Company registration in freezone in the UAE

Company registration in free economic zones (freezone) in the United Arab Emirates (UAE) is an attractive option for foreign investors and entrepreneurs.

These zones offer numerous benefits, including full ownership of the company, tax benefits and the ability to do business without customs duties.

In this article, we will look at the key aspects of registering a company in the freezone in the UAE.

Advantages of registration in freezone

• Full ownership of the company

In the freezone, foreign investors can own 100% of the company’s shares, unlike other areas of the UAE, which require a local partner with a 51% stake.

• Tax benefits

Companies in the freezone are exempt from corporate income tax for up to 50 years, which significantly reduces the cost of doing business.

• No customs fees

Free economic zones provide duty-free import and export of goods, which simplifies logistics and reduces transport costs.

• Easy repatriation of capital and profits

Investors can take their profits and capital out of the country without restrictions.

• Developed infrastructure

Free economic zones can offer you high-quality office space, warehouses and other necessary facilities for doing business.

Stages of company registration in freezone

1. Choice of freezone

The first thing to do is to choose the appropriate free economic zone. There are more than 40 freezones in the UAE, each of which specializes in different sectors of the economy: technology, media, logistics, finance, etc. The choice of zone depends on the specifics of the business and infrastructure requirements.

2. Choice of company type

Several types of companies can be registered in the freezone, including:

• Free Zone Establishment (FZE) is a company with one founder.
• Free Zone Company (FZC) is a company with two or more founders.
• Branch Office – a branch of an already existing company outside the UAE.

3. Submission of documents

To register a company in the freezone, you need to submit a certain list of documents, including:

• Copies of passports of founders and directors.
• A business plan.
• Completed application for company registration.
• The lease agreement for office space in freezone.
• Obtaining a license

After submitting all the necessary documents and their verification, the company is granted the appropriate business license. The license determines the types of activities that the company can carry out.

4. Opening a bank account

After obtaining a company license, it is necessary to open a bank account in one of the local banks. To do this, you need to submit additional documents, such as the company’s founding documents, license, letters of recommendation, letters of intent for cooperation, and others.

Examples of activities according to the freezone in the UAE

Technology companies

Free economic zones such as Dubai Internet City and Dubai Silicon Oasis are specially created for technology companies.

They offer top-notch infrastructure, technical support and access to specialized services, making them an ideal destination for IT companies, startups, software developers and AI companies.

Logistics and transport companies

Zones such as Jebel Ali Free Zone (JAFZA) and Dubai Logistics City provide unique opportunities for logistics and transport companies due to their strategic location, proximity to ports and airports, and developed infrastructure.

This makes them attractive for companies engaged in international transportation, warehousing and distribution of goods.

Financial and consulting companies

The Dubai International Financial Center (DIFC) is a leading free economic zone for financial institutions, including banks, insurance companies and investment funds.

It offers a favorable legal environment, regulatory support and access to international financial markets.

Media and entertainment

Dubai Media City and Dubai Studio City are designed for companies operating in the media, entertainment and creative industries. They provide access to specialized studios, production companies, advertising and PR agencies.

It is an ideal place for broadcasters, production centers, advertising agencies and other representatives of the media industry.

Educational and research institutions

Dubai Knowledge Park and Dubai Science Park offer favorable conditions for educational institutions and companies engaged in scientific research.

They provide access to high-class infrastructure, laboratories, scientific centers and promote the development of educational programs and innovations.

Trading companies

Free economic zones such as the Sharjah Airport International Free Zone (SAIF Zone) and the Ajman Free Zone are suitable for trading companies wishing to import and export goods.

They offer low customs tariffs, fast cargo processing and convenient access to international markets.

Manufacturing enterprises

Zones like Hamriyah Free Zone and Ras Al Khaimah Economic Zone (RAKEZ) provide ideal conditions for manufacturing companies.

They provide large areas for the construction of production facilities, warehouses, and also provide access to the necessary infrastructure and logistics.

Benefits for all businesses

Regardless of the specifics of the business, registering a company in a freezone in the UAE has a number of universal advantages, such as full ownership of the company, tax benefits, the possibility of easy repatriation of profits, developed infrastructure and a fast registration process.

This makes freezone an attractive option for various types of businesses seeking to expand their activities internationally.

Thus, the choice of the appropriate free economic zone depends on the specifics of the business and its needs, but regardless of this, the UAE provides favorable conditions for successful development and prosperity.

Registering a company in a freezone in the UAE is an effective way to expand business in the international market with minimal tax obligations and high infrastructure support.

The correct choice of a free economic zone and the preparation of all necessary documents are the key to successful registration and further business development.

Your reliable partner – the legal company “Prikhodko and Partners” will provide high-quality consultation on the selection of a suitable freezone in the UAE for your type of activity and will quickly and efficiently accompany the process of registration and legalization in the territory of the UAE.