VIRTUAL BUSINESS LICENSE – A new Initiative

Dubai, is undoubtedly the first choice of any business owners to have their own businesses. Dubai carries a remarkable place in terms of ease of operating a business in the world and thus the most favorable business destinations. In such scenario’s the Dubai government has a made an announcement of VIRTUAL BUSINESS LICENSE. This announcement will indeed be a remarkable initiation encouraging many professionals looking for an opportunity to invest. This initiative aims at the business professionals and individuals residing outside UAE to think Dubai as a destination for their businesses.

What is a Virtual Business License all about?

Announced on the 1st October 2019 by His Highness, the virtual business license is in line with the Article 50, a chapter that unwinds the opportunities for the global entrepreneurs to have the businesses in Dubai virtually. This initiative is a collaboration of Dubai Economy,  Dubai International Financial Centre (DIFC),  and General Directorate of Residency Foreigner’s Affairs, Smart Dubai and the Supreme Legislation Committee. Investors almost from 101 nations are been projected at this initiative.

Who is eligible to own a Virtual Business license in Dubai?

Along with the launch there are certain guidelines and parameters released focusing on the eligibility criteria of who can own this virtual business license.

1. The applicant cannot be a resident in UAE.
2. It is mandatory for the applicant to be a tax resident in any other nations eligible for Virtual license.
3. Certain specified business segments are categorized for this license, professionals dealing in those can have their operations.
4. The applicant needs to comply with the corporate, Individual and social taxation in the country.
5. There is no physical existence of the company in Dubai.
6. Significant measures have been put in place against the AML (Anti Money Laundering) and Tax elusion when it comes to international business.
7. Once the application is been filed a thorough background check is done for the applicant and only then the business application is been qualified.
8. There is no provision for the visa in this system but continuous efforts are in place to smoothen the business visit visa for the investors.

Advantages of owning a Virtual Business License:

1. Low operating cost
2. Virtual presence of the company in Dubai
3. International privilege
4. Widen the business opportunities
5. Expansion of the business by widening the target market.

Industries eligible to have a virtual business License:

The initiative of Virtual business License have categorized the eligibility criteria for only a specific targeted business as highlighted below.

Creative businesses:

Activities falling under the category of creative businesses could be eligible for the same. Few activities namely:

1. Fashion designing
2. Interior designing
3. Painting etc.

Information Technological Businesses:

The technological business is been one of the important segments of business worldwide. Due to the advancements in current market, the need for such businesses is also high. Few activities namely:

1. Computer Systems & Communication Equipment Software Design
2. Electronic Chips Programming
3. Web Design
4. Social Media Application and Development and Management
5. Cyber Security Architecture Public Networking Services
6. Cyber Risk Management Services Auditing
7. Reviewing and Testing Cyber Risks
8. Managed Cyber Security Services Provider
9. Marketing Services via Social Media etc.

Service sectors:

The activities under the service sector are also eligible for virtual business license. Few activities namely:

1. Consultants
2. Artwork services
3. And other etc.

All the business owners or aspiring business entrepreneurs looking to have business setup in Dubai, then it is advisable to take a step toward this Virtual business license.

To know more in detail about the costs and the procedures of how to apply for this virtual business license, Contact  CLEVER CORP Business advisors. Call now on +97145804048 or email us on  info@theclevercorp.com  for a FREE CONSULTATION with our expert advisors.