If you have decided to start a company in the UAE, one of the first tasks on your checklist should be to get familiar with the country’s free zones. Spread throughout the Emirates, free zones offer entrepreneurs a range of advantages that cannot be found elsewhere. Delve a little lower into the specifics of each free zone, and you’ll see that each offers its unique set of benefits.
Take Dubai Silicon Oasis (DSO) for example; this free zone offers a wide range of business setup services, startups and incubation, and venture capital funding schemes. It was launched in the year 2004, and it provides the best possible atmosphere for organizations to increase in the fast-growing high-technology sector of the Emirate. It has now become much easier for business people belonging to the technology sector to start a business in Dubai as Dubai Silicon Oasis is a free zone established exclusively to facilitate both budding and seasoned tech entrepreneurs and investors realize their dream of transformation and innovation.
Types of Business Entities in DSO Free Zone
Just like any other free zone, DSO also offers the same set of corporate structures as under-
- Free Zone Establishment (FZE) - Registering a company as an FZE is an ideal choice for those who wish to start it individually, as this business entity does not require any shareholder, and can be registered by an individual shareholder.
- Free Zone Company (FZCo) – This is one of the most preferred business setup types in Dubai. It requires having a minimum of two shareholders. An individual or company can own it.
- Branch Company – This type of business entity is suitable for those companies who already have an existing business outside the UAE. A branch company does not need a share capital to establish its business.
Types of Licenses in DSO Free Zone
Choosing an ideal license that covers all business activity is essential. Those wanting to start a business in DSO have the options to choose from three types of business licenses. They are as under-
- Trade License – This type of license is for those entrepreneurs who wish to import, export, and distribute product lines, as specified in the license
- Industrial License – This license is required for those who wish to carry out industrial activities such as importing raw materials and manufacturing, assembling, packaging and exporting finished products
- Service License – A service license is required for those investors who wish to operate a specific service business in DSO
Benefits of DSO Free Zone in Dubai
Setting up a company in a top-tier city like Dubai comes with a number of benefits; some of them are listed below-
- 100% foreign ownership
- 100% repatriation of capital and profits
- High-quality infrastructure and a wide range of shopping, hoteling, and entertainment options
- Investors can benefit from fast-track Silicon Oasis business setup and licensing
- The free zone offers avant-garde IT infrastructure and facilities which all the businesses registered under DSO free zone can benefit from
- Exemption from corporate and personal income and all imports and exports
Procedure to Start a Business in Dubai Silicon Oasis
The steps to start a company in Silicon Oasis comprises of the following steps. They are-
- Submit an application form. At this step, you will be required to register on DSOA’s customer portal
- Documents pre-approval from DSOA. Subject to the document review (activity and security check) initial approval and invoices are issued
- Fee payment and legal document submission. You are required to pay related fees and submission of legal documents
- DSOA issues e-agreement. This includes the lease agreement and a digital agreement, which will be sent to your registered email id
- Sign an e-agreement to sign a lease agreement and return that to DSOA along with a bank share capital letter
- E-license and E-registration will be issued
The documents required to start a business in DSO is as follows-
- Application form
- Letter of intent
- Passport copy/copies
- NOC for UAE residents only
- Bank statement/reference letter or audited financial report
- Company business plan
In most of the cases, the DSO business incorporation process takes only seven to ten days, provided that your application is complete and correct. It is vitally important to keep in mind that errors in your application can lead to delays or even rejection.
We at Commitbiz can help you start a business in Dubai and its free zone. Our advisors have years of experience in this field and can help you with your venture. Contact us today- we’d be glad to assist you.