure it adheres to their guidelines. Before finalizing your choice, you can check for name availability online through the DMCC portal.
Step 2: Determine business activities
DMCC offers a wide range of business activities from which you can choose. Carefully consider the core functions of your company and identify the specific activities that best represent what you do. The DMCC website provides a detailed list of available activities, or you can consult with a business setup specialist for guidance. Selecting the right activities is crucial, as it will determine the type of license you need to acquire in the following step.
Step 3: Choose a legal structure
The legal structure you choose defines how your business operates and the level of liability for its owners. DMCC offers several options, including sole proprietorships, limited liability companies (LLCs), and branch offices. Each structure has its advantages and disadvantages. Consider factors like the number of owners, desired level of control, and potential for future growth when deciding.
Step 4: Get initial approvals
Once you have chosen your company name, business activities, and legal structure, it’s time to submit an online application for initial approval with the DMCC. This application will include details about your company, its shareholders, and the chosen activities. You’ll also need to pay an initial fee and submit some required documents, such as proof of your residential address and copies of passports for shareholders and directors. After carefully reviewing your documents and application, the DMCC will give you initial approval.
Step 5: Open a corporate bank account
With initial approval in hand, you can proceed to open a dedicated bank account for your company. This account will be used for all your business transactions. The DMCC will provide a letter authorizing you to open a corporate bank account. Different banks may have varying requirements and fees, so it’s advisable to compare options before selecting one.
Step 6: Secure your license
The final step involves obtaining the official business license from the DMCC. The specific license type will depend on the business activities you selected earlier. You may need to submit additional documents or pay licensing fees. Once all requirements are met and the license is issued, you’ll be officially ready to launch your business operations in the DMCC Free Zone.
How much does setting up a company in the DMCC Free Zone cost?
| Category | Cost | Duration |
| Mandatory Fees | ||
| Company Registration Fee | AED 9,000 – AED 10,000 | One Time |
| Minimum Share Capital | AED 50,000 | One Time |
| Variable Costs | ||
| Business License | Varies depending on activities (few thousand dirhams – higher amounts) | Annual |
| Visa Fees | Application and processing fees | Per Visa |
| Office Space | Varies based on size and amenities (flexi desks, co-working spaces, private offices) | Monthly/Yearly |
| Professional Services | Optional (consultant fees) | Varies |
What is the minimum capital requirement in DMCC?
The minimum capital requirement to set up a company in the DMCC Free Zone is AED 50,000 (around USD 13,600). This is a one-time payment that needs to be deposited into the company’s corporate bank account.
It’s important to note that this capital is a financial commitment and can be withdrawn after registration.
However, If you require a Managing Director visa, which allows you to reside in Dubai and manage the company, the minimum share capital requirement may increase to AED 60,000 per shareholder.
Get Help From Ignite Zone:
Hopefully, this guide has helped you gain insights on setting up a business in the DMCC-free zone. For further clarification, you can contact us and get a consultation from our expert team.
Ignite Zone offers FREE Consultation with the most cost-effective packages. So, book your’s now!
