21 Jul A Complete Guide to Free Zones in Dubai
Companies from all over the world are flocking to Dubai’s free zones. There are many benefits to free zones, such as access to seaports, airports, and warehouses. Also, to urge people to start their own businesses, the UAE has passed new laws that let foreign companies own 100% of their businesses and are not taxed in any way.
What’s good about Dubai’s free zones?
If you want to start a business in Dubai, you can look forward to some good things. Here are some of them:
- Ownership: One of the best things about starting a business in a free zone in Dubai is that you keep full ownership of your business. In the free zone, you don’t even need a local backer or booster to start a business. You can start a business on your own without too much trouble.
- Tax Exemption: There are places in the world where businesses must pay a big tax to open a business. But that’s not true in Dubai-free zones. You don’t have to pay taxes in Dubai, so you can keep all money your business makes.
- You can buy or rent business assets. You have all the freedom you need to get your business going in Dubai.
How to Get a Business Started in a Dubai Free Zone?
Starting a business in Dubai may seem like a difficult job. Here is a list of what needs to be done:
- Figure out what kind of business it is: The first step in setting up a Dubai-free zone company is to decide what kind of business you want to run and what kind of formal body you want to make.
- Choose a trade name: You need to pick a name for your business that fits the rules set out by the UAE government. In general, the name of your business shouldn’t offend the people and customs of the area.
- Apply for a business license: Once you have figured out your trade name and business name, you can apply for your license. Your business plan and a copy of your license should be on your entry form.
- Choose a place to work: You also have to choose a place to work. Your business expert will be able to help you find and choose the best place for your office space.
- Get your business pre-approved, register it, and get your license.
- Open a bank account for your business. If you want to start a business in Dubai, you will need a bank account. There are many banks in your area and around the world from which to choose.
You can apply for a visa at the same time you apply for a business license. So, you can get both your business license and your visa at the same time.
The license in Dubai Free Zone
No matter what their formal structure is or how big they are, all businesses that want to do business in any of the UAE Free Zones need a valid trade license. Companies in a free zone are allowed to do business both inside and outside of the free zone. There are some rules about how work can be done in free zone in Dubai.
List of Dubai Free Zones
There are approx 24 free zones in Dubai, each serving a particular industry or area. According to the official UAE Government website, they fall under three primary categories, and they are as follows:
Dubai Creative Clouds Authority
The DCCA, currently known as the Dubai Development Authority, has mandated the growth of the city’s knowledge- and creative-based sectors. The following Dubai free zones are covered by the DCCA:
- Dubai Internet City
- Dubai Media City
- Dubai Production City
- Dubai Studio City
- Dubai Outsource City
- Dubai Knowledge Park
- Dubai International Academic City
- Dubai Science Park
- Dubai Design District (d3)
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Dubai Multi Commodities Centre Authority (DMCC)
The 2002 establishment of the DMCC Authority made it the centre of the world’s commodities trading. The free zones designated under DMCC in Dubai include:
- Jumeirah Lakes Towers
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Other free zones in Dubai
These Dubai free trade zones deal with a range of industries, from manufacturing and health care to gold and jewelry:
- Jebel Ali Free Zone Authority (JAFZA)
- Dubai Airport Free Zone Authority (DAFZA)
- Dubai Silicon Oasis Authority
- Dubai Healthcare City Authority
- International Humanitarian City
- Dubai World Trade Centre
- Dubai Maritime City Authority
- Gold and Diamond Park
- Dubai South
- Dubai Outsource City
- Dubai International Financial Centre
- Meydan
- National Industries Park (TechnoPark)
- Dubai Commere City (DCC Free Zone)
Why forming a company in IFZA is a good idea for your business?
One of the best things about forming a company in the IFZA is that it provides a variety of packages to business owners who want to grow in their careers and put them on the proper track.
Furthermore, the jurisdiction is advantageously situated close to a number of important markets. The benefits of establishing a business here likewise much exceed the drawbacks of forming an IFZA firm. The laws and restrictions that apply to businesses founded on the mainland do not apply to the jurisdiction.
Branch companies, holding companies, and Limited Liability Companies (LLC) with one or more shareholders are among the several business structures in IFZA. One of the key advantages of forming an LLC in the IFZA is that you are only liable for losses up to the amount you put in your business.
Characteristics of the IFZA business structure
Because of its distinctive advantages and the prospects, it offers investors, IFZA is one of the few free zones in the UAE that distinguishes out. These consist of:
- No necessity for paid-up share capital.
- For owners and workers, a two-year visa is available.
- No employee guarantee deposit is necessary for the free zone.
- Permission to work from home.
- Investors are not required to be present in person when a company is formed.
- There is no need for a NOC from the present visa sponsor.
Consult an expert before launching a business in Dubai Free zones
In this situation, the best thing to do is get help from company formation experts or business setup gurus. Business Setup pros can help you figure out where your business should be based on its needs.
They not only tell you about the benefits of a free zone, but they also figure out if your business would be better off in a free zone or on the shore in Dubai.
With the help of pros, you can set up your business. Contact Shuraa Business Setup, which is the top service provider for setting up a business in the UAE. We can help you start a Free zone or Offshore company, set up an LLC business, or get advice on business management in Dubai or anywhere else in the UAE.