If you are reading this then you have probably heard about Dubai free zones like Dubai south, Dubai world trade center free zone and DMCC free zone. While all of them are reputable free zones for business setup in Dubai, I would like to focus on the DMCC free zone which stands for Dubai Multi Commodities Centre Authority, in particular.
The main reason being that it is the world’s number 1 free zone. It is where many worldwide investors register their businesses as it is a hub for various and rare commodities trading licenses. They include gold and precious metals trading and even proprietary trading in crypto commodities.
This Freezone gives a wide array of DMCC license options which are grouped in three parts: trading, service and industrial.
A DMCC license is one of the strongest licenses in the UAE not to mention that it is well known by many authorities ranging from banks, government regulatory authorities, law enforcement bodies and many more. This makes it easy for you to go about your daily business endeavors with it once it is issued in the UAE.
Before I get ahead of myself, it is important to know how to actually obtain the DMCC license.
The first step would be to get in contact with business setup consultants in Dubai, who are well equipped to guide you with the company formation process. They would then find the activity best suited for what you want to do with your DMCC license.
Dubai licenses are one of the most expensive ones in the whole UAE. If you are looking for the cheapest solution, check out Dubai offshore company cost. Meanwhile, let’s get back to DMCC.
DMCC license cost fees go hand in hand with flexi desk expenses since, in UAE, all licenses need to have an address written on them.
The address will be of a virtual sharing office that is located inside the free zone. That is what we call a flexi desk. You can visit the flexi desk once your license is issued by the DMCC authority, but make sure to call the free zone before, since they are normally shared spaces with other DMCC license holders.
It is best to book an appointment before and keep in mind that you can only sit at your flexi desk 5 hours per week in most cases. If you want to sit there longer, then you would have to rent an office inside the free zone.
Once the DMCC company set up cost and flexi desk fees have been paid off, the license will be issued in 7 -10 UAE business days. It is a digital license since DMCC company documents are printed from your dedicated company portal.
Friendly tip: once your license has been issued, make sure to print it out in color and have the members at DMCC authority to stamp it for you with the DMCC stamp as some institutions like banks need the license to be stamped contrary to how it is given by default.
There you have it, your DMCC license is ready. It will have your company name written on it as XYZ DMCC since all companies incorporated there need to end with the abbreviations DMCC. The license will also include the company’s manager name, the company operational name (in case you want it to be different to the company name), flexi desk address, company contact information, date of incorporation and date of license expiry which is 1 year from the date the license is issued.
Meaning every year, the license and flexi desk fees need to be paid once more to the free zone in order to keep the company active not to mention keeping the visa applied under the company valid.
This can be done again through DMCC portal and at the same time, you will have to do financial audits for the company and submit copies of it to DMCC. That is pretty much it, now that you have your license, you are ready and set to start your business.