07 Jul Free zones in Dubai
The UAE has 24 free zones operating in Dubai, in addition to the total number of free zones in the UAE, which is estimated at 45 free zones in 2020 covering all major commercial sectors. The Dubai Free Zone, also known as the Free Trade Zones, was established in 2002. It has gained wide fame as it is one of the best free zones in existence and attractive for investment. In the year 2014/2015, it was ranked as the best free zone in the Middle East. It was nominated for that title by FDI Intelligence.
Dubai Free Zone gained its fame due to the privileges it offers to investors. It suits any type of employment and hosts various companies. There are many free zones in Dubai. We find that the Dubai Multi Commodities Center won the title of the best free zone in 2015. taken from the “Jumeirah Lake Towers” area, All free zones allowed 100% foreign ownership and full return of capital.
Dubai Multi Commodities Center provides the most famous example of successful investment around the world as it is one of the cheapest free zones in the UAE. Its costs are not exaggerated for establishing companies, as they start from 50,000 AED for one company. ($15,250) and AED 10,000 for one shareholder. In addition to the capital. And also the “Dubai Technology Entrepreneurship Center” DTEC in the “Dubai Silicon Oasis”, in which costs start from 16,500 dirhams (4,500 US dollars) and provides the investor with 100% foreign ownership, And one-step registration, completion of government transactions and issuance of visas online, as well as new business parks, networking and relationship building events. There are many other free zones in Dubai that operate under the Dubai Development Authority, such as Dubai Healthcare City, Dubai Science Park, Dubai Design District, and others.
In addition to the free zones that operate under the authority of the Dubai Multi Commodities Center such as, Dubai Multi Commodities Center and Dubai Gold and Commodity Exchange. The free zones do not end in Dubai, so we find that there are some other areas such as the Jebel Ali Free Zone Authority, the Dubai Airport Free Zone Authority , Silicon Oasis , Dubai Healthcare City, International Humanitarian City, Dubai Maritime City, Gold and Diamond Park, Dubai South , Dubai International Financial Center and Meydan .
The free zone in Dubai provides you with many advantages in order to encourage investment in Dubai, such as corporate and personal tax exemptions, customs benefits and other incentives for foreign investors, full disposal of profits without decrease, full individual ownership, no restrictions on cash transactions, complete exemption from import and export tax, There are some institutions that may help you to invest successfully and establish a company that fulfills your desired demands. Among these institutions is the Itqan Foundation, which provides you with all the required information about establishing companies in Dubai and the cost that you may incur to establish a company in Dubai or in one of the free zones in Dubai, It also provides you with this information in various ways, as you may find it on their website or through their channel on YouTube , or you can follow them through their official account on the Instagram website, in order to facilitate all procedures for new investors and facilitate the possibility of referring to the established rules for establishing companies for old investors.
خطوات تأسيس أعمال بالمناطق الحرة
Starting as an initial step, the investor must determine the type of activity, as it is a green light to obtain a business license, as knowing and defining the activity knows the related parties and the bodies entrusted with supervising this activity and the permitted legal forms.
The legal entity in the free zone in the UAE then takes two forms, either as a free zone company with limited liability or a free zone corporation. These two forms differ according to the number of shareholders, their nature and identity, whether they are natural or legal persons. Not all free zones are required to register these two types of establishments. You can refer to the authority responsible for managing each separate free zone to inquire about the available legal structure. Multiple branches and establishments are also allowed for companies in other free zones.
Capital requirements in free zones vary according to many factors. For example in the free zone ” Kizad “, The minimum paid-up capital for establishing a limited liability company is AED 150,000. As for a Free Zone Establishment (FZE) in the Dubai Airport Free Zone, with a minimum of one thousand UAE dirhams for the required capital.
The investor must pay attention to some important points before establishing his company, finalizing some transactions and obtaining the necessary licenses to establish his company in the free zone, as follows:
Choosing a suitable name for the company: You have to refer to the concerned free zone authority, Or the concerned Department of Economic Development to view the authorized trade names and whether the name is used by a company or not.
الوثائق والمستندات المطلوبة لتسجيل الشركة في المنطقة الحرة دبي:
- Registration request with full data
- Board of Directors’ decision to appoint a company manager/management member (officially documented by a notary public and attested)
- A legal power of attorney through which the manager / member of the administration is authorized (officially documented by the notary public and approved)
- Memorandum of Association and Articles of Association of the company (officially notarized and certified)
- Signature form of the manager / member of the administration (officially authenticated by a notary public and approved)
- A personal photo of the director/management member with a white background
Licensing procedures and work permits:
Lease agreements are prepared by the concerned authority
· Then, The commercial license is issued
and then, Work begins with obtaining work permits and visas
Please be aware that there are certain activities that may need the approval of external authorities
Create a company bank account:
The papers required to be approved to establish a bank account in the UAE are:
Corporate bank account opening form,
A decision by the Board of Directors approving the signatures of the partners,
A copy of the certificate of incorporation of the company,
A copy of the company’s memorandum and articles of association,
Copy of passports of all partners.
Please note that some banks have a minimum cash balance that can range between AED 5,000 and AED 200,000.
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