As the UAE continues to lead in global innovation and business structuring, DMCC (Dubai Multi Commodities Centre) has unveiled two strategic licensing options: the Special Purpose Vehicle (SPV) and the Holding Company License. These new frameworks are designed to offer greater flexibility, lower operational costs, and efficient investment management for businesses in 2025 and beyond.

At Affinitas DMCC, we help you leverage these new licensing structures to build smarter, tax-optimized, and cost-effective business operations in the UAE.

At Affinitas, we’re proud to be the first company officially licensed by DMCC to offer the new SPV and Holding Company structures. Our expertise and early mover status give us a unique edge in helping you structure your investments efficiently, compliantly, and with maximum tax benefit.

Whether you’re a global corporation or a private investor, we can help you:

  • Choose between an SPV or Holding Company license
  • Register your company under DMCC in as little as 3–5 business days
  • Prepare economic substance reports
  • Optimize tax and compliance reporting
  • Manage accounting and auditing for UAE corporate tax

What Are the SPV and Holding Company Licenses?

1. Special Purpose Vehicle (SPV)
An SPV is a passive legal structure created to isolate financial risk. It’s ideal for:

  • Asset holding
  • Securitisation
  • Intellectual property rights management
  • Structured finance
  • Succession and estate planning

2. Holding Company License
A holding company is designed to own shares in subsidiary entities, allowing centralized control and governance. It’s optimal for:

  • Multinational corporations consolidating global operations
  • Family offices managing diverse investment portfolios
  • Investors seeking risk isolation and strategic decision-making

Key Benefits of SPV and Holding Company Licenses in DMCC

FeatureSPV LicenseHolding Company License
Physical Office Required?❌ No❌ No
License Cost✅ Low setup cost✅ Low setup cost
Business Activities Allowed✅ Asset holding, financing✅ Subsidiary governance, investing
Staff Requirements❌ Not mandatory❌ Not mandatory
Compliance Burden✅ Minimal✅ Minimal
Use CaseFamily trusts, IP holding, real estate investmentsConsolidating group entities, managing equity stakes
Tax Efficiency✅ Eligible for 0% Corporate Tax (if qualifying)✅ Eligible for 0% Corporate Tax (if qualifying)

Source: DMCC

Why Businesses Are Choosing SPVs and Holding Structures in the UAE

“With the launch of our SPV and Holding Company licenses, we’re offering flexible, internationally recognized frameworks that make it easier to manage investments, protect assets, and oversee operations across markets.”
– Ahmed Hamza, Executive Director, DMCC Free Zone

This move aligns with global best practices for structuring corporate ownership and limiting liability. By eliminating the need for physical office space, these licenses offer one of the most cost-effective options for global investors seeking regulatory clarity and tax advantages in the UAE.

UAE vs Other Jurisdictions: SPV/Holding Structure Comparison

CountrySPV Setup CostHolding Company Office NeededCorporate Tax RatePhysical Presence Needed
UAE (DMCC)Low (AED 10,000–15,000)❌ No0% (Qualifying)❌ No
UKMedium✅ Yes19%–25%✅ Yes
SingaporeMedium-High✅ Yes17%✅ Yes
CyprusLow✅ Yes12.5%✅ Yes

Tax Benefits Under UAE Corporate Tax Law

  • 0% Corporate Tax for qualifying Free Zone Persons
  • No withholding tax or capital gains tax
  • No personal income tax
  • No VAT for most holding and SPV activities

To qualify for the 0% corporate tax rate, SPVs and Holding Companies must meet specific economic substance and qualifying income conditions outlined by the UAE Ministry of Finance.

📄 Read more: Ministry of Finance Corporate Tax Guidelines

Use Cases for SPV and Holding Structures

  • Real Estate Investment Structures: Separate ownership for each property to isolate risk.
  • IP and Royalty Management: Hold trademarks, patents, and copyrights for licensing.
  • Startup Equity Vehicles: Isolate investor shares and IP in one entity.
  • Family Office Structuring: Manage family wealth, assets, and trusts.

How Affinitas DMCC Helps You Set Up

At Affinitas, we specialize in end-to-end corporate structuring in DMCC and other top UAE free zones. Whether you’re a global corporation or a private investor, we can help you:

  • ✅ Choose between an SPV or Holding Company license
  • ✅ Register your company under DMCC in as little as 3–5 business days
  • ✅ Prepare economic substance reports
  • ✅ Optimize tax and compliance reporting
  • ✅ Manage accounting and auditing for UAE corporate tax

📞 Book your free consultation today

🧠 Frequently Asked Questions (FAQ)

Q: Can I operate a business with an SPV?
No. An SPV is designed for passive activities like asset holding or structured finance. You cannot offer commercial services or trade under this license.

Q: Do I need a physical office in DMCC for an SPV?
No. Both the SPV and Holding Company licenses do not require a physical office—only a registered address through your service provider.

Q: Is an SPV eligible for 0% Corporate Tax?
Yes, if it meets the qualifying Free Zone Person criteria and conducts only qualifying activities.

Q: Can I combine a Holding Company with operational subsidiaries?
Absolutely. That’s one of the core benefits. The Holding Company controls the subsidiaries without conducting commercial activities directly.

Q: What are the typical costs to set up an SPV or Holding Company in DMCC?

  • License: Starting from AED 10,000
  • Registration & government fees: Varies
  • Annual maintenance: From AED 8,000

Ready to Structure Smarter?

If you're considering expanding to the UAE or looking to consolidate regional operations, now is the perfect time to explore SPV and Holding Company structures.

🔗 Let Affinitas DMCC guide your setup with tailored, tax-efficient solutions.
📍 Located in the heart of DMCC Free Zone, Dubai
+971 (0) 4 576 2903

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