What Are the Setup Costs for a Computer Hardware and IT Services Business in Dubai
Topic Summary
What a Hardware and IT License Actually Covers
A single computer hardware and IT services license authorises both trading and importing of hardware and a full range of IT services including consultancy, systems integration, and network management. This dual coverage lets businesses operate across both revenue streams without needing separate licenses.
Base License Cost Starts at AED 12,500
The annual license fee at Dubai South Business Hub Free Zone begins at AED 12,500, with the first five activity codes included in that price. Each additional code beyond five costs AED 2,000, making it affordable to combine hardware and services activities under one license.
Minimal Documentation Required to Apply
Standard requirements include a passport copy for all shareholders, proof of residential address, and a proposed company name. Most activities carry no specialist third-party approval requirements, and the license can typically be issued within one business day.
Cybersecurity Services May Need Extra Approval
While most IT service activities are straightforward to license, certain cybersecurity-related work may require additional licensing depending on the specific nature of the services offered. It is worth clarifying this early in the application process to avoid delays.
Visa and Support Costs Vary by Business Model
Investor visas, Emirates ID processing, medical checks, and bank account assistance are all priced separately from the base license fee. A lean remote team has a very different total cost profile compared to a hardware distributor requiring warehouse staff and logistics support.
Free Zone Status Delivers Strong Financial Benefits
Companies registered at Dubai South Business Hub Free Zone benefit from 100% foreign ownership, zero personal income tax, and full repatriation of profits. No local sponsor or UAE national partner is required, which simplifies both setup and ongoing operations.
Dubai's Digital Economy Creates Sustained IT Demand
Government-led initiatives in smart city infrastructure, AI adoption, and digital transformation have built a deep commercial pipeline for IT service providers and hardware suppliers in Dubai. This makes the market particularly attractive for technology businesses entering the region.
Technology businesses in Dubai operate in one of the most actively digitalising economies in the world. Government initiatives across smart city infrastructure, AI adoption, and digital transformation have created a deep and sustained commercial pipeline for IT service providers and hardware suppliers alike.
Whether you are building a hardware distribution business, an IT services company, or a combination of the two, the license structure at Dubai South Business Hub Free Zone is designed to accommodate both without overcomplicating the setup. For more detail, see our guide on IT sector trends in Dubai.
1. What Does a Computer Hardware and IT Services License Cover?
A computer hardware and IT services license covers two distinct but complementary business areas. On the hardware side, it authorises trading, importing, and distributing computers, peripherals, networking equipment, and IT accessories.
On the services side, it covers IT consultancy, systems integration, network management, software installation, and technology support. For a detailed look at the full technology licensing environment at Dubai South Business Hub Free Zone, the ICT hub page covers the landscape in depth.
2. Computer Hardware and IT Services License Requirements
The standard documentation applies: passport copy for all shareholders, proof of residential address, and a proposed company name. Most computer hardware trading and IT services activities carry no specialist third-party approval requirements and can be licensed within one business day.
Certain cybersecurity-related services may require additional licensing depending on the nature of the work involved.
Computer Hardware and IT Services Activity Codes
Activity codes for computer hardware and IT services businesses at Dubai South Business Hub Free Zone:
4651.01, Wholesale of Computers and Computer Peripheral Equipment
4741.86, Computer Equipment and Requisites Trading
4741.88, Computer and Data Processing Requisites Trading
6201.00, Computer Programming Activities
6202.00, Computer Consultancy Activities
6202.90, Computer Systems Consultancies
6202.91, Information Technology Consultants
6202.92, Information Technology Network Services
6209.03, Software Installation
6209.00, Other Information Technology and Computer Service Activities
The full list of ICT activity codes is available on the business activities page.
3. Setup Costs for a Computer Hardware and IT Services Business
A license at Dubai South Business Hub Free Zone starts from AED 12,500 per year, with the first five activity codes included. Each additional code beyond five costs AED 2,000. For a business combining hardware trading and IT services codes, this makes it straightforward to cover both operations under one license cost-effectively.
Visa requirements and additional services determine where your total lands beyond the base. IT businesses operating lean with a small remote team have a different cost profile than hardware distributors who need warehouse staff and logistics support from day one. Investor visas, Emirates ID, medical checks, and bank account assistance are all priced separately. Run your specific configuration through the cost calculator before you commit.
4. Setting Up Your IT Business
Use the name check tool to confirm your business name before applying. The full application is digital and the license can typically be issued within one business day. As a free zone company, you benefit from 100% foreign ownership, zero personal income tax, and full repatriation of profits, with no local sponsor or UAE national partner required. For businesses that operate remotely and serve clients internationally, the remote license structure at Dubai South Business Hub Free Zone provides a compelling and cost-efficient base.
Citations
UAE Ministry of Economy and Tourism.. moet.gov.ae. MOET UAE, 2024.
UAE Cabinet.. uaecabinet.ae. UAE Cabinet, 2023.
UAE Government Portal.. u.ae. UAE Government, 2024.
Dubai Economy and Tourism.. dubaidet.gov.ae. DET Dubai, 2024.
Federal Authority for Identity, Citizenship, Customs and Port Security.. icp.gov.ae. ICP UAE, 2024.
Frequently Asked Questions
