Establishing a company in the free zone in Dubai

٢٥ أبريل Establishing a company in the free zone in Dubai

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Establishing a company in the Dubai Free Zone is an important strategic step for investors and entrepreneurs looking for a favorable business environment and attractive incentives. Thanks to its strategic geographical location and thriving economic environment, Dubai is one of the most prominent global destinations for business and investment. Dubai’s free zones offer a wide range of benefits, such as full foreign ownership, tax exemptions, and advanced infrastructure, making them an ideal choice for establishing companies of all types. In this article, we will review the steps for establishing a company in the Dubai Free Zone, and the advantages that investors can benefit from, which contribute to enhancing the chances of success of their business in this dynamic and diverse market. We will learn more details about establishing a company in the free zone in Dubai

Establishing a company in the free zone in Dubai

What is the free zone?

The term free zone varies in meaning and definition depending on the type of free zone, but most of the time the term free zone expresses a geographical area where goods are stored, stored, manufactured, marketed and re-exported according to a known and defined customs system, but are not subject to customs. Homeworks. Free zones are also facilities that are completely independent from the country’s laws, which are not subject to the country’s trade laws and do not require a sponsor. A company based in the free zone can be owned by a person of another nationality without the need for a UAE national partner.

Establishing a company in the free zone in Dubai

The UAE features more than 40 free zones as well as a few built-up areas. Therefore, starting a business in a free zone is one of the difficult things for an investor as it is difficult to choose among many regions and hence our company due to its extensive experience in corporate governance. It helps many investors choose the appropriate free zone for their business activity and helps establish and establish a free zone company in the shortest possible time and at the lowest cost.

Starting a business in Dubai Free Trade Zone is much easier than opening a business in Dubai, as it can be 100% owned by any nationality and UAE nationals do not need any partner or sponsor because the company is registered as an establishment, free zone company in the free zone or branch. Dubai Franca Business District or Representative Office. In this case, the main company can be outside the UAE and does not have to be within the UAE. Companies located in the free zone are regulated by the competent authority in the free zone, which issues company licences. This depends on the location of the free zone and the activity derived from it. The type of license issued by the competent authority varies depending on the business activity. You can set up a company in the free zone by following a few steps, including:

Agreeing on the trade name, as it is the name that distinguishes one company from another.
Obtaining the company’s business license.
Obtaining initial approval to start work.
Commercial license registration.
Complete the requirements for a commercial license and obtain it.

Steps to establish a company in the free zone in Dubai

Establishing a company in the Dubai Free Zone requires following a series of steps to ensure the process is completed successfully. Here are the basic steps:

Select the free zone that suits your business type and needs. Dubai includes many free zones, each of which specializes in a specific type of activity.
Decide what type of company you want to establish (e.g. limited liability company, branch of a foreign company, sole proprietorship, etc.).
Prepare the required documents such as passport, visas, and other legal documents. The required documents may vary depending on the type of company and free zone.
Submit an application for establishment to the responsible authority in the free zone. The application usually includes providing information about the business, partners, and business plan.
Choose a name for your company and make sure it matches the free zone registration requirements. Some free zones provide name checking services to avoid duplicate names.
Sign the Memorandum of Association and other required agreements with the responsible party in the free zone.
Obtain the necessary approvals and licenses from the relevant authorities in the free zone. This usually includes a business license and activity-specific licenses.
Open a bank account for your company in one of the approved banks in Dubai. You will need to provide company incorporation documents to open the account.
Rent an office or work space in the free zone depending on your company’s needs. Some free zones provide multiple options for offices and services.
Complete the company registration and issue the final licenses necessary to operate in the free zone.
Register your company with local government agencies such as the Department of Economic Development, and make sure to complete all legal requirements.
Process recruitment and submit visa applications for employees as needed.
After completing all procedures, you can start your business activities and operate the company.
Each free zone may have special requirements and procedures, so it is important to review the specific free zone requirements and contact our company Itqan for accurate guidance.

Types of companies in the free zone

Here is a table showing the types of companies that can be established in free zones in Dubai:

Type	the description
Limited Liability Company (LLC)	A company in which the partners share financial responsibility based on their shares in the company, and are not personally liable for the company’s debts.
Branch company	A branch of an international or regional company that can be headquartered in the free zone, and is considered an extension of the parent company.
Foreign Company	A wholly foreign-owned company operating in the free zone, subject to 100% foreign ownership programmes.
Sole proprietorship	A company wholly owned by one person, where the owner is responsible for all aspects of the company.
Public joint stock company	A company can have publicly traded stock, and is usually larger than other types of companies.
Partnership company	A company shared by two or more people, which can include different types such as general partnership or limited partnership.
Limited Partnership	A company consisting of one partner who is responsible for all debts and obligations, and others who are responsible only to the extent of their contributions.

Companies should choose the type that best suits their operational goals and needs.

Advantages of establishing a company in the Dubai Free Zone

Establishing a company in Dubai free zones offers many advantages that make it an attractive option for investors. Here are the most prominent advantages:

Full foreign ownership : Foreign investors can own 100% of the company without the need for a local partner.
Tax exemptions : Companies in free zones often enjoy exemptions from taxes on income and profits, and there may be other exemptions from corporate taxes.
Ease of procedures : Free zones provide quick and simple establishment procedures, which contributes to accelerating the start of business.
Flexibility in business activities : Free zones provide a wide range of business activities in which companies can specialize.
Benefiting from advanced infrastructure : Free zones provide modern infrastructure that includes offices, warehouses, and logistical facilities.
Access to global markets : Free zones contribute to facilitating access to global markets thanks to their strategic location, ports and airports.
Exemptions from customs duties : Companies in free zones often benefit from exemptions from customs duties on raw materials and equipment.
Retention of Intellectual Property : Companies can easily protect their intellectual property rights in free zones.
Ease of transferring profits : Companies can transfer their profits abroad freely without restrictions.
Distinctive business atmosphere : Free zones provide an encouraging business environment, including integrated support services and active business communities. Establishing a company in the free zone can be a strategic step towards achieving success and growth in the Dubai market and the world.

Types of companies in the free zone

The best company for establishing companies in the free zone

Itqan Company is considered one of the leading companies in the field of establishing companies in free zones in Dubai. Itqan provides a range of services that contribute to facilitating the process of establishing companies and providing the necessary support to investors. Its services include:

Providing legal advice : It helps in understanding the legal requirements and establishment procedures in free zones.
Registration and licensing procedures : contribute to obtaining the necessary licenses and registering the company correctly and quickly.
Preparing documents and dealing with government agencies : Provides support in preparing documents and dealing with local authorities.
Providing offices and logistics services : Provides office options in free zones and manages related logistics services.
Continuing support : Provides support and guidance after establishment to ensure the smooth running of the business.

Itqan Company is an excellent choice for investors looking for professional and reliable assistance in establishing their companies in the free zones of Dubai.

In conclusion, establishing a company in Dubai free zones is a strategic choice for investors looking for a dynamic business environment conducive to growth. Dubai free zones offer a range of benefits that include full foreign ownership, attractive tax exemptions, simplified incorporation procedures, and world-class infrastructure. These advantages contribute to facilitating the process and providing the necessary foundations for business success and growth.

By choosing the appropriate free zone and meeting the establishment requirements, investors can benefit from a distinguished business environment that opens up broad opportunities for expansion and development. Benefiting from the specialized expertise of companies such as Itqan can contribute to accelerating the establishment process and ensuring compliance with all legal requirements. Ultimately, Dubai’s free zones provide an ideal platform for local and international investors, making them a preferred destination for businesses seeking success in a competitive global market.

Frequently asked questions about the steps to establish a company in the free zone in Dubai

What are the basic documents required to establish a company in the free zone?

Essential documents include a passport, photo, bank letter of credit, business plan, incorporation application form, and copies of visas if you already have employees. Documents may vary depending on the type of company and free zone.

How long does it take to establish a company in the free zone?

Incorporating a company in a free zone usually takes 2 to 4 weeks, but time may vary based on the speed of submission of required documents and approvals.

Can I own the entire company without a local partner?

Yes, in free zones you can own the company 100% without the need for a local partner.

What business activities can I do in the free zone?

Permitted activities vary depending on the free zone. You can choose commercial activities from the list of approved activities in the free zone of your choice.