An intersection of academia and ambition, where the pursuit of knowledge meets the allure of entrepreneurship. Dubai International Academic City (DIAC) isn’t your ordinary educational landscape’s your canvas. If you are an entrepreneur and looking into an academic entrepreneurship journey, we are going to provide insight into the comprehensive setup process, associated costs, and notable features.
1. Setting Up in DIAC:
1.1 Selecting a Legal Structure
The first crucial step in the DIAC setup process is choosing the right legal structure for your educational venture. DIAC allows two primary entities:
– Free Zone Company (FZCO): Similar to a limited company, it operates within the free zone. Shareholders can be individuals or corporate entities. For those considering a business setup in the UAE free zone, this structure offers flexibility and strategic advantages.
– Branch Setup: Existing companies can establish a branch of a parent company in DIAC.
1.2 Application Submission and Initial Approval
Once the legal structure is decided, the entrepreneur must submit a detailed application, attaching all necessary documents. This submission initiates the process of obtaining initial approval from the relevant authorities. The required documents include:
– Company registration application
– Personal details of shareholders
– Original memorandum and articles of association
– Registration and license fees
– Proof of share capital
1.3 Signing Documents and Capital Deposit
Upon receiving initial approval, entrepreneurs must sign and return the customer confirmation letter, proceeding to sign crucial documents like the memorandum and articles of association. Subsequently, a bank account must be opened in the company’s name, and the share capital must be deposited, with the proof presented to DIAC.
1.4 Lease and Sponsorship Agreement
To finalize the setup, entrepreneurs sign the lease and personal sponsorship agreement from the DIAC leasing department. This step completes the process, leading to the issuance of the business license for the intended educational activities.
1.5 Permitted Activities in DIAC
DIAC welcomes a spectrum of educational activities, including:
– Higher education
– Online university
– Freelancing
– Boarding school
– Educational services
2. Costs of DIAC Setup
Understanding the financial aspects of setting up in DIAC is vital for prospective entrepreneurs. The costs associated with company formation in DIAC include:
– DIAC Company Setup Fee: Starting from AED 35,000/-
– FZ LLC Registration Fee: AED 3,500 (one-time)
– Branch Registration Fee: AED 3,500 (one-time)
– Facility Costs: Vary based on the type and size of the chosen facility
– Executive Offices (Furnished): AED 45,000/annum (for less than 10 sq meters)
– Offices (400-800 sq. ft): AED 150/sq. ft/annum
Additionally, investors should consider renewal costs, such as immigration/establishment card renewal, which is an annual requirement.
3. Features Enriching the Educational Venture
3.1 Facilities at DIAC
DIAC, spanning a vast 18 million sq. ft. campus, goes beyond traditional academic spaces, offering diverse facilities like:
– Cafes
– Hotels
– Healthcare centers
– Wellness centers
– Sports complexes
These facilities not only enhance the learning environment but also open doors for businesses looking to cater to the diverse needs of over 28,000 students from 100+ nations.
3.2 Advantages of DIAC Company Formation
Choosing DIAC for educational entrepreneurship brings forth several advantages:
– Complete overseas ownership
– Absolute capital repatriation
– 100% exemption from taxes based on personal income, services, import, and export
– Potential exemption from corporate tax, subject to meeting criteria
– Modern technology-driven communication systems
3.3 The DIAC Ecosystem
DIAC fosters an ecosystem for startups through the in5 platform, promoting effective collaborations and ensuring ultimate success. The Global Center for Higher Education provides a contemporary and highly digitalized environment, attracting both local and international businessmen and investors.As you tread on the journey of educational entrepreneurship in Dubai International Academic City, meticulous attention to the legal nuances, financial considerations, and unique features will be your compass. Contact with experienced legal consultants in Dubai will ensure your venture is compliant with local regulations. DIAC’s commitment to nurturing a knowledge-based economy makes it a strategic choice for those aspiring to contribute significantly to the UAE’s educational landscape. May your endeavor be both legally sound and academically enriching.