Dubai CommerCity: An e-commerce freezone for businesses
Undoubtedly, Dubai has developed into a global business hub. And this progression has been significantly aided by free zones in the emirate. One such free zone is Dubai CommerCity (DCC), with the caveat of being the first free trade area in the MEASA region dedicated to the burgeoning e-commerce market. Interested in learning more about this one-stop shop for setting up a business? We’ve compiled everything you need to know about Dubai CommerCity.
About Dubai CommerCity
Companies that operate within DCC are exempt from corporate or income tax thanks to their status as one of the free trade zones in Dubai. Spread across 2.1 million sq. ft., this zone provides a unique environment for digital commerce and regional and international brands to grow online ventures.
Company Setups at Dubai CommerCity
The past few decades have seen phenomenal growth for IT-based businesses in the country. Examples of zones that aided in that success include Dubai Internet City. The E-Trader licence in Dubai was also introduced in 2017 to help single-owner companies sell products digitally.
Dubai CommerCity offers several facilities for start-ups to get their businesses registered and running in the UAE. Owners can choose to operate as any of three types of companies via DCC:
- Public Limited Liability Company: Suitable for companies that want to list or offer shares on a security market. There is no limit on the number of shareholders.
- Free Zone Company: The number of shareholders is limited to 50 for a Free Zone company. It applies to individual and collectively owned businesses — with at least AED 1 of share capital.
- Free Zone Entity (Branch): Serves as a branch office of a current business and requires no share capital.
Types of available licences
DCC offers six types of business licences. These include:
- General Licence: Permits general import, trading, storage, export and distribution.
- Service Licence: Allows licensure for those with service-centric business models.
- Trade Licence: Enables export, import, re-export, storage and distribution of specified goods/activities.
- E-Commerce Licence: Permits the trade of services and goods online.
- Dual Licence with DED: Allowed for companies that register with the Dubai Department of Economic Development (DED).
- Industrial Licence: Allows light manufacture, packaging and assembly of specified goods/activities.
Activities Covered
Dubai CommerCity facilitates over 1,500 business activities. These cover industries like Mining & Quarrying, Manufacturing, Construction, Equipment Repair and more. A complete list of facilitated activities can be found on the official DCC website.
Potential business owners must note that these are subject to change by Dubai CommerCity. Furthermore, some businesses may require a ‘No Objection Certificate (NOC)’ for certain activities.
DCC allows growing and new businesses the chance to flourish in a pioneering “e-commerce-enabled ecosystem”. You can file and submit a contact form on the free zone’s website to register your interest.
Facilities offered at CommerCity Dubai
The project is divided into three clusters, allowing several types of businesses to run successfully through one location.
Business Cluster
The DCC Business Cluster features 12 buildings that comply with the Leadership in Energy and Environmental Design (LEED). This can be seen in the sustainable practices implemented throughout certain areas of the facility, like renewable energy and water.
DCC offers business owners a range of rental options that can be modified according to changing requirements.
Logistics Cluster
Logistics require detailed organisation and implementation of complex processes. The Logistics Cluster at DCC offers dedicated warehousing to help businesses fulfil storage requirements. The service comes with a “pay-as-you-go” pricing model.
Social Cluster
The Social Cluster lies at the heart of DCC. As the name implies, it is dedicated to common areas with food halls, restaurants, cafes, art galleries and open spaces — offering employees a reprieve from the hectic work-based environment.
Services
The e-commerce free zone offers valuable services, from business support to digital marketing and customer analytics, to help companies manage operations more efficiently.
Here are the services Dubai CommerCity offers.
Fulfilment, Warehousing and Last-Mile Delivery
The zone has two types of fulfilment centres —multi-client and dedicated. They allow businesses more leverage to manage the movement and storage of their stock. These services extend to end-to-end fulfilment solutions, customs clearance processes, order management, etc.
E-commerce platform and services
Ventures that rely on digital technologies for their services can find the required solutions at the DCC site. Industry experts always provide necessary support in areas like web store development, payment gateways, UX/UI developers and online branding.
E-commerce strategy consulting
This service is ideal for those who have web-based stores and need to ensure their products sell. E-commerce strategy consulting helps businesses create processes that aid their growth.
Consultations are especially useful for international businesses that intend to expand in the Middle East.
Customs Consulting
International requirements are an integral part of cross-border e-commerce. Customs Consulting services at DCC help international ventures navigate the “red tape.”
Where is Dubai CommerCity located?
The free zone is located in the middle of the regional trade route in Umm Ramool, right next to the Dubai International Airport. The strategic location allows for speedy order fulfilment in the UAE and abroad.
- Dubai CommerCity address: 17 Street, Umm Ramool – Dubai
- Dubai CommerCity contact number: +971-4-291-9191 | 600-532-392
- Email: info@dubaicommercity.ae
Frequently Asked Questions
Does Dubai CommerCity allow for multiple leases?
Yes, the DCC does enable customers to lease several premises under a similar licence.
What types of licences does DCC offer?
Dubai CommerCity offers six types of licences. Aside from Dual Licence with DED, you can opt for Trade, Service, E-commerce, Industrial and General Licence.
What is E-commerce enablement?
DCC allows business owners to launch or grow their digital resources in one place. It can involve partner selection, logistics and other aspects that go into running online ventures.
What does it cost to set up a business in Dubai CommerCity?
DCC offers flexible pricing packages based on a business’s size, nature and activities. Business owners can opt for pay-as-you-go pricing. Contact the facility to ask about the Dubai CommerCity licence cost and more.
Can I buy an office in DCC?
No, you can only lease offices in the free zone.
Do I have to pay income or corporate tax to operate a business at DCC?
Income or corporate tax does not apply to businesses or individuals that work within DCC.
Will I need to partner with a UAE company for a setup in Dubai CommerCity?
DCC allows for full foreign ownership. This means you won’t have to ally yourself with a local company to set up shop in the free zone.
Which are the best business setup consultants in Dubai?
Establishing a company can be daunting. You can make the process easier with the help of local consultation services. Those who want to set up businesses in the emirate can contact Creative Zone, Start Any Business, Make My Firm and other business setup consultants in Dubai.
That concludes our guide on Dubai CommerCity. For your next read, check out how the Dubai Chamber of Commerce and Industry (DCCI) enhances Dubai’s status as an international business hub.
If you want to understand what is a free zone in Dubai, please refer to our guide.
For more updates on how to start a business in Dubai and the UAE property market, stay tuned to MyBayut.
(Cover image credit: Dubai CommerCity website)