DMCC Foundations Are Here: A New Option for Succession Planning and Family Wealth in Dubai
On 23 September 2026, DMCC formally established its Foundations Regulations. The new framework gives high-net-worth individuals, family offices and business owners a legal structure for long-term asset holding, succession planning and governance, based in Dubai. We explain how it compares with SPVs, HoldCos and other UAE foundation regimes, and the home-country tax points to check.
What is a DMCC Foundation?
On 23 September 2026, DMCC (Dubai Multi Commodities Centre), one of Dubai's largest free zones, formally established its Foundations Regulations. First announced in June, the framework gives high-net-worth individuals, family offices and business owners a legal structure for long-term asset holding, succession planning and governance, based in Dubai.
- DMCC formally established its Foundations Regulations on 23 September 2026. Guidance and digital onboarding are expected within weeks
- A DMCC Foundation is a separate legal entity, distinct from its founder, councillors, guardian and beneficiaries
- Founders can reserve powers over investment decisions, appointments and beneficiaries. Initial assets start from USD 100
- Foundations join the SPV and HoldCo licences DMCC introduced in 2025
- The regime is broadly comparable to DIFC, ADGM and RAK ICC foundations. The difference is the ecosystem: operating companies, HoldCos and a Foundation can all sit within DMCC
- Founders and beneficiaries resident outside the UAE must review home-country tax implications
A foundation is a legal vehicle that holds the assets contributed by its founder and manages them according to its stated objectives and governance rules. Under DMCC's new regime, a DMCC Foundation is a legal entity separate from its Founder, Councillors, Guardian and Beneficiaries.
DMCC says it developed the framework after extensive market consultation and a comparative review of leading foundation regimes. It is aimed explicitly at high-net-worth individuals, family offices, entrepreneurs and international private wealth clients.
Key features
1. Asset holding through a separate legal entity
Because the Foundation itself owns the assets, they are held in a structure that is less exposed to changes in any one individual's circumstances. The regime is designed to support long-term holding, succession and continuity across generations.
2. Flexible governance and reserved powers
Founders can set provisions for beneficiaries, asset management and distributions, and decision-making. Certain powers can be reserved to the founder or other designated persons, including powers over investment decisions, appointments and beneficiaries. This suits owners who want a succession framework in place while keeping control of key decisions for now.
3. Initial assets from USD 100
A DMCC Foundation can be established with initial assets starting from USD 100, the same threshold as RAK ICC foundations. One option is to set up the structure first and transfer assets in stages. Licence and annual fees have not yet been published and will need to be confirmed in DMCC's forthcoming guidance.
4. Digital onboarding within weeks
DMCC says guidance on establishing and administering a Foundation, together with a streamlined digital onboarding process, will be introduced in the coming weeks. For now, you can register your interest on DMCC's website. The form asks for your name, contact details, nationality, preferred language and a short description of your purpose. The official page currently gives an overview only. Fees and document requirements have not yet been published.
SPV, HoldCo or Foundation?
DMCC introduced SPV and HoldCo licences in 2025. Foundations are its third structuring option. The table below shows how each is typically used.
| Vehicle | Main purpose | Typical use cases |
|---|---|---|
| SPV | Ring-fencing a specific transaction, asset or project | Individual investments, real estate or IP holding, co-investments |
| HoldCo | Holding and overseeing group company shares | Regional holding company for GCC / Middle East & Africa operations, post-M&A vehicle |
| Foundation | Long-term asset holding, succession and governance | Business succession, consolidating family assets, intergenerational wealth preservation |
This is a general overview by Biz Easy. The right structure depends on your objectives, the assets involved and where the parties are resident.
These vehicles can also be layered. For example, a Foundation could own a HoldCo, which in turn owns the operating companies and SPVs.
How does it compare with DIFC, ADGM and RAK ICC?
The UAE already has foundation regimes in DIFC (2018), ADGM (2017) and RAK ICC (2019, amended 2025). Core features such as separate legal personality and reserved powers are common to all of them. Judged on the regulations alone, DMCC's regime is a new entrant at a comparable level.
| Item | DIFC | ADGM | RAK ICC | DMCC (new) |
|---|---|---|---|---|
| Legal basis | Foundations Law 2018 | Regulations 2017 | Regulations 2019 (amended 2025) | Regulations 2026 |
| Minimum assets | Not specified | Not specified | USD 100 | USD 100 |
| Dispute resolution | DIFC Courts (common law) | ADGM Courts (common law) | Choice of DIFC or ADGM Courts | Not yet published |
| Strengths | Financial centre; can hold real estate in mainland Dubai | Financial centre; DLT foundations regime | Low cost; asset protection provisions | Integrated design with operating companies, HoldCos and SPVs |
Sources: RAK ICC official FAQ, law-firm commentary on each regime, DMCC official announcement. DMCC's requirements for councillors, disclosure and similar matters should be confirmed in its forthcoming guidance.
What sets DMCC apart: its ecosystem
- A single free zone for the whole structure: a Foundation, HoldCo, operating companies and SPVs can all be set up within DMCC
- Close to real business: 26,000+ member companies and sector hubs in precious metals, commodities, AI, Web3 and more
- Wealth support infrastructure: links with the DMCC Wealth Hub and DMCC FinX
International wealth holders value DIFC and ADGM for their independent common-law courts. The dispute-resolution framework for DMCC Foundations still needs to be confirmed in the regulations and guidance. We see DMCC as the most practical choice for owners who already operate, or plan to operate, a business in DMCC and want to keep their succession structure there too.
Potential use cases
- Business succession: consolidate shareholdings in UAE businesses into one vehicle, together with rules for passing them on
- Family office platform: build an asset management and investment base in Dubai, alongside the DMCC Wealth Hub and DMCC FinX
- Internationally dispersed families: set out governance and distribution rules in writing when family members live in several countries
Home-country tax: check before you structure
A foundation offers considerable flexibility on the UAE side. However, where the founder or beneficiaries are tax resident outside the UAE, the tax treatment in their home country must be reviewed separately.
Controlled foreign company (CFC) rules: whether the Foundation or the companies under it could be taxed in the home country / Inheritance and gift tax: whether contributing assets, or distributing them to beneficiaries, triggers home-country tax / Reporting obligations: for example, Japan's foreign asset reporting requirement. All three should be checked before you structure.
Many jurisdictions, including Japan, have no exact domestic equivalent of a civil-law foundation. Whether a foundation is treated as a company or as something closer to a trust can change the tax outcome significantly. Because the DMCC regime is brand new, there is no precedent yet for how home-country tax authorities will treat it. We recommend designing the UAE structure and reviewing home-country tax together, working with qualified advisers in each relevant jurisdiction.
What to prepare now
Applications are expected to open within weeks. To be ready from day one, we recommend working through the following:
- 1Define your objective: succession, asset protection or an investment platform. Which comes first?
- 2Inventory your assets: UAE company shares, overseas company shares, financial assets, real estate. What will you transfer, and when?
- 3Map the parties: who will be the founder, councillors, guardian and beneficiaries, and which powers will be reserved?
- 4Review home-country tax early: residency status and likely tax consequences
- 5Align with your existing structure: how the Foundation will relate to any DMCC companies, HoldCos or other free zone entities you already have
On 23 September 2026, DMCC formally established its Foundations Regulations, a new legal framework for succession planning and family offices. The regime itself is comparable to DIFC, ADGM and RAK ICC, but DMCC's distinctive value is its ecosystem: operating companies, HoldCos, SPVs and a Foundation can all be set up within a single free zone. Where founders or beneficiaries are resident outside the UAE, the UAE structure and home-country tax (CFC rules, inheritance tax and more) must be considered together. We recommend clarifying your objectives, assets and parties now, ahead of the official launch of applications.