A Prescribed Company is a type of Small Private Company under the Dubai International Financial Centre Companies Law. The companies include DFSA-regulated firms and funds, family offices, FinTech entities, foundations, government entities, holding companies, private trust companies, proprietary investment companies etc.

The DIFC announced a proposal on 30th April 2026 to make major changes to its Prescribed Company (PC) Regulations.

The main objective of this is:

  1. Open the PC regime to any applicant
  2. Expand the role of Corporate Service Providers (CSPs)
  3. Enhance structuring options within DIFC

Expansion of Access to the Prescribed Company Regime

Earlier, there were certain conditions that an applicant should meet to establish a prescribed company. These conditions included:

  1. A DIFC/UAE/GCC connection
  2. Specific qualifying business purposes

In the proposed amendment the qualifying requirements have been removed increasing its accessibility and flexibility.

The DIFC stated that the broader access reflects the maturity of its regulatory framework, UAE corporate tax implementation and alignment with international transparency standards.

Increased Role and Responsibilities of Corporate Service Providers (CSPs)

The non – exempt prescribed Companies must appoint a CSP.CPS that has a DFSA licence will only be allowed to act. CSPs will become the main administrative and compliance link between the company and the DIFC Registrar of Companies (RoC).

Their role will include:

  1. Handling incorporation filings
  2. Making regulatory submissions
  3. Maintaining company records
  4. Ensuring compliance obligations are met
  5. Retaining records for 6 years after their appointment ends

Exemptions

“Exempt PCs” can continue dealing directly with the Registrar of Companies. These include:

  1. Certain DIFC Registered Persons
  2. DFSA Authorised Firms
  3. Government entities
  4. Publicly listed companies

Existing PCs that are not exempt must appoint a CSP within 6 months after the rules come into force. The failure to comply will lead to financial penalties, Loss of Prescribed Company or a requirement to get a full DIFC licence

Prescribed Companies must provide accurate information and documents to their CSPs, failure to provide will result in fines.

The proposals introduce strict penalties

Examples include:

  1. Up to USD 20,000 for failing to appoint a CSP
  2. Up to USD 100,000 for failing to provide information to the CSP
  3. Up to USD 2,000 for CSPs that fail to notify the Registrar when they stop acting

Amendments to its Operating Regulations

The changes made to the DIFC operating regulations are:

  1. Clarifying the registrars’ power to obtain information from the registered persons.
  2. The registrar is allowed to request financial information.
  3. Sharing data with UAE authorities.

The proposed amendments to the Prescribed Company Regulations mark a significant shift in the Dubai International Financial Centre corporate framework by making the regime more accessible and commercially flexible. At the same time, the DIFC has strengthened compliance and regulatory oversight through the expanded role of Corporate Service Providers, stricter reporting obligations, and enhanced enforcement measures, reflecting the Centre’s continued alignment with international transparency and governance standards.