Do you want to Setup a Company in Dubai Free Zone? This blog article is for you. It provides information about setting up a company in Dubai’s free zone
Setting up a company in Dubai Free Zone is easy and effective. It provides the highest level of corporate privacy for the lowest cost.
What is Dubai Freezone?
Dubai Free Zone (DFZ) is a zone free of taxes, duties, and limits on foreign ownership. It is a manufacturing hub for products and services which free zone companies in Dubai can sell worldwide.
You can set up a Free zone company in Dubai to run your business. The UAE government has set up several Free Zones and provides advantageous tax and economic policies.
Dubai has several free zones, which allows businesses and residents to enjoy many benefits that would otherwise be limited if they were located outside a free zone area.
Types of Free Zones in Dubai
Around 40 Free zone jurisdictions are currently operating in the UAE. Around 28 Free zones operate in the Emirate of Dubai alone. And yes, Dubai is the most preferred Emirate for Free Zone company formation in the UAE. The major Free zone in Dubai jurisdictions is listed below.
- Dubai airport Freezone
- Jebel Ali Free Zone (JAFZA)
- Dubai Multi Commodities Centre (DMCC)
- Dubai CommerCity (DCC) free zone
- Dubai Silicon Oasis – (Dubai Silicon Oasis Authority)
- Dubai Internet City
- Dubai International Academic City
- Dubai World Trade Centre (DWTC)
- Dubai World Central (DWC)
- Dubai Creative Clusters Authority (DCCA)
- Dubai International Financial Centre(DIFC)
Each free zone allows companies to register within their particular line of business, and they have different sets of criteria, costs, and legal structures. Selecting the right jurisdiction depends on the objectives of the company and its cost.
Types of Company Licenses Issued to Setup a Company in Dubai Free Zone
Business establishments in any free zone can obtain a UAE trade license. The Dubai Freezone Licenses issued include:
- Professional License: For service-oriented firms and consultancies.
- Industrial license: For manufacturing firms, import and export companies
- General Trading License: the investor can use the General Trading license to trade a wide range of goods and commodities.
- Warehousing license: The investor may acquire this license to meet the various warehousing requirements like storage and distribution.
- Commercial License: This covers all types of trading activity
Free-zone companies allow their customers to conduct business activities within and in foreign countries. It’s not allowed to trade commodities in Dubai mainland directly,
A Free zone company in Dubai that holds a commercial license should seek the services of a distributor to conduct mainland or local operations.
OfficeHub can guide you through the entire setup of Company Formations and procedures in the Dubai Freezone. OfficeHub is a registered business consultant based in Dubai, serving clients for over a decade.
Feel free to contact the OfficeHub team of consultants for additional support.
Difference between FZE and FZCO
Difference between FZE and FZCO:
When starting a venture in Dubai free zones, you must know the difference between a free zone company and a free zone establishment in Dubai.
- FREE ZONE ESTABLISHMENT (FZE) has single shareholders. (either a person or a company) entity
- A FREE ZONE COMPANY (FZC) is similar to a limited liability company. A free zone company generally requires two or more shareholders.
Both provide identical features and operational measures, but the significant difference is in the share capital demand.
What are the benefits to Setup a Company in Dubai Free Zone?
- 100% ownership of the business, ideal for foreign investors,
- 100% tax-free (now 5% VAT is applied on a few free zones), mostly devoid of corporate, income, and personal tax.
- Do not have restrictions on foreign currency.
- Offer 0% duties on import or export,
- 3 years visas for investors, staff, and family members,
- Greater growth potential due to strategic location,
- Well established transport network and road connectivity,
- Affordable cost for high-quality labour,
- Hassle-free employee recruitment formalities,
- 100% repatriation of profits and investments,
- Independent bank account opening and maintaining,
- Warehouse facilities & virtual office facilities.
What is the downside to setting up a company in Dubai free zone?
Benefits of a Free Zone VISA in Dubai
Choose wisely to Setup a Company in Dubai Free Zone
Choose sensibly while setting up a company in Dubai Free zones.
Dubai free zones offer various options concerning jurisdiction, legal type, legal structure, and establishment process. Thus, before setting up the company in Dubai free zone, make sure that you have all the right information suitable for your business a then make the right decision.
You also need to know that there are industry-specific free zones in Dubai, and you must recognize whichever region suits your commercial requirements or contact Office Hub to guide you.
Setup a Company in Dubai Free Zone: The Process
Contact Office Hub Business Center to set up your company hassle-free in any Dubai Freezone or follow the steps below
1- Understand the business categories of each Free Zone jurisdiction
2- Pick your desired business or legal entity.
3- Select a suitable and relevant trade name
Contact the Free zone Authority of the concerned Free Zone jurisdiction and verify the trade name. You aren’t allowed to select an existing trade name.
4- License application – Depending on your business activity, choose the category of license that your business needs.
The documentation required for license application varies with the type of license. For example, the documentation required for a Professional License differs from an Industrial License. Apply for the relevant license.
5-Get qualified office space – the number of staff and the category of business determine the area of the office space needed. There are multiple options like flex spaces and office space for lease, For everyone in Office Hub Business Center in Dragon Mart 2 in the heart of Dubai.
6- Initial Approval – Get the approvals from all the concerned departments and agencies.
7- Registration – Undertake the registration of your business on the official website of the concerned Free Zone Authority.
8- Voilà! You receive your business license – It may take a couple of weeks or months.
Useful Tips
Establishing a company in Dubai’s Free Zone is as easy as setting up companies in other regions in the Emirates. The process involves signing and submitting all required documents, which can be done at your local Dubai Free Zone Authority office.
It is recommended that you sign the documents with a lawyer or let Office Hub‘s Setup Experts hassle, who will then send the required papers to the Authority for review and approval.
Get Guidance
Imagine starting your venture, and everything is taken good care of. Say goodbye to time, energy, and money wasted on operational deficiencies in Dubai or emails. Just kick back, relax, and let us take care of everything for you.
We make it easy to set up your company in Dubai Free Zone by handling everything from obtaining your license to opening a bank account for you at no extra cost. All this without any unnecessary paperwork or ridiculous time waste.
With the right setup, your company in Dubai Free Zone is free to trade worldwide. As a leading agency for setting up companies in Dubai, we can assist you on every step of your application process to ensure that you get started quickly and easily. Feel free to reach out if you have any related questions or want to discuss other aspects of our services!
Call us at +971 55 869 0248 or email us at info@officehubdxb.com.