News & Articles
You Should Set Up a Company in Dubai Free Zone: Here’s Why!
Are you an entrepreneur looking to tap into the thriving business market of Dubai? And if so, what does it take to set up company in Dubai free zone?
A free zone is a special economic zone that offers businesses a range of benefits, including tax exemptions and access to infrastructure and support services. They are typically used for international trade and investment, and may be located near transportation hubs or specialize in certain industries.
There are over 30 free zones in Dubai, each with a specific focus or industry, such as the International Free Zone Authority (IFZA) which specializes in providing services to e-commerce and technology businesses.
These designated zones offer special regulations and incentives that make them an attractive location for company formation. Therefore, setting up a company in a Dubai Free Zone may be the perfect solution for you.
But the main question here is; Why should you consider a Dubai-free zone business setup?
Well, let’s help you consider a company in Dubai free zone!
Different Types of companies for Company Formation in Dubai Free Zone
When it comes to setting up a business in a Dubai Free Zone there are a few different types of companies you can choose from. Here are some of those companies:
- Free Zone Establishment (FZE) is the most common type of company, which is a single-shareholder company owned by an individual or a company outside the UAE.
- Free Zone Company (FZC) is another one that you can also set up in Dubai. This is a multi-shareholder company owned by two or more individuals or companies outside the UAE.
- Lastly, you can set up a Branch of a Foreign or Local Company in a Free Zone, which allows a foreign or local company to operate in the UAE under a branch of the parent company.
Benefits: Set Up a Company in Dubai Free Zone
Setting up a business in a Dubai Free Zone has several benefits.
- 100% ownership of your business: This means that you will have complete control over your company and will not need to partner with a local investor.
- Full profit repatriation: You will be able to bring all of your profits back to your home country without any restrictions.
- 0% Import or Export tax: There will be no taxes applied to the import or export of goods in and out of the free zone.
- 0% corporate tax: Your company will not have to pay corporate taxes on its profits.
- Strategic location: Dubai is a central location in the Middle East, making it an ideal location for businesses that want to access markets in the region.
- Global connectivity: The free zone is home to a large and diverse international business community, which can help you make connections and build partnerships around the world.
- Time-efficient process: The process of setting up a company in the free zone is streamlined and efficient, allowing you to get your business up and running quickly.
- Range of business activities: You will be able to undertake a wide range of business activities in the free zone.
- No logistical issues: The free zone has excellent infrastructure and logistics support, so you will not have to worry about transportation and storage issues.
- There are no restrictions on the use of foreign currencies in the free zone.
- The process of registering your company in the free zone is straightforward and convenient.
Why is Dubai’s Free Zone preferred above others in the UAE?
The Dubai Free Zone offers competitive costs, 100% company ownership, and various incentives and benefits for company formation in the UAE.
Its cost is AED 11,900, and it offers tax exemptions, simplified business procedures, and access to excellent infrastructure.
Above all you will get tax incentives since they do not impose corporate or income taxes thus reducing the cost of company formation.
Steps by Step Guide: Set Up a Company in Dubai Free Zone
1. Choose a business activity or activities:
You must first decide what type of business you want to set up in the Dubai Free Zone.
2. Find a free zone:
Once you’ve decided on a business activity, you’ll need to find a Dubai Free Zone you can now contact Choose UAE’s company formation experts to help you find a Dubai Free Zone that most suited to your company needs.
3. Choose a company name for your free zone business:
You’ll need to choose a name for your Dubai Free Zone company.
4. Make your license application:
You’ll need to make an application for a business license in the Dubai Free Zone of your choice.
5. Applying for visas:
Once your license is approved, you’ll need to apply for visas for yourself and your staff. Unfortunately, this process is times consuming but with Choose UAE you can navigate through it faster.
6. Opening your corporate bank account:
Once you have your visas, you can open a corporate bank account in the UAE. Note: If you choose to set up your business with Choose UAE then this service will be free of charge.
Setting up a business in a Dubai Free Zone is a great opportunity for entrepreneurs looking to expand their reach and take advantage of the many benefits that come with a Dubai Free Zone company.
With its world-class infrastructure, tax benefits, 100% ownership, low-cost trade license and strategic location, a Dubai Free Zone company is the perfect choice for any aspiring business owner.
Can a Free Zone Company Trade in Dubai Mainland? Find out.
How Can Choose UAE Help
Choose UAE can help you with every step of setting up a Dubai Free Zone company.
From finding the right Free Zone for you, to obtaining the necessary licenses and visas, Choose UAE makes the process of setting up a business in a Dubai Free Zone easy and hassle-free.
So, get started today and take your business to the next level.