Company Registration in Dubai Multi Commodities Centre (DMCC) Free Zone - Business Starting & Setup

The Emirate of Dubai is located on the Arabian Peninsula, in the south of the Persian Gulf. Among the seven emirates that make up the UAE, it is the most populated one and second largest after Abu Dhabi. Dubai has more than 20 free zones.

DMCC Free Zone offers the possibility of registering Dubai onshore (free zone) companies that can operate both within and outside the UAE. Such companies are granted a licence (special authorization from the Emirate’s Authority) according to the type of activity that they will be engaged in. Establishing a free zone company implies the possibility of obtaining residence visas for shareholders / employees, as well as their families, which is an indisputable advantage.

• Can use Latin characters.
• Must not be identical or similar to the name of an existing company.
• Must have an ending indicating the legal form (“FZE”).

Company registration in DMCC Free Zone includes the following steps:

1. Select a company name to be checked for availability (at least two names), the structure of the company (directors, members, manager) and type of licence (Trade, Service, Industrial, For educational services);
2. Pay fees for services;
3. Provide the documents for directors / shareholders / attorneys (either originals or notarized copies);
4. Prepare and submit a set of documents for company registration, get the documents signed by the officers and shareholders of the company;
5. Receive the certificate of registration, articles and seal in the specified address.

The UAE does not have public company registries that would contain details of shareholders or directors. Information about free zone companies can only be obtained at the request of a local court.

The register of shareholders and directors of the company is not accessible to third parties.

Upon registration the company and the Free Zone authority sign an office lease agreement; the address of such office is considered the official registered office address of the company.

DMCC offers various office packages depending on the needs of clients in terms of type and number of licences, number of visas, the need for substance and placement in the Free Zone: from smart desk (a separate workstation in first-class business centres) to a proper office.

Companies are required to have a common seal.

The redomiciliation of companies either to or from the UAE is permitted.

The director can be an individual over 21 years of age. There are no requirements as to the residence of the director. A corporate director can only be appointed subject to approval of the Registrar.

The minimum number of directors is 1, the maximum number is not set by the Free Zone.

Details of directors are not accessible to public.

The secretary can be either an individual (over 21 years of age) or a legal entity.

There are no requirements as to the residence of the secretary.

The maximum number is 1 and it can be the same person as director.

Details of the secretary are not accessible to public.

Both individuals and legal entities can be shareholders. There are no residence requirements.

DMCC does not require a company to necessarily have a local shareholder in its structure.

Details of shareholders are not accessible to public.

The manager can only be an individual over 21 years of age.

There are no requirements as to the residence of the manager. It can be the same person as director / shareholder.

Details of managers are not accessible to public.

Despite that many jurisdictions consider creating a public register of beneficial owners, the UAE does not have one yet. This means that there is no open access to the beneficial ownership information. It is stored by a service provider, namely a company registration agent, trustees, lawyers, accountants and other professionals, subject to strict confidentiality. Information about the beneficial owner can only be disclosed to regulatory authorities (for example, during inspections for its availability) or by court order.

The standard minimum share capital of a DMCC company is AED 50 000; however, some types of licences may require a higher share capital.

The share capital must be paid into the company’s bank account in the UAE within three weeks of issue of the company’s licence. It can be subsequently withdrawn at any time.

A company may issue different classes of shares.

Bearer shares are not permitted.

The capital can be denominated in UAE Dirhams (AED) only.