UAE Free Zone Business Setup
Why set up a free zone company in Dubai/UAE?
Dubai has vastly developed in the last thirty years to become a great business centre. Many foreigners want to invest and set up their enterprise in Dubai, Abu Dhabi, and other Emirates in UAE, based on the business activity and use them as a Hub to expand their business to other parts of the GCC and rest of the World. UAE Free Zone Business Setup, offers many benefits for the foreign Investors including TAX benefits ,100% ownership to name a few.
Dubai/UAE is moving forward in global innovation day by day. Similarly, it is also becoming an ideal place in the eyes of foreign entrepreneurs. Getting a business set up in Dubai is something foreigners can do in many ways because of the wide range of options available to them. Among many available options to set up your business here, it is best to choose the industry-specific Free zone. Free zone business setup Dubai offers the most benefits and comforts.
Dubai/UAE has always been a favoured region for foreigners who want to set up business worldwide. Because of its diversified economy, continuous growth, and development, security and Medical Care, it is an ideal location for foreigners. Its strategic location of being in the centre of the world is equally important and has also increased its importance in the economic world.
Moreover, Dubai/UAE has been gradually bringing the majority of the government services online. Besides, it is among the most preferred cities by fortune 500 companies. Also, it is ranked first in the Meena region for ease of doing business.
If you want to take advantage of the ideal location and status of Dubai/UAE for being an international market, you can do it simply now. Set up your trading hub, or new business setup in Dubai/UAE with 100% ownership in the Free zone and target the local market through distributors. Likewise, provide services to the local market.
Benefits of UAE Free Zone Business Setup
Company formation in the free zone is the most chosen option. That is why many Free Zones have arisen in recent years to help freelancers, consultants, and small enterprises in obtaining a license to start a business in the UAE.
If you, as a foreigner, are going to set up a business in Dubai or UAE Free zone, you will get multiple benefits. The benefits and convenience of setting up a free zone company in Dubai/UAE are-
- 100% foreign ownership
- You can send money back to your country
- You can do business internationally
- free zone companies shall get the benefit of corporate tax incentives if they comply with all regulatory compliances and do not conduct business with mainland UAE
- VAT @5% only
- Easy access towards different airports and seaports of the UAE
- Three (3) years residential visa for investors and employees
- Access to the workforce from more than 200 countries
- Can hold properties in Dubai
Requirements
The setup of Freezone Company is not very complicated. The following are the basic requirements –
- Passport copies(color) and proper scan copy (No mobile shots).
- Old or current Visa copy OR UAE Entry Stamp page
- Address proof, Email ID and Mobile number for all Shareholder(s), Manager /Director
- Proposed Names for the company (3 options)
As per current regulations, good number of freezone company setup does NOT require the Physical presence of the Shareholder(s).
Cost of a Freezone Company
The cost of a Freezone company is based on certain factors –
- The number of Visa required under the company
- The type of office space selected (Flexi Desk /Permanent Desk/ Physical office)
- The number and kind of activities selected for the company
- The Freezone selected and also the Emirates in which the company is being setup.
In a Dubai freezone the cost of company setup with Zero Visa can start from AED 12,500 onwards and in other Emirates it can start from AED 5,750 onwards.
Apart from the cost of company setup, one has to pay cost of AED 1500 to AED 2000 towards Immigration Card for the company when Visa package is selected.
In Northers Emirates there is an additional requirement of registering the company with Immigration E-Channel and cost approx. AED 2500.
Both License, Immigration card and E-Channel needs renewal every year but there is option from different freezone to setup company with more than 1 year validity and up to 5 years.
The cost of Investor /Partner Visa can cost between AED 5000 – AED 7000 based on if the applicant is based inside or outside UAE during the Initiation stage of Visa application.
Opening a Bank Account
After setup of the company and processing Visa and receiving Emirates ID (Resident Identity Card), bank account opening is the next step.
The basic requirements to open a Bank account in the name of the company are as mentioned below –
The documents required for opening a corporate bank account are:
- Original Valid Business License.
- Original Certificate of Formation.
- Original Share Register.
- Original Memorandum of Association and all its amendments (if applicable).
- Original Passport + Residence Visa copy + Emirates ID Copy of all shareholders.
- Original valid office tenancy agreement / Flexi-desk agreement.
- Original latest last six-month personal bank statement of all shareholders / authorized Manager if the Trade License is less than six months old.
- Brief Business Profile of the company including its operating / business model and must include list of customers and suppliers.
The basic and ultimate objective is to ascertain the Source of Wealth /Funds of the Shareholder(s) /Manager to run the business. Additional documents can be asked by the compliance of the Bank apart from the above-mentioned documents.
RED BERRY can provide you the best consultancy and business setup services. No matter whether it is your startup or you are running a large corporation, we make the process easy for you. We provide the best business setup and company formation services & PRO services to entrepreneurs from all around the world. Moreover, we assist you at every step so you can select the ideal Free Zone for your company.
Similarly, we also deal in other emirates of the UAE. RED BERRY closely works with free zones like JAFZA, DWC, (DUBAI SOUTH) DMCC, DSO, DWTC, DDA, SHAMS, SAIF ZONE, HAMRIYAH FREE ZONE, UM AL QUWAIN, RAKEZ, FUJAIRAH, FUJAIRAH CREATIVE CITY, and KIZAD to name a few.
