UAE is home to numerous Free Trade Zones that support the growth of trade and the economy of the region. There are various business activities available in the Free Zones for doing business. In UAE there are more than 45 Free Zones delivering various company packages for investors.

Foreign investors choose to establish their business in the Free Zones due to various reasons such as:

• The ease of setting up an office,
• Registering the company easily,
• Avail of the numerous business benefits offered by the Free Zones.

Free Zone in UAE

Free Zone in UAE is an area demarcated within the country. It is a designated area where investors can legally trade and avail various incentives for their business. Furthermore, for a Free Zone Company in UAE there are a host of benefits such as:

• Provision of Complete Ownership of the Company
• Trusted Governance
• Absence of taxation,
• Plug and Play Office Spaces
• Easy Company Registration and more

Also, there are designated Free Zones in UAE that are VAT Exempted under certain circumstances. The VAT is levied depending on the place of supply of the services and goods by the Free Zone company.

Free Zone – Available Privileges for the Investors

The jurisdiction of a particular Freezone is limited to the area where it is established. A company registered in a Freezone is essentially an onshore resident company. So, it can avail all privileges of an onshore company such as:

1. It is eligible for Office premises in Freezone
2. It can have a Visa quota
3. It can trade or do business within the UAE and outside
4. It can be registered with the Chamber of Commerce
5. It can obtain import-export code
6. Tax Residency Certificate can be obtained so that investors get the benefit of DTAA ( Double Taxation Avoidance Agreement)
7. Certificate of Origin can be obtained for manufacturing companies
8. 100% Expatriate Ownership and 100% repatriation of profits

The Free Zones in Dubai will be pricier when considering the total cost of setting up a business in UAE. It is dependent on various factors such as the location, office rent, other infrastructure facilities, and more.

Top Free Zones in Dubai

The Free Zones in Dubai offer various company formation packages for the investors. Depending on the specific business requirement, the Free Zones have custom-made business solutions.

There are popular Free Trade Zones in Dubai that offer variety of company packages. Few of them are:

• Dubai Airport Free Zone
• Dubai Multi-Commodities Center
• Dubai CommerCity
• Dubai Silicon Oasis – IFZA

Also, the investor can choose from a wide range of business activities for setting up their company. The Free Zones of Dubai has many advantages due to the strategic location and improved infrastructure facilities to support business growth.

Free Zones in Abu Dhabi

There are Free Zones in Abu Dhabi that offer various specialized license packages and business activities to the entrepreneurs. For example, the Masdar City Free Zone offers special licenses for startups in the field of renewable energy, energy management, environment management, etc.

Similarly, the Khalifa Free Trade Zone (KIZAD) offers logistics, shipping, packaging, and commercial trading license at budget friendly rates for the investors.

Additionally, for airlines chartering, flight maintenance, and aircraft management companies, the Abu Dhabi Airport Free Zone is an ideal choice. It offers various cost-effective business license packages for the entrepreneurs.

Top Free Zones in the Northern Emirates of UAE

The Northern Emirates especially Sharjah has few cost-effective alternatives for companies to set up at a much affordable rate in the UAE.

Let’s look at the various options available in the Northern Emirates for company setup and successfully set up your dream business venture in UAE most comfortably and cost-effectively.

1. Sharjah Airport International Free Zone (SAIF Zone)

Sharjah Airport International Free Zone is one of the most dynamic Free Trade Zone driving a variety of trade and business activities in the UAE. Hence, it is one of the busiest trading and manufacturing hubs of UAE.

With an in-house Customs Clearance, proximity to the Sharjah International Airport and the Khalid Port, SAIF Zone facilitates global trade with more than 100 countries.

The custom warehouse and light manufacturing units allow entrepreneurs to easily scale up their business operations and profitably run the operations. SAIF Zone offers customized office spaces starting from 9 Sq.m cubicle to fully furnished executive offices.

Also, the company formation process, state-of-the-art infrastructure, staff accommodation, etc., are best in class making the Free Zone a favorable option to consider for setting up a business establishment in the UAE.

2. Hamriyah Free Zone

Similar to Sharjah Airport International Free Zone, the Hamriyah Free Zone is another popular Free Zone for commercial and manufacturing licenses mainly. It hosts some of the top manufacturers of the world.

Hamriyah Free Zone offers warehouses with office space requirements with up to 50 employee visa quotas for large manufacturing setup.

There are top-class warehousing and storage facilities in Hamriyah exclusively for food manufacturers, healthcare providers, etc.

The proximity to one of the busiest ports in the UAE makes it a trader’s hub. There are daily import-export transactions from Hamriyah Port to numerous countries around the world with the majority share to Asia and then Africa and Europe.

3. Sharjah Media City

Sharjah Media City is one of the most competitive Free Zone gaining a strong presence as the popular Free Zones for profitable business investment in the UAE.

SHAMS offers a wide range of business activities at a low-cost business setup package starting from as low as AED 8,050 for a Zero visa quota company setup.

The Free Zone offers investors a multitude of company formation options and a wide list of business activities to choose from.
As the name goes, SHAMS just does not only offer Media related Business License but several business licenses and activity categories ranging from general trading, services, eCommerce, and more.
To know more about Company Formation in Sharjah Media City, talk to our expert Business Consultants, connect with us here!

4. SPC Free Zone

The Sharjah Publishing City Free Zone is a competitive Free Zone in the emirate of Sharjah. It has various company packages that suit the investor business requirements. SPC Free Zone is a popular choice among the freelancers and startup companies.
The Free Zone offers cost-effective company packages that will enable investors to easily start there business venture and scale up. SPC offers flexi-desk spaces and Co-working spaces for startups and freelancers to work.
SPC offers the investors more than 1000+ business activities across services and commercial business categories. The proximity to Sharjah International Airport makes it an ideal location for business travelers to easily visit the office premises for project discussions and meetings.

5. Ajman Free Zone

For entrepreneurs looking at further low-cost options, there is Ajman Free zone that offers attractive business setup packages across various business license categories and trade activities.
Choosing a Free Zone with the only objective of a low-cost business license will have implications in the future during office space expansion, warehouse space addition, bank account opening, address and reputation, and more.
Hence, entrepreneurs must look at a holistic approach while choosing the right Free Zone for their business establishment and not just a low-cost option.

6. Ajman Media City

Ajman Media City Free Zone is another low-cost option for investors who are looking at an entry point to the UAE business landscape.
The Ajman Media City offers a Freelance Permit for media enthusiasts, Photographers, graphic designers, web-developers, etc., to enter the entrepreneur world seamlessly.

Also, Ajman Media City offers a host of other business license packages at competitive packages for investors to choose from for their business setup in UAE.

7. Ras Al Khaimah Economic Zone (RAKEZ)

The RAKEZ is a Special Economic Zone in the Emirates of Ras Al Khaimah offering attractive company setup options for global investors.

The Free Zone consists of dedicated business parks, manufacturing units, warehousing, and logistics complexes to cater to a wide business requirement of entrepreneurs.

Also, to promote the academic and education-related business establishments, RAKEZ has a specialized Academic Zone that houses all the companies that offer services and products in the education sector such as training, Ed-Tech startups, tutoring, etc.

In a nutshell, UAE Free Zones offers global investors all that they require to set up their business seamlessly and easily scale up to achieve business sustainability.

Seasoned Business Setup Consultants like Aurion will assist in the end to end Business Setup Processes, Visa Processing, Bank Account Opening Assistance, and beyond making the journey of Company Formation in UAE hassle-free for the investors.

Read more about Business Setup in Fujairah and Business Setup in Ras Al Khaimah (RAK).

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Why Choose UAE for setting up a Company?

Investors choose UAE for establishing their business due to:

• Save tax in the home country by registering a company in UAE
• 100% foreign ownership based company with full capital and profit repatriation
• No personal and corporate tax
• World-class office infrastructure, meeting room access, customized office space, and more
• Wide range of warehouse specifications with attached office space, and land lease
• Well connected transport network (air, sea, and road) to facilitate east trade across UAE, Middle East, and rest of the world
• Enhanced lifestyle and low crime rate
• No geopolitical tension and good economic stability
• And many more…

Hence, UAE is the most preferred choice by investors around the world for opening their dream companies.

Factors to Consider While Choosing the Right Emirate for Company Formation

When it comes to choosing the emirates for easily opening a company in UAE, there are multiple factors that the investor must consider such as:

1. Cost of Setting Up a Company

The Cost of registering a company in UAE varies according to the Emirate where the Free Zone is located. The cost of setting up a company starts from AED 11,800 for zero visa quota virtual company license in one of the most competitive Free Trade Zones of UAE.

In Dubai, opening a company with an office in the Free Zone or Mainland is costlier than any other emirate of UAE. Mainly due to the intensity of business activities and business houses in Dubai that are constantly doing business and promote trade operations in the region.

Hence, investors are all intending to share a piece of the pie by being in Dubai and grow their business.

Low-Cost Company Formation in Dubai

In Dubai, few Free Zones offer relatively low-cost company formation package for investors to set up their base in Dubai.

Dubai Silicon Oasis-IFZA and Dubai South offer low cost company formation packages in Dubai. Both of these Free Zones provide investors with a host of business infrastructure and required business support platforms to start at a lower cost.

Premium Company Setup in Dubai

Then there are prestigious Free Zones such as the Dubai Airport Free Zone that is home to some of the world’s top companies.

Hence, altogether company setup in Dubai gives the investor a prestigious address, sophisticated office space, access to the world’s best businesses and infrastructures, and an improved lifestyle.

Free Zones in Sharjah, Ajman, Ras Al Khaimah, etc., offer low-cost company formation packages to the investors without compromising on the infrastructure facilities and other support services.

2. Location

For certain business activities like consulting where global clients keep coming for meetings, having an office space that is close to the airport is beneficial for both parties.

Also, the ambiance of the office and the premises play a vital role in the perception of the company from the client’s point of view.

For businesses such as trading, export, or, e-commerce, the office location does not matter. It could be located anywhere in UAE and not necessarily be at the heart of the city where the rents are high typically.

3. Company Formation Package

Free Zones across the UAE offer various company formation packages. Depending on the exact business activity and company formation requirements the right company setup package need to be chosen by the investor.

For trading companies that are aiming to expand into the local UAE market and the rest of the GCC region, having proximity to airports or seaports is beneficial for the company to easily facilitate global trade.

Similarly, for start-ups and entrepreneurs, there are a whole lot of attractive low-cost business packages on offer from the Free Zones based in Sharjah and Ajman.

The Sharjah Media City and Sharjah Publishing City have exclusive company formation offer starting from AED 11,800. The investor can choose from a wide range of business activities and company formation packages.

4. Business Infrastructure

For establishing a company in UAE, the right business infrastructure is essential. Free Zones in UAE offer top-class business infrastructure facilities for entrepreneurs. Dubai Based Free Zones have a wide choice for customized office spaces with 11 sq. m, 20 Sq. m, 50 sq. m offices, warehouses from 100 sq. m to 300 sq. m.

Also, there are other amenities such as large meeting halls, conference rooms, training sessions, and more on offer from Dubai-based Free Zones.

Similarly, for industrial and Commercial warehouses, land lease, and factory setup, the industrial areas and free zones in the northern emirates like Sharjah, Ajman, Ras Al Khaimah are the ideal choices.

Hence, in choosing the right Emirate for setting up the business, the above-stated parameters play a vital role in the decision making. Company Setup in UAE is a straightforward process with the Free Zones and Mainland offering easy and quick company formation process.

To know more about the Company Formation Process in UAE, connect with our team right away!

The post Which is the best Emirate in UAE for Company Formation? appeared first on AURION.