UAE Freezone
Due to the need of having a UAE person as a partner with 51% of the company’s
shares owned by them, many firms are reluctant to invest in the UAE. As a result,
free zones have grown to be a well-liked method of company creation in the United
Arab Emirates, where 100 percent foreign ownership is permitted. A free zone, also
known as a free trade zone, is a region with a special tax-free status and minimal
trade obstacles, allowing for the production, import/export, handling, and
reconfiguration of commodities without the payment of any customs duties. In order
to maximize commercial benefits, free trade zones are typically situated in key
geographic areas like international airports, major seaports, and national borders.
In the Emirates, the UAE government has established a number of free zones, each
one intended for a particular type of commercial activity. UAE free trade zones give
non-resident corporations valuable amenities including the ease of a single-window
administration, a lack of bureaucratic red tape, and 100% ownership. There are
around 44 free zones spread out over the United Arab Emirates, and they have drawn
200,000 businesses from outside that are boosting the GDP. The fundamental needs
are the same, however the free trade zones have different objectives, starting fees,
and documentation requirements.
Benefits of setting up business in uae free zone
Starting a business in the UAE has a lot of advantages. But if a business owner
chooses to establish a presence in one of the UAE free zones, there are certain
additional benefits available.
100% foreign ownership
3-year UAE residence visa
Flexibility to operate 24/7
No restrictions on hiring expatriates
Abundant and inexpensive energy
Ready-made offices, factories, and warehouses
100% repatriation of capital and profits
Liberal government policies and legal framework
Exemption from all import and export duties
Easy start-up and licensing procedures
Sponsorship and visas for an affordable skilled workforce
100% exemption from corporate, personal and income taxes
Freehold offices available for sale or lease
100% free transfer of funds, and no foreign exchange controls
Low freight charges
Unique industry clustering and purpose-built infrastructure
Inexpensive workforce, and easy recruitment procedures
Efficient communication procedures and single-window administration
The timely and streamlined immigration process
The suggestions that follow should be made before establishing a UAE Free Zone corporation.
Having difficulty working directly with government agencies
Business operating outside of the country are not subjected to VAT
The business type could be B2B anywhere in UAE and B2C in the free zone
and internationally.
Companies located in the free zones are exempt from corporation tax that will
be in effect as of June 2023.
When forming a corporation in some free zones, physical presence is only
necessary during the visa application procedure
Freezone Locations
