Establishing a company in the Free Zone includes many advantages and facilities that make Free Zone fertile ground for local and international investments. However, establishing a company in the Free Zone requires taking into account some principles and procedures in order to obtain all the privileges, which are: the legal form of the company, determining the company’s name. Choosing the appropriate company headquarters to establish a company in the Free Zone and obtaining the license and initial approvals to start doing business. Now here are the advantages that you will get when establishing your company in the Free Zone (free zones) in addition to the types of Free Zones in Dubai.

Establishing a company in Free Zone Dubai

Advantages of establishing a company in the Free Zone

The Free Zones are areas in the UAE within the city of Dubai and are considered economic zones that offer many advantages to investors and entrepreneurs of different nationalities and projects of different sizes and capital. The Free Zones operate under a set of rules and regulations set by the government to regulate business and commercial activities, and one of the advantages of establishing a company in the Free Zones is Zone :

• 100% corporate and personal tax exemption.
• Customs benefits and many incentives for investors.
• Complete disposal of profits and capital without external interference from the government.
• Complete individual ownership.
• Exemption from restrictions on cash transactions.
• Complete exemption from import and export tax.

Types of Free Zone in the Emirates

The United Arab Emirates is distinguished by the presence of many free zones that provide an ideal environment for business and investment. These free zones vary based on the location and activities available there. Here are some of the main types of free zones in the UAE:

1. Jebel Ali Free Zone (JAFZA) : One of the oldest and largest free zones in the Emirates. It also provides various services to businesses, including warehousing, manufacturing and logistics services.
2. Dubai South : aims to support the logistics, aviation and tourism sectors. It also includes Al Maktoum International Airport and Expo 2020.
3. Dubai International Financial Center (DIFC) : A global financial center that provides an independent regulatory environment and a hub for financial and investment businesses.
4. Dubai Internet City (DIC) : A technology center that hosts companies working in the fields of information and communications technology.
5. Dubai Media City (DMC) : Targets media, broadcasting and media production companies.
6. Dubai Outsourcing Zone (DOZ) : Dedicated to outsourcing companies and related services.
7. Sharjah Media City (Shams) : Provides licenses for media and creative works.
8. Ras Al Khaimah Free Zone (RAKEZ) : Provides an ideal environment for small and medium-sized companies in various sectors.
9. Fujairah Free Zone (FFZ) : It is located in the Emirate of Fujairah and provides multiple services to industrial and commercial companies.
10. Ajman Free Zone (AFZ) : Provides incentives to companies operating in the fields of trade, industry and services.

These free zones offer various incentives such as 100% company ownership, tax exemptions, and a flexible regulatory environment, making them attractive destinations for investors and businessmen.

Establishing a company in the Dubai Free Zone requires compliance with some conditions and procedures to ensure the success of the process. Below are the basic conditions for establishing a company in Free Zone Dubai:

1. Determine the commercial activity : The type of commercial activity that the company will undertake must be determined, whether it is commercial, industrial, service, or other.
2. Choosing the appropriate free zone : Choose the free zone that suits the nature of your business, as each free zone offers benefits and services specific to certain sectors.
3. Determine the company structure : Determine the type of company (sole proprietorship, limited liability company, branch of a foreign company, etc.).
4. Capital : Providing the minimum required capital, which varies according to the free zone and type of activity.
5. Required documents : Submit the necessary documents such as a copy of the passport, personal photos, a business plan, a no-objection certificate (if any), and others.
6. Choosing a company name : Choosing a trade name that complies with the laws of the relevant Free Zone, and obtaining its approval.
7. Registration and obtaining a license : Submit an application for registration and obtain a commercial license from the relevant Free Zone authority.
8. Visas : Apply for investor and employee visas.
9. Renting an office or work space : Renting an office or work space within the Free Zone according to the requirements of your business.
10. Bank account : Opening a commercial bank account in one of the approved banks in Dubai.
11. Obtaining the necessary approvals : Obtaining all necessary approvals and permits from the competent authorities, and this depends on the nature of the commercial activity.

With the help of Itqan Company, these procedures can be simplified and the necessary support provided to ensure your compliance with all conditions and requirements, making the process of establishing your company in Free Zone Dubai smoother and more effective.

 

The importance of establishing a company in Free Zone Dubai

Establishing a company in the Dubai Free Zone carries many benefits and importance that make it an attractive destination for investors and entrepreneurs. Here are some reasons why it is important to establish a company in Free Zone Dubai:

1. Full ownership by foreigners : Free Zone allows foreign investors to own their companies 100% without the need for a local partner, giving them full control over their business.
2. Tax exemptions : The Free Zone provides tax exemptions on income and profits for long periods of time, up to 50 years, which enhances the financial profitability of companies.
3. Ease of procedures : Free Zone provides quick and simple establishment procedures, in addition to facilities for obtaining the required licenses and permits.
4. Advanced infrastructure : The Free Zone in Dubai has an advanced infrastructure that includes modern offices, equipped warehouses, and high-quality logistical facilities, which contributes to improving the efficiency of business operations.
5. Strategic location : Dubai’s strategic location makes it an important logistical and commercial center that connects global markets in Europe, Asia and Africa.
6. Ease of obtaining visas : The Free Zone provides residence visas to investors and employees in an easy and quick manner, which contributes to attracting international talent.
7. Access to global markets : Thanks to trade agreements and customs exemptions, companies in the Free Zone can easily access regional and global markets.
8. Flexible legislation : Free Zone provides flexible laws and regulations that contribute to supporting growth and innovation, making it easier for companies to adapt to market changes.
9. Government support : Companies in the Free Zone receive significant support from the local government, including consulting services and support in expansion and growth.
10. Sectoral diversity : The Free Zone in Dubai hosts a wide range of sectors and industries, giving companies the opportunity to cooperate and benefit from the diversity of economic activities.

These advantages make establishing a company in Free Zone Dubai a strategic choice that attracts investors from all over the world and contributes to achieving success and sustainable growth for their business.

 

Cost factors for establishing a company in Dubai

The costs of establishing a company in Dubai are affected by several factors related to the nature of the business activity, the size of the company, and the services required. Here are some of the main factors that determine the costs of establishing a company in Free Zone Dubai:

1. Type of business activity : Costs vary based on the type of business activity (commercial, industrial, service, or other), as some activities require additional fees to obtain their licenses.
2. Selected Free Zones : Fees vary between different Free Zones in Dubai. Some free zones offer financial incentives and discounts to new investors, while costs may be higher in others due to location or advanced infrastructure.
3. Required capital : The minimum capital required to establish the company must be provided, which may vary from one free zone to another and from one activity to another.
4. Government and administrative fees : These fees include the costs of registration, licensing, and various permits required to establish the company.
5. Office or work space rental : Office or work space rental costs vary based on the size and area of ​​the site and the geographical location within the Free Zone.
6. Visas : The cost of obtaining investor and employee visas is part of the establishment costs. These costs include visa application and renewal fees.
7. Additional services : You may need additional services such as legal, accounting, and consulting services, which add to the total cost.
8. Facilities and Logistics : Costs may also include fees for using facilities and logistics such as storage and transportation.
9. Annual fees : Includes annual costs for license renewal, permits, office maintenance fees, and other services.
10. Insurance : Some businesses may require certain types of insurance (such as employee health insurance, casualty insurance, or property insurance), which increases the cost.
11. Equipment and Supplies : The cost of purchasing or renting the equipment and supplies necessary to operate the business.

These factors combine to form the total cost of establishing and operating a company in Free Zone Dubai. It is important to carefully study these factors and plan the appropriate budget to ensure the successful and effective establishment of the company.

In conclusion, establishing a company in Free Zone Dubai is an important strategic step for investors and entrepreneurs looking to benefit from an advanced and supportive business environment. The Free Zone in Dubai provides many advantages such as full ownership of companies, tax exemptions, and advanced infrastructure, making it an ideal destination for growth and prosperity. Thanks to easy procedures and continuous government support, new businesses can start operations quickly and efficiently. Choosing Dubai as a location to establish your company opens wide doors of investment and business opportunities in one of the most dynamic cities in the world. So, if you are seeking to achieve success and excellence in the business world, establishing your company in Free Zone Dubai is a smart step towards a bright and prosperous future.

Frequently asked questions about establishing a company in Free Zone Dubai