Advantages of establishing a company in Free Zone Dubai

The advantages of establishing a company in the Free Zone Dubai include many facilities that make the Free Zone fertile ground for local and international investments.

However, establishing a company in the Free Zone requires taking into account some principles and procedures in order to obtain all the privileges, which are: the legal form of the company, determining the company name, choosing the appropriate company headquarters to establish a company in the Free Zone, and obtaining the license and initial approvals to start practicing business.

Now here are the advantages that you will get when establishing your company in the free zones (free zones), in addition to the types of free zones in Dubai.

Advantages of establishing a company in Free Zone Dubai

The Free Zones are areas in the UAE within the city of Dubai and are considered economic zones that offer many advantages to investors and entrepreneurs of different nationalities and projects of different size and capital.

The Free Zone operates under a set of rules and regulations set by the government to regulate business and commercial activities. Among the advantages of establishing a company in the Free Zone are the following:

1. Tax exemptions

Tax exemptions are one of the most important advantages offered by the Free Zone in Dubai to attract foreign investments.

• 100% exemption from corporate tax on profits.
• 100% exemption from VAT on goods and services within the region.
• Exemption from personal income taxes.

2. Ease of establishing a business

The ease of establishing a business is one of the most important advantages offered by the Free Zone in Dubai to attract foreign investments.

• Company establishment procedures are quick and easy.
• There are no restrictions on foreign ownership of companies.
• Possibility of obtaining a commercial license within a few days.

3. Advanced infrastructure

Advanced infrastructure is one of the most important advantages offered by the Free Zone in Dubai to attract foreign investments.

• World-class facilities and services.
• Highways and advanced communications networks.
• International ports and airports.

4. Dynamic business environment

The dynamic business environment is one of the most important advantages that the Free Zone offers in Dubai to attract foreign investments.

• The presence of many international companies in the Free Zone.
• Tremendous opportunities to communicate with partners and clients.
• Access to new markets.

5. Other incentives and privileges

In addition to the main advantages mentioned previously, the Free Zone in Dubai offers many other incentives and privileges to attract foreign investments.

• Possibility of renting land and buildings at competitive prices.
• Possibility of obtaining work visas for employees.
• Diverse business support services.

Types of Free Zone in the Emirates

Business owners must ensure that they choose the free zone appropriate to the nature of their work, in order to benefit from the advantages of establishing a company in the Dubai Free Zone, as there are two types of free zones (free zones) in Dubai, which are:

• Free zone limited liability company.
• Free zone establishment.

The difference between the two types lies in the number of shareholders and their legal status, and each free zone has its own rules and laws to the exclusion of other zones.

The most famous types of Free Zone in the Emirates 

There are more than 40 free zones in the United Arab Emirates distributed throughout the country, and each zone differs from the other in terms of location, permitted activities, and incentives offered with the aim of establishing a company in the Dubai Free Zone.

Commercial free zones

These free zones are the most common in the Emirates, and all types of commercial activities are allowed in them, such as import, export, distribution and storage.

Among the most famous commercial free zones in the Emirates:

Jebel Ali Free Zone: It is the largest free zone in the world, located in Dubai.
Mina Jebel Ali Free Zone: It is one of the largest free zones in the world, and is located in Dubai.
Dubai International Airport Free Zone: Located in Dubai, it is considered one of the most important free zones in the Emirates.

Industrial free zones:

All types of industrial activities are permitted, such as assembly, manufacturing and packaging.

Among the most famous industrial free zones in the Emirates:

Kizad Free Zone:
Located in Abu Dhabi, it is considered one of the largest industrial free zones in the world.

twofour54:
Located in Abu Dhabi, it is a regional media hub.
Dubai Investment District:
Located in Dubai , it is a center for business and industry.

Technical free zones:

It is allowed to practice all types of technical activities, such as software development, website design, and information technology, which makes it easier to obtain the advantages of establishing a company in Free Zone Dubai.

Among the most famous technical free zones in the Emirates:

Dubai Silicon Oasis: Located in Dubai, it is a center for information and communications technology.
Dubai Innovation District: Located in Dubai, it is a center for innovation and entrepreneurship.
Masdar Free Zone: Located in Abu Dhabi, it is a center for renewable energy and clean technology.

Specialized free zones:

Certain types of activities are permitted, such as financial services, logistics, and health care.

Among the most famous specialized free zones in the Emirates:

Dubai International Financial Centre: Located in Dubai, it is considered a global financial center.
Jebel Ali Free Logistics Zone: Located in Dubai, it is considered a regional logistics hub.
Dubai Medical Free Zone: Located in Dubai, it is a center for global healthcare.

Steps to establish a company in Free Zone Dubai

The advantages of establishing a company in the Free Zone Dubai are that its steps are an easy and quick process. Here are the main steps:

1. Choose the appropriate free zone

Determine the type of activity you want to engage in.
Compare different Free Zones in terms of location, incentives, cost, and permitted activities.
Make sure that the chosen free zone allows the type of activity you want to practice.

2. Choose the type of company

Select the type of company you wish to establish (limited liability company, public joint stock company, branch of a foreign company).
Make sure that the type of company establishment in Free Zone Dubai chosen is suitable for your needs and activity.

3. Prepare the required documents

A valid passport for shareholders.
Personal ID card for shareholders.
A letter from an approved bank confirming the availability of capital.
Economic feasibility study of the project.
Company incorporation contract.

4. Submit the application

Submit an application to establish the company to the management of the selected Free Zone.
Your application will be reviewed by the competent authorities.
A business license will be issued to you if your application is approved.

5. Payment of fees

Pay registration fees and fees for obtaining a commercial license in order to establish a company in Free Zone Dubai.
Fees vary from one Free Zone to another.

6. Other conditions are met

Some Freezones may require additional terms, such as renting an office or hiring employees.

Benefits of establishing a company in Free Zone Dubai

The advantages of establishing a company in the Free Zone Dubai are an ideal choice for investors who want to benefit from many benefits,

These benefits include:

Ease of establishing a business

• Company establishment procedures are quick and easy.
• There are no restrictions on foreign ownership of companies.
• Possibility of obtaining a commercial license within a few days.

 Advanced infrastructure

• World-class facilities and services.
• Highways and advanced communications networks.
• International ports and airports.

Dynamic business environment

• The presence of many international companies in the Free Zone.
• Great opportunities to communicate with partners and customers when establishing a company in Free Zone Dubai
• Access to new markets.

Other incentives and privileges

• Possibility of renting land and buildings at competitive prices.
• Possibility of obtaining work visas for employees.
• Diverse business support services.

Tax exemptions

• The Free Zone in Dubai offers tax exemptions to companies.
• Tax exemptions vary from one Free Zone to another.

Full ownership

• Foreigners are allowed to own 100% of companies in the Free Zone.
• There are no conditions or restrictions on the participation of foreigners in the ownership of companies.

There are no restrictions on cash transactions

There are no restrictions on transferring money into and out of the UAE.

Possibility of contracting with employees from all over the world

There are no restrictions on hiring foreign workers.

Safe and stable environment

The United Arab Emirates is considered one of the safe and stable countries in the world.

Strategic location

Dubai is a global commercial center linking East and West.

Global reputation

Dubai is one of the most famous cities in the world.

Access to GCC markets

The Free Zone in Dubai provides access to the markets of the Gulf Cooperation Council countries.

Possibility of obtaining financing from local banks

Local banks in the UAE provide financing to companies in the Free Zone.

Possibility of participating in government tenders

Companies in the Free Zone are allowed to participate in government tenders.

Possibility of obtaining permanent residency in the United Arab Emirates

Free Zone investors can obtain permanent residency in the United Arab Emirates.
Establishing a company in the Free Zone Dubai is an excellent option for investors who want to benefit from a distinguished business environment and tremendous opportunities for growth and development.

Requirements for establishing a company in Free Zone Dubai

The requirements for establishing a company in Free Zone Dubai vary from one free zone to another, and this is considered one of the advantages of establishing a company in Free Zone Dubai, but in general, the main requirements include the following:

1. Choose the type of company

A limited liability company.
Public joint stock company.
Branch of a foreign company.
Representative office.

2. Determine the company name

The company name must be unique and not used by any other company in the Free Zone.
The company name must comply with the laws and regulations in force in the Free Zone.

3. Prepare the required documents

A valid passport for shareholders.
Personal ID card for shareholders.
A letter from an approved bank confirming the availability of capital.
Economic feasibility study of the project.
Company incorporation contract.
Company incorporation application form.
register fees.

4. Meet other conditions for establishing a company in Free Zone Dubai

Some Free Zones may require additional conditions, such as renting an office or hiring employees. Approval from the competent authorities in the Free Zone must be obtained before starting to establish the company. This is one of the advantages of establishing a company in the Free Zone Dubai.

Don’t think too much, you are in the right place to establish your company in the Free Zone in cooperation with Itqan Company, where we provide you with full assistance and professional consultations, providing everything you need to save time, high costs, and wasted money. Contact us now.