How To Start a Software Company in Dubai?
Popularly known as the “Silicon Valley of the Middle East”, Dubai has no shortage of lucrative opportunities available for software developers, engineers, and agencies. In fact, there are plenty of free zones sprinkled throughout the UAE that offer special perks and benefits for software company setup.
If you are interested in setting up a software company in the UAE, then you are in luck. The government has made it easier than ever to start an IT and software company, with an easy-to-follow company formation process and ample benefits.
Keep reading to find out everything you need to know to successfully obtain your software development business license in UAE!
Benefits of IT & Software Company Setup in Dubai
In recent years, the government has taken great measures to help grow the technology industry in Dubai and encourage entrepreneurs looking to introduce new innovative startups and companies. Here are just a few key benefits of creating a software business in Dubai:
- Booming technological industry
- Very low tax rate for business setup in Dubai mainland and 0% tax in free zones
- Large network of venture capitalists and investors
- Quick and easy company formation process, especially with the help of a business setup consultant
- Diversified economy and huge demand for software companies
- Strategic geographical location and time zones to cater to different regions in Asia, Africa, and Europe
Process for Setting Up a Software Company in Dubai
The process for company formation of an IT or software company in the UAE is relatively straightforward and is even easier if you enlist the help of an expert business setup consultant. The major requirement is to obtain a software development license in UAE. Here is an overview of steps involved in the company setup process:
- Reserve a Trade Name. This should be a name that falls in compliance with Dubai’s legal standards and policies
- Choose your jurisdiction for company setup. You can set up your business in the mainland, or in a free zone. If you choose mainland company formation, you will need to find an Emirati national who will hold at least 51% shares of your business. On the other hand, you can own 100% of your business in free zones.
- Decide type of business structure. You may choose to start a sole proprietorship, partnership, or Limited Liability Company (LLC)
- Gather and submit the required documentation. If you are opting for mainland setup, the documents and application must be submitted to the Department of Economic Development (DED). For free zones, you must submit to the relevant authority
- Obtain the software development business license in UAE. You will receive this once all the necessary paperwork and documents have been submitted and reviewed.
- Register for VAT. All software companies operating in Dubai are obligated to register for VAT
- Open a corporate bank account. Once you have received the trade license, you may open a corporate bank account to fulfill all business transactions
- Apply for Visa. You need to apply for a visa to live and operate your business legally in the Emirates.
Ready to Start an IT & Software Company in Dubai?
If you are ready to start a successful business in the UAE but don’t know where to start, then look no further! Here at Blue Kryon Consulting, we have helped thousands of people fulfill their dream of starting a flourishing company in Dubai. We will walk you through the entire company formation process and help you obtain your software development business license in no time! Contact us now for a free, no-obligation consultation.
