UAE Free Zone Company Formation

Free Zone Company Formation in Dubai

Do you want an easy procedure of free zone company formation in Dubai? Get assistance from KWS Middle East for smooth UAE free zone company formation. With optimal structures, KWS ME ensures smooth Dubai freezone business setup.

Dubai Freezone Company Incorporation

Incorporation of a Free Zone Company in Dubai

The idea behind the creation of “free zones” globally is to build a model which encourages economic activity. It means the provision of key benefits, so that entrepreneurs and multinational firms establish and freely conduct business in freezone. Dubai free zones are the most favorable locations in the Middle East for international business operations.

They offer complete ownership to a foreign investor, zero taxation and customs privileges. Also, they are unlike mainland’s strict regulatory requirements for businesses, such as appointment of UAE national local sponsor. Dubai free zones’ policies and time-frame for new business setup is a way quicker as documentation work are minimal.

There is no need to appoint local service agent to obtain license. The company setup in the free trade zone areas is not subject to the UAE Commercial Companies Law. Dubai freezone companies operate under the rules and regulations of respective free zone authority.

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Classification of Free Zone Companies

  1. Free Zone Establishment (FZE):
    This type of company is owned by just one individual or corporate shareholder.
  1. Free Zone Company (FZCO):
    Company which essentially requires at least 2 or more shareholders. These shareholders can be either individuals or corporate companies.
  1. Branch Office: 
    A company located outside of UAE, or in the UAE can have a branch in one of the free zones of Dubai.

Dubai houses more than 20 free zones. Each Free Zone registers companies according to its own line of business and each one of them has a different set of requirements, cost and legal structure. Selecting the right jurisdiction depends on short term and long term objective of the business and cost difference.

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Dubai Free Zone Company Registration

Considerations for Free Zone Companies

Types of Licenses in Free Zones

There are various incentives that free zones in Dubai provide for license holders. For example, Dubai Airport Free zone is allowing dual license for its investors. Free zone authorities in Dubai provide these types of licenses for freezone business setup.

1. Trading License:
Trading license allows a business to carry out trade related activities such as import & export, buying & selling of a limited number of commodities.
2. General Trading License:
With this, one can deal with the trading of all types of goods with an exemption on few products that require special approvals.
3. Professional License:
Individuals or companies who want to offer professional services like consultancy, training, etc. can acquire this license.
4. Industrial License
It is acquired by industrial units to carry out manufacturing, packaging and processing activities.

Advantages of a Dubai Free Zone Company

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