FREE ZONE COMPANY SETUP IN UAE
Dubai is not only known for its famous tourism, shopping malls but also for its world-class trading, business formations, business setups and free zone company setup in UAE.
In the last two decades, Dubai is attracting many investors, business people to start up and form a business company in the name of Dubai Business Free Zone (more useful resources: mainland business setup in UAE). Which has remarkable business trading?
What is the free zone?
UAE’s free zone provides various benefits for companies to invest in business start-ups and Business formation. Irrespective of there country and nationality they are provided with 100 % ownership and 100 % tax exemption on personal or corporate income. Additional benefits include world-class business amenities, flexible government policies.
List of free zones
There are many free zones in Dubai that have been already setup.
- Jebel Ali Free Zone
- Dubai Airport Free Zone
- Sharjah Free Zone
- Rak Free Zone / Ras Al Khaimah Free zone
- Sharjah Free Zone
- Ajman Free Zone
- Fujairah Free Zone
- Silicon Oasis Free Zone
- Umm Al Quwain Free Zone
- Meydan Free Zone
Benefits of setting up a business in UAE free zone
UAE provides a wonderful opportunity for a company formation and investors to set up anywhere in UAE depending on various factors like the type of business, budget, ownership preference. Its spectrum on the type of business is very high. It makes every possibility for business formation and for business set up.
UAE is equipped with superior infrastructure, duty and tax exemptions, world-class business amenities, flexible government policies, and matched facilities which increases the quench of business start-up and mainland business formations in UAE.
Why you should start Business in Dubai /UAE?
There are many reasonable factors for business formations or Business start-ups should be established in the UAE. These include:
- 100% ownership for investors, regardless of their nationality and country origin.
- 100% tax exemption on personal or corporate income and grains.
- 100% repatriation of capital and profits.
- Exclusion from all import and export duties.
- Handy office and warehouse facilities.
- Option for a company set up by an individual.
- Exemption on corporate tax for 15 years, renewable for another 15 years.
- Complete secrecy of operations.
- Flexibility to engage in international business.
- Fewer renewal charges.
- Flexibility to hold properties, participate in multiple activities, and open a bank account in Dubai.
- The option of liquidating anytime.
- Assistance in housing facilities, staff visas, and other supportive services.
Some business formations and Setups include :
- Content production
- Corporate film production
- Digital content production
- Educational content material
- Film production
- Gaming development
- Graphic development
- Graphic design
- Mobile media
- Music production and recording
- Music videos
- Online electronic content production.
- Photography / videography
- Performing art and theatre
- Print consent
- Branding agent
- Events / Festivals
- Information Services
- Marketing communication
- Media consent management
- Professional Association
- Public Relations
- Rights Management
- Publishing and broadcasting
- Publish a book
- Publish a magazine
- Publish a newspaper
- Broadcast a satellite / terrestrial television.
As there is much wide range of business formation many companies show interest in start-up and formation of business in UAE. Moreover in UAE, business Free Zone, start-up and business formation show the highest growth rate.
This feature adds a major benefit for many investors, to set up a Business Free Zone. The majority of Business Free Zones are located very near to Dubai International Airport. Which makes the business formation, a start-up with ease.
How to do a free zone company setup in UAE?
You can start-up a free zone company setup in UAE with ease by a few steps and processes. Here are some steps and processes to be followed.
Steps to start a business in a free zone.
- Determine the type of legal entity you want.
- Choose a trading name of your choice.
- Apply for a business license.
- Choose an office space you like.
- Make sure that you get pre-approval.
- Register your business and get a license.
Determine the type of legal entity.
There are two types of companies in a free zone.
You can set up with any one of them. It is not necessary for all free zones to register both types of companies and also check with individual free zone authorities about the type of company they register for your business setup.
In Dubai Airport Free Zone, you can choose FZ co and with a minimum share capital of AED 1000. The denomination of each share should be AED 1000.
Choose a trading name
Trade has to be chosen and should check with free zone authority or with the Department of Economic Development for permitted names and also whether the trade name has already been registered.
Requirements of trade name to be approved
- There should be no violation of public morals or public order of the country.
- Should follow by the legal form of the company.
- No names of religion, or governing authority, and no name or logos of any external bodies.
Sharjah Economic Development Department, Abu Dhabi portal, Abu Dhabi government portal are some sites for registering the trade name, Trade name inquiry and Trade name issuance.
The business license you apply depends on the type of primary activity of your business.
Choose an office space
It’s of your choice either you buy or lease office space in free zones. It depends on the number of employees and the business activity of your company. In Dubai Airport Free Zone you have a choice in between Office packages, Smart Desk Office Packages and Executive Office Packages.
Get pre-approvals, register your business and get your license.
For approval, there are some steps to be followed.
Initial approval :
- Complete application form.
- Business plan.
- Copy of existing trade license.
- Colored passport copies of the company’s shareholders and the appointed Manager /Director for the new company.
- 2 years’ audited financial reports for a corporate entity
- NOC from a current sponsor.
- Unit title deed.
- Letter of intent.
- Registry Identification Code from manager/Director.
Freelancer needs to submit fewer documents:
- Application for registration.
- Bank reference letter.
- Registry Identification Code.
Registration fees and license fees have to be paid. Fees depend on the type of license you require. Later you need to submit:
- Completed application for registration.
- Board Resolution appointing Manager/ Director.
- Power of Attorney given to Manager /Director.
- Memorandum and Articles of Association.
- Specimen signature of Manager/Director.
- Passport size photo of manager/ Director against a white background.
- Share capital information.
Licensing and visa process
- Lease agreements will be prepared by the authority.
- A trade license will be issued.
- Visa processing will start.
Here are some authorities regulating free zone activities.
- Abu Dhabi Airport Business city.
- Al Quwain free zone.
- Al Quwain free trade.
- Sharjah media city.
- Jebel Ali Free Zone.
- Dubai Airport Free Zone.
- Sharjah Airport International Free Zone
- Umm Al Quwain Free Trade Zone.
- Ajman Free Zone.
Documents required to company setup in UAE.
There are only a few documents that are required to set up a Business in Dubai Free Zone.
For Business license :
- Colour copy of shareholder(s)’ passport visa, if applicable.
- Application form.
- Business plan.
- Board resolution.
- Memorandum and Article of Association ( MAA).
For the opening of a bank account:
- A corporate account opening form.
- A copy of your company’s certificate of incorporation.
- A copy of your share certificate.
- A copy of the company’s Memorandum and Articles of Association (MAA).
- Copies of passports for all partners in the company.
- A board of directors’ resolution sanctioning the opening of the account, and the signatories to the account.