Formed in 2002, the Dubai Multi Commodity Center (DMCC) is a Dubai free zone located at the heart of Dubai and is the perfect destination for setting up a venture in the retail and commerce sector. The Sheikh Zayed road is accessible from the free zone adding to reasons why the free zone is one of the best places to launch a firm. DMCC has contributed immensely to the continuous growth of Dubai’s trade and commerce.

The Dubai Multi Commodity Center is one of the most preferred destinations for establishing a business in Dubai. This Dubai free zone provides an exclusive potential for those in the market in four main commodity categories: energy-related sectors, steel and base metals, soft agricultural commodities, and precious commodities. Stocks, gold, silver, energy, copper, pearls, jewels, fiat money, tea, base metals, and agricultural products are the principal commodities traded here.

Among the DMCC’s many goals are the following:

  1. To become the primary global trading hub for commodities and related goods.
  2. To aid in Dubai’s and the UAE’s economic development.
  3. To develop a lively and energetic business atmosphere in Dubai.
  4. To lure in and keep the top businesses in the world in commodities and other industries.

Apart from its trade benefits and setup procedure, DMCC Free Zone provides numerous features that attract entrepreneurs and investors further. Some of these features are:

  1. Options for offices to suit any need:
    1. Core & Shell, managed offices: Move into a fully furnished office or start from scratch creating your dream workstation.
    2. Flexi and virtual desks: Take advantage of co-working spaces’ flexibility whenever it suits you.
    3. Multi-story offices: Expand with roomy, top-notch spaces.
  2. Retail locations: Create a buzzing, busy environment for your brand.
  3. Towers for businesses and residences – Sleek, contemporary flats and workspaces; discover your ideal residence or corporate headquarters.
  4. Light manufacturing facilities: Start producing more effectively and swiftly.

DMCC Business Activities

DMCC permits a wide range of business activities for a range of sectors and businesses.  Within the JLT region, entrepreneurs can also open retail establishments like stores, clinics, eateries, and other retail outlets. Because of this, DMCC is a desirable substitute for establishing a mainland business, where sponsorship by local citizens is normally necessary.  DMCC provides flexibility concerning business activities. You can conduct up to six business activities from the same group using your DMCC license. 

List of corporate activity categories that  you can choose from using your DMCC license:

  1. Trading and Commodities
  2. General Trading
  3. Food and Beverage
  4. Professional and Services
  5. Consultancy and Advisory Services
  6. Technology and IT
  7. Healthcare and Pharmaceuticals
  8. Real Estate and Property
  9. Construction and Engineering
  10.  Industrial Manufacturing

Check out: Import Export business setup in Dubai

Pros of DMCC Company Formation

  1. Continual updates on the most recent changes to laws and compliance requirements
  2. Numerous business licenses and operations
  3. Effective labor services, immigration, and visa assistance
  4. Repatriation of capital in full
  5. Complete ownership by foreigners
  6. Reputable location near Dubai Marina and the Jumeirah Lake Towers
  7. Affordable rates for the selling and leasing of freehold commercial properties are being offered
  8. Shared offices, flexi desks, and serviced offices are examples of flexible office solutions.
  9. DMCC web portal and efficient online service solutions
  10. Opportunities for networking through DMCC programs and activities

DMCC License

DMCC Free Zone offers various types of licenses based on the activities and other factors you choose for your business. The most common types of trade licenses in Dubai are: 

  1. Commercial license
  2. Industrial license
  3. Service license
  4. General trading license

A new kind of license called the DMCC Dual License enables businesses to function in both the UAE’s mainland and the DMCC Free Zone. There are several advantages to this license, such as:

  1. Decreased compliance standards: In the UAE’s mainland, businesses holding a DMCC Dual License are exempt from some compliance requirements.
  2. Gaining entry into the vast and expanding mainland UAE market is possible for businesses with the DMCC Dual License.
  3. Greater adaptability: Businesses have more adaptability in how they run thanks to the DMCC Dual License.

Once you obtain the license in the DMCC Free Zone you will have to submit a few documents to the free zone authority as part of the post-licensing procedure. These documents include:

  1. Sample Company Letterhead with Stamp 
  2. Capital Deposit Letters for Bank Shares 
  3. Third-Party Liability Insurance

You will also have to renew your DMCC license after a certain period of time. Businesses in the DMCC Free Zone can easily and affordably renew their licenses through this straightforward process. The submission of an audit report will become mandatory beginning with your company’s second annual renewal. You need to turn in the signed facility lease agreement and pay the renewal cost to finish your company’s renewal process. One benefit is that you can renew through an agent and don’t need to be physically present in the UAE to do so.