Dubai Studio City Free Zone was established in 2005 by a decision of the Government of Dubai. Dubai Studio City is an incubator for institutions and companies working in the fields of artistic, media and film production, internet and technology. It is one of the free zones affiliated with the TECOM Group, and is located near Dubai Airport. It hosts more than 250 companies, and employs more than 2,500 employees from more than 90 different nationalities. The Dubai Studio Free Zone Authority offers studios multiple investment packages to choose from, according to their budget on the one hand and their aspirations on the other.
Establishing a company in Dubai Studio City
- One of the most prominent advantages is the objectivity of the costs and expenses of registering a company.
- Location specificity: Dubai Studio City is located near the heart of Dubai and is approximately 30 minutes drive from Dubai International Airport.
- Ease of recruitment and operation as it is located near the heart of Dubai city
- Connected to a transportation network
- No restrictions on hiring and employing foreigners
- No restrictions on paying salaries and wages to foreign workers and employees
- There are no restrictions on transferring funds to and from the company account.
- No restrictions on transferring employees’ wages and salaries outside the free zone or to their countries
- No taxes on wages or salaries
- Export taxes do not exist.
- No import duties
- The company is 100% owned by its owners.
- Freedom to sell the company
- Freedom for the company to own a property within the free zone
- Providing housing for employees and workers
- Owning cars, equipment and means of transportation
- Issuing work permits for workers and employees
- Issuing a residence permit for workers or employees
- Issuance of residence permit for employees’ families
- Enrolling children of employees in schools and universities in Dubai
- Providing medical services from international and local providers in Dubai.
- Providing health insurance services from international and local providers in Dubai.
Steps to establish a company in the Dubai Studio City Free Zone
Specify the type of activity
Determining the activity is the first step to obtaining a business license. Through the activity, the parties associated with this activity and the permitted legal forms are determined.
The legal entity of free zone establishments in the country takes one of the following two types:
- Free Zone Limited Liability Company
- Free Zone Establishment
The difference between the two types lies in the number of shareholders and the nature of the shareholder, whether a natural or legal person. Not all free zones are required to register these two types of establishments.
Therefore, we advise the investor to refer to the authority responsible for managing each free zone individually to inquire about the legal structure available for the type of activity he wishes to engage in.
The Dubai Multi Commodities Centre allows the establishment of a limited liability company, which takes the form of a wholly-owned subsidiary of a local or foreign company.
Branches of establishments in free zones
Existing local and foreign companies can establish branches in other free zones.
Capital Requirements
Capital requirements in the country’s free zones vary depending on the region and activity.
Choosing a business name
When determining the type of legal entity for your business, you should also consider choosing a trade name that is appropriate for the business.
In most cases, you should refer to the relevant free zone authority or the relevant Department of Economic Development to see the authorized trade names and whether the name you intend to use has already been registered by a company.
On the other hand, the economic development departments stipulate certain conditions for approving the trade name, including:
- It must not be contrary to public order and morals.
- It must be followed by what indicates the legal entity of the company, such as: (LLC, LLC, JSC, FZC, FZE)
- Must not be registered or used for the same or similar type of activity.
- It must be consistent with the nature of the activity and the required legal form.
- It must not include sectarian or denominational names, names of the ruling authority, or names and logos of local, Arab, or international bodies, institutions, and organizations.
- It must not be identical or similar to a local or international trademark registered with the Ministry of Economy.
Apply for a commercial license
The type of license you seek depends on the primary activity of your business.
Selection of offices and work facilities
In free zones, you can buy or rent office space, and office requirements depend on the number of employees and the type of business activity of the company.
Obtaining initial approvals, registering the activity and obtaining the license
Establishments established in free zones are subject to the laws and regulations governing each specific free zone authority or body.
In order to obtain the necessary approvals, you must apply for the necessary documents. The list of documents varies depending on the type of activity and the requirements of the free zone authority.
Below are general guidelines on the steps and documents required to obtain approvals.
Initial approvals
In order to obtain initial approvals, you need the following:
- Application form for initial approval, complete with the required data
- Business plan
- Copy of existing trade license/registration certificate (for existing companies, applicable to local companies only)
- Colour copies of the passports of the shareholders of the company, and the director or member of management appointed to the new company
- A signature form for each of the shareholders of the company, and the director or appointed member of management of the new company.
- Audited financial reports on the company’s budget for two years, or a reference certificate from each shareholder’s bank
- No objection letter from current sponsor (for individuals)
- Title deed of the real estate unit
- Letter of intent
- A model with the commercial registration identification code of the director/member of management (submit the original copy officially certified by a notary public)
A freelancer needs to submit less documentation, and most often:
- Submit registration application
- biography
- Reference letter from bank
- Commercial Register Identification Code Form (Submit the original copy, officially certified by a notary public)
Facility registration
After obtaining the initial approvals, you must pay the registration fees and the license fees. The fees depend on the type of license required.
Documents required for registration:
- Request for registration with full data
- Board of Directors’ decision to appoint a company manager/manager (officially notarized and certified by a notary public)
- Power of attorney authorizing the director/member of management (officially notarized and certified by a notary public)
- Articles of Association and Memorandum of Association of the company (officially notarized and certified by a notary public)
- Director/Board Member Signature Form (officially notarized and certified)
- Headshot of the manager/manager with white background
- Information about the share capital
Advantages of establishing a company in the Dubai Studio City Free Zone
- 100% repatriation of capital and profits abroad
- 100% exemption from import and export duties
- No tax on corporate gains or personal income in most cases.
- No restrictions on currency use
- Low cost of operations
- Pre-built offices, factories and warehouses
- Fast establishment and licensing procedures
- One stop shop for customs clearance; multiple administrative services at one stop
- Provides assistance with hiring workers and additional support services, such as sponsorship and on-site housing.
- Abundant and inexpensive energy
- Excellent infrastructure, communications and attractive working environment.
