Company formation in a UAE free zone is a successful venture for business investors because of the cost-efficient business setup services and favorable business reforms. A free zone is a self-contained jurisdiction that caters to the unique business needs of various industries.
There are around 40 free zones in the UAE, some of which are specialized, while others are ideal for businesses. You can reach out to Shuraa’s business experts for a more in-depth analysis of each free zone. We’ll help you establish your dream venture in the free zone of your choice.
What are the Steps to Set Up a Free Zone Company in the UAE?
Here’s all you need to know about company formation in UAE free zone including trademark reservation, office space, business license application, and more:
Finalize the Activities
All business investors must finalize their commercial activities in the designated free zone. It’s vital to learn about each free zone’s legal framework before deciding which one best suits your needs. Note that you can apply for additional approvals, if required business activities aren’t covered under your free zone license.
Furthermore, deciding on your company’s legal form in the UAE is critical. It might be an LLC, a joint venture, an individual proprietorship, or something else entirely, depending on your needs and those of your company partners (if any). After you’ve made a list of all your business activities, you can send it to the relevant jurisdiction for review.
Decide a Trading Name
When choosing a trading name for your company in the free zone, you must adhere to all naming standard protocols. Your company’s name should clearly state its products and services without sounding like a gimmick of another company.
You should also avoid using insulting remarks or statements that offend someone’s religious beliefs or sensitivities. Note that this is an important stage in obtaining the initial approval needed for enterprise registration in the UAE free zone.
Select Your Preferred Free Zone
The appropriate free zone for your endeavor in the UAE is determined by your business activities, investment strategy, and legal form. If your company is a financial enterprise, you can start it in the DIFC or the Global Marketplace Abu Dhabi.
The DMC and DPC are great for broadcasting and production-related businesses, while the Dubai Healthcare City (DHC) is the finest option for medical ventures. Shuraa’s business specialists make this decision easier for you by examining your business goals and shortlisting the best free zones that match your goals.
Secure Office Space
It’s required for all companies to have a designated office space in the free zone where it’s located. Only your official business address receives official papers and paperwork. It’s better to rent office space rather than investing in real estate property because it’s more cost-effective.
The best aspect is that if you’re on a tight budget, you don’t have to invest in an actual office location. All you have to do is obtain a flexi desk or virtual office for your enterprise by completing a sustainability agreement with Shuraa to establish your firm remotely.
Get the Business License You Want
You can apply for the required business license to acquire legal confirmation from the relevant free zone jurisdiction that you’re authorized to conduct all the approved business operations. You can submit an application for a:
- Commercial License
- Professional license
- Industrial License
- Tourism License
Remember to renew your trading license on a regular basis. If you don’t have a legal license at any time, the free zone’s administration can blacklist or dissolve your organization. Therefore, it’s better to renew the free zone trading license at least one month before its expiry. Investors can secure additional approvals to gain exclusive business privileges in the designated free zone.
Open a Business Bank Account
You can register a corporate bank account at any local or foreign bank in the Emirates once you’ve completed all of the processes outlined above. Choose a reputable corporate bank to experience hassle-free administration of all your monetary operations and top-notch banking amenities.
Shuraa’s legal counselors shortlist the best banks for your business after assessing your demands. You can register a bank account with any of the banks we recommend without having to worry about their services or reputation.
Read Post: Easy Ways to Incorporate Business in Dubai
Advantages of Incorporating a Company in a UAE Free Zone
Listed below are the benefits of setting up a company in a free zone authority:
- A free zone company incorporation in Dubai allows anyone to own 100% of their firm, whether they are an Indian entrepreneur or a local investor. Furthermore, note that foreigners require the assistance of a local service agent for company establishment in any free zone. They’ll help with paperwork and company registration but won’t have any legal responsibilities within the company. We, at Shuraa, become your company formation agent at an annual fee to ensure you enjoy complete legal and operational ownership of your free zone company.
- Your sensitive information is never shared with the broader public since free zones have their own governance and cater to specialized economic sectors. These separate regulations also provide additional resources, labor, and other benefits to businesses.
- You can remit 100% of your earnings if you start a free zone firm in Dubai. You also get a complete exemption from personal income tax and capital gains tax. Furthermore, import and export duties are taxed at very low rates.
Paperwork Required for Company Formation in the UAE Free Zone
You must submit the documents mentioned below to set up free zone company in UAE without violating any compliance or legal norms:
- Trade name reservation document
- Colored photographs of the applicant
- NOC from the local service agent
- Registration certificate and contract of association
- Passport copies of all business partners
- Business plan and personal information sheet
- Lease agreement document
- External approvals based on your business’s nature and legal structure
Set Up Your Free Zone Company in the UAE!
Company formation in a UAE free zone is simple but requires a lot of documentation and authentication to ensure that everyone in the nation can conduct their business without risk. When you work with Shuraa Business Setup, you don’t have to worry about any of these aspects of business registration. We provide end-to-end establishment support, including licensing, banking, and translation assistance.
To know more about how to set up a free zone company in the UAE, book a free appointment with our experienced consultants or contact +971 44081900. You can also contact us via WhatsApp at +971 50 777 5554. For email assistance, mail your query at firstname.lastname@example.org.