Sunday 6 October 2019
Dubai has launched the region's first 'Virtual Company License’. Aligned with the third Article of the 50-Year Charter, which aims to build a ‘Virtual Commercial City’ in Dubai, the Virtual Company License will allow investors worldwide to do business in Dubai digitally without requiring residence.
Dubai is making major strides in enhancing business regulatory frameworks and emerging as one of the world’s best business environments. The city's leadership has taken a number of innovative decisions and initiatives to cement its position as one of the world’s major business hubs.
Dubai’s sophisticated infrastructure, which is among the most advanced and reliable in the world, has opened new opportunities to develop economic capabilities at a time when technological developments have changed the way business is conducted. Dubai has always kept pace with technological developments and taken advantage of them to advance its strategic objectives and support all businesses regardless of their size.
The Virtual Company License, a joint initiative of Dubai Economy, Dubai International Financial Center (DIFC), General Directorate of Residency & Foreigners’ Affairs (GDRFA), Smart Dubai, and the Supreme Legislation Committee, focuses on three main sectors: creative industries, technology, and services. The initiative, which offers vast opportunities for investors around the world to work digitally in Dubai without having to be in Dubai, is expected to enhance confidence among businesses and investors while also opening new horizons for business competitiveness and growth.
The virtual license will enable freelancers and business persons worldwide to have access to a regulated e-commerce platform and easily work with Dubai-based companies while also exploring new markets and investment opportunities digitally.
Dubai Economy will start receiving applications for the Virtual Company License from business persons and investors in 101 countries through the website www.vccdubai.ae or through the offices of VFS Global across 11 locations worldwide. VFS Global, headquartered in Dubai, is the world’s largest technology services specialist for governments and diplomatic missions globally.
The initiative is expected to attract more than 100,000 companies and offer new opportunities for innovators and local companies, accelerating economic activity and the knowledge economy in Dubai.
The virtual city is designed in full compliance with international agreements that Dubai and the UAE have signed. The program allows only verified non-resident individuals to register a company, and the owners of such companies have to be the nationals or tax residents of countries that have implemented the Convention on Mutual Administrative Assistance in Tax Matters and share tax information about their citizens and residents.
Virtual license owners can manage all their business-related activities, including document signing and submission, digitally. The signatures are legally binding in the UAE.
The Virtual Company License is expected to eliminate barriers for the private sector, which Dubai views as a strategic partner in sustainable development. It will further strengthen public-private partnerships and enhance Dubai’s profile as a global business and investment destination.