Other Financial Services Business License in Dubai
Dubai's position as a global financial hub makes it one of the most strategically compelling locations for businesses operating in specialised financial services beyond conventional banking, insurance, and pension activities. Obtaining an Other Financial Services Business License (Activity Code 6499) at Dubai South Business Hub Free Zone gives entrepreneurs and firms a regulated, cost-efficient gateway to serve regional and international markets from one of the world's fastest-growing financial centres.
Key Stats at a Glance
Activity Code: 6499 - Other Financial Service Activities (excl. insurance and pension funding)
License Type: Business License | Category: Financial
Free Zone: Dubai South Business Hub Free Zone
Foreign Ownership: 100% permitted
Estimated License Fees: AED 15,000 to AED 30,000
Processing Timeline: 5 to 10 working days (standard applications)
Corporate Tax: 0% on qualifying free zone income (subject to conditions)
UAE Double Taxation Treaties: Over 130 agreements
Dubai's Financial Services Landscape and Market Opportunity
The UAE financial sector contributes over 10% of non-oil GDP, with Dubai serving as the primary hub for regional and international financial activity. The emirate hosts a dense concentration of banks, investment firms, and financial intermediaries, all supported by a mature regulatory infrastructure and world-class connectivity.
Dubai South Free Zone occupies a particularly strategic position within this ecosystem. Located adjacent to Al Maktoum International Airport and Expo City Dubai, the free zone sits at the intersection of major air, road, and logistics corridors connecting the GCC, South Asia, Africa, and Europe. This makes it especially attractive for financial services firms that require proximity to trade finance corridors and cross-border transaction flows.
Demand for niche financial intermediation, factoring, and financial holding services continues to grow across the GCC as regional economies diversify away from hydrocarbons. UAE Vision 2031 and the ongoing expansion of financial districts are actively encouraging inbound investment in specialised financial services, creating a favourable environment for new entrants operating under Activity Code 6499.
What the Other Financial Services License Covers
Activity Code 6499 covers financial service activities not classified elsewhere under standard industrial classification frameworks, explicitly excluding insurance underwriting and pension fund management. This creates a broad and flexible scope for operators engaged in financial intermediation and related support services.
Permitted activities under this license category include financial intermediation, loan brokering, factoring, financial leasing support arrangements, and the establishment of financial holding structures. The license is issued as a Business License under the Financial category at Dubai South Business Hub Free Zone, providing a recognised legal framework for conducting these activities within and from the UAE.
Activities explicitly excluded from this license include deposit-taking from the public, insurance underwriting, and pension fund management. Operators requiring those activities must seek separate, dedicated licenses from the relevant UAE regulatory authorities.
Who This License Is Suited For
The Other Financial Services Business License is well suited to a broad range of operators, including:
Financial intermediaries, holding companies, and investment facilitators seeking a regulated UAE base
Fintech startups offering non-deposit financial products, payment facilitation, or brokering services
International firms looking to establish a UAE entity for GCC-wide financial operations
Entrepreneurs and corporate groups restructuring cross-border financial flows through a compliant free zone vehicle
Trade finance specialists and factoring companies serving import and export businesses in the region
Licensing Requirements and Compliance Obligations
Before a trade name can be registered, applicants must obtain initial approval from the Dubai South Free Zone Authority. This approval confirms that the proposed activity falls within the permitted scope and that the applicant meets the basic eligibility criteria for the free zone.
Depending on the specific sub-activities to be conducted, additional regulatory approvals may be required from the UAE Central Bank. Operators engaged in loan brokering or certain forms of financial intermediation should seek guidance on whether their intended activity triggers Central Bank oversight prior to submitting their application.
Ongoing compliance obligations for license holders include annual trade license renewal, submission of audited financial statements, and registration of Ultimate Beneficial Owners (UBO) in line with UAE Cabinet Resolution No. 58 of 2020. Financial services operators are also subject to Anti-Money Laundering (AML) and Know Your Customer (KYC) obligations under UAE Federal Law No. 20 of 2018 on Anti-Money Laundering and Combating the Financing of Terrorism. Maintaining robust internal compliance procedures from the outset is strongly recommended.
Setup Process, Costs, and Timelines
The process of establishing an Other Financial Services business at Dubai South Business Hub Free Zone follows a structured sequence of steps:
Select the business activity (Activity Code 6499) and confirm permitted scope with the free zone authority
Reserve and approve a trade name in line with UAE naming conventions
Submit the formal license application with supporting documents, including passport copies, a business plan where required, and shareholder details
Obtain initial approval from Dubai South Free Zone Authority
Select and sign a lease for your chosen facility type
Pay the applicable license and registration fees
Receive your Business License and proceed with bank account opening and visa applications
Dubai South offers flexi-desk, shared office, and dedicated office facility options, allowing businesses to select an arrangement that matches their operational requirements and budget. Estimated license and registration fees range from AED 15,000 to AED 30,000 depending on the package selected and the type of office facility. Standard applications without additional regulatory approvals are typically processed within 5 to 10 working days.
Importantly, 100% foreign ownership is permitted under UAE Free Zone regulations, meaning international investors can retain full control of their entity without requiring a local partner or sponsor.
Why Dubai South Free Zone Is Well-Positioned for Financial Services
Dubai South Free Zone offers a compelling combination of tax efficiency, regulatory stability, and geographic advantage for financial services operators.
Qualifying free zone income is subject to a 0% corporate tax rate under the UAE Corporate Tax Law, subject to the conditions set out by the Federal Tax Authority. There is no personal income tax in the UAE, and there are no restrictions on the repatriation of profits or capital, making it straightforward for international investors to extract returns from their UAE entity.
The UAE's extensive double taxation treaty network, covering over 130 countries, significantly reduces withholding tax exposure for operators managing cross-border financial flows. This is a material advantage for financial holding companies, intermediaries, and trade finance operators with international counterparties.
The free zone's proximity to major logistics corridors is a practical benefit for financial services firms with trade finance mandates, as it facilitates close coordination with import and export operators moving goods through Dubai's ports and airport. The UAE's stable regulatory environment, underpinned by federal and emirate-level legal frameworks, provides the rule of law certainty that financial operators and their counterparties require.
Conclusion
An Other Financial Services Business License at Dubai South Business Hub Free Zone offers a compliant, tax-efficient, and strategically located platform for financial intermediaries, holding structures, and specialist finance operators looking to access the GCC and wider MENA markets. With 100% foreign ownership, a streamlined setup process, and a supportive regulatory environment, Dubai South represents a strong foundation for financial services businesses at any stage of growth.
Speak with a licensed business setup adviser today to confirm your activity scope, obtain a tailored cost estimate, and begin your Dubai South Free Zone application.
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