Other cost considerations for DMCC Company Formation
Office Space requirements in DMCC
DMCC offers a wide range of lease options for clients, such as flexi desks, smart offices, shell & core and fitted out offices in the Free Zone area. Warehouses outside of the Free Zone, i.e. Dubai Investment Park (DIP) can be rented by DMCC companies with Trading Licenses.
Audited Financial Reports for DMCC Companies
The company must keep and maintain an audit on an annual basis. This includes the mandatory submission of the company’s annual financial statement on the 1st renewal. We can refer you to several good cost-effective local audit firms that we have worked with in the past if required.
A requirement for all UAE companies is for employers to obtain medical insurance for all employees.
Wage Protection System (WPS) introduced for DMCC Companies
As of February 2023, the Wage Protection System (WPS) has been implemented and applies to all DMCC companies. DMCC company employers have the obligation to register all of its employees with the WPS. WPS is a salary transfer system created by the Central Bank of the UAE (CBUAE) to allow the DMCC free zone to monitor records of DMCC companies employees wage payments. The WPS is designed to ensure the proper and timely payment of staff salaries.
DMCC has an available list of authorised banks and exchange houses to register all employees for salary transfer. See link to DMCC authorised list here.
All DMCC companies must register their staff by 31st December 2023 deadline. As of 1st January 2024, if a DMCC company fails to transfer their employee’s salary as per the agreed contract, portal sanctions and fines will apply.
Obtaining Employment Visas in DMCC Free Zone
The process to obtain an employment visa in DMCC:
- Complete the application form
- Submit documents of the employee – passport photo, passport copy, education certificate, offer letter (signed copy), employment contract (signed copy applicable if the employee is already residing in UAE) and current visa (applicable if the employee is already residing in UAE).
- Receive DMCC approval
- Entry Permit – permission for employee to enter country (if applying from outside UAE)
- Once in country – visa stamping and documents submission
- Apply for employee health insurance and complete medical examination and biometrics - attach these documents to your application
- EID registration
- Confirmation and issuance of residence visa permit
Benefits of setting up in DMCC
- Businesses in DMCC free zone can be 100% foreign owned
- DMCC have the Wage Protection System (WPS) in place to safeguard the proper and timely payment of employees.
- Central business location in Dubai – Jumeirah Lake Towers (JLT)
- A massive network of companies and businesses with co-working spaces and ‘The Knowledge Series’, an initiative for business to knowledge share and support other likeminded businesses
- Business incubators and accelerators – DMCC Crypto Centre and DMCC Gaming Centre
How can PPG assist?
PRO Partner Group can assist with the full incorporation of a DMCC Free Zone company from obtaining the DMCC trade licence, PRO support matter for DMCC employment visas through to the continued support services including corporate secretarial services, bookkeeping and accounting, payroll and HR services in Dubai.
If you require any assistance or have any questions on DMCC free zone incorporation requirements, please contact PRO Partner Group.