DMCC Free Zone Company Setup
The DMCC Freezone, or Dubai Multi Commodities Centre Free Zone, is a popular destination for businesses and investors looking to set up a company in Dubai. The Freezone is renowned for its progressive business environment, including tax exemptions, 100% foreign ownership, and easy company setup procedures. If you’re considering DMCC free zone company setup, we’ve got you covered. Here we will discuss the potential benefits, how to set up a company in the DMCC Freezone, and other essential information you need to know before you enter into the world of business opportunities in one of Dubai’s most prestigious free zones. Dubai Multi Commodities Centre Free Zone (DMCC) The DMCC is the UAE’s largest free zone, situated in the Jumeirah Lake Towers district of Dubai. The Free Zone was established in 2002 and has now become a global hub for trade and commerce, attracting businesses from various sectors, including: Precious commodities: Gold, diamonds Energy: Oil, gas Steel and metals: Iron, steel, aluminium Agricultural commodities: Tea, coffee, cotton The DMCC Free Zone offers a variety of business licenses and support services to cater to the needs of diverse companies. It also supports commodity trading through organizations like the Dubai Diamond Exchange and the Dubai Gold Delivery Standard. Benefits of Starting a Business in the DMCC Free Zone Starting a business in the Free Zone offers several benefits, including: 1. 100% Foreign Ownership DMCC allows full ownership and control of your company by foreign investors. This eliminates the need for a local partner, simplifying the setup process and granting complete control over your business decisions. 2. Tax Incentives Businesses registered in the DMCC Free Zone enjoy limited corporate tax and 0% personal income tax. Additionally, there are no import or export duties within the free zone. 3. Business-Friendly Environment The DMCC offers a streamlined and efficient business setup process. They also provide support services, including company registration, visa assistance, and more. 4. State-of-the-Art Infrastructure The DMCC Free Zone offers world-class infrastructure and facilities, including modern office spaces, state-of-the-art logistics services, and advanced telecommunications infrastructure. 5. Industry-Specific Clusters DMCC is home to industry-specific clusters, such as commodities trading, gold and precious metals, diamonds, and tea, among others. 6. Access to a Network The DMCC houses a diverse community of over 24,000 companies from various sectors. This provides invaluable networking opportunities and potential collaborations for businesses to expand their reach and explore new markets. Types of Business Entities in DMCC 1. Limited Liability Company (LLC) This remains the most popular option for the DMCC. It can be established by individuals or groups and offers limited liability protection. The business structure requires at least one shareholder and director, who can be the same individual and doesn’t need to be a UAE resident. FZE and Multi-Shareholder Free Zone Company are variations of the LLC structure, serving to different shareholder needs. 2. Branch Office The entity is ideal for existing companies seeking to establish a presence in the DMCC without forming a separate legal entity. There is no minimum share capital required. 3. Representative Office Suitable for companies seeking to establish a marketing or liaison presence in the DMCC without conducting commercial activities. Business activities allowed at DMCC Freezone Here are some of the key allowed business activities at DMCC Freezone: Import, export, and re-export of various goods Commodities trading (precious metals, diamonds, and energy resources) Consultancy services (financial consulting, legal advisory, etc.) Financial services (investment firms, insurance companies, etc.) Technology and IT Advertising, publishing, or media production Tourism and Hospitality Healthcare and wellness services Real estate brokerage Other allowed activities Facilities Offered at DMCC Here are some of the key facilities offered: Office space (from flexible co-working spaces to large, private offices) Retail space Warehousing and logistics Business support services Restaurants and cafes Gyms and fitness centres Hotels and serviced apartments Specialized centres (Dubai Diamond Exchange, the DMCC Tea Centre, etc.) 6 Easy Steps to Register a Company in the DMCC Free Zone Setting up a company in the DMCC Free Zone involves several steps. Here’s a general step-by-step process: 1. Choose Your Business Activity Research and select the specific business activities your company will undertake. The DMCC offers a wide range, so ensure you choose the most relevant one for your operations. Choose a name and ensure the name complies with DMCC regulations. 2. Select Your Business Entity The most common options are a Limited Liability Company (LLC) and a Branch of a Foreign Company. Choose the one that best suits your needs based on factors like number of shareholders and desired control. 3. Submit Application Submit your chosen business name, chosen business entity type, and required documents to the DMCC authority. Pay the associated application fees. Once approved, you will receive an approval letter and a bank letter to open a corporate bank account. 4. Open a Corporate Bank Account Once you receive initial approval, you’ll need to open a corporate bank account. The DMCC can provide recommendations and assist with the process. 5. Choose a Location The DMCC offers various office spaces and business centres within the free zone. You can choose a location based on your needs and budget. 6. Receive Final Approval and Collect Documents Upon successful completion of the process, the DMCC will issue final approval and provide you with official documentation, including your company trade license and certificate of incorporation. Documents Required for DMCC Free Zone Company Setup You will need to gather various documents, including: Passport copies of all shareholders and directors Proof of address for shareholders and directors Business plan (optional) Bank reference letter No Objection Certificate (NOC) Other documents specific to your chosen business activity Cost of Starting a Business in the DMCC Free Zone DMCC free zone license cost generally starts from AED 10,000 to AED 50,000 depending on several factors, including: Chosen Business Entity, for example, LLC minimum paid-up share capital of AED 50,000 (around USD 13,615) is required. Visa fees Office space Business activities Bank account opening fees For a more accurate estimate, consult