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Dubai Silicon Oasis Company Formation

Dubai Silicon Oasis (DSO) is the UAE’s premier technology-focused free zone, purpose-built for electronics, IT, and innovation-driven businesses. With over 90,000 square meters of commercial space housing tech giants and ambitious startups alike, DSO offers the infrastructure, ecosystem, and regulatory framework to scale your technology venture in the Middle East.

At Setup Dubai Business, we guide technology entrepreneurs through every stage of Dubai Silicon Oasis company formation—from selecting the right license type to securing your office space and processing investor visas.

Why Technology Companies Choose Dubai Silicon Oasis

Established in 2004 as a fully integrated technology park, Dubai Silicon Oasis operates under the Dubai Silicon Oasis Authority (DSOA)—a government entity dedicated to fostering innovation and technology development. Unlike general-purpose free zones, DSO was specifically designed to support electronics, semiconductors, IT services, and their entire value chains.

The free zone has evolved into a self-contained community where businesses benefit from:

  • Tech-Specific Infrastructure: Microelectronics labs, electronic design automation (EDA) tools, and specialized R&D facilities
  • Integrated Living: On-site residential communities, schools, healthcare facilities, and retail—reducing commute times for your team
  • Strategic Location: Direct highway access to central Dubai, Dubai International Airport, and Al Maktoum International Airport
  • Innovation Ecosystem: Co-location with universities, research centers, and established technology companies

Key Benefits of DSO Company Formation

Benefit Details
100% Foreign Ownership Full company ownership without local sponsor or partner requirement
Tax Efficiency 0% corporate tax on qualifying free zone income; 9% on non-qualifying income above AED 375,000
Full Repatriation 100% capital and profit repatriation with no currency restrictions
Zero Import/Export Duties No customs duties on goods imported into or exported from DSO
Competitive Lease Rates Lower operational costs compared to central Dubai free zones
Golden Visa Eligibility Qualifying investors can obtain 10-year UAE residence

DSO also provides specialized support services including legal and intellectual property assistance, on-site IT infrastructure, and dedicated business support teams—resources particularly valuable for technology startups protecting proprietary innovations.

Business Activities Permitted in Dubai Silicon Oasis

While Dubai Silicon Oasis specializes in technology, the free zone accommodates a broad range of business activities across multiple sectors:

Technology and Electronics:

  • Software development and IT services
  • Electronics manufacturing and assembly
  • Semiconductor design and testing
  • Telecommunications equipment and services
  • Mobile application development
  • Biotechnology and life sciences
  • Aerospace technology

Professional and Commercial Services:

  • Technology consulting
  • Financial services and fintech
  • Marketing and digital agencies
  • Import/export and distribution
  • Training and educational services
  • Oil and gas technology services
  • Automotive technology

For a complete list of permitted activities and guidance on selecting the right business classification, our team can review your specific requirements and recommend the optimal setup structure. Learn more about free zone advantages for entrepreneurs.

Company Types and License Categories in DSO

To establish your business in Dubai Silicon Oasis, you’ll need to select both a legal structure and a license type that matches your business activities.

Legal Structures Available

Free Zone Establishment (FZE): A single-shareholder entity ideal for individual entrepreneurs or corporate shareholders establishing a wholly-owned subsidiary. The FZE structure offers simplicity and full control over business operations.

Free Zone Company (FZCO): Requires a minimum of two shareholders, which can be individuals, corporations, or a combination. FZCO is suitable for joint ventures or businesses with multiple investors.

Branch Office: An extension of an existing company—whether based in the UAE or internationally. The branch operates under the parent company’s legal identity and must conduct activities aligned with the parent’s scope. Learn more about Dubai free zone company structures.

License Types

License Type Permitted Activities
Service License Consulting, IT services, software development, professional services
Trading License Import, export, and distribution of specified goods and products
Industrial License Manufacturing, assembly, processing, and packaging operations

Your trade license can include multiple activities within the same category. Additional activities can be added during the license term as your business expands.

DSO Company Formation Process

The Dubai Silicon Oasis registration process has been streamlined for efficiency. Here’s what to expect:

Step 1: Application Submission

Submit your initial application including business plan, proposed activities, and shareholder information. DSOA reviews applications for compliance with free zone regulations and activity eligibility.

Step 2: Document Submission and Fee Payment

Provide all required documentation (detailed below) along with the applicable registration and license fees. Documents undergo verification by DSOA.

Step 3: E-Agreement Signing

Once pre-approved, you’ll receive the electronic agreement outlining terms, conditions, and obligations. This is signed digitally, eliminating the need for in-person attendance for this stage.

Step 4: Share Capital Letter (FZE/FZCO only)

For FZE and FZCO structures, sign the share capital declaration confirming the company’s capital structure and shareholder contributions.

Step 5: License Issuance

Upon completion of all requirements, DSOA issues your electronic business license, enabling you to begin operations, open bank accounts, and process visas.

Timeline: Most DSO licenses are issued within 2-3 weeks when documentation is complete and accurate. Errors or missing documents can extend this timeline significantly.

Documentation Requirements

Prepare the following documents for your Dubai Silicon Oasis company formation:

  • Completed application form
  • Letter of Intent outlining business objectives
  • Detailed business plan
  • Passport copies of all shareholders and managers
  • CV/resume for each shareholder and manager
  • 6-month bank statements or annual financial report for shareholders
  • Original bank reference letter
  • Existing company brochure or portfolio (if applicable)
  • No Objection Certificate from current UAE sponsor (for UAE residents)
  • Power of Attorney for legal representative

For corporate shareholders: Additional requirements include Certificate of Incorporation, Memorandum and Articles of Association, board resolution authorizing the investment, and audited financial statements.

Facility Options in Dubai Silicon Oasis

DSO offers flexible workspace solutions to match different business needs and budgets:

  • Flexi Desk: Hot-desking arrangements for startups and solo entrepreneurs requiring minimal physical presence
  • Plug-and-Play Offices: Fully furnished office spaces with IT infrastructure ready for immediate occupancy
  • Shell-and-Core Offices: Unfurnished spaces for companies requiring custom fit-outs
  • Warehousing: Storage and logistics facilities for trading and distribution companies
  • Manufacturing Units: Industrial spaces for assembly, production, and processing operations
  • Land Plots: Development land for companies requiring purpose-built facilities

Visa allocations are tied to office space size. Our team can advise on the optimal space configuration based on your visa requirements and operational needs. We also assist with virtual office solutions where applicable.

2026 Regulatory Considerations

Technology businesses establishing in Dubai Silicon Oasis should be aware of current UAE regulatory requirements:

Corporate Tax: The UAE’s 9% corporate tax applies to taxable profits exceeding AED 375,000. Free zone companies maintaining “qualifying income” (primarily transactions with other free zone entities or specific designated activities) may benefit from the 0% rate. Non-qualifying income is taxed at the standard rate.

VAT Compliance: Registration is mandatory once annual taxable turnover exceeds AED 375,000. Technology services are generally subject to 5% VAT, with specific rules for digital services and cross-border transactions.

E-Invoicing: The UAE’s mandatory e-invoicing system launches in phases from July 2026. Larger enterprises (AED 50M+ revenue) must comply first, with SMEs following in 2027. Technology businesses should ensure their accounting systems are compatible.

Economic Substance: Companies conducting relevant activities must demonstrate adequate economic substance in the UAE, including physical presence, qualified employees, and core income-generating activities performed locally.

Post-Setup Services

Once your DSO license is issued, several operational steps follow:

Corporate Bank Account: Opening a business bank account requires your DSO license, shareholder documentation, and a detailed business plan. Banking due diligence has become more thorough in 2026—our team prepares your documentation package to meet bank requirements.

Visa Processing: DSO companies can sponsor investor visas, employment visas, and dependent visas. Visa allocations depend on your office space size. Our PRO services handle Emirates ID registration, medical tests, and visa stamping.

Ongoing Compliance: Annual license renewal, corporate tax registration, and VAT filings (if applicable) are mandatory. We provide ongoing support to keep your business compliant.

Why Work with Setup Dubai Business for DSO Formation

With over a decade of experience in UAE company formation, Setup Dubai Business provides end-to-end support for technology entrepreneurs entering Dubai Silicon Oasis.

Our DSO services include:

  • Activity and structure advisory – Recommending the optimal license type and legal structure for your business model
  • Documentation preparation – Ensuring all paperwork meets DSOA requirements
  • Application management – Handling submissions and liaising with DSOA on your behalf
  • Office space selection – Advising on facility options based on visa needs and budget
  • Banking introduction – Facilitating corporate account opening with UAE banks
  • Visa processing – Complete immigration services for investors and employees
  • Ongoing compliance – License renewals, regulatory updates, and annual filings

We understand the unique requirements of technology businesses—from IP protection considerations to scaling visa allocations as your team grows. Our consultants work to minimize delays and ensure your DSO setup proceeds smoothly.


Frequently Asked Questions

Can I do business outside DSO with a DSO license?

DSO licenses primarily authorize operations within the free zone and international trade. The 2026 “One Free Zone Passport” initiative and mainland permit options now allow certain free zone businesses to access the broader UAE market. We can advise on your specific situation.

What is the minimum investment required?

DSO does not impose a minimum capital requirement for most service-based businesses. Costs vary based on license type, office space selection, and visa requirements. Contact us for a detailed cost breakdown based on your specific needs.

How many visas can I get with a DSO company?

Visa allocation depends on your office space size. Flexi desk options provide limited visa allocations, while larger office spaces can support multiple employee visas. We help you plan space requirements based on your staffing projections.

Is DSO suitable for non-tech businesses?

Yes. While DSO specializes in technology, it accommodates various business activities including trading, consulting, and professional services. The tech-focused ecosystem is an advantage, but not a restriction for most business types.


Ready to launch your technology venture in Dubai Silicon Oasis? Contact Setup Dubai Business at +971 55 378 8000 for expert guidance tailored to your business objectives.

How to Set Up a company in Dubai Silicon Oasis?

for more details call +971 55 378 8000 or e-mail us in info@ebsuae.com

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