Company incorporation in Dubai CommerCity

08.03.2024

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Price

3450 USD

Registration period in days: 21

Dubai CommerCity is a pioneering trade precinct strategically situated in Dubai, United Arab Emirates. This mercantile nucleus is a compelling locale for visionaries and firms seeking to expand their business globally.

Inaugurating a corporation in Dubai CommerCity (DCC) is of exalted strategic momentousness in the vista of the worldwide economy. The locality embodies an unparalleled chance to amplify trade prospects through its paramount geographical placement, pioneering trade ambiance, and propitious juridical milieu. This maneuver unlatches portals for ingress into an extensive array of markets, furnishes approach to sophisticated infrastructure, and proffers potential for intercontinental collaboration.

This article will furnish an exhaustive examination of the principal elements that render this locale beguiling for commercial endeavors, and will deliberate the methodology and outlooks for instituting an enterprise in Dubai CommerCity.

Overview of the Dubai CommerCity Free Economic Zone

Dubai CommerCity is a sui generis exempt economic zone fixated on burgeoning the e-tailing sector in the MENA locality, rendering it the primogenial of its genus in the Middle East and North Africa. The endeavor possesses an investment of AED 3.2 billion and envelops an expanse of 195184.3 square meters. The intent of the enclave is to equip cosmopolitan and indigenous marques with an ecosystem to proficiently administer and proliferate e-tailing within MENA.

The DCC was concocted through the synergy of two momentous government entities - Dubai Aerodrome Exempted Spheres Authority (DAFZA) and Wasl, an immovable property enterprise. This strategic alliance amalgamates proficiency and assets to fabricate an unparalleled and avant-garde expanse precisely crafted for e-tailing exigencies.

Dubai CommerCity proffers patrons avant-garde technics and infrastructure resolutions to amplify e-tailing efficacy and triumph. The endeavor aspires to entice enterprises endeavoring to fortify their stance in the MENA marketplace, as well as bolster fledglings in their pursuit for expansion and advancement.

History and development of Dubai CommerCity

Dubai CommerCity embodied the Dubai government's strategic vision to develop innovative technology and trading platforms. This project was a response to the growing demand for modern electronic trading solutions in the early 2010s. At that time, thorough analytical studies were conducted to assess the potential and viability of the companies in Dubai CommerCity.

Based on the aftermath of the scrutinies, the cardinal goals and crusade of the enterprise were delineated. The DCC sector harbors aspirations to metamorphose into a pioneering and rivalrous e-trade hub, fostering global commerce, enticing capital infusion, and engendering occupations in the locality. The ensuing phase entailed the procedure of scheming and provisioning the groundwork for Dubai CommerCity. In the mid-2010s, vigorous formulation of edifices, amenities, and technological frameworks commenced, alongside the quest for a fitting land parcel for the undertaking. In the tardy 2010s, the erection of the principal edifices of Dubai CommerCity was initiated. This epoch was accompanied by an energetic quest for investments and alliances to underwrite the initiative. In the incipient 2020s, the DCC Liberated Economic Zone was efficaciously inaugurated, unfurling its portals to enterprises and trailblazers yearning to avail of this unencumbered zone to burgeon their enterprises.

Dubai CommerCity Project Development Plan

The Dubai CommerCity undertaking is an unprecedented evolution fashioned employing avant-garde and pioneering methodologies to attain investment constancy. Its masterplan encompasses three pivotal clusters, each of which adds to the configuration of a sagacious and superior business biosphere.

I. Business cluster

The commerce constellation at DCC encompasses 12 avant-garde edifices with a leasable expanse of 175,000 square meters and a comprehensive constructed area of 240,000 square meters. This constellation is crafted with LEED - Leadership in Energy and Environmental Design - in consciousness, accentuating its dedication toward eco-friendliness and energy parsimony. In this realm, the architectural conception amalgamates contemporaneity and utility, engendering an invigorating ambiance for commercial endeavor.

II. Logistics cluster

The Logistics Hub comprises 105 particularized establishments for logistics exigencies, encompassing an expanse of 54,000 square meters and proffering a leasable expanse of 53,000 square meters. This expanse is furnished with the preeminent technological strides to attend to the exigencies of logistics enterprises and their patrons. The implementation of solar arrays on the summits underscores the accentuation on eco-friendliness and durableness, constituting a pivotal facet for all enterprises in DCC.

III. Social cluster

At the epicenter of Dubai CommerCity lies a societal constellation that epitomizes solace and heterogeneity for denizens and sojourners. It encompasses art emporiums, copious bistros and eateries, and recreational amenities that accommodate the exigencies of e-commerce enterprises and establishments endeavoring to station their main offices in Dubai. The societal constellation fosters a vibrant and participatory populace, fostering interplay amidst corporations and their staff, while also furnishing a delightful ambiance for vocation and pastime pursuits.

Industry analysis for companies in Dubai CommerCity

Dubai CommerCity is a special economic zone specialising in various e-commerce sectors. Registering a firm in the DCC can maximise benefits for a number of sectors including:

Electronic Commerce (e-commerce). DCC furnishes an exemplary podium for e-trade enterprises, irrespective of their magnitude and inclination. With cutting-edge infrastructure and entry to avant-garde technologies, enterprises in this sphere can proficiently administer their digital emporiums, allure fresh patrons, and augment their footprint in the MENA marketplace.
Logistic and consignment. The propitious situation of this FEZ renders it a quintessential locale for enterprises specializing in logistic and consignment of commodities. Owing to its adjacency to the principal transit pathways and well-established infrastructure, these enterprises can guarantee swift and proficient consignment of their commodities across the MENA region.
IT and Technology. Dubai CommerCity provides excellent opportunities for IT and software development companies. This region attracts the attention of technology startups and innovative companies due to its advanced infrastructure and access to skilled professionals.
Retail and Branding. The DCC Free Economic Zone provides companies in retail and branding with access to a large audience of consumers in the MENA region. Modern shopping centres and branding opportunities make this FEZ attractive to firms looking to strengthen their international market position.

The role of Dubai CommerCity in the economic development of the region

Abudant ExchangeVillage performs a pivotal function in propelling the area's economic upsurge and progression, offering a plethora of advantages and prospects for enterprises and financiers. What precisely are the responsibilities that AEV satisfies in the economic milieu of the MENA region:

Attracting pecuniaryDubai CommerCity allure noteworthy pecuniary both domestically and from abroad. This is assisting to augment pecuniary in the region and engender new vocations.
Stimulating trade Thanks to modern infrastructure and unique conditions for business development, the DCC FEZ stimulates international and regional trade. Companies registered in DCC can easily establish partnerships and increase their market share.
Job Creation Dubai CommerCity promotes job creation opportunities in various sectors of the economy including online trading, transport and logistics operations, IT industry, etc. This helps to reduce unemployment and improve living standards.
Promoting innovationThis free zone supports innovative projects and start-ups by facilitating the development of technologies and new business models. This helps to improve the region's competitiveness and attract major players in innovation.
Increased international visibility With its status as a global e-commerce centre, Dubai CommerCity helps increase the international visibility of the MENA region. This draws attention to the region's potential and contributes to its further economic development.

Dubai CommerCity's role in the economic development of the region is to create a favourable business environment, attract investment, stimulate trade and innovation, and enhance the international attractiveness of the MENA region as a centre for e-commerce development.

Key business benefits of Dubai CommerCity

Dubai CommerCity's key business benefits:

Geographical Location

Dubai CommerCity is strategically situated proximate to Dubai International Airport (DXB), the orb's most frenetic transnational aerodrome, and thoroughfares, affording swift ingress to pivotal conveyance pathways. This singular topographical position enables universal commerce and secures enterprises optimize their business visibility, collaborating with both indigenous and transnational markets.

Business Infrastructure

Dubai CommerCity possesses an avant-garde and adept commercial infrastructure, encompassing cutting-edge office space, warehousing, logistical amenities, and sundry provisions meticulously crafted to cater to the exigencies of a multifarious array of enterprises.

Tax incentives and legal environment

The affair milieu in Dubai CommerCity possesses a multitude of alluring pecuniary inducements for entrenched enterprises in this FEZ, encompassing unmitigated exoneration from individual and corporate levies, trifling tolls on customs, and absence of any requisite minimal pecuniary investment mandated to inaugurate an enterprise. This autonomous precinct similarly proffers a complete one hundred percent external dominion, one hundred percent remittance of assets and yields, and absence of international monetary exchange constraints. This furnishes innovators with expedient circumstances for cultivating their enterprise without superfluous fiscal encumbrances.

Advanced logistics

Dubai CommerCity's paramount locale empowers enterprises to adeptly administer their conveyance and consignment of commodities. Gratitude to its avant-garde logistical framework and cutting-edge technology, enterprises in this vicinity can promptly react to fluctuations in requisition and furnish their patrons with a superior degree of assistance.

Innovative environment

Dubai CommerCity fabricates an avant-garde milieu that nurtures the evolution of nascent technologies and business paradigms. With ingress to cutting-edge technologies and assets, enterprises in the locale can ardently cultivate their endeavors and aspire to emerge as vanguards in their sectors.

Types of companies in Dubai CommerCity

There are three types of companies available at Dubai CommerCity, taking into account the legal organisation model:

Joint Stock Company.
A company in a free economic zone.
Free zone organisation (branch).

Public Joint Stock Company (PJSC)

This type of company is one of the main types of companies that can be set up in Dubai CommerCity. This type of company provides a flexible management and liability structure, allowing shareholders to have limited personal liability for the company's debts. A joint stock company can raise capital from investors by selling shares on the open market.

Free Zone Company (FZC)

A Free Zone Company is another frequently used type of legal entity within Dubai CommerCity. This type of company has a number of advantages such as independence from local partners, full ownership and control of the business, and tax benefits. The FZC is authorised to conduct business activities within the LEZ and interact with external and internal markets.

Free Zone Establishment (FZE)

Free Zone Establishment (FZE) denotes a ramification or emissary domicile of an exotic or indigenous conglomerate accredited with Dubai CommerCity. FZE enables extant enterprises to broaden their commercial undertakings into uncharted arenas by employing the edifices and amenities of the Free Zone. This variety of entity preserves a juridical and fiscal nexus to the progenitor institution, albeit is likewise capable of functioning within and beyond the Free Economic Zone, availing itself of all the privileges that Dubai CommerCity furnishes, encompassing fiscal encouragements and ingress to worldwide markets.

These three types of companies offer different structures and business advantages depending on the objectives and strategy of the company registered with Dubai CommerCity.

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Legal requirements for setting up a company in Dubai Commercity

The Dubai CommerCity (DCC) regulations set out certain legal requirements for both founders and companies wishing to incorporate in the region.

Number of shareholders

The DCC requires a minimum of one shareholder to establish a company, while for certain types, such as joint stock companies, there is no limit on the maximum number of shareholders. For other DCCs, the limit on the number of shareholders is 50. This provides flexibility for different business models, from individual entrepreneurs to large groups of investors wishing to establish a business in Dubai CommerCity.

Requirements for founders

The founders of a company must meet certain criteria set out in the DCC rules. These usually include:

Reaching the age of majority (18 years) for individuals.
Registration of a legal entity or company for legal entities.
Compliance with all requirements and regulations established by Dubai CommerCity.

Financial liabilities

Founders and companies must also comply with financial obligations, including:

Payment of necessary registration and administrative fees.
Providing accurate financial statements and information about the company's capital.
Compliance with all tax and financial obligations to the government and governing bodies.

Compliance with these legal requirements will help founders and companies to successfully register and operate in Dubai CommerCity, ensuring compliance with all applicable laws and regulations.

Share Capital Requirement

In accordance with DCC's policy, the minimum required share capital for companies is AED 1.

The DCC is also committed to ensuring that companies comply with regulatory and statutory regulations, including data protection. This is important to ensure the security and confidentiality of customer information, to comply with data protection rules and regulations, and to ensure customer and partner trust.

Types of licences for companies in Dubai CommerCity

Dubai CommerCity provides various types of licences to suit the needs of different types of businesses. Below is an overview of the main types of licences and their specifics:

Trade Licence

The Trading Licence is for enterprises in DCC occupied in peddling or bulk vending of wares or amenities. It sanctions a enterprise to vend domestically and globally and to deal with other enterprises within Dubai CommerCity.

Service Licence

A service licence sanctions establishments entrenched in Dubai CommerCity to furnish sundry amenities such as counsel, rectification, patronage, etc. This variety of concession is apt for enterprises furnishing amenities sans vending particular vendible wares.

Industrial Licence

The Industrial Licence is for enterprises in Dubai CommerCity involved in fabricating and/or manipulation of commodities. It authorizes companies to possess their own fabrication apparatus and fabricate commodities within the DCC LEZ.

E-commerce licence

The online commerce licence is a specialized genre of authorization charter for companies engrossed in cybernetic trade and amenities on the interweb. It furnishes companies in Dubai CommerCity with the capability to peddle their amenities and wares over the interweb, as well as ingress regional and worldwide markets.

General Trade Licence

This permit allows a vast array of mercantile pursuits encompassing ingress, egress, re-egress, stowage, and dispersal of commodities. It furnishes the possessor with an extensive array of possibilities to transact in a plethora of commodities within Dubai CommerCity and further afield.

Dual Licence with DED

Dual Licence with with DED affords corporations enlisted with Dubai CommerCity the occasion to petition for a Dubai Department of Economic Development (DED) entitlement sans the necessity to lease corporeal office expanse on the hinterland. Post enrollment with Dubai CommerCity, a corporation can seek a DED entitlement whilst persisting to function from the DCC.

Step-by-step guide to registering a company with Dubai CommerCity

The company formation procedure at Dubai CommerCity consists of several important steps:

Step 1

Choosing the type of company and business structure

Ascertain the juridical configuration of your enterprise that ideally fits your prerequisites and business paradigm. Ponder alternatives encompassing a progeny, circumscribed firm, or alternative configurations of organization.

Step 2

Prepare the necessary documentation

Arrange the collection of manuscripts necessary to officially enroll your enterprise with Dubai CommerCity, encompassing memorandum of understanding, reproductions of the initiators' passports, enterprise plot, and additional documents necessary contingent on the particulars of your enterprise.

Step 3

Filling out the registration application

Achieve and dispatch your corporation enrollment plea, furnishing all the requisite particulars and annexing the obligatory papers.

Step 4

Obtaining a licence and registration documents

Once the enrollment procedure is consummated and all prerequisites have been fulfilled, you will obtain your Dubai CommerCity commercial charter and all requisite registration documentation.

The temporal and expenditure to enroll a corporation with Dubai CommerCity may fluctuate contingent on numerous facets, encompassing the classification of permit, juridical configuration, nature of possession, and the particular stipulations of your enterprise.

Often, the proceeding of instituting a corporation in the DCC can consume anything from a handful of sennights to many mooncycles, with the precise timetable being ascertained by the singular conditions of your endeavor and the statutes of the BMS.

Documents required to establish companies in Dubai CommerCity

In order to set up a company in Dubai CommerCity, a certain set of documents will be required:

Articles of Association and Articles of Incorporation.
Documents on appointment of directors and authorised persons of the company.
Copies of passports of all the founders of the company.
Proof of the residence address of the founders (e.g. copies of utility bills).
Copies of documents proving the origin of the funds invested in the company.
A comprehensive business plan should cover the details of your business, including its mission, objectives, and growth strategies, as well as forecasting financial performance.
Documents confirming the address of the company's registered office in Dubai CommerCity.

It is important to clarify all the requirements and documentation needed to register a business in Dubai CommerCity and ensure they are in place according to the rules and regulations of this free zone.

Creation of a corporate account for a company with Dubai CommerCity

To open an account for companies with Dubai CommerCity, it is first necessary to familiarise yourself with the requirements and procedures established by the banking institution. This procedure requires the submission of certain documents and the fulfilment of certain conditions.

Determine the banking institution whose services and offerings best suit your business needs, paying attention to such aspects as fees, customer service, account terms and conditions, and internet banking features.

Prepare a complete set of documents for opening a business account, including your company's articles of association, proof of identity of the founders, a detailed business plan, and any other materials required by your bank.

Along with the package of required papers, submit an application for opening a corporate account with the selected bank. Make sure that all documents submitted are filled out correctly and completely to avoid delays in the account opening process.

The bank will verify the documents provided and your company before making a decision to open an account. This process may take some time, as the bank needs to verify the legality and legitimacy of your business with Dubai CommerCity.

Once your application has been approved and all documents have been verified, you will receive the necessary documents from the bank confirming the opening of the account. You will then be able to activate the account and start using it for financial transactions.

Company liquidation at Dubai Commercity

The process of winding up a company in Dubai CommerCity (DCC) is a major step that requires not only the correct completion of certain steps, but also compliance with all relevant requirements and free zone legislation.

Firstly, a resolution must be passed to wind up the company. This decision is usually taken at a shareholders' meeting and must be documented. The free zone registrar must then be notified of the intention to wind up the company.

Next, a liquidator is appointed who will be responsible for carrying out the liquidation process. The liquidator must provide written consent to his or her appointment.

An important step is the cancellation of visas and work permits for foreign employees of the firm at the DCC, if any. This must be done in accordance with UAE law.

It is also important to obtain no objection certificates from creditors and other stakeholders. These documents confirm that the company has fulfilled all its obligations to third parties.

In some cases, it may be necessary to publish an announcement of the company's liquidation in the local press or newspaper.

Finally, if your company was registered as a VAT taxpayer, an application for deregistration with the tax office must be submitted.

YB CASE offers its services and expertise in the process of establishing a company in Dubai CommerCity. Our specialists have the necessary experience and expertise to provide you with professional support at every step of this important process.

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