Direct Debit System
Direct Debit System FZ LLC operates the UAE's only non-bank paperless direct debit marketplace licensed by the UAE Central Bank, enabling merchants across education, real estate, lending, and car rental to digitize recurring payment collection via UAE PASS-signed mandates.
- Company typePrivate
- Founded2017
- HeadquartersDubai, United Arab Emirates
- Headcount11–50
- GTM typeB2B
- OfferingSoftware
What Direct Debit System does
Direct Debit System FZ LLC (DDS) operates the UAE's first paperless direct debit marketplace, licensed by the UAE Central Bank under the UAEDDS scheme via a sponsor bank. Founded in 2017 by Ummair Butt, the company enables merchants across education, real estate, lending, and car rental sectors to replace paper-based cheque collection with fully digital recurring payment mandates signed through UAE PASS. The platform serves over 50,000 tenants for monthly rent payments, powers digital fee collections for 300+ schools through partnerships with RAKBANK and Skiply, and has facilitated AED 1 billion in SME funding through its Beehive partnership.
The platform is hosted on Dubai's Government Private Cloud and integrates with UAE PASS for digital identity verification, Dubai Pulse, and the UAEDDS scheme for central bank settlement. The technology stack is built on Java and .NET frameworks with RESTful APIs enabling CRM integration including SAP. The product portfolio comprises a core Direct Debit Marketplace, mobile applications on iOS and Android for consumer mandate management, and industry-specific modules for education, real estate, lending, and car rental verticals. Infrastructure is engineered to process over AED 20 billion in transactions annually.
DDS generates revenue primarily through per-transaction fees of AED 10 + VAT, positioned as a cost-effective alternative to cheques (AED 45) and credit cards (AED 200), supplemented by subscription access to the marketplace platform. Distribution occurs through a hybrid model combining direct B2B sales, mobile app self-serve, and channel partnerships with major UAE banks including HSBC, RAKBANK, and National Bank of Fujairah. In December 2024, DDS acquired UK-regulated ElseWare, marking the first phase of international expansion under an East-to-West technology transfer strategy.
Direct Debit System firmographics
Firmographics- Name
- Direct Debit System
- Legal name
- Direct Debit System FZ LLC
- Website
- https://directdebit.ae
- Company type
- Private
- Founded year
- 2017
- Operating status
- Operating
- Headcount range
- 11–50 employees
- Short description
- Direct Debit System FZ LLC operates the UAE's only non-bank paperless direct debit marketplace licensed by the UAE Central Bank, enabling merchants across education, real estate, lending, and car rental to digitize recurring payment collection via UAE PASS-signed mandates.
- Ownership category
- akta.pro rank
Where Direct Debit System is headquartered
LocationHeadquarters
- HQ city
- Dubai
- HQ country
- United Arab Emirates
- HQ region
- Middle East
Offices1 record
Markets served
Direct Debit System business model
Business model- GTM type
- B2B
- Offering type
- Software
- Cost components
- Technology or R&D, Personnel, Infrastructure, Operations, Marketing or Sales, Others
Revenue model
- Transaction Fees: DDS charges merchants a transaction fee of AED 10 + VAT per direct debit transaction processed. This is the primary revenue stream, positioning as a cost-effective alternative to cheque processing (AED 45) and credit card payments (AED 200).
- Subscription/Membership: Merchants pay subscription fees for access to the Direct Debit Marketplace platform, enabling them to create payment offers, manage mandates, and process recurring collections.
Pricing tiers
| Model | Billing | Price |
|---|---|---|
| Transaction based/ take rate | Pay-as-you-go | Direct Debit Transaction Fee - AED 10 + VAT per transaction |
Go-to-market motion3 records
Distribution channels7 records
Marketing channels9 records
Direct Debit System product offering
Product offeringCore offering
Direct Debit System operates a UAE Central Bank-licensed paperless direct debit marketplace that enables merchants to offer customers flexible monthly recurring payments via IBAN or credit card, replacing physical cheques and manual collection processes. The platform handles the full mandate lifecycle digitally (creation, signing via UAE PASS, scheduled collection, and cancellation) and integrates with merchant CRMs through RESTful APIs, including SAP. It is hosted on Dubai's Government Private Cloud and is positioned as a cost-effective alternative to cheques (AED 10 + VAT vs AED 45) and credit card payments (AED 200).
Product overview
Direct Debit System operates a unified paperless direct debit marketplace licensed by the UAE Central Bank. The core platform enables merchants across education, real estate, car rental, and lending sectors to offer customers flexible monthly payment options via IBAN or credit card, replacing traditional cheque-based collection methods. The product portfolio consists of the central DDS Marketplace and mobile application for end-users, supplemented by specialized industry-specific modules for education, real estate, car rental, and lending, backed by REST APIs for CRM integration. The company expanded internationally through its acquisition of UK-regulated ElseWare.
Differentiator
Problem solved
Functional benefit
Products and services
- Direct Debit System Marketplace The UAE's first Central Bank-licensed paperless direct debit marketplace that enables merchants to offer flexible monthly payments to customers, automates recurring collections, and replaces paper mandates and physical cheques with fully digital processes. For UAE merchants across education, real estate, lending, car rental, and other sectors.
- DDS Mobile Application Mobile application available on iOS App Store and Google Play Store that enables customers (payers) to sign direct debit mandates via UAE PASS, view payment offers, set up payment plans, and cancel direct debits directly from the app.
- DDS REST API RESTful APIs enabling merchants to integrate direct debit functionality into their existing CRM systems for 100% end-to-end paperless automation, with support for payment plan uploads, mandate creation, collection initiation, automated reconciliation, and integration with SAP enterprise systems.
Quantifiable outcome
- 41% reduction in bounced payment rates for participating merchants
- +4 more outcomes
Companies that use Direct Debit System
Customer profileNamed customers7 records
Segments4 records
Ideal customer profiles4 records
Direct Debit System technology and API
TechnologyTechnology focussed Yes
API detail
- Has API
- Yes
- API docs
- API detail
Core technology
AI maturity
App detail
Integration5 records
AI capability1 record
Feature5 records
Direct Debit System partnerships and signals
Strategic signalPartnerships
Eleven partnerships are on record, tiered core, major and flagship.
- HSBC Bank Middle East LimitedcoreStrategic partnership to expand access to UAE Direct Debit System for HSBC's new and existing client base across the UAE. The collaboration enables HSBC clients to digitize recurring collections, remotely onboard payers, and automate payment workflows through DDS's end-to-end direct debit infrastructure, eliminating reliance on paper mandates, physical cheques, or manual processes. Positioned to support UAE's broader digital transformation agenda.
- Thrifty Car Rental UAEmajorPartnership to enable remote mandate authorization, paperless transactions, and faster reconciliation across Thrifty's nationwide leasing portfolio. Uses UAE PASS to digitize the mandate and collection lifecycle, replacing paper-based processes with fully remote, compliant, and paperless model for fleet, commercial, and long-term lease payments.
- Dollar Car Rental UAEmajorPartnership to enable remote mandate authorization, paperless transactions, and faster reconciliation across Dollar's nationwide leasing portfolio. Uses UAE PASS to digitize the mandate and collection lifecycle, replacing paper-based processes with fully remote, compliant, and paperless model for fleet, commercial, and long-term lease payments.
- ElseWare (UK)flagshipAcquisition of UK-regulated company ElseWare as part of East-to-West technology transfer and international expansion plans. Represents the first phase of overseas expansion for DDS.
- National Bank of FujairahcoreStrategic banking partner supporting the platform's scalable infrastructure. Infrastructure built to process over AED 20bn in transactions annually with partnerships including National Bank of Fujairah.
- UAEPASScoreIntegration with UAE PASS (government's single trusted digital identity) for secure digital signature of Direct Debit Authorities and identity verification. Critical infrastructure partner for the paperless platform.
- Dubai PulsecoreIntegration with Dubai Pulse government platform as part of the infrastructure ecosystem supporting the Direct Debit System.
- BeehivemajorOne-year partnership with the first peer-to-peer lending platform in MENA regulated by DFSA. Has facilitated AED 1 billion in digital SME funding through the Direct Debit System platform.
- HappyTenantmajorPartnership with UAE's largest property management solution to help ease monthly budgeting for property renters across the country through the Direct Debit System.
- RAKBANKmajorPartnership in collaboration with Skiply to power digital fee collections for 300+ schools using the Direct Debit System platform.
- SkiplymajorPartnership with Skiply and RAKBANK to enable digital school fee collections, making payments seamless and automated for 300+ schools.
Scale indicators7 records
Recent moves7 records
Expansion highlights6 records
Direct Debit System competitors and assessment
Company assessmentMarket position
Weaknesses5 records
Competitive moat6 records
Customer concentration
Direct Debit System social profiles
Digital presenceDirect Debit System compliance and trust
Trust signalCompliance3 records
Direct Debit System financial estimates
Financial estimateRevenue estimate
Valuation estimate
Direct Debit System leadership team
Management profileNumber of profiles
Profiles6 records
Direct Debit System subsidiaries and ownership
Company hierarchySubsidiaries1 record
Direct Debit System funding detail
Funding detailFunding overview
Funding rounds
Investors
Funding detail is available on the Subscription and Enterprise plan.Contact sales →
Direct Debit System M&A and investment
M&A and investmentM&A1 record
Investments
M&A and investment is available on the Subscription and Enterprise plan.Contact sales →
Frequently asked questions about Direct Debit System
What does Direct Debit System do?
Direct Debit System operates a UAE Central Bank-licensed paperless direct debit marketplace that enables merchants to offer customers flexible monthly recurring payments via IBAN or credit card, replacing physical cheques and manual collection processes. The platform handles the full mandate lifecycle digitally (creation, signing via UAE PASS, scheduled collection, and cancellation) and integrates with merchant CRMs through RESTful APIs, including SAP. It is hosted on Dubai's Government Private Cloud and is positioned as a cost-effective alternative to cheques (AED 10 + VAT vs AED 45) and credit card payments (AED 200).
Is Direct Debit System a public or private company?
Direct Debit System is a private company. It is classified as founder individual operated bootstrapped and is currently operating.
When was Direct Debit System founded?
Direct Debit System was founded in 2017. It employs 11 to 50 people.
Where is Direct Debit System based?
Direct Debit System is headquartered in Dubai, United Arab Emirates, in the Middle East region.
How does Direct Debit System make money?
Two revenue lines are on record. Transaction Fees are the primary driver. The others are subscription/Membership.
Does Direct Debit System have an API?
Yes. DDS offers RESTful APIs that allow end-to-end paperless automation with existing CRM systems. The APIs enable merchants to fully integrate the direct debit functionality into their own systems, including payment plan uploads, mandate creation, and automated collection management. The platform supports integration with SAP systems and provides endpoints for digital signature via UAE PASS. Developer documentation is at directdebit.ae/dds/appApi/v1/uaepass-session?mode=webapp.