Procedure to Start a Business in Dubai Internet City (DIC)

by Zaara 20, Nov 2019

Procedure to Start a Business in Dubai Internet City (DIC)

Although founded in 1999, the Dubai Internet City (DIC) didn't open its doors until 2000. It is a member of TECOM Investments and is the essential Information and Communications Technology hub in the Middle East and North Africa. This free zone is an ideal base for investors wishing to target emerging global markets. The population of the emerging markets is around two billion, with a GDP of $7 trillion. It is located and operates in the Dubai Technology and Media Free Zone's (DTMFZA) jurisdiction.

Starting a business in DIC free zone offers its business member a world-class infrastructure and an exceptional community. It delivers possibilities for a lucrative market for related IT establishments. Dubai Internet City also has networking opportunities and a centralized location. It allows companies to tap into other capital measures, partnerships, and cooperative concepts. DIC is an innovation hub that will boost technology, education, new media, and sciences.

Products and Activities Allowed in Dubai Internet City (DIC)

DIC is the region's leading centre where the ideas of tomorrow are born. As the most significant technology business hub in the region, it's a place where innovators and businesspeople work, connect and share their idea for a bold new tomorrow. The activities allowed in this free zone are as follows-

1.Software

It includes developing, installing, and modifying software products of their own or a third party

2.Internet and Multimedia

It includes creating and distributing internet or multimedia content. Other activities include distributing goods or services via the internet like online platform and acting as a mediator between multiple companies or multiple individuals

3.Telecommunication and Network

It includes installing, developing, modifying and operating networks or giving appropriate services designed for conducting network-based applications or services. The production of physical components within the zone and through the trading of physical features and products into the UAE market is not allowed

4.IT services

It includes developing providing standardized, repeatable IT-based services, which also provides security solutions, localizing, training, and corporate learning

5.E-Commerce

Activities related to individual services and products to third parties through electronic media such as an internet search engine, portal, website, social media, etc. for the purpose of facilitating sales activities.

Additional activities may include providing different applications through a network.

Legal Entities Allowed in DIC

  • Free Zone Limited Liability Company with individual and a shareholder
  • Free Zone Limited Liability Company with the corporate entity as a shareholder
  • Branch of a foreign/UAE company

Types of Licenses Available in DIC Free Zone

The licenses allowed in DIC are –

  • Service License
  • Trading License

How to Register a Company in Dubai Internet City?

To set up your business in DIC free zone, you must follow these steps.

  1. Apply for initial approval along with the following documents-
    1. Business plan
    2. Passport copies of shareholders, directors, and the manager
  2. The Dubai Internet City Authority will review the application and the documents and grant provisional approval. They will also give the list of documents needed for registering your business
  3. It would help if you accepted the provisional license by getting it signed and stamp. After this, you must send it back to the authority
  4. Before the next 15 days, you must send the list of documents as provided to you by the DICA for registering your company
  5. DIC will then review your documents, and if approved, will send you the Customer Confirmation Letter to the DIC
  6. You have to follow the same step as three again. Get the letter signed, stamped and return it to the authority
  7. The DIC, after receiving your letter, will issue an invoice for the initial payment
  8. After the initial payment is made, DIC will give Personnel Sponsorship Agreement and an office space Lease Agreement
  9. Once you sign, stamp and return the agreement, you will get the business license

After this step, you can officially start your business.

Documents Required to Start a Company in DIC

  • Passport copies of the founders
  • Passport copies of the managers and directors
  • Details of the legal representative
  • A license application form

Why Incorporate a Business in Dubai Internet City Free Zone?

DIC is the most significant technology and business community in the country that offers a ripe and facilitating environment for both startups and multinational companies, empowering them to build disruptive technologies that transform how people engage and create. If you are still not convinced, here are a few advantages of business setup in DIC.

  • 100% foreign ownership
  • 100% repatriation of capital and profits
  • No tax on corporate income for 50 years
  • Freehold offices for sale and lease at competitive rates
  • A pre-existing infrastructure geared towards information technology company
  • World's most significant commercial IP Telephony network
  • Huge industry potential
  • Highly advanced IT infrastructure

If you are sold on starting a company in DIC free zone, you must take help from a business consultant to help in the further process. We at Commitbiz are a platform to help start a business in the UAE and its Emirates. Our team will unite you with investors and help you in your new venture by evaluating the market potential. Contact us, and we will shoulder all your company formation needs in DIC.