Dubai Internet City (DIC), part of Dubai Holding, has established itself as one of the UAE’s leading hubs for technology and innovation. Since its launch in 1999, it has become home to more than 1,900 companies, ranging from startups to global tech leaders, and continues to drive growth across the digital sector.

Offering full foreign ownership, zero income tax, and world-class infrastructure, DIC provides the ideal environment for businesses that want to scale in the region.

With  RIZ & MONA Consultancy, entrepreneurs receive complete support throughout the company formation process in DIC, including licensing, compliance, and tailored business solutions, ensuring a smooth start in one of Dubai’s most dynamic free zones.

Key Benefits for Business Setup in Dubai Internet City (DIC)

Strategic Location

100% Foreign Ownership

World-Class Infrastructure

Business Services

Community & Networking

Flexible Visa Options

Freelancer Programs

Zero Tax

Legal Entity Types Allowed in Dubai Internet City (DIC)

Free Zone Limited Liability Company (FZ-LLC)

An FZ-LLC is an independent legal entity in DIC, owned by one (FZE) or up to fifty (FZCO) shareholders, either individuals or companies. It provides limited liability protection, requires no minimum capital deposit, and is ideal for startups and growing businesses.

Branch of a Foreign or UAE Company

A branch acts as an extension of its parent company, local or international, without separate legal identity. It requires no capital and can only operate within the parent’s approved activities, making it a preferred option for multinationals expanding into Dubai.

Freelancer (Professional License)

Through TECOM’s GoFreelance platform, individuals can work under their own name in approved tech fields. This visa-inclusive, low-cost license is designed for independent professionals such as developers, designers, and digital consultants who don’t require a full company setup.

Legal Framework & Permitted Activities in Dubai Internet City (DIC)

Regulatory Structure & Compliance

  • Authority and oversight: Dubai Internet City is regulated by the Dubai Development Authority (DDA), which provides a framework tailored to ICT and innovation-driven companies.

  • Licensing requirements: All businesses must hold a valid DDA-issued license. Licensing and renewals are managed through the AXS digital platform for efficiency and ease.

  • Activity restrictions: DIC allows only ICT and service-based activities. Manufacturing, industrial, and unrelated trading activities are not permitted.

  • Mainland operations: Companies may operate within DIC and internationally. Business in the UAE mainland requires additional approvals or partnerships.

  • Ongoing compliance: Firms must maintain audited accounts, follow VAT and corporate tax laws, and comply with employment, data protection, and IP regulations.

Permitted Business Activities

    • Core Sectors: Software, Internet & Multimedia, Telecom & Network Services, IT Services, E-Commerce.

    • Tech Services: Software development, SaaS platforms, cloud computing, AI/ML, mobile apps, and ed-tech.

    • Web & Digital: Content services, digital marketplaces, online trading platforms, and digital media.

    • Infrastructure: Network infrastructure, VOIP solutions, and cybersecurity services.

    • Consultancy & Training: IT consulting, professional training, and digital transformation support.

    • Activity Flexibility: Multiple related activities can be grouped under one license; unrelated activities may require separate licensing.

    • Scope Note: Physical trading and broadcasting are excluded—better suited for DSO or Dubai Media City.

Note: Physical trading and media/broadcasting fall outside DIC’s scope and are better suited for zones like DSO or Dubai Media City.

Types of Licenses Available in Dubai Internet City (DIC)

Commercial License

Trade, distribute, import/export tech products like software and hardware.

Service License

Provide IT services such as consulting, cloud, cybersecurity, and management.

E-Commerce License

Run online platforms, marketplaces, or mobile app-based commerce.

Freelance Permit

Independent professionals (developers, designers, marketers) with visa option.

Steps to Business Setup in Dubai Internet City (DIC)

Setting up a company in Dubai Internet City is a streamlined and structured process managed by the Dubai Development Authority (DDA). Here’s a step-by-step guide outlining the key stages from application to operational launch:
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Initial Application & Business Plan

Submit a license application along with a business plan, shareholder passports, and a resume/profile of the manager or director. DIC provides templates and guidelines. Pay the application fee, and ensure your trade name is compliant with DDA rules.

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Initial Review and Provisional Approval

DDA reviews your submission for alignment with DIC’s permitted activities. If approved, they issue a Provisional Approval Letter with a checklist of required legal documents and guidance on office space.

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Submission of Legal Documents

Submit incorporation documents such as shareholder resolutions, MOA, passport copies, and (if applicable) notarized documents for corporate shareholders. DDA usually allows 15 working days to complete this step.

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Lease Agreement & Office Selection

Select and confirm your workspace—minimum is a flexi-desk within DIC. DDA provides a Customer Confirmation Letter detailing the unit, size, and fees. Return the signed letter to proceed.

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Initial Payment

Pay the required setup fees, including license, registration, and part of the office lease (usually 50% upfront). This triggers the drafting of your lease and sponsorship agreements.

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Sign Agreements & Final Formalities

Sign the Lease Agreement and Personnel Sponsorship Agreement provided by DIC. Submit the signed documents along with any remaining originals or final paperwork required for incorporation.

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Trade License Issuance

Once all formalities are completed, DIC issues yourTrade License, Certificate of Incorporation, and Shareholder Certificate (for FZ-LLCs) or Branch Certificate. Your business is now legally established.

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Remaining Payments

If you chose an installment plan for rent, ensure remaining payments are made on schedule. While license renewal is annual, rental dues may be quarterly or biannual.

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Residence Visas and Establishment Card

Apply your visa through the UAE Establishment Card obtained via the AXS portal. This card enables visa processing for owners, employees, and dependents. Flexi-desks usually allow one visa, while larger offices provide additional visas depending on the available space.

Timeline:

The full process typically takes 2 to 4 weeks, depending on document readiness and responsiveness. With DIC’s centralized support and one-stop portal, company setup is significantly faster and more efficient than mainland options.

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Costs of Setting Up and Operating in Dubai Internet City

Cost Component Description Estimated Amount (AED)
License & Registration Annual license (~AED 15,000 for one activity); one-time registration fee (~AED 3,500). 18,000–20,000 (1st year, single segment)
Office Space (Leasing) Flexi-desk: AED 20,000–25,000/year; small offices: AED 30,000–50,000+. In5 startups may pay less. 20,000–50,000+ (standard) / ~10,000 (In5)
Visa Fees Per visa: AED 3,000–7,000 plus refundable deposit (AED 2,500–3,000), medical, Emirates ID, and insurance. 6,000–10,000 per visa (all-inclusive)
Share Capital No capital freeze required. Nominal share capital may apply depending on entity type. Typically AED 0 (no freeze)
Admin & Misc. Costs Establishment card, notarization, attestation, and agent fees if applicable. 1,000–5,000 (varies by case)
Recurring Annual Costs License renewal, office rent renewal, and visa renewals (every 2–3 years). Similar to first year (usage-based)
Freelance Setup (Optional) GoFreelance permit includes freelancer license and visa for solo professionals. 7,500–10,000/year (all-in)

Comparison of DIC with Other UAE Free Zones

Feature Dubai Internet City (DIC) Dubai Silicon Oasis (DSO) Dubai Media City (DMC)
Sector Focus ICT, software, tech services (no manufacturing) Tech (software + hardware), R&D, light manufacturing Media, content production, advertising
Regulator & Law DDA, under UAE civil law DIEZ, under UAE law DDA, with media-specific regulations
Legal Structures FZ-LLC, Branch, Freelancer (GoFreelance) FZ-LLC, Branch, DED-linked Business Operation Permit FZ-LLC, Branch, Freelance (media)
Office & Visas Flexi-desk (~1 visa), serviced offices, in5 incubator Flexi-desk (~2 visas), offices, warehousing, R&D labs, DTEC incubator Flexi-desk (~1 visa), media studios, in5 Media coworking
Startup/Freelancer Support in5 Tech (AED 1k license), GoFreelance for tech DTEC incubator, low-cost setup packages in5 Media incubator, GoFreelance for creatives
Cost (Est. 1st Year) AED 45k–50k (standard); ~AED 1k if in5 approved AED 18k–25k (startup-friendly) AED 40k–50k (standard); Freelance: AED 7.5k–10k
Strengths Premier tech hub, global firms, central Dubai, rich ecosystem Low-cost, integrated live-work, manufacturing option Media cluster, global media brands, creative infra
Limitations No manufacturing, higher cost unless via incubator Less central, limited international brand equity Media-only focus, content approval requirements
Rizmona Consultancy 15 Years Experience

Dubai Internet City Free Zone Consultants

How Riz & Mona Consultancy Can Help?

Riz & Mona Consultancy is renowned as one of the top business setup consultants in Dubai, with over 15 years of experience facilitating a wide range of businesses throughout the UAE. Our deep connections with government officials and key authorities, combined with our extensive expertise in consultancy, streamline the process of establishing your business in Dubai. Additionally, we offer comprehensive financial, legal, and corporate services to support our clients throughout their business endeavors.

We are here to provide comprehensive support for your Business Setup in Dubai Internet City (DIC), from preparing your documents to completing the process. Connect with us now to begin your journey with a FREE consultation!

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