Introduction
DMCC stands for Dubai Multi Commodities Centre, which is Dubai based world’s fastest growing free zone. DMCC free zone is a leading centre for trading international commodities such as gold, diamonds, precious metals, tea, food, and industrial materials.
DMCC Dubai is the world’s most interconnected free zone and the leading trade and enterprise hub for commodities. DMCC offers everything that its vibrant community requires to be able to work, live and prosper. In the DMCC free zone, there are more than 80 residential and commercial towers and 600 plus retail outlets. Made for Trade DMCC can proudly continue to strengthen Dubai’s status as the ideal location to trade globally, both in the present and into the future.
Benefits of DMCC Free Zone
- World’s No. 1 Free Zone
- Hub for trading international commodities
- Wide range of business activities
- Dedicated online portal for all the services
- No personal and corporate tax
- 100% capital repatriation
- No currency restrictions
- 100% foreign business ownership
- Fasted growing free zone in the UAE
- High-level infrastructure with a wide range of freehold properties to buy or rent
- Strategic location
(Source : DMCC youtube channel)
DMCC company setup require below license types
The type of license generally decides based on the company’s nature and business activities. There are 3 types of business license available in DMCC free zone and each license has its unique features and applications.
Trading License
To incorporate a company in Dubai which involves in buying and selling of goods then the company needs to apply for a trading license. Trading license facilitates import-export from, to, and within the UAE with the activities specified under the trading license.
Service License
To incorporate a company in Dubai which provides professional, legal, financial, media, technology, education, energy and healthcare services. Service licenses can be applied for foreign company’s representative offices, holding companies, family offices as well as retail activities such as restaurants and cafes.
Industrial License
To incorporate a company in Dubai which involves in manufacturing activities that process raw material and transform it to final products. Industrial license covers industries such as gold, precious metal, diamonds, foods manufacturing etc.
DMCC free zone recently introduced Crypto Centre for Cryptocurrency businesses. You can read our full arctile by clicking here.
Minimum share capital requirement for DMCC company setup
The minimum share capital requirement for a DMCC free zone company shall be AED 50,000/- per company (Value of shares should be minimum of 1,000 or multiples of 1,000). The share capital needs to be deposited in the company’s bank account in the UAE within six months from the issue date of the company’s license. It can be withdrawn anytime thereafter.
If the owner of the company does not intend to have a visa under the DMCC free zone company then the minimum share capital requirement shall be AED 10,000/-.
DMCC license Cost
DMCC license cost includes pre-approval charges, registration charges, trade license cost, Article of Association cost and establishment charges as mentioned below:
| Sr. No. | Particulars | Amount (AED) |
| 1 | Pre-approval | 1,035/- |
| 2 | Registration | 9,020/- |
| 3 | Trade license | 20,285/- |
| 4 | Article of Association | 2,020/- |
| 5 | Establishment card | 1,835/- |
Types of office available and cost
DMCC offers a suitable space and property solution to ensure your business succeeds. DMCC has everything the company needs, from fully equipped offices on full floors to virtual desks. All of them are located in the Jumeirah Lakes Towers area, one of the most desirable location of Dubai. Following are the office options available in DMCC free zone along with its cost:
| Sr. No. | Type of office | Amount (AED) |
| 1 | Flexi Desk | 18,500/- |
| 2 | Serviced Office | 40,000/- |
| 3 | Physical Office | Depends upon the size, generally it starts from AED 60/- per Sq. Ft. |
DMCC visa cost
All visas will be valid for three years for owners and employees. Company owners cannot get a visa designation as “Investor” like in many other zones. Instead, they can have “Partner”, any top managerial designation.
| Sr. No. | Particulars | Amount (AED) |
| 1 | Employment residence visa – Outside country | 3,360/- |
| 2 | Employment residence visa – Inside country | 3,800/- |
| 3 | Status Change (applicable fo inside country visa) | 763/- |
| 4 | Medical examination (VIP – 4 to 6 hours) | 850/- |
| 5 | Emirates ID | 375/- |
| 6 | Health insurance (valid for 1 year) | 1,000/- |
List of documents required for DMCC company setup
Documents required will be based on whether the shareholder of the DMCC company is an individual or a corporate entity. Also, a business plan summary will be required for certain activities.
- Passport copy
- UAE Residency Visa and Emirates ID (if UAE resident)
- Proof of residential address in country of residence (for example a utility bill)
- Answers of the questionnaires provided by DMCC
- If setting up a branch or a subsidiary, copies of the parent company documents
Timeline
| Sr. No. | Process Name | Working days |
| 1 | Pre-approval (includes name approval, management approval and compliance approval | 7 to 10 |
| 2 | Registration of the company (once the company will be registered, Provisional approval to book the office and Bank letter to open bank account will be issued) | 3 to 5 |
| 3 | Issuance of company license | 3 to 5 |
| 4 | Issuance of Establishment card | 5 to 7 |
Additional Requirements
There are some additional requirements after getting the trade license of the company.
Annual Operational Fit Out Certificate (AOFC)
The operational fit out certificate for fit out of the premises is mandatory to obtain from Concordia. Flexi Desks and Service offices obtained from DMCC are not required to submit the operational fit out certificate.
Third Party Insurance for office
Third party liability insurance (also known as public liability) is a mandatory requirement for all DMCC Free Zone member companies. It covers the legal liability to third parties for accidental bodily injury, or accidental loss/damage to material property caused in connection with the Insured’s Business within the defined territorial limits.
Workmen’s compensation
Workmen’s compensation insurance is a mandatory requirement for all DMCC Free Zone member companies. It covers legal liability to employees for occupational injury during the course of their employment, within the defined territorial limits.
Read Also : The Simplest Guidance For Free Zone Company Setup In UAE
Read Also : Options to get Dubai Investor Visa
DMCC License renewal cost
The cost of DMCC free zone company renewal is less than that of formation. The charges for pre-approval, registration and Article of Association are one time hence at the time of DMCC license renewal, Only the below charges shall be applied:
| Sr. No. | Particulars | Amount (AED) |
| 1 | Trade license | 20,285/- |
| 2 | Establishment card | 1,835/- |
| 3 | Office | Depends upon type of office choosen |
DMCC free zone license must renew on or before the expiry otherwise late renewal penalty will be applied as per below:
| Between | Amount (AED) |
| 1-30 | 2,520/- |
| 31-60 | 5,020/- |
| 61-90 | 7,520/- |
| More than 90 days | The company will be subject to termination by authority |
DMCC License Amendment
Almost all minor amendments to DMCC can easily be done through the online portal of the DMCC free zone. For shares transfers, the owner must visit you personally or have a Power of Attorney. Some amendments like adding or removing business activities can be done during trade license renewal.
DMCC free zone’s amendment charges can be between AED 515/- to AED 4,515/-.
DMCC company liquidation
DMCC license liquidation process takes around 2 to 3 months time and following steps are needs to be taken:
- Cancellation of visas
- Cancellation of establishment card
- Newspaper advertising for company deregistration
- Termination of lease
- Closure of company’s bank account
- Appointment of liquidator
- Submission of liquidator report issued by liquidator
- Collection of company deregistration letter
Total cost for DMCC company liquidation shall be around AED 10,000/-.
Conclusion
DMCC free zone is the fastest growing and world’s no. 1 free zone. Also it provides high level infrastructure to live and work in the Jumeirah Lakes Towers area which is opposite side of Dubai Marina and Jumeirah Beach Residences. It has great connectivity of Sheikh Zayed Road and Dubai metro.
DMCC free zone ideal for gold, diamond and precious metal trading business. We M/s The Prefect Advisors DMCC provide one stop solutions for all company related matters. You can contact us for more.
