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

Premier Infrastructure

Business Services

Networking Hub

Flexible Visa Options

Freelancer Programs

Zero Tax

Legal Entity Types Allowed in Dubai Internet City (DIC)

Free Zone Limited Liability Company (FZ-LLC)

You can establish an independent company in DIC with 1–50 shareholders. It offers limited liability, no capital requirement, and is ideal for startups.

Branch of a Foreign or UAE Company

You can set up a branch as an extension of your parent company. It requires no capital and operates only within the parent’s approved activities.

Freelancer (Professional License)

You can work under your own name through a visa-inclusive GoFreelance license. It is a low-cost option for developers, designers, and consultants.

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

You can trade, distribute, and import or export technology products such as software and hardware. This license is ideal for companies dealing in tech products.

Service License

You can provide IT services including consulting, cloud solutions, cybersecurity, and management. This license is designed for firms offering professional services.

E-Commerce License

You can run online platforms, marketplaces, or mobile app-based businesses. This license is perfect for entrepreneurs in digital and online commerce.

Freelance Permit

You can work independently as a developer, designer, or marketer with a visa-inclusive option. This permit is suited for professionals who prefer flexibility.

Steps to Set Up a Business 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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Submit Application & Business Plan

Submit your license application with a detailed business plan and supporting documents. This is the first step to begin your business setup in DIC.

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Get Provisional Approval

Obtain provisional approval from DDA after compliance review. This allows you to move forward with the next setup stages.

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Provide Legal Documents

Submit incorporation papers, shareholder resolutions, and notarized documents. These legal documents are required for verification.

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Select Office & Sign Lease

Choose a suitable workspace within DIC and sign the lease agreement. This secures your office location officially.

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Make Initial Payment

Pay the necessary fees and initial office rent (usually 50%). This triggers the drafting of your agreements.

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Complete Final Agreements

Sign final agreements including sponsorship and incorporation documents. This completes the formal business setup process.

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Receive Trade License

Receive your official trade license and incorporation certificates. Your business is now legally established.

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Settle Remaining Payments

Ensure all remaining payments for office rent or fees are settled. Payments may be annual, semi-annual, or quarterly.

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Apply for Visas & Establishment Card

Apply for residence visas and obtain your establishment card. These support business operations and employee processing.

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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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FAQs (Frequently Asked Questions)

What is the process for applying for a company formation license in Dubai Internet City?

Submit your documents to the DDA, choose your license type, and complete the online application. Approval typically takes a few days to a couple of weeks.
Companies can sponsor visas based on office size and license type. Each visa requires medical tests, Emirates ID, and residency approval.
DIC companies can operate internationally, but onshore UAE business requires additional approvals or partnerships. Free zone licenses alone don’t allow mainland trading.
Companies can upgrade office space, add multiple activities per license, or access incubators and investor networks to expand operations.
License and visa renewals are processed through the AXS platform annually or every 2–3 years. Fees depend on license type and the number of visas.