Dubai Multi Commodities Centre (DMCC) Free Zone

Dubai Multi Commodities Centre, developed for trade and commerce, was established and launched in the year of 2002. Hailed as the ‘Gateway of Trade’, DMCC has cemented itself as one of the most developed free zones in Dubai. It is located at a strategically remarkable location, opposite to Dubai Marina beach and close to Emirates Mall. DMCC is in a highly developed lakefront development named Jumeirah Lake Towers (JLT).

Dubai Multi Commodities Centre (DMCC) is considered one of the fast-growing free trade zones in the UAE. DMCC plays an essential role in connecting worldwide markets through trade.

The Dubai government established it in 2002 to serve as a commodity-related commercial centre. The Financial Times FDI magazine has honoured the DMCC Free Zone as "Global Free Zone of the Year".

 If you desire to establish a business in DMCC, read the entire write-up to understand it.

Benefits of DMCC Free zone Company Setup

 Before setting up any company, one should thoroughly research the free zone they choose. Choosing the free zone will guide you to make your business more flourishing.

  • 100% foreign ownership
  • 100% capital repatriation
  • No personal or corporate income tax
  • Free flow of currency
  • Availability of industrial, residential, commercial and retail space
  • Low-cost residential & commercial areas for sale and rent
  • Highly secured business environment

You can read our blog about the various benefits of starting a business in the Dubai free zone if you want a deep understanding. 

What are the business activities allowed in DMCC free zone? 

DMCC allows any business activity under the following sectors:

  • Energy
  • Food & Agriculture
  • Technology & Telecom
  • Automotive Transportation
  • Professional Services
  • Hospitality
  • Construction, Engineering, and Machinery
  • Metals & Minerals
  • Shipping & Logistics
  • Real Estate & Facility Services
  • Hospitality
  • Education

What are the business Facilities provided by DMCC freezone? 

When forming a DMCC company, you have four different alternatives for renting facilities. The business facilities provided by DMCC freezone are as follows, 

  • Flexi-desk facility
  • Serviced desk or office
  • Executive office in any of JLT's commercial buildings
  • Warehouse in JAFZA free zone

What licenses does the DMCC company setup necessitate? 

One of the essential factors of starting a business is licensing. Can you imagine starting a business without a permit? 

If this occurs, the company will be forced to close down immediately.  As a result, it's better to know about the different types of licenses one can get in the DMCC free zone.

 General Trading License 

With the help of a general trading license in DMCC, one should get various benefits. 

A general trade license permits an investor to sell, distribute, store, import/export, and do other activities. A General Trading License is required for a wide range of commercial operations, including retail and wholesale of commodities and the sale of accessories, clothing, furniture, and electronics.

Commercial/ Trading License 

With a DMCC commercial or trading license, you can trade, import and export items into, out of, and across the UAE and provide some services. 

Service License 

A service license allows you to engage in providing services or running a consultancy. If you want to learn more about the different types of activities that can be done under various licenses, visit the Department of Economic Development's website.

How to Incorporate a Company in the DMCC Freezone? 

As we know that DMCC is the best and cheapest freezone, it would be a favourable place for starting your start-ups or widening your business. However, if you want to become a billionaire or more, you can keep reading and analysing the various steps for your clear understanding. 

Below are the steps one should take into consideration before opening a company. 

Decide your Business Activity 

The first step is to select a beneficial business activity for your company. There are almost 2,100 business activities to choose from, all of which fall into various categories within the industrial, commercial, professional, and tourism sectors. The complete list may be seen on the DED website

After finding it, you may choose the best activity for your company. However, before deciding on an activity, do some market research to see which industries are currently thriving. 

Select Legal Structure 

After selecting the business activity, the next one to decide on is the corporate infrastructure. The sorts of businesses and activities should determine it. There are three different forms of corporate infrastructure:  The types of Legal Entities in DMCC are as follows: 

Free Zone Establishment (FZE)

This type of company can only have one shareholder and must start with a capital of AED 50,000. 

Free Zone Company (FZC) 

A Free Zone Company can have around two to five shareholders, with a minimum capital requirement of AED 50,000 per shareholder. 

Branch of a Local or Foreign Company

A Branch is a legal representation of its parent firm that requires no capital to establish. 

Strategic Location 

After finding a suitable legal structure, your next concern should be seeing a convenient location for your business. As we know that DMCC is one of the best free zones to do your business, starting any business will provide you with great success. 

Choose a Suitable Name 

You must follow the UAE's rigorous naming guidelines when naming a company. Offensive language in a name might be harsh to religion or related. 

Names that include offensive language or related to political organisations or the mafia are prohibited.

 If your company is named after a person, you must prove that the person is a partner or owner (no initials or abbreviations allowed). 

Choosing a name for your company might be difficult. However, you may save time and work by hiring a professional to assist you in following the rules and getting your name authorised. 

Obtain Your License

After deciding on a good name, the following step is to secure a licence. The sort of licence you need depends on your company's needs. If choosing and obtaining a licence proves challenging, a business consultant can assist you. 

One should be able to start a business after getting a business licence. 

  • Application form duly signed by any authority
  • Address proof
  • Personal data sheet of shareholder(s)
  • Business plan
  • Passport copy and specimen signature of manager, shareholder, and director
  • Certificate of incorporation
  • Details of an existing company (for setting up of branch)

Open a Bank Account 

Once your DMCC firm is established and running, you must deposit AED 50,000 into a local UAE bank. Your chosen local UAE bank will send a letter confirming the AED 50,000 paid-up capital deposit into the business account. This is a necessity for completing the post-company setup banking procedure under DMCC. 

Furthermore, the AED 50,000 placed into the local bank account may be withdrawn immediately and does not need to remain in your company's bank account. However, to make your corporate bank stays open, it is advised that you have a minimum balance in it.

 If you think the points mentioned above reached your criteria, without a doubt, you can start a company in DMCC free zone. Moreover, you can call us if it has any queries related to business. Meanwhile, we provide many services to our clients, such as setting up a company, opening a bank account, visa services, and finding a local partner.

To learn more about starting a business, you can read the blog on how to start a company in Dubai free zone.

Our Role

We at Business Setup Worldwide help you in each step. So, if you think you have reached the right place, please feel free to contact us. We are happy to assist you. Your happiness is our pride, and your success is our main motto.

 

FAQs

What documents are required for the company to set up in DMCC?

The documents required for the company setup process in DMCC are,
Passport copy
Utility bill
CV
Business plan for specific activities

What is the fee for setting up an office in the DMCC freezone?

As per the requirements of your business needs and the activity you choose, the cost of setting up the company may differ.

How long does it take to establish a company in the DMCC free zone?

It takes around 3-4 weeks to start a company in the DMCC free zone.

Who issues a license in DMCC freezone?

The respective freezone authority issues license in the DMCC freezone.

How far does it take to obtain a DMCC license?

It takes around 2-3 days to obtain a license in DMCC license.