IT Company License – privatewolf.ae

Guide to Obtaining a
IT License in UAE

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A Comprehensive Guide to Acquiring an IT Company License in Dubai, UAE

Dubai, a thriving business hub, has recently emerged as a global hotspot for technology companies. With its strategic location, robust infrastructure, and favorable tax policies, it has attracted a plethora of tech startups and giants like Microsoft, Google, and Facebook. If you’re considering joining this vibrant tech community, this article provides a detailed guideline on the process of obtaining an IT company license in Dubai.

Advantages of Establishing a Tech Company in Dubai

Dubai offers a myriad of benefits for tech companies. The United Arab Emirates (UAE) boasts a 0% tax rate on both corporate and personal income, complemented by a low, flat VAT rate. Its strategic position facilitates global trade, with excellent connections by land, air, and sea, and a time zone overlapping with many of the world’s business and tech hubs.

Specifically for tech companies, Dubai offers a wealth of resources, including accelerators, incubators, and schemes designed to foster growth. The emirate’s high-tech infrastructure and a variety of free zones tailored to the technology industry further enhance its appeal.

Required Documentation for Starting a Tech Company in Dubai

The documents required to start a business in Dubai depend on your setup type, company location, and business activities. However, in most cases, you’ll need to submit:

A completed application form
A business plan
Colored passport copies of the company’s shareholders and the appointed Manager/Director
Specimen signature of the company’s shareholders and the appointed Manager/Director
Two years’ audited financial reports for a corporate entity or a certificate of reference from a personal bank of the individual shareholder

Once obtained, you’ll also need to submit:

Board Resolution appointing Manager/Director (notarised and attested)
Memorandum and Articles of Association (notarised and attested)
Lease agreements prepared by the authority (if applicable)

Steps to Start a Tech Company in Dubai

Step 1

Define Your Business Activities

Firstly, you need to clearly outline your business activities. Given the broad nature of technology, you need to specify your intended operations. This step is crucial as it influences the type of license and setup you require.

Step 2

Choose Your Trade Name

Next, select a trade name for your tech business. Ensure your chosen name adheres to the naming conventions, avoiding any offensive language or similarity to existing businesses or institutions.

Step 3

Apply for Your Technology License

Once you've defined your business activities and chosen a trade name, you can apply for your trade license. The application is made to the Department of Economic Department (DED) for mainland setups, or directly to the managing authority for free zone setups.

Step 4

Apply for Your Residency Visa

If you plan to live and work in Dubai, you'll need a residency visa. This process includes a fitness test, blood test, and chest X-ray. You should also apply for your Emirates ID card at this stage. Once you hold a residency visa, you can sponsor visa applications for your dependents.

Step 5

Open a Corporate Bank Account

Before launching your tech business in Dubai, you need to open a corporate bank account. This process can be complex for non-GCC citizens, so professional assistance is recommended.

Successful Tech Companies in Dubai

Dubai is home to numerous successful technology companies, ranging from global giants like Amazon, Oracle, and Apple to innovative startups. Other notable tech conglomerates include Xerox, Epson, IBM, and Hewlett Packard.

Recently, two high-performing startups, Hupsy, a proptech firm, and Tag Ventures, a tech facilitator, raised USD 47m and USD 250m in funding respectively, demonstrating the potential for growth and success in Dubai’s tech industry.

Cost of Starting a Tech Company in Dubai

The cost of starting a tech company in Dubai typically ranges from AED 20,000 to AED 40,000. However, this can vary depending on your office and visa requirements, location, and intended business activities. You should also consider staff costs, premises, and additional permits if setting up in the Dubai mainland.

Why Choose Business Incorporation Zone (BIZ) for Your Company Formation?

The process of company formation in Dubai is designed to be straightforward and transparent. However, it requires careful planning and understanding, especially for those new to the region.

Working with BIZ gives you access to international experience and local knowledge. We take the time to understand your business and its requirements, then manage the pathway to UAE business ownership for you, assisting with applications and communicating with all necessary departments and authorities.

After your company’s launch, we continue to support you, helping your business grow and thrive in this incredible tech hub.

In conclusion, establishing a tech company in Dubai offers numerous benefits, from tax advantages to a supportive business environment. By following the guidelines outlined in this article, you can navigate the process of obtaining an IT company license in Dubai and join the thriving tech community in this global business hub.

Need Assistance?

Securing an IT License in the UAE can be a complex process. It involves navigating through an array of paperwork and securing permissions from various Government agencies. Professional assistance from company formation specialists can be invaluable in this process. These experts can help entrepreneurs establish businesses in the UAE, guiding them through every step of the process, ensuring all financials are in order, and helping turn dreams into reality.