With a steady economy, a booming market and guaranteed exposure to regional and international clientele, it’s no wonder that the United Arab Emirates is at the pinnacle of an investor’s itinerary. The country, otherwise known as the land of opportunities, represents a lighthouse for every investor seeking lucrative prospects, whether local or beyond borders.
As we’ve previously explored, investors looking to reap the benefits this country has to offer must first choose between three business jurisdictions: Mainland, Free Zone and Offshore. With each jurisdiction possessing its own set of gains, it’s pivotal to identify the desired needs and goals before diving any further.
This one goes out to those who have decided to set up their business in a free zone. So, without further ado, this is ‘The Leap Towards the UAE – Free Zone Business Edition’!
What makes a Free Zone appealing?
Free zones constitute 45 economic areas in the United Arab Emirates where goods and services can be traded at preferential tax and customer rates. Less costly than a mainland, they offer 100% foreign company ownership and the ability to cater to more specific industries or business types. What makes this business jurisdiction appealing, aside from the foreign ownership, is the increased privacy, low taxes and the straightforward setup process.
Although, there’s a slight catch. Investors are only allowed to operate within the free zone itself and outside the UAE’s borders. Further, investors and their businesses are governed by the free zone’s rules and regulations rather than the UAE Commercial Companies Law.
Free Zone Business checklist
One of the main benefits of a free zone is its straightforward and simple setup process. With only a few simple steps and documents, investors will be able to own a free zone business within the UAE.
Selecting the company structure: investors should decide whether they want to establish their business as a Free Zone Establishment (FZE) or Free Zone Company (FZC). The difference? Well, it’s simply the fact that the former only has one shareholder while the latter has two or more.
· Determining your business activity and free zone: as free zones allow a limited amount of business activities, investors need to choose the free zone that will enable them to reach their business goals and match their desired needs.
· Naming the company
· Applying for a business licence
· Choosing an office space: whether investors are looking to buy or rent, every free zone has a myriad of office spaces that fit their needs. Additionally, investors can opt for virtual offices in the UAE’s free zones, which provide the advantages of a traditional office without the need for a physical space.
· Seeking assistance from Benial’s experts! Setting up a free zone business is neither a nuisance nor a hassle when you have someone by your side. With Benial’s expertise, our team will provide you with a full customised process, timing line up and more to ease the whole setup process and save you time and effort.
Because setting up a free zone business in the UAE requires a deep understanding of the market, legal processes and logistics, Benial has got your back. We’ll take the stress off you and help successfully set up your business overseas without a hassle.
If you’re ready to set up a free zone business, then get in touch with our team here!