Dubai Multi Commodities Centre Limited Liability Company Formation

One of several Free Zones in the UAE, The DMCC is the ideal place for company formations from start-ups to large corporations. Located close to Dubai Marina and Mall of the Emirates, the DMCC is world class business hub, located in Jumeirah Lake Towers and is ten minutes from Jebel Ali Sea and Air Ports and the Logistic corridor.

As a premier investment authority, DMCC, gives potential investors, individuals and companies numerous benefits in setting up a DMCC Limited Liability Company.

Although having the same regulatory authorities, the DMCC free zone companies have can operate in the commodities and allied sectors, while the Jumeirah Lake Towers (JLT) free zones operate in the non-commodities related sectors.

In a near to zero crime area, it provides one of the perfect area links between the East and the West.

  • Modern legislative framework
  • Full Business Ownership
  • Tax Benefits – No Corporate or Personal Tax
  • Dynamic Community
  • Networking Events
  • Training Sessions
  • Secure Regulated Environment
  • Licensing for a full range of business services
    (Trading, Service and Industrial)
  • Property Solutions – Freehold, Commercial and Residential
    (For sale or lease)
  • Forex Company
  • Financial Services
  • Manufacturing
  • General Trading
  • Import and Export
  • Management
  • Holding Company
  • Events
  • E-Commerce – Internet Trading

A DMCC LLC may not engage in banking, insurance, assurance, reinsurance, fund management, collective investment schemes, trust management, trusteeship business are not permitted.

A DMCC LLC can trade directly with a UAE company which holds and import/export license or it can enter into an agreement with a logistics company, which shall clear the goods and deliver them to the mainland.

A Free Zone License holder is permitted to import goods into the Free Zone from any Country without paying custom duty. There is only a duty if goods are moved out of the Free Zone. There are facilitates that provide for the storage of goods which are to be re-exported but the LLC is required to pay a deposit which is equal to the custom duty of the goods, upon re-export, the deposit is refunded.

The DMCC has no port of its own but JLT is located at only 10km along the Jebel Ali Port, one of the largest ports in the world. A DMCC Free Zone company many not retail its goods to the local markets directly, only through a distributor.
It is important to obtain and to re-apply for the license or licenses for which your business has received authorisation, to continue to act in that capacity.

Decision on the type of company: –

Limited liability Company as a newly formed entity with single or multiple shareholders.

Limited liability Company as a wholly owned subsidiary of local or foreign company.

Branch of local or foreign company

Decision on the type of business activities license according to business plan:-

License is specific to the selected activities. Application of multiple licenses or for a general trading license is also offered.

Licenses offered are Trading, Service and Industrial Licenses.

There us also the option of an e-commerce license structure which enables the company to set up an online platform or digital marketplace which promotes third party products and services and which facilitates commercial transactions between buyers and sellers in return for a commission or remuneration.

Other requirements are Original Valid Passport and proof of residential address (such as a Utility bill copy), Summary of the Company’s Business Plan and a Board Resolution to establish the company. In the instance of applying as a branch or subsidiary, copies of the parent company documents need to be notarised and attested.

A no “Objection Certificate” from sponsor, if holding a valid UAE visa. A registered address in the Free Zone.

Certain business activities have additional requirements such as third party approvals from regulating authorities.

Overview
Company TypeDMCC Limited Liability Company
Country Law

Federal and Sharia

As well as Independent System for Free Zone

Company Law

DMCC Free Zone - Rules and Regulations

Registered Office RequiredYes - Must have office space in Free Zone
Local Registered Agent RequiredYes - Resident Visa is also required
Shelf Companies PermittedNo
Migration Of DomicileYes
Average Time To Form Company

3 to 4 Business Working Weeks

(Including arranging of office space and visas)

DMCC Fees
Minimum Government Formation Charge

Pre-approval - AED 1,000 one-time charge

Registration - AED 9,010 one-time charge

License - AED 20,010 annual fee* Dependant on License

Memorandum of Association (MOA) - AED 2,010 one-time

(not applicable for branch set up)

Residence visa - AED 3,300 (Payable every 3 years)

+ AED 3,000 (refundable deposit)

Excluding Office Space or Agent Fees)

Recurring Minimum Annual Company License Fee

AED 20,010

Excluding Office Space or Agent Licensing Fees)

Annual Return Filing FeeNot Applicable
Corporate Tax
Corporation TaxNo
Access to Double Taxation TreatiesYes
Directors
Minimum Required Directors1
Local Director RequiredNo
Records PublicNo
Board Meeting LocationAnywhere
Corporate Directors PermittedYes
Privacy - Publicly Available RecordsNo

There is a minimum requirement of one Director, of which may be the only shareholder. Directors can be either individuals or corporate bodies of any nationality and resident of any country.

Company Secretary
Secretary RequiredYes
Local or Qualified PositionNo
Share Capital
Standard CurrencyDirham AED
Permitted Share CurrencyAny
Minimum Paid Up Shares

Fully Paid - Deposited within 3 weeks

Can be withdrawn after this time

Usual Authorised

AED 50,000 per Company

AED 10,000 per shareholder

Branches of companies have no such requirements

Bearer Shares PermittedNo
No Par Value Shares PermittedNo
Shareholders
Minimum Number Of Shareholders1 Shareholder
Corporate Shareholdes PermittedYes
Meeting LocationsCan be held anywhere in the world.
Privacy - Publicly Available RecordsNo
Company Accounts
Requirements To PrepareYes
Audit RequiredYes
Keep Financial RecordsYes
Requirement To File AccountsYes
Requirement to File Annual ReturnNo
Accounts Publicly AccessibleNo

Tax benefits of a DMCC LLC are No tax on personal income, corporate earnings, capital gains, sales, withholding.

No value added or import or export Tax.

DMCC - UAE Facts
Location

Free zone Authority for JLT Free Zone which is an area within UAE

Size

Approximate area of JLT 1 sq. km

Approximate area of UAE 83,600 sq. km

Population

Approximately 120,000 JLT

Approximately 9,346,129 UAE

Languages SpokenMain and Official Language is Arabic
CurrencyUAE dirham (AED)
PoliticsFederation of 7 Hereditary Monarchies
Economy

Main Industries for JLT:

Services and Financial Sector

Logistics Services

Transport

Air

Road - Driving on the Right

Boat

Rail

Time ZoneGST (UTC+4)
International Dialling Code+971
Internet TLD.ae

Contact us today to enquire about the Cost of Formation or if you have further questions regarding the application process.

Dubai Multi Commodities Centre (LLC) Formation Enquiry

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