Business Setup In Dubai International Financial Centre (DIFC)

The Dubai International Financial Centre (DIFC) is one of the most important financial centers in the Middle East, Africa, and South Asia. The Dubai Financial Services Authority (DFSA) regulates and grants licenses in DIFC.

DIFC is an independently regulated special economic zone located at the heart of Dubai. It provides all the operational benefits of a free zone along with the common law jurisdiction of an independent arbitration authority. As compared to the civil or commercial laws of the UAE, DIFC’s legal system, which is based on English common law, is its distinguishing characteristic. The DIFC has its own court, it is also important to mention. All DIFC management fees are taken in US dollars since the US dollar is the main currency within the DIFC.

The DIFC district is the ultimate location where business and lifestyle converge thanks to its cutting-edge office buildings, retail stores, cafes & restaurants, art galleries, residential apartments, public open spaces, and hotels.

A financial company requires the necessary permissions from the Dubai Financial Services Authority (DFSA) in addition to paying all registration fees in order to operate in the Dubai International Financial Centre.

Setup Your Business in Dubai International Financial Center DIFC

Starting a business in DIFC aims to provide financial institutions a platform to conduct business with the region’s growing markets. In order to get access to the markets in the region, DIFC was established with the goal of developing an environment that would foster growth, advancement, and economic development in the UAE. To this end, it has the necessary facilities, as well as globally recognized legal and commercial practices. Businesses can access the markets of the area through the DIFC in Dubai, a hub for international financial institutions. It completes highly secured transactions in its jurisdictions. applying International Financial Standards that meet local financial standards.

DIFC Business activities

Regulated activities:
. Banking
. Investment
. Finance
. Asset and wealth management

Non-regulated and non-financial businesses
. Retail and convenience store
. Art galleries
. Restaurants

Open a Company in Dubai International Financial Centre

The Dubai International Financial Centre (DIFC) Free Zone stands out from all of the Dubai free zones since it provides some of the most advantageous packages for forming a company. One of these differences has to do with the possibility of setting up special-purpose vehicles, which are unique to the Emirate of Dubai. In addition, the Dubai International Financial Centre is one of the most significant financial centers in the whole United Arab Emirates.

Types of companies in Dubai International Financial Centre

The DIFC has its own Commercial Code which provides for the following types of structures:
. companies limited by shares;
. limited liability companies;
. branch offices of foreign companies referred to as recognized companies;
. partnerships.

The formation of new companies is made easier by the Registrar of Companies in the DIFC.
The following various types of companies can be established:
Limited Liability Company (LLC):
A company that combines the features of a sole proprietorship, partnership, and corporation.
For small business entities or individuals, this form is best.
Limited Company (LTD):
A company that has multiple shareholders and restricts each shareholder’s individual liability to
their shares in the business.
Recognized Company:
An existing foreign business may use the license to establish a branch or representative office
within the free zone.
Continued Company:
Where the incorporation of an existing company is transferred from another jurisdiction to the
DIFC.
A Limited Liability Partnership (LLP) or a branch of an existing elsewhere Limited Liability
The partnership may be established under the Limited Liability Partnership Law.
A general partnership (GP) or a branch of an existing overseas general partnership (RP) can
be formed in accordance with the General Partnership Law.
A limited partnership (LP) or a branch of an existing limited partnership (RLP) can be
established under the Limited Partnership Law.

Registering a company in Dubai International Financial Centre

Within order to open a company in the Dubai International Financial Centre, the following documents must be filed to the free zone authority:
. The required application form;
. A viable business plan;
. The audited accounts of the shareholder for the last 3 years;
. Information on the shareholders and directors.
Additional requirements are necessary when forming a business that will operate in the finance industry.

Business rules in DIFC

Compliance with certain business rules is necessary for DIFC company creation. Knowing that enterprises in this free zone must have a registered office and at least two directors who may be of any nation is important since DIFC has an independent regulatory environment. Companies registered in the DIFC must keep accounting records for at least 10 years and take account of annual audits in their documents. Our experienced local agents can explain all of these aspects of DIFC company formation and the rules that you have to follow as a foreign entrepreneur.

Benefits of Business Setup in Dubai International Financial Centre

The various benefits obtained in DIFC include:

1. A strategic location
   a tax-friendly system
2. An excellent regulatory environment
3. A unique legal framework
4. 100% ownership of business permitted
5. No restrictions on capital and profits repatriation
6. Absence of limits and regulations on currency exchange
7. full confidentiality

The DIFC is an advanced center situated in the heart of Dubai that serves as the focal point for both international and regional commerce and was established to meet to the needs of financial institutions operating in markets across the region. More than 200 banks and financial institutions have been given operating licenses by the DIFC. Thousands of financial services businesses have also registered to open a financial center in the Dubai Business Freezone.

FAQ

Why DIFC?

. Infrastructure that is well-designed and adaptable
.100% repatriation of capital and profits.
. Single-window service provider
. independent regulatory authority
. common law framework
. avoid double taxation across 47 countries.

How much does it cost to setup a free zone company?

The costs might vary significantly due to the wide range of requirements and needs for each arrangement. Starting at AED 5,275 (USD 1,437), Worldwide Formations provides its customers with special packages.

How can the DIFC Work Hub be joined?

For joining to the DIFC Work Hub, the requirements must first be discussed with a member of the DIFC Business Development Team. Then the required documents must be sent in, and finally, license and visa permission must be secured.

Why invest in Dubai?

For many years, Dubai has attracted the most attention from foreign investors looking to discover the possibilities for developing and earning a consistent income. If you want Dubai to be your next business destination, consider the following factors:

. Advantageous taxation system – The UAE continues to have the best taxation system in the
world despite the recent introduction of VAT. Both corporate and personal income tax does
not exist.
. Stability – Every entrepreneur dreams of growing their company in a secure atmosphere. This is
something you can take benefit of in Dubai, as the UAE is also one of the most secure countries
in the world.
. Innovation hub – Dubai is a place where you may grow your innovative business with full
support from authorities and permissive legislation.
. Free trade zones – One of the most popular business establishments in Dubai is DIFC, which
provides a stable and growing business climate. For foreign investors, the DIFC may be an
excellent business chance.

What kind of activities can you develop in DIFC?

Foreign investors who are interested in forming a firm in the DIFC can establish a variety of
businesses in sectors including banking, finance, asset, and wealth management. In the DIFC,
these activities are controlled, but business owners can also concentrate on unregulated
pursuits in the areas of retail, consultancy, human resources, beauty and personal care,
auctions, art, and gastronomy (building restaurants).

Why Choose us?

We have a team of knowledgeable compliance specialists who can provide professional assurance and security for the DIFC public register as well as other professional services. We are the premier business formation experts in Dubai, specializing in comprehensive support for establishing your business in the Dubai International Financial Centre (DIFC). Our unrivaled services encompass every aspect of the DIFC company setup, ensuring a seamless and successful journey for your business. With a proven track record and a commitment to excellence, we are your trusted partner for DIFC business formation.