TECOM GROUP Free Zone: Company Formation in TECOM Free Zone
- License cost from AED 15,000
- Residence visas for 2 years
- Freelance permit cost of AED 7,500
About TECOM
Technology Electronic Commerce and Media Group, or TECOM, is a sizable real estate company that owns ten business districts (free zones) tailored to particular industries. It belongs to the state-owned international investment holding company Dubai Holding. With the appropriate facilities and rights, each TECOM free zone serves specific business operations and industry sectors. The following are on the list:
- Dubai Internet City (DIC)
- Dubai Media City (DMC)
- Dubai Design District (d3)
- Dubai Industrial City (DIP)
- Dubai Science Park (DSP)
- Dubai International Academic City (DIAC)
- Dubai Knowledge Park (DKP)
- Dubai Studio City (DSC)
- Dubai Production City (DPC)
- Dubai Outsource City (DOC)
The opening of Dubai Internet City in 1999 marked the beginning of the TECOM Group’s history and has since grown to become the biggest center for information and communications technology in the Middle East and North Africa (MENA) region.
More than 11,000 businesses and clients, including top global companies like Microsoft, Dubai Eye, Visa, Khaleej Times, Google, CNBC Arabia, Dell, Oracle, Siemens, and others, call TECOM’s free zones home today. TECOM business clusters house more than 124,000 professionals across a range of industries. The estimated net profit for TECOM Group as of 2022 was AED 725.6 million.
TECOM’s business districts focus on industries, including science, education, manufacturing, media, technology, and design. Therefore, the total number of business operations the TECOM free zone supports is enormous. With top-notch facilities, amenities, and infrastructure for all business and work requirements, each free zone is a significant business and technological environment within itself.
Furthermore, they are all headquartered in Dubai, a well-known international business center with an unparalleled strategic location and a wealth of networking and development opportunities.
In order to support entrepreneurs and startups, TECOM Group has also started several innovative programs and platforms, including new business incubators and labs, campuses of higher education, the “axs” integrated smart services platform for corporate and governmental services, and the GoFreelance service for freelancers in a variety of fields.
Anyone looking to launch or expand a business in Dubai should consider the business communities TECOM Group offers. The team consistently explores innovation and development, putting new initiatives and ideas into action to support the work of both individual professionals and enterprises. TECOM free zones can offer you all the resources and assistance you need, regardless of your business type: freelancer, startup, SME, or multinational enterprise.
Is TECOM suitable for you?
— Yes
If you’re trying to find a way to set up your business in one of the 10 best business communities in Dubai that are run by TECOM Group, one of the largest real estate companies in the UAE that is backed by state-owned Dubai Holding.
If your company works in the fields of science, education, industry, media, technology, or design. TECOM’s 10 free zones facilitate a wide range of business activities.
TECOM’s free zones provide freelancing permits with single visa quotas, which is ideal if you are an independent specialist or freelancer.
TECOM offers a wide range of facilities and amenities appropriate for a wide range of business disciplines, from offices in business centers and warehouses to commercial spaces and event venues, if you’re looking for a free zone with highly developed infrastructure.
You or your employees will be less likely to face difficulties while applying for resident visas or opening bank accounts in free zones like Dubai Internet City if you or they are from high-risk nations (such as Iran, Syria, Lebanon, Algeria, Turkey, etc.).
— No
In TECOM business districts, company formation frequently necessitates personal presence, so consider remote business establishments if you prefer. Ajman Media City (AMC) or IFZA would be the different choices in this situation.
If you’re looking for a business location outside of Dubai.
If you intend to conduct business in the heavy industry or logistics sectors, TECOM’s fee zones primarily focus on other business sectors. For these kinds of activities, we advise applying to JAFZA or SAIF.
If you’re thinking about using a flex desk. To receive a license, freezones within the TECOM Group frequently require an office rental within the freezone.
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TECOM Free Zone Dubai Company Formation Process
Under the TECOM Group, business owners must start their own companies in free zones or with the help of a business adviser. Companies are registered with the Dubai Development Authority (DDA) in other TECOM-free zones, whereas the Dubai Department of Economic Development (DED) issues licenses in the Dubai Industrial City (DIC).
Business advisors in Dubai are highly recommended because, despite TECOM Group’s best efforts to streamline the business registration and creation procedure across all of its free zones, there may be variations in some setup elements.
Although license registration can be finished without the shareholders’ physical presence, they will need to be there to sign company documents and pick up office keys from the free zone when the registration is complete.
The specific business community, industry, company type, and other variables influence the establishment of TECOM-free zones. An industrial license can take several months to issue, but a freelancing permission can be completed in a week. Leasing an office space is necessary for company registration; the smallest space is a hot desk with one visa limit.
Company registration procedure in TECOM-free zones
Step 1: Choose your business activities and license type
Choose the appropriate license type based on the business operations of your future company. This aspect is essential to a successful business formation because selecting the incorrect license and activity might result in mistakes during company registration, which can cause issues when opening a bank account or getting residency visas for both you and your staff.
Step 2: Determine the legal entity of your business
Specify your company’s legal status. Free Zone LLCs (Limited Liability Companies), Startup Offices, and branches of already-existing domestic or international businesses are among the legal formations available for company registration in TECOM free zones.
Step 3: Prepare and file the required documentation
Prepare the required paperwork and send it along with the application. The following paperwork is usually needed to create a company in TECOM-free zones:
- Passport copies of all shareholders
- Memorandum and Articles of Association
- CVs
- Trade name (at least 5 options)
- NOC from a local partner
- Business plan
- Bank reference letter
- Proof of share capital
Paying all registration and processing costs is another requirement for this stage.
Step 4: Collect the license and registration documents
Keep the company’s licensing and registration paperwork safe, including:
- Business plan
- Certificate of Incorporation
- Business License
- Memorandum and Articles of Association
- Share certificate
- Lease agreement
Step 5: Secure your Establishment Card
Get the Establishment Card with your company’s details and visa quotes.
Step 6: Apply for an entry permit
Apply for a permit of entrance. If you are not in the UAE when the entry permit is being processed, you will have to return within 60 days of the document’s issuance to finish the biometrics and medical examination required for your visa. The status of your prior UAE tourist or resident visa will be changed to the new one if you are in the country when the entry permit is granted.
Step 7: Take a medical test and submit visa documents
Get a medical examination, submit residency visa paperwork, and have your Emirates ID biometrics scanned. The number of visas available for the company’s owners and employees may vary depending on the registration package.
Step 8: Collect your Emirates ID
Get your Emirates ID card as soon as your visa is granted.
Step 9: Open a bank account
To open a corporate bank account, submit an application to a UAE bank. You can begin operating your business as soon as you get your account details.
License costs for Tecom Free Zone Dubai Business Setup
Free Zone Business license typically costs about AED 15,000 per year. However, the license cost is reduced to the registration charge of $3,520 for specific business setup packages, including renting a dedicated workstation. Additionally, a freelancer license costs 7,500 AED.
The approximate price of a setup package that includes a dedicated desk facility is shown below.
| Item | Cost, AED |
|---|---|
|
Professional/Commercial/Industrial license |
15,000 |
|
Freelancer license |
7,500 |
In addition to the license fee, the following expenses are often included in a setup package:
- Registration fee
- Establishment Card
- Lease cost
- Visa-related fees
- Medical checkup
- Emirates ID
TECOM licenses and business activities
In general, TECOM offers a platform that includes people, startups, SMEs, and international business setup in the Tecom International City Free Zone. With a range of connected business activities under one roof, TECOM business districts are primarily field-specific, covering particular industry sectors.
Because of this, there is a vast array of corporate activities that can be conducted in TECOM-free zones, including in the fields of media, technology (mainly IT), manufacturing, design, education, and science. All you have to do is select the free zones that best fit your company.
The list of business licenses that TECOM free zones typically support, along with details of each, is shown in the table below.
| TECOM LICENSE TYPE | LICENSE DESCRIPTION |
|---|---|
|
Professional |
For businesses and entrepreneurs providing expert consultancy and other services across various industries. |
|
Commercial |
For businesses engaged in the distribution, delivery, and storage of commodities as well as their import or export. |
|
Industrial |
For businesses engaged in manufacturing, assembling, packaging, processing raw materials, and importing or exporting specific products. |
It should be mentioned that different license options may be available for each TECOM free zone, depending on the industry sectors and free zone.
Moreover, TECOM offers a specific freelance authorization to accommodate freelancers. With freelance permission, you can work under your own name rather than a company name, establishing you as a unique authority in your industry.
TECOM facilities
TECOM provides companies of all sizes with a range of multifunctional facilities. High building requirements and top-notch infrastructure connect certain free zones together, even though they serve different industries and associated facility types.
You must rent a space in the free zone in order to start a business in a TECOM business community. The size and nature of your company’s operations will determine the kind of space you rent. Keep in mind that 5% VAT is applied to the lease. A security deposit of AED 5,000 is needed for desk space and AED 10,000 for private quarter space.
The following facilities are offered in TECOM-free zones:
| Facility Type | Description |
|---|---|
|
In5 centers |
Three innovation centers for startups and entrepreneurs specializing in media, technology, and design offer studios, workspaces, and prototype labs.
|
|
D/Quarters |
Various expandable co-working spaces for large corporations, SMEs, and freelancers. |
|
Commercial and retail spaces |
Over 100,000 people are served daily by commercial areas for trade operations in business communities. |
|
Light industrial units (LIU) |
Excellent industrial facilities with ready-made infrastructure for various uses can be found in Dubai Production City and Dubai Science Park. |
|
Warehouses |
Excellent multipurpose storage facilities at Dubai Industrial City. |
|
Laboratories |
Sell and core areas for R&D and production in Dubai Science Park’s environmentally friendly, LEED-certified laboratory. |
|
Staff accommodation |
Restaurants, supermarkets, health centers, and sports venues are just a few of the high-quality services that are included in the accommodations for free zone workers.
|
|
Boutique studios |
Media companies that may rent an entire building can use office spaces with designated studios. |
|
Sound stages |
Dubai Studio City offers large, modern sound stages for production and entertainment companies. |
|
Venues |
Business meetings, conferences, training, events, exhibitions, gala dinners, fashion shows, brand activations, and product launches are just a few of the events that may be held in these spacious indoor and outdoor spaces. |
TECOM residence visas
You, your employees, and your families are eligible for residence visas if you open a business in one of TECOM’s free zones. TECOM provides a range of visa packages according to the type of office space selected. Following the issuance of the business license, obtaining a resident visa is simple and includes:
- Establishment Card of the company
- Entry permit
- Status adjustment
- Medical checkup
- Emirates ID
TECOM free zone visa costs:
| ITEM | TECOM FEE, AED |
|---|---|
|
Visa |
4,220 |
|
Emirates ID |
390 |
|
Refundable visa security deposit per applicant |
2,500 |
|
Medical checkup (result in 24 hours) |
760 |
|
Total |
7,870 |
All visas have a two-year validity period, and in order to maintain the validity of this resident visa, the company’s license must be renewed every year. For the visa to remain valid, the holder must visit the country at least once every six months.
TECOM company license renewal
A yearly renewal is required for any business located in a TECOM free zone. The procedure consists of:
- Renewal of the office lease
- Renewal of the license
As a result, license fees and office rent are two expenses that are repeated during a company renewal. Additionally, you must do your company’s yearly financial audit.
| Fee | Cost, AED |
|---|---|
|
License renewal
(minimal cost, does not include other associated fees like lease, etc)
|
15,000 |
You can renew your business license by submitting an application to the free zone authorities together with the necessary paperwork, signing the updated lease, paying the renewal fees, and then waiting for your license to be renewed.
If you are not in Dubai, your representative can take care of the company’s renewal procedure.
You must inform your bank of the license extension following the company’s renewal. To visit any bank branch, you must bring the license. You can get help in this process from business experts in Dubai.
TECOM company amendments and regulations
Company owners are allowed to make as many adjustments as they need to in TECOM-free zones. Each form of change has a different cost. License amendments and registry amendments are two types of amendments.
Registry Amendments:
- Company name change
- Operating name change
- Parent company name change
- Addition or removal of Directors
- Financial year change
License Amendments:
- Manager name change
- Location/address on the license change
- Change of business activity/addition of activity within the same segment
- Removal of an existing segment
- Removal of activity within the segment
- Adding a new publishing segment
- Adding new channels
Most of the changes can be made by consultants who specialize in business formation in Dubai and don’t require the company’s owner to be there.
TECOM company liquidation
Businesses that have registered with TECOM must approach the free zone authority to start the deregistration process if they want to cancel their license and deregister their company. A company’s shareholders must first give notice of the company’s termination and designate a liquidator (usually an accounting firm) in order to liquidate a business registered in one of TECOM’s free zones.
The following steps make up the liquidation process:
- Provide the following mandatory documents:
- Board resolution signed by the shareholders and stating the reason for the company liquidation
- Deregistration documentation
- Business license and all other company incorporation documents
- Auditor Liquidation Certificate
- Audit report
- Make additional payments and pay cancellation fees. The liquidation process begins after this is finished.
- Additionally, all residency visas and other immigration-related documentation issued by the business must be canceled.
- You will be informed when the liquidation is finished and given the relevant paperwork.
Your license becomes non-operational if you don’t renew or cancel it. In this instance, the free zone authorities will start the company’s liquidation on its own. Refunds for any refundable deposits you provided to the authority will be issued when the business deregisters.
Conclusion
JSB Incorporation has established itself as a reliable and expert partner for businesses looking to form a company within the TECOM Group Free Zone. With its comprehensive understanding of the TECOM ecosystem, JSB provides seamless business setup in TECOM-free zone Dubai, licensing, and regulatory compliance guidance.
Their expertise ensures entrepreneurs and businesses can navigate the incorporation process efficiently, allowing them to focus on growth and innovation.
Book your free consultation call today with us to learn more about business setup in UAE-free zones.
FAQs
Company formation typically takes 7-14 business days, depending on documentation.
Yes, TECOM provides flexible office solutions, including virtual offices for startups.
Yes, TECOM companies can sponsor employment and investor visas for owners and employees.
Licenses must be renewed annually by submitting required documents and paying renewal fees.
TECOM companies can operate globally and within the UAE through partnerships or branch offices.
Don't miss out on this limited-time opportunity!
We'd Love To Hear From You
contact us
Find us Here
Office No 20, 4th Floor, Al Moosa Tower 2,
Sheikh Zayed Road Dubai, United Arab Emirates P.O. Box 27614.
Get In touch
+971 4 824 4842
info@jsbincorporation.com