Freezone Company in Dubai
UAE, a federation of seven emirates, is among the most lucrative international lands for expanding business horizons and earning global profits. Of all the forms of companies that can be established in the UAE, a Free Zones company is the most fruitful legal entity that not only offers the benefit of 100% ownership to the investors or entrepreneurs but a host of other exclusive advantages that other legal forms do not have. However, free zone company formation in Dubai also has a few precincts to consider before setting up. For instance, registering trade facilities and professions and business licensing in Sharjah is important to develop trade and enjoy the offered investments opportunities in the region.
Free Zone Company Formation in UAE
The Dubai Free zone region has been created with streamlined procedures that facilitate Dubai free zone company formation and provides ease of business with efficiency. Referred to as one of the world’s best economic zones with seamless infrastructure, quality services and personalized attention, Dubai Free zone is where a business can perform at its best. This is the reason why Dubai free zone company formations are among the most preferred by investors and businessman from around the world. Setting up a free zone company in Dubai is a four step procedure:
1) Deciding on the Type of Company : Matching to your specific business requirements, you can choose one out of the two different options offered at Dubai Free zone. Each of them offers different benefits:
i.Free zone Establishment (FZE)
A FZE can be formed with a minimum of one shareholder and a maximum of 50, be it an individual or non-individual (a company). A minimum share capital of AED 1000/- is required.
An existing foreign company can set up a branch of its company in the Free zone. No share capital is required.
2) Looking at Lease Options : The Free zone offers a wide range of premium offices and light industrial units to choose from, for rent in Dubai for you to set up your business and run its operations.
3) Obtaining the Right License: Those planning to conduct their business activities within any Dubai free zone are required to establish a legal presence by registering their business in Dubai and obtaining a Dubai business license appropriate for the activities they propose to undertake. Apart from business registration, depending upon the nature, companies also require Free zone Licenses, which can be a service or trade license in Dubai.
Therefore, Dubai free zone license can be of two types, selected according to the needs –
4) Document Submission & Review : Depending upon the kind of shareholders in the company, a few documents are needed to be submitted along with the application form.
Free Zones in Dubai and the other four Emirates offer an array of advantages to foreign entrepreneurs and investors who undertake Dubai free zone company formation here. These benefits include –
100% taxation free
100% ownership. No local UAE partner is needed for company formation
Liberal bank account opening and maintaining
100% repatriation of capital and profits
Can access multicurrency bank accounts
Easy availability of warehouse & virtual office facilities
Provides a UAE residence visa
Can avail local Free Zone facilities
There are no restrictions on currency usage
No bureaucratic red-tapism
Easy availability of human force
Latest communication tools
Excellent infrastructure and abundant availability of energy resources
Owned premises or leased land can be mortgaged
Quick and precise incorporation procedure
Each of the Free Zones in UAE has been developed around one or more industrial sectors and issues licenses to businesses within the defined categories to commence business activities in the premises. Note that trade license renewal in UAE requires your tenancy contract to be valid.
Commercial License – Activities that are permitted under a commercial license include export, import, distribution, storage, consolidation or warehousing of commodities as mentioned on the license. Maximum limit authorized – seven similar product lines.
Industrial License – Activities permitted under an industrial license include import of raw materials, manufacturing, processing, packaging,assembling and exporting of the finished goods.
Consulting and Service License – Activities permitted under a consulting and service license include providing consulting services in the field of investment, management, legal matters, finance, economics (such as feasibility studies, etc.), labor relationships, marketing, industrial development and other related subjects.
Commercial – General Trading License – A general trade license in Dubai can be acquired under a commercial license which authorizes businesses to deal in or manufacture more than seven product lines.
The cost of establishing a Free Zone company in Dubai (UAE) involves a number of facets like the Dubai free zone license cost, registration fee, and other charges, which varies from one free zone to the other. The general expenses included in business establishment in Dubai are-
One time registration fee
Name approval charges
Yearly trade license fee
Yearly office lease rental
Post box rental
Immigration and labor registration costs, etc.
If you are planning to take your business to the next level and wish to know more about Free Zone company setup formalities including obtaining a business license in Sharjah, Dubai freezone license costs and UAE trade license renewal procedures, contact us TODAY!