I
United Arab Emirates

United Arab Emirates

Company Formation in Dubai Internet City

Dubai Internet City Free Zone (TECOM Group)

Formation Time
4–7 business days
Min. Capital
AED 50,000
Corporate Tax
0% qualifying income / 9% standard
Foreign Ownership
100%

Overview

Dubai Internet City (DIC), operated under TECOM Group, is the premier technology ecosystem in the Middle East and North Africa. Established in 1999, DIC is home to global technology leaders including Microsoft, Google, Oracle, Cisco, HP, and IBM, alongside hundreds of high-growth tech startups supported by the in5 tech innovation hub. For enterprise software providers, fintech disruptors, cybersecurity firms, and AI developers seeking immediate enterprise credibility and deep corporate access in the GCC, DIC remains the unrivaled tech address in Dubai.

MENA's premier tech hub
Hosts Google, Microsoft, Oracle
in5 tech incubator access
0% QFZP tax potential
Tier-1 banking credibility

Why Choose Dubai Internet City

1

MENA's #1 technology hub hosting Fortune 500 tech giants and unicorns

2

Direct access to enterprise clients, telecom operators, and government tenders

3

Access to in5 Tech Innovation Centre and startup incubation ecosystem

4

0% corporate tax on Qualifying Free Zone Person (QFZP) income under UAE Corporate Tax Law

5

World-class telecommunications, fiber-optic backbone, and tier-3 data centers

6

Prestige commercial address in Dubai's central innovation corridor alongside Dubai Media City

Business Entity Types

EntityOwnershipDirectorsCapitalTaxBest For
FZ-LLC (Free Zone Limited Liability Company)100%1 directorAED 50,0000% QFZP qualifying income / 9% standard CIT above AED 375,000Software companies, SaaS platforms, tech consultancies, regional tech HQs
Branch of Foreign / UAE Company100%1 managerNo minimum capital requirementSubject to UAE Corporate Tax Law and PE rulesEstablished international tech corporations establishing Middle East operations

Step-by-Step Formation Process

1

Initial Approval & Name Check

2–3 days

Submit application to TECOM/DIC portal with company name options and business plan.

2

Legal Drafting & Registry Review

2 days

Execute Articles of Association and register officers via TECOM digital system.

3

Office Lease Agreement

1–2 days

Select and finalize office space lease (executive suite, private office, or floor space).

4

Commercial License Issuance

1–2 days

Pay government fees and receive the DIC commercial license and certificate of incorporation.

5

Corporate Banking & Visas

2–3 weeks

Apply for establishment card, investor/employee residence visas, and open UAE corporate bank account.

Costs & Fees

Government / License FeeAED 15,000+
Our Service FeeUSD 3,200 – 4,800
Annual RenewalAED 12,000+

Fees are indicative and may vary based on business activity, entity type, and additional approvals required. Contact us for a precise custom quote.

Get Custom Quote

Banking

DIC companies carry substantial credibility with Tier-1 UAE banks (Emirates NBD, FAB, Mashreq, Commercial Bank of Dubai) due to TECOM's strict corporate vetting and high physical office substance standards.

Account Opening Time
2–4 weeks
Multi-Currency
Yes — multiple currencies supported

Recommended Banks

Emirates NBDMashreq BankFirst Abu Dhabi Bank (FAB)Commercial Bank of Dubai (CBD)Wio Business

Tax Overview

Corporate Tax
0% on Qualifying Income; 9% on Non-Qualifying Income above AED 375,000
Personal Income Tax
0% personal income tax
VAT / Sales Tax
5% standard rate; exports of tech services outside GCC are zero-rated (0%)
Capital Gains Tax
0% capital gains tax
Withholding Tax
0% withholding tax on dividends, royalties, and interest
Double Tax Treaties
137 countries

Under Cabinet Decision No. 55 of 2023, DIC qualifies as a Designated Zone for VAT and a Free Zone under Corporate Tax. Companies maintaining adequate economic substance can qualify for 0% CIT on qualifying activities.

Frequently Asked Questions

What is the minimum capital requirement for Dubai Internet City?
The standard minimum share capital for a new FZ-LLC in Dubai Internet City is AED 50,000. Branch offices of existing foreign or UAE companies do not have a statutory minimum share capital requirement.
Does a DIC company pay UAE corporate tax?
Under UAE Federal Decree-Law No. 47 of 2022, DIC companies are subject to the UAE Corporate Tax regime. If the company qualifies as a Qualifying Free Zone Person (QFZP) by maintaining economic substance, preparing audited financials, and earning qualifying income from transactions with other free zones or foreign entities, it benefits from a 0% corporate tax rate on that income. Income from transactions with UAE mainland entities or non-qualifying activities is taxed at 9% above AED 375,000.
Can a tech startup use the in5 incubator at Dubai Internet City?
Yes. in5 Tech is TECOM's dedicated tech startup incubator located within DIC. Qualifying tech startups can access subsidised business setup, flexible co-working spaces, access to mentors, angel investors, and venture capital demo days.
Is physical office space required in Dubai Internet City?
Yes. TECOM regulations require every DIC entity to lease physical premises, ranging from dedicated executive desks to private commercial office suites. Pure virtual flexi-desks without physical presence are generally not available in DIC.
How many employment visas can I get with a DIC license?
Visa quotas in DIC are determined by the square footage of your leased office space—typically 1 visa per 8 to 10 square meters (approximately 80–100 sq ft) of office space. Executive desks typically include 1 to 2 visa allocations.
Can a DIC company sell software and cloud services to Dubai mainland companies?
Yes. A DIC company can sell software and IT services to mainland clients. However, revenue earned from mainland commercial contracts is treated as non-qualifying income subject to the standard 9% UAE corporate tax rate above AED 375,000.