DMCC Company Setup Cost 2026: Fees, Visas and Tax

DMCC company setup cost in 2026 is about AED 50,000 to AED 60,000 in year one for a standard trading or service licence with a flexi-desk and one or two visas, before banking, accounting and audit. DMCC's published schedule of charges puts the one-off fees at AED 12,075 and the licence plus establishment card at AED 22,090 a year. Most companies also deposit around AED 50,000 of share capital, which is not a fee but does have to be funded.

The headline numbers on agency websites range from AED 20,000 to over AED 100,000 because they mix one-off and annual fees, include or exclude the office and visas, and sometimes count share capital as a cost. This guide rebuilds the figure from DMCC's own fee schedule, prices year two, and then covers what Indian owners pay for on the other side of the corridor: ODI filings, tax residency risk and corporate tax conditions. If you are still deciding between a free zone and an onshore licence, read our comparison of Dubai free zone vs mainland first.

Key points

• DMCC's schedule of charges lists an application fee of AED 1,035, a registration fee of AED 9,020 and an Articles of Association fee of AED 2,020, all paid once.
• A standard trading or service licence costs AED 20,265 a year and the establishment card AED 1,825 a year. A general trading licence costs AED 50,265 a year.
• DMCC's February 2026 cost guide puts flexi-desk office space at AED 15,000 to AED 20,000 a year and minimum share capital at typically AED 50,000.
• A DMCC company is a UAE corporate tax payer. It pays 0% only on qualifying income and only if it meets every Qualifying Free Zone Person condition, including audited accounts and real substance.
• Indian companies and resident individuals must fund a DMCC company through the ODI route and file with their bank. The UAE fees are the smaller part of getting this right.

How much does DMCC company setup cost in 2026?

The cost of a DMCC company is the sum of four blocks: one-off registration fees, the annual licence, the office, and visas. The table below uses the fees published on DMCC's schedule of charges page and its own cost guide dated 12 February 2026. DMCC adds AED 20 in knowledge and innovation fees to transactions and 5% VAT where applicable, and states that its charges can change without notice, so treat these as the current published rates rather than a quote.

Adding the one-off fees, a standard licence, the establishment card and the lower end of the flexi-desk range gives AED 49,165 before any visa. That is the floor for a DMCC company with an office lease, which every licence needs. The visa charge in the table is DMCC's own fee; the medical fitness test and Emirates ID are paid to other government bodies and depend on the speed of service you choose.

What do DMCC's packages cost?

DMCC also sells bundled one-year packages. Its February 2026 guide lists the Basic Biz Package at AED 35,484, Jump Start with a flexi-desk at AED 43,780, Jump Start with co-working at AED 49,941 and Prime Plus at AED 40,145. Packages can be cheaper than buying each line separately, but they differ in which visas, office terms and activities they include. Ask for the package contents in writing and compare them line by line against the schedule above before you choose.

What does a DMCC company cost in year two?

Year two is cheaper because the AED 12,075 of one-off fees fall away. A standard licence, establishment card and flexi-desk cost roughly AED 37,090 to AED 42,090 a year at the published rates. Two-year visas fall due again in year three; DMCC lists its two-year renewal charge at AED 2,790 per visa.

Year two is also when compliance costs become visible. A DMCC company must keep accounts, file an annual UAE corporate tax return and, if it wants the 0% free zone rate, prepare audited financial statements. Late licence renewal is expensive: DMCC charges AED 2,500 if you renew 31 to 60 days late and AED 5,000 at 61 to 90 days. Agencies that quote only year one leave this out, and it is the number that matters for a structure you intend to keep for ten years.

What makes a DMCC company cost more?

Four choices move the total more than anything else.

• Licence type. A general trading licence, which lets you trade in a broad range of unrelated goods, costs AED 50,265 a year against AED 20,265 for a standard trading licence. If your products fall within a few related activity groups, a standard licence is usually enough.
• Office. A flexi-desk suits a small team. DMCC's licence guide says flexi-desk packages typically include one to three residency visas, while a private office gives one visa for every 9 square metres. More staff means more space, and space is the largest variable cost.
• Number of visas. Each visa adds DMCC's permit fee plus medical, Emirates ID and health insurance, which is mandatory for employees in Dubai.
• Licence term. DMCC's schedule lists multi-year licence options. Paying several years upfront improves cash flow certainty but locks you into a structure before you know it works.

Worked example: a Mumbai agri-commodities exporter

Take an illustrative Mumbai company with ₹80 Cr of export turnover that wants a Dubai entity to contract with Gulf and African buyers, hold stock positions and employ one trader and one director on UAE visas. It needs a standard trading licence covering its product group, a flexi-desk and two visas.

On top of this come VAT where applicable, medicals and Emirates IDs, health insurance, bank charges, bookkeeping, the audit and the corporate tax return. The company also remits AED 50,000 of share capital from India, which it reports as overseas direct investment. If it later needs a general trading licence, the licence line rises by AED 30,000 a year. The question for this exporter is not whether AED 55,000 is affordable. It is whether the Dubai entity will genuinely negotiate, contract and bear risk on Gulf and African sales, because that decides how much profit it can keep under transfer pricing rules. Our guide to UAE setups for Indian exporters and traders covers that design question in depth.

Is DMCC worth the premium over other routes?

DMCC is rarely the cheapest free zone, and it does not need to be. It suits companies whose counterparties, banks and talent care about the address. DMCC reported on 5 August 2026 that 4,080 Indian companies are now members, more than 330 joined in the previous 12 months, and Indian businesses make up over 15% of its 26,000 member companies. That community, and DMCC's strength in commodities, precious metals and stones, is what the premium buys.

Since 2025 the line between free zone and mainland is less rigid. Dubai Executive Council Resolution No. 11 of 2025 lets free zone companies obtain a mainland licence or temporary permit through the Department of Economy and Tourism. KPMG's summary of the resolution lists a branch licence at AED 10,000 a year and a temporary permit of up to six months at AED 5,000, with separate financial records required for mainland activity. That makes DMCC more flexible, but mainland revenue still needs its own corporate tax analysis. For the full cost picture across zones, see our Dubai company formation cost breakdown.

Does a DMCC company pay corporate tax?

Yes, a DMCC company is within UAE corporate tax and must register with the Federal Tax Authority. Under Federal Decree-Law No. 47 of 2022, the standard rate is 9% on taxable income above AED 375,000. A free zone company can pay 0% on qualifying income if it is a Qualifying Free Zone Person, which means it must maintain adequate substance in the free zone, earn qualifying income, prepare audited financial statements, comply with transfer pricing rules and not elect into the standard regime.

The de minimis rule is where many trading companies slip: non-qualifying revenue must stay below the lower of 5% of total revenue or AED 5 million. Ministerial Decisions No. 229 and No. 230 of 2025 replaced the earlier 2023 decision on qualifying activities and apply from 1 June 2023, so advice written before 2025 may be out of date. If the company fails a condition, it loses the 0% rate for that period and the following four. Our guide to corporate tax for free zone companies explains each condition.

What do Indian owners pay for beyond the DMCC fees?

For an Indian parent or promoter, the Dubai fees are the easy part. Three Indian-side items decide whether the structure holds.

ODI filings and limits

Under the Foreign Exchange Management (Overseas Investment) Rules, 2022, an Indian company can invest overseas under the automatic route within a financial commitment limit of 400% of its net worth. A resident individual can invest only in an operating foreign entity that is not in financial services and has no subsidiary or step-down subsidiary in which the individual has control, within the Liberalised Remittance Scheme limit of US$250,000 a year. The share capital remittance is reported through your bank, and RBI's Master Direction requires an Annual Performance Report for each foreign entity by 31 December every year. See our explainer on ODI rules for Indian companies and on funding an overseas company through ODI or LRS.

Where the company is managed from

If the key management and commercial decisions for the DMCC company are in practice made in India, India's place of effective management test can treat it as Indian tax resident, taxing its worldwide income in India. A flexi-desk and a visa do not by themselves create management in Dubai. Read our guide to place of effective management (POEM) before you appoint directors.

Banking

A DMCC licence does not guarantee a bank account. UAE banks look at the ownership chain, the source of the share capital, the business model and who is resident in the UAE. Plan for the account to take longer than the licence. Our guide to UAE corporate bank accounts for Indian-owned companies lists what banks ask for.

How to set up a DMCC company: step by step

1. Decide what the entity will do. Write down which contracts it will sign, which people will sit in Dubai and which risks it will carry. This determines the licence, the office and the tax result.
2. Choose activities and licence type. Pick the narrowest set of DMCC activities that covers the business, and confirm whether a standard trading licence is enough.
3. Clear the Indian side first. For an Indian company, confirm the board resolution, net worth headroom and bank ODI filing; for an individual, confirm LRS headroom and that the entity qualifies as an operating entity.
4. Apply to DMCC. DMCC's February 2026 guide says setup typically takes two to three weeks and can be done fully online. You submit shareholder and director KYC, the business plan and the activities.
5. Sign the office lease and pay the licence. The licence is issued against an office: flexi-desk, co-working or private office.
6. Deposit share capital and open the bank account. Remit the capital from India under ODI and report it.
7. Register for corporate tax and, if needed, VAT. Register with the Federal Tax Authority for corporate tax promptly after incorporation; VAT registration is mandatory once taxable supplies exceed AED 375,000.
8. Process visas and set up compliance. Establishment card, visas, accounting, audit calendar and intercompany agreements with the Indian parent.

Common mistakes that raise the real cost

• Comparing package prices, not five-year costs. A cheaper year one with a short lease can cost more by year three.
• Buying a general trading licence by default. It adds AED 30,000 a year over a standard licence and is often unnecessary.
• Assuming 0% tax. Mainland sales, missing audits or thin substance can put the whole company on 9%.
• Remitting capital before the ODI filing. Late or missing ODI reporting creates penalties and blocks later repatriation.
• Running the company from India. Signing contracts and taking decisions in India invites POEM and permanent establishment questions.
• No intercompany pricing. If the Indian parent supplies goods or services, both sides need arm's length terms; see our guide to transfer pricing for India–UAE groups.

When should you not set up in DMCC?

Do not set up in DMCC if no one will work for the company in Dubai, if most customers are onshore UAE consumers, or if the only reason is a lower tax rate. In each case the cost of the licence and office buys little, and the tax result may be worse than keeping the business in India. A small consultancy invoicing Indian clients is usually better served by staying put or by a cheaper licence until the UAE revenue justifies it. An Indian resident individual who wants a passive holding vehicle generally cannot use ODI for it at all.

The Greenwolf view

A DMCC company is a good answer to a specific question: where should a trading or commodities business sit when its counterparties, financing and people are increasingly international? It is a poor answer to the question "how do we pay less tax?". Commercial design comes first: which contracts the Dubai entity signs, who sits there, which risks it carries and how it transacts with the Indian company. The licence, the office size, the tax position and the ODI filings follow from those answers. Get them right and the AED 50,000 to AED 60,000 of year-one fees is the cheapest part of a durable structure. Get them wrong and no fee saving makes up for a tax residency dispute or a frozen bank account.

Greenwolf Advisors designs and sets up UAE entities for Indian businesses, from the ODI filing in India to the licence, banking, corporate tax and intercompany agreements in Dubai. See how we work on the India–UAE exporters corridor and our corporate services, or speak to our team about your DMCC plans.

This article is general information, not advice for a specific case.