In the fast-paced world of global business, Dubai stands out as a dynamic hub for entrepreneurs and companies seeking growth and opportunity. Traditionally, realizing these benefits would require relocating to the United Arab Emirates (UAE). However, thanks to the innovative Dubai virtual company license, entrepreneurs can now unlock the advantages of Dubai’s business environment from anywhere in the world.
What is a Dubai Virtual Company License?
The Virtual Company License in Dubai is a groundbreaking endeavour jointly launched by prominent entities, including Dubai Economy, Dubai International Financial Centers (DIFC), General Directorate of Residency and Foreigners Affairs (GDRFA), Smart Dubai, and the Supreme Legislation Committee. This initiative primarily caters to three key industries: the creative industries, technology, and services. It grants foreign business owners the ability to digitally establish and manage their companies in Dubai, all without the need to relocate to the UAE physically.
Application Procedure for a Virtual Company License in Dubai
In order to acquire the virtual company license in Dubai, you need to follow the steps given below:
Step 1: Business Registration
In order to start the process of virtual company registration of your business, you need to visit the official portal of the Dubai Virtual Commercial City.
Here, you would be required to fill out the company registration form digitally and provide important information like your name, contact and passport information.
In addition to that, you must describe the business activity you want to engage in along with the trade license name for your firm.
Step 2: Upload the Documentation
The next phase to apply for a virtual company license in Dubai covers uploading the documents given below:
- Passport copy (with over 3 months before expiration)
- A recent photo on a white background (not over 3 months old)
- Proof of address (any utility bill or official letter, not over 3 months old)
- Proof of tax residency (if you are not from the relevant nations)
Step 3: Track your Application Status
Following the submission of your application, the Dubai Government officials will authenticate the details that you supplied through a background check.
This authentication phase generally takes about a month, therefore, it is essential that the information submitted be accurate. You will be notified via email if you are accepted or rejected after the screening procedure.
- Make the Necessary Fee Payment: You have to make the necessary fee payment, which differs based on the kind of company and the selected package.
- Approval Process: Your license will either be granted or additional documentation may be sought following the authorities’ review. It may take several days or weeks to complete the review.
- Acquiring the license: After being accepted, you will electronically obtain your virtual business license, which will enable you to conduct remote services, consultancy, and other authorized business operations within Dubai’s economic framework.
Eligibility Criteria for Virtual Company License in Dubai
The list of eligibility criteria for Virtual Company License in Dubai are:
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- Non-UAE Residency: Applicants for the Virtual Company License cannot be residents of the UAE.
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- National or Tax Resident: Owners of virtual companies in Dubai must hail from one of the 101 approved countries. This list includes countries like India, Pakistan, Saudi Arabia, the United States, Canada, Russia, China, Japan, and more. You can check the full list of approved countries on the Virtual Commercial City’s official website.
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- Physical Access and Bank Account: $100,000 per year, it becomes subject to the 5% Value Added Tax (VAT) in the UAE. This implies that a Dubai Virtual Company License holder must register the company with the UAE’s Federal Tax Authority.
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- Predefined Business Sectors: Only businesses operating within predefined sectors can set up a virtual presence in Dubai. These sectors encompass service activities related to printing and advertising, computer programming, consultancy, and various design activities, including fashion, jewellery, and interiors.
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- Taxation Considerations: Virtual company owners in Dubai need to be aware that their companies will still be subject to corporate, individual income, and social taxation in the country where they are based. Furthermore, if a virtual company’s revenue within the UAE surpasses
Dubai Virtual Company License Costs
The Cost incurred for the Dubai Virtual License is
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- AED 300 for identification and validation
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- AED 680 per year for the virtual license
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- AED 200 for trade name reservation
Advantages of the Virtual Company License in Dubai
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- Online Business Operations: The license allows for the digital management of all business-related tasks, including document signing and submission. Signatures obtained through this method are recognized as valid in the UAE.
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- Low Startup Costs: Entrepreneurs benefit from reduced initial costs and administrative burdens, making it an attractive proposition for those looking to expand their business.
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- Access to Dubai’s Opportunities: Dubai, a city known for its business opportunities, has become more accessible to virtual businesses. It opens doors to new clients, markets, and investment possibilities.
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- Inclusion in the Directory of Virtual Businesses: Virtual companies have the opportunity to be a part of the virtual city, connecting with a diverse range of businesses.
Conclusion
The Virtual Company License in Dubai has turned the dreams of numerous entrepreneurs into a reality by offering a cost-effective means of starting a business in one of the world’s most promising cities. With the potential to access new markets, clients, and business opportunities, this initiative stands as a game-changer for businesses worldwide. If you meet the eligibility requirements and aspire to grow your company, seize this opportunity to embark on your business journey in Dubai. At OnDemand International, Our Specialist helps you in acquiring a Dubai Virtual Office License. Contact Us now.
FAQ’s
In Dubai, having a virtual office is a legal obligation. A virtual office is not unlawful as long as it is linked to a valid physical office.
Businesspersons and investors worldwide can apply for the Virtual Company Licence.
Some benefits include:
- No physical office space is required.
- 100% foreign ownership.
- Access to the Dubai market and customer base.
- Affordable setup and operational costs.
- Digital presence and credibility in the region.
