Dubai Design District (d3) License Types for Company Formation

Discover the varied licensing choices for forming companies in Dubai Design District (d3)

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Welcome to the world of Dubai Design District (d3), a haven for creative minds, fashion designers, and innovative startups. If you’re looking to set up a business in this bustling hub, you’ve landed at the right place. This comprehensive guide will walk you through the different Dubai Design District (d3) License Types for Company Formation by FZBuddy.

Overview of Dubai Design District (d3)

Dubai Design District, commonly known as d3, is a creative ecosystem that caters to design industries. Located strategically near the Dubai Mall and Business Bay, d3 has become a primary destination for fashion houses, boutique design studios, and a wide range of business activities. It’s not just a business park; it’s a vibrant community that fosters creativity and innovation.

Read More: List of SRTIP Licensing Options: Choose the Right License for Business

Types of Licenses Available for Companies in D3

There are different types of licenses you can get in D3. Below are some you might want to pick!

Business Bay License

Features of the Business Bay License

The Business Bay License is a versatile option that allows for a range of business activities. It’s particularly popular among freelance professionals and offers the following features:

  • Foreign Ownership: 100% foreign ownership is allowed.
  • Minimum Capital Requirement: No minimum share capital is required.
  • Flexi Desk Options: Co-working spaces are available.

Requirements for Obtaining a Business Bay License

  • Detailed Business Plan: A comprehensive business plan is a must.
  • Specimen Signature: Required for company registration.
  • Initial Approval: From Dubai Development Authority.

Advantages and Disadvantages of a Business Bay License

Advantages:

  • Strategic Location: Close to Mohammed Bin Rashid City and Dubai Mall.
  • Tax Exemption: No personal income tax.

Disadvantages:

  • Limit on Capital Repatriation: Some restrictions apply.
  • No-Objection Certificate: Required from concerned authorities.

Legal Entity License

Features of the Legal Entity License

This license is ideal for those looking to establish a branch company or a new business entity. It offers:

  • Foreign Ownership: Full ownership for foreign investors.
  • Share Capital Requirement: A certain minimum is required.
  • Residency Visas: Sponsorship options available.

Requirements for Obtaining a Legal Entity License

  • Parent Company: Proof of share capital and Articles of Association are required.
  • Board Resolution: From the parent entity.
  • Registration Certificate: Mandatory for company setup.

Advantages and Disadvantages of a Legal Entity License

Advantages:

  • Repatriation of Profits: Allowed under this license type.
  • Wide Range of Business Operations: More flexibility in operations inherent to the business.

Disadvantages:

  • Cost: Higher registration fee and share capital requirement.
  • Legal Framework: More stringent legal requirements.

Personal Income Tax (PIT) License

Features of the PIT License

  • Foreign Ownership: Allowed.
  • Business Activity: Ideal for sole proprietors in design workshops and fashion events.
  • Exceptional Talent: Tailor-made for individuals with exceptional skills in design.

Requirements for Obtaining a PIT License

  • Business Plan: A detailed business plan is essential.
  • Proof of Share Capital: For certain types of business activities.
  • Initial Approval: From the Dubai Development Authority.

Advantages and Disadvantages of a PIT License

Advantages:

  • Tax Benefits: No personal income tax.
  • Creative Freedom: Ideal for creative design and fashion stylists.

Disadvantages:

  • Limited Business Operations: Not suitable for all types of business activities.
  • Residency Visa Sponsor: Must be obtained separately.

Creative Thinkers’ Special Licensing

This is a special freelance permit designed for thousands of artists, fashion designers, and other creative professionals. It offers:

  • Permits for Artists: Special permits tailored for the creative community.
  • Co-Working Spaces: Community spaces and retail outlets are available.

Read More: List of UAQ FTZ Licensing Options: Choose the Right License for Business

Conclusion

Dubai Design District (d3) is more than just a business destination; it’s a creative neighborhood that offers a plethora of opportunities for creative minds and businesses alike. Whether you’re an up-and-coming brand in fashion or a freelance professional, d3 has a license that will suit your needs. With tax exemptions, strategic locations, and a vibrant creative ecosystem, d3 is undoubtedly the place to be.

For more information, consult with business setup consultants and start your journey in this thriving design community today.

Sources


FZBuddy aims to provide accurate and reliable information as you navigate the UAE Freezone space. As such, our writers refer to primary information sources in supporting each article appearing on this website. These include, but are not limited to, published news articles, government portals, research papers, and more.

  1. Design, art & fashion Hub in Dubai | Dubai Design District. (n.d.). https://dubaidesigndistrict.com/
  2. Home – Executive Council. (n.d.). Executive Council. https://tec.gov.ae/en/home

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