New Guidelines to Enhance Ease of Doing Business in Dubai’s DMCC

In recent news, a set of new rules and regulations have been announced by the Dubai Multi Commodities Centre (DMCC) to enhance further the ease of setting up and operating the business in DMCC effective from the 2^nd January 2020. The new guidelines update DMCC’s existing company law framework, providing greater flexibility and ease of operations for businesses registered within the DMCC and increasing the remit of their business activities. The new regulations also make it simpler to start a company in the region’s leading trade hub.

Here are some of the prominent features of the new set of guidelines:

• Enhanced flexibility around a company’s Article of Association.
• The option to modify the structure of shareholdings.
• Business registration of a variety of share types.
• New dormant status.
• An increased capacity to shift business formation into DMCC.

Some of the key enhancements to the framework include increased flexibility around the company’s Articles of Association, the introduction of diverse share types, allowing companies to modify the structure of shareholdings, a new dormant status has been presented, and a more significant ability to transfer company formation in DMCC.

Following a widespread data gathering and shareholder engagement period, three of the world’s top law firms were consulted to progress the updated agenda in line with international best practices, ensuring DMCC retains its competitive edge.

DMCC Dubai Company Formation

Since its launch in 2002, DMCC has attracted over 16,000 local and global businesses of all sizes, from start-ups and SMEs to Fortune 500 companies. Business incorporation in Dubai Multi Commodities Centre provides updated business modules, state-of-the-art infrastructure, and relaxed measures for getting approvals, permissions, registration, trade, and licenses in Dubai.

DMCC registers approximately 170 companies every month, 95 percent of which are new to Dubai. Some of the leading colossuses accommodated by DMCC include gold, diamonds, colored stones and pearls, energy-related sectors, steel and base metals, and soft agricultural commodities (tea, cotton, and others).

DMCC company formation offered expansion and development made by the region favoring corporates and commercial entities. Free zone businesses could do business with utmost expediency. This phenomenon resulted in a large number of company formations in the DMCC Free Zone.

Some of the benefits of business setup in this free zone are –

• 100 percent foreign ownership.
• 0 percent personal and corporate tax.
• No capital repatriation restrictions.
• No currency restrictions.
• The comfortable and hassle-free company setup process.
• Ready-made office facilities, warehouses, factory units, and land plots are available.
   

How can we help?

We at Commitbiz LLC consultants are a platform to start a business in the UAE and its emirates. Our services include business formation, accounting and bookkeeping, corporate secretarial services, IP, and much more. Our consultants are well-versed in legal services and can make the process hassle-free. Contact us today – we will be happy to assist you.