If you’re considering starting a company in a Free Zone in Dubai, UAE, you’re making a smart choice. A notable advantage is that 80% of the UAE’s population consists of expatriates. To attract more foreign investment, the UAE government established special zones to simplify business operations.
A Free Trade Zone, also known as a Free Zone, is a designated economic area offering various benefits to businesses, such as tax exemptions and reductions in regulatory fees. Each Free Zone has its own set of regulations and is overseen by a government body called the Free Zone Authority.
What is a Free Zone Company?
A company in a Free Zone can be structured as an LLC, but this is permitted only within a specific jurisdiction of a particular Emirate. Companies registered in Free Zones are classified as offshore entities and are not required to interact with customs authorities or the Ministry of Economy. Instead, they only need to engage with the authorities managing the specific Free Zone in which they are registered. Foreign investors can have full 100%ownership of these companies. However, a Free Zone company is restricted to operating within the Free Zone and cannot conduct business in the Mainland.
Benefits of Free zone Company Setup in Dubai
Establishing a company in a Free Zone offers several advantages:
- Full ownership of the company is allowed, with no requirement for a local sponsor or service agent in Dubai.
- Corporate taxes are waived.
- Exemptions are provided from personal, export, and import taxes.
- Investors can secure long-term leases of up to 25 years under favorable terms.
- The recruitment process for staff is quicker and more straightforward.
- Business registration and startup processes are faster in Free Zones compared to other areas.
- Access to housing, immigration, labor, and legal services is convenient.
- There is complete freedom for repatriating funds.
Start Your Business
Start Your Business
- There are key differences between UAE Free Trade Zones (FTZs) and the UAE mainland in terms of location, rules, and taxes. For foreign investors, setting up a business in a Free Trade Zone is appealing because of the many benefits it offers. The challenge is figuring out which Free Zone is best for your business.
- To make the right choice, it's a good idea to get help from Business Setup Services. There are over 45 Free Zones in the UAE where you can start your business. With Absher, you don’t have to worry about choosing the wrong zone. We’ll help you pick the best one based on your needs and business situation. 7 stars diamond also provides top Pro Services in Dubai to help you successfully launch your business.
What are the advantages of starting your business in UAE’s freezone?
- Starting your business in a UAE Free Zone offers several significant advantages:
- Resident Visa
- 100% Repatriation of Capital
- 100% Ownership
- 100% Repatriation of Profits
- No Trade Barriers
- Reduced Import/Export Policies
- No Trade Quotas
- Simple Import/Export Procedures
- Fewer Restrictions
- Ability to Hire Expatriates
- No Income Taxes