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The surge of the IT (Information Technology) industry in the global market has left an everlasting impression in 2023. Even amidst the outbreak of the COVID-19 pandemic, the IT industry stayed strong and was among the first units to adapt to the “new normal.” Therefore, if you also want to establish your IT company in Dubai, you have chosen the right time and the correct place.

The UAE has specialized free zones that offer advanced infrastructure and a modern working ecosystem for setting up an IT company in Dubai. A software company in Emirates can handle various business activities. You can form a tech company that involves app development or offering SaaS (software as a service) services. Your domain can also include biotechnology, technology for finance, etc.

Where to open an IT business in Dubai?

A critical decision that you have to make for setting up an IT company in Dubai is the business location. You can go for Dubai mainland if you want to indulge in trading across Dubai and the UAE. You get all the legal permissions for your business directly from the Department of Economic Development (DED). Therefore, it’s easier to incline your business towards an international outlook and expand your presence within the UAE as well. A mainland LLC formation also requires you to partner with a local sponsor who’ll have 51% of the company’s ownership shares.

A free zone setup is a cost-effective solution for company formation in Dubai. Each free zone has an independent legal framework, so you’ll need to choose the one that fits your business requirements. The expatriate can enjoy 100% business ownership when the business establishment is in a Dubai free zone. Fortunately, the UAE has several IT-oriented free zones that make your selection easier.

Suitable jurisdictions for software company:

  • Dubai Silicon Oasis (DSO): DSO is a dream free zone for any tech-savvy enthusiast. The working atmosphere in this free zone makes every employee push harder towards their goals and make this world a better place through their tech solutions. Moreover, you also get a tier 3 data center and high-end infrastructure that facilitates hassle-free company registration in Dubai.
  • Dubai Techno Park (DTP): another free zone that can become your IT company’s area of establishment is Dubai Techno Park. There are no currency restrictions, and you can enjoy 100% business ownership in the region. Furthermore, several MNCs and world-leaders have their IT installments in DTP, making the area a premier hub for you to start your software company.
  • Dubai Internet City (DIC): the DIC is a part of the TECOM Group and offers an excellent infrastructure for budding IT companies. The free zone was founded back in 1999, and since that day, the entity aims to develop cutting-edge technological solutions. It’s home to prestigious IT giants like Sony Ericsson, HP, Oracle, Microsoft, and many more.

You can consult with Shuraa Business Setup and enjoy a comfortable business establishment in Dubai. You get assistance with location, licensing, documentation, etc., when you collaborate with Shuraa.

How to open an IT company in Dubai?

Opening an IT company in Dubai is straightforward, and when you follow all the legalities and submit the right documents, you can start your business in quick time. Here are the key steps to setting up your software company in the UAE:

Your company needs to comply with all the requirements regarding legal trade names established by the government. It should not be offensive, provocative, or insulting to anyone in any sense. If you wish to use a person’s name for your IT company, ensure that you use the full name and not an abbreviation or nicknames.

2. Finalize the business location

It’s imperative to have an in-depth understanding of the various business locations in the UAE. Choosing the right place that matches your business activities can help you save a lot of money and facilitate easier business functioning. Decide if you want a mainland establishment or a set up in one of the free zones.

3. Complete the required paperwork for your software company

A company formation in Dubai involves many legal obligations and document submissions. A business advisor can help ease out the process and ensure that all documents are approved in one go. The paperwork includes trade name reservation, acquisition of the legal trading license, etc.

4. Visa application

Apply for your visa and the visas of other partners and staff members (if the jurisdiction permits). You’ll get the official visa stamping after the verification of entry permit, medical fitness test, etc. You’re now ready to run your IT company in Dubai with complete authorization. Don’t miss out on opening a corporate bank account for your business to maintain finances.

Why form an Information Technology (IT) company in Dubai?

  • Taxation: One of the significant benefits of establishing an IT company in Dubai is the freedom from corporate taxes and free repatriation of profits (when it’s a free zone establishment). Moreover, you get hassle-free availability of resources like quality labor migrated from all over the world alongside advanced internet facilities.
  • Ease-of-business: Dubai offers favorable market conditions and ease of global reach to its investors. Therefore, starting a business in Dubai gives your business the edge over others in the industry. Information and communications adoption in the region in combination with digitized implementation makes it a hotspot for new-age investors and budding entrepreneurs.
  • Free zones: Of all the Emirates, Dubai is the highest rated Emirate that offers several free zones to encourage local and foreign investors for launching their businesses. IT-oriented free zones in Dubai promise fascinating business conditions, incorporating office structures and accommodation areas for companies and personnel. Your IT company will surely benefit if it operates in the UAE.

Documents required for IT company formation

You need to submit the certain documents to the Department of Economic Development (DED) or the concerned jurisdiction to establish an IT company in UAE.

Check out the list below to prepare for your software company:

  • Copies of passport of the owner and the partner of the company
  • Payment proof of the initial approval fees
  • No Objection Certificate (NOC) from the sponsors
  • Partnership agreement to be signed before a notary
  • A single investor is required to pay 10,000 Dirhams, while 20,000 Dirhams are charged as a security deposit by partners who have a professional license. The business needs to have a designated office for which the owner can add a lease agreement.
  • Local partner’s naturalization books’ copy

You have the right to register IT corporations as a fully-owned professional company and a sole proprietor under the governance of the UAE’s government.

Check outHow to start a software company in Dubai?

Shuraa – Your Business Companion

You have made the right choice of setting up an IT company in Dubai. The industry has picked up pace in the past years and is now about to reach its prime. All you need to do now is make another great choice for a convenient business setup in the UAE. At Shuraa, we help businesses establish in Dubai with our expert guidance and provide business assistance after successful setup. We’re here for your help and would love to take the responsibility of forming your IT company in Dubai while keeping you at sheer comfort.

Get in touch with us

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