It is essential that you properly examine the free zones available in Dubai before beginning your company venture in the emirate.
When you first start looking into them, you will see that they provide a plethora of fantastic commercial advantages to the organisations who operate inside them.
Beyond the obvious advantages of conducting business in the UAE, such as zero percent taxation on both personal and corporate income and a highly strategic global position, there are a number of additional considerations that may be advantageous to you.
Businesses operating in a free zone benefit from zero import taxes, the ability to repatriate all capital and income, the absence of currency limitations, and a variety of business assistance services.
And that’s even before you take into consideration the simple and economical incorporation procedure, which assumes you’re well-versed in local business legislation at the time of your company’s formation. We recommend that you go through our step-by-step guide to creating a Dubai free zone corporation before getting started.
Identifying Restricted Areas
Free zones are economic zones that are exempt from all tariffs and taxes, allowing for the storage, handling, manufacturing, and exchange of products and services while being tax- and duty-free.
They are often connected to or located near seaports and airports, making them particularly desirable to import/export enterprises and other individuals engaged in international commerce and transportation.
This, however, is not always the case in practise. Many free zones exist in Dubai, including Dubai South and the Jebel Ali Free Zone, as well as the Dubai Science Park, as well as the Dubai World Trade Centre.
In Dubai, a free zone corporation has been established.
With the assistance of a professional, forming a Dubai free zone corporation may be completed in as little as five steps.
Before you can submit an application for a Dubai free zone licence, you must first clearly identify the kind of commercial activities you want to engage in.
The Dubai Department of Economic Development (DED) provides a variety of opportunities in a diverse range of enterprises and sub-industries.
While there are a variety of activities to pick from, it is critical that you explain each one that you want to engage in as thoroughly as possible when you submit your application.
It is preferable to deal with a company formation provider to assist you with this procedure rather than sifting through hundreds of activities to discover the ones that are most appropriate for your business.
Company Naming: What to Call Your Business
The name of your firm will also need to be decided upon before continuing onto the next step of the application submission process. While doing so, it is critical that you conform to the UAE’s name rules, which may be found here.
Vulgar or profane expressions, or any other allusions that may be regarded objectionable, are not permitted to appear in your business’s name. If this is the case, it must be followed by the entire name of the firm rather than simply the initials of the founder. Check as well to determine whether the name you wish to use is available for registration before proceeding with the application.
The process of submitting an application for a driver’s licence
The application for a licence is the first and most significant stage in the process of forming a free zone corporation.
Creating a free zone corporation is a complex process, and it is recommended that you speak with a business formation professional before proceeding. This may assist you in avoiding potentially expensive delays in the future.
Directly to the management authorities of the specific free zone that you want to use, you must submit an application for a free zone licence.
When you submit your application, you will often be required to include a business plan, as well as a completed application form and a copy of your valid passport.
When establishing a business in a free zone, you may be able to apply for a visa at the same time as obtaining a business licence from the government.
You have the option of submitting your application on your own or using the services of a company formation professional to do it as part of the business incorporation procedure.
You may also sponsor members of your family, such as your children, partner, or parents, for visas to the United Arab Emirates.
The process of opening a business bank account
At long last, if you want to do business in Dubai, you must first establish a corporate bank account.
Again, it is important to get expert guidance in order to avoid wasting time by applying to institutions that are not a good fit for you. Dubai is home to a diverse spectrum of financial institutions, which include both local and international companies alike. However, for foreign company owners, creating a bank account may be a difficult procedure; as a result, it is recommended that you seek the assistance of an expert who is familiar with the process and its criteria before submitting your application.
The costs associated with forming a free zone corporation.
The entire cost of starting a firm in a Dubai free zone is not always straightforward to calculate since the final price is comprised of a number of different components.
In addition to the cost of the free zone licence, you’ll need to budget for the price of building a facility and paying for immigration services.
It is, however, feasible to pay all of these fees in one lump sum at a time. Most Dubai free zones provide packages that include a trade licence, workspace, and one or more visas for you and your staff, and the great majority of them are located in the United Arab Emirates.
A business formation specialist may assist you by first knowing about your objectives and financial constraints before recommending a package that meets your requirements.
The establishment of a free zone corporation in Dubai
The procedure of forming a corporation in a Dubai free zone has been intended to be as simple as possible to ensure maximum efficiency. Having stated that, a thorough examination of the United Arab Emirates, including its numerous norms and legislation, is necessary.
Therefore, hiring a business setup firm that can not only advise you on the procedure but also assist you in selecting the most appropriate licence and setup type for your company depending on your goals and budget is a wise decision.
By using company formation services, you can be certain that your licence and visa applications will be free of mistakes and omissions, which might result in delays or rejection if they are submitted incorrectly. You will only need to give a few basic papers and information about your organisation when working with a company formation professional in order to get started. Then you can sit back and let the professionals handle the rest, such as maintaining your licence and visa applications up to date, dealing with the appropriate departments and authorities, and reporting back when you’re ready to begin doing business in the country. That’s all there is to it in terms of substance.
Please get in touch with us if you would like a quote that is tailored to your company’s needs.
