How to Get an Information Technology Consultants Business License in Dubai

Dubai's ICT sector is expanding at pace, with the UAE's digital economy targeted to contribute 19.4% of GDP by 2031, making now an ideal moment to establish an IT consultancy in one of the world's most business-friendly jurisdictions. This guide explains exactly how to obtain an Information Technology Consultants Business Licence (Activity Code 6202.91) at Dubai South Business Hub Free Zone, covering what the licence permits, who it suits, setup costs, and the step-by-step process.

Key Stats at a Glance

• Activity Code: 6202.91 | Category: ICT | Licence Type: Business Licence

• UAE digital economy target: 19.4% of GDP by 2031

• Foreign ownership: 100% permitted in Dubai South Free Zone

• Licence fees: From approximately AED 12,000 to AED 20,000 per year

• Corporate tax: 0% on qualifying free zone income; 9% above AED 375,000 for non-qualifying income

• VAT registration threshold: AED 375,000 annual taxable turnover

• Minimum share capital: None required for most free zone structures

What the Information Technology Consultants Licence Covers

Activity Code 6202.91 falls under the ICT category and permits professional IT advisory and consultancy services to both businesses and individuals. The licence is issued by Dubai South Business Hub Free Zone as a Business Licence, providing a clearly defined legal framework for operating IT consultancy activities within and beyond the UAE.

The scope of permitted activities is broad and commercially relevant. Licence holders may provide systems analysis, technology strategy development, software evaluation, IT project management advice, and digital transformation consulting. These services can be delivered to clients locally, regionally, and internationally, making the licence well suited to consultants with a cross-border client base.

It is important to note that Activity Code 6202.91 does not cover software development or hardware sales. Those activities require separate or additional activity codes. Businesses intending to offer a wider range of technology services should confirm the appropriate combination of activity codes with Dubai South Business Hub at the point of application to ensure full compliance from day one.

Who This Licence Is Suited To

The Information Technology Consultants Business Licence is designed for a wide range of professionals and organisations operating in the technology advisory space. Independent IT consultants and sole practitioners who need a compliant UAE base will find the free zone structure particularly practical, given its straightforward setup process and flexible facility options.

Small and mid-sized consultancy firms looking to serve regional enterprise clients across the GCC and wider Middle East will benefit from the credibility and regulatory clarity that a Dubai South licence provides. The free zone environment is equally attractive to foreign nationals and international firms, as 100% foreign ownership is permitted without the need for a local sponsor or partner.

Professionals transitioning from employment to freelance or boutique consultancy work within the GCC market will also find this licence accessible. The absence of a minimum share capital requirement lowers the financial barrier, and the visa allocation framework allows licence holders to sponsor employees or dependants as the business grows.

Why Dubai South Business Hub Free Zone Is Well-Positioned for IT Consultants

Dubai South Business Hub Free Zone occupies a strategically significant location adjacent to Al Maktoum International Airport and Expo City Dubai. This connectivity supports client-facing work across the region, with easy access to major business districts and international travel links that are essential for consultants serving multinational clients.

The free zone status delivers a compelling suite of commercial benefits. Licence holders enjoy 100% foreign ownership, full profit repatriation, and exemption from personal income tax. These features, combined with the UAE's broader reputation for political stability and ease of doing business, make Dubai South an attractive base for international IT advisory practices.

The UAE's robust digital infrastructure, high internet penetration rates, and government-led smart city initiatives generate sustained and growing demand for IT consultancy services. Programmes such as the UAE National Digital Economy Strategy and ongoing investment in artificial intelligence, cloud computing, and cybersecurity create a pipeline of advisory opportunities for qualified consultants.

Dubai's geographic position bridging Europe, Asia, and Africa reinforces its role as a natural hub for multinational IT advisory engagements. Consultants based here can efficiently serve clients across multiple time zones, giving Dubai South-licensed businesses a structural competitive advantage.

Setup Costs and Steps to Obtain the Licence

Understanding the cost structure before applying helps businesses plan their investment accurately. Typical free zone business licence fees at Dubai South start from approximately AED 12,000 to AED 20,000 per year, depending on the package selected and the type of office facility chosen. Additional costs include registration fees, visa allocation charges, and the cost of a flexi-desk, shared office, or dedicated unit.

There is no minimum share capital requirement for most free zone structures at Dubai South, which significantly reduces the barrier to entry for individual consultants and early-stage firms. Overall setup costs, including visa fees and bank account opening charges, typically range from AED 15,000 to AED 30,000 for a basic single-visa package, though this varies based on individual circumstances.

Step-by-Step Licensing Process

• Step 1: Choose your business structure, either a sole establishment or a free zone company, and confirm that Activity Code 6202.91 covers your intended services.

• Step 2: Submit your application to Dubai South Business Hub, including passport copies, a business plan summary, and proof of address.

• Step 3: Select a facility option that satisfies the physical presence requirement. Options typically include a flexi-desk, shared office, or dedicated unit.

• Step 4: Pay the applicable licence and registration fees, receive initial approval, and complete any required regulatory checks.

• Step 5: Collect your Business Licence, apply for investor or employee visas as required, and open a UAE corporate bank account to begin operations.

Licensing and Compliance Requirements

Annual licence renewal is mandatory for all Dubai South Business Hub Free Zone licence holders. Failure to renew on time results in financial penalties and, in persistent cases, potential licence cancellation. Businesses should calendar renewal dates well in advance to avoid disruption.

A registered address within the free zone must be maintained at all times. This is satisfied through the facility option selected during setup, whether a flexi-desk or a physical office unit.

From June 2023, UAE Corporate Tax at 9% applies to taxable income exceeding AED 375,000. However, free zone entities earning qualifying income may benefit from a 0% corporate tax rate, subject to meeting the conditions set out by the Federal Tax Authority. IT consultants operating from Dubai South should seek professional tax advice to confirm their qualifying status.

No specific external regulatory approval body is required for IT consultancy under Activity Code 6202.91, which simplifies the compliance burden considerably compared to regulated sectors such as finance or healthcare. VAT registration becomes mandatory once annual taxable turnover exceeds AED 375,000.

Conclusion

Obtaining an Information Technology Consultants Business Licence at Dubai South Business Hub Free Zone under Activity Code 6202.91 is a straightforward process that offers 100% foreign ownership, a tax-efficient structure, and access to a rapidly growing regional ICT market. With minimal capital requirements, a clear five-step application process, and a jurisdiction that actively supports digital business, Dubai South represents a compelling choice for IT consultants at every stage of their professional journey.

Speak with a Dubai South-registered business setup adviser today to receive a tailored cost breakdown and begin your licence application.

Frequently Asked Questions

How much does it cost to obtain an IT Consultants Business Licence at Dubai South?

Licence fees typically start from AED 12,000 to AED 20,000 per year. Total setup costs, including registration, visa, and facility fees, generally range from AED 15,000 to AED 30,000 for a basic package. Exact figures depend on the business structure and facility type selected.

Can a foreign national own 100% of an IT consultancy at Dubai South?

Yes. Dubai South Business Hub Free Zone permits 100% foreign ownership for all licence holders, with no requirement for a local sponsor or Emirati partner.

Are there any external regulatory approvals required for Activity Code 6202.91?

No specific external regulatory approval body is required for IT consultancy under this activity code. The licence is issued directly by Dubai South Business Hub Free Zone, simplifying the setup process.

How long does the licensing process take?

The process typically takes between five and fifteen working days from submission of a complete application, subject to document verification and payment of fees. Timelines may vary based on individual circumstances.

What profit margins can IT consultants expect in the UAE market?

IT consultancy margins in the UAE vary widely depending on specialisation and client type. Senior technology strategy consultants can command day rates of USD 800 to USD 2,000 or more, while project-based engagements for enterprise clients often carry net margins of 30% to 50% for well-positioned boutique firms.

Can a Dubai South-licensed IT consultancy serve clients outside the UAE?

Yes. Free zone licence holders may provide consultancy services to international clients. Dubai South's location and connectivity make it practical to serve clients across the GCC, Africa, South Asia, and Europe from a single UAE base.

Is there a minimum share capital requirement for this licence?

There is no minimum share capital requirement for most free zone company structures at Dubai South, making it accessible for individual consultants and small firms starting out.

What facility options are available to satisfy the physical presence requirement?

Dubai South Business Hub offers flexi-desks, shared offices, and dedicated office units. A flexi-desk is the most cost-effective option for sole practitioners, while growing teams may prefer a dedicated unit that supports multiple staff visas and day-to-day operations.

References

• UAE Government Portal: UAE Digital Economy Strategy

• UAE Ministry of Economy: Business and Investment

• Federal Tax Authority: Corporate Tax Overview

• Federal Tax Authority: Value Added Tax

• Dubai South: Business and Free Zone Information