How to establish a company in the Dubai Free Zone Because in recent years, Dubai has witnessed remarkable economic growth and has become a preferred destination for investors wishing to establish their companies in the Middle East region. One of the exciting options that Dubai offers to international investors is setting up companies in free zones. Dubai’s free zones are an ideal platform for startups and large companies alike, as they provide an advanced business environment, easy establishment procedures, and endless investment opportunities. Establishing a company in the Dubai Free Zone also provides many advantages, including access to an interconnected global market and an encouraging investment climate that supports innovation and growth. In addition, establishing a company in the free zone  enjoys full ownership of the company by the foreign investor, not imposing taxes on profits for a period of up to 50 years, in addition to customs and logistical facilities that help speed up import and export operations.

How to establish a company in the Dubai Free Zone

Establishing a company in the Dubai Free Zone is easier than establishing a company in the city of Dubai itself, as in the free zone you do not need a sponsor, and the ownership of the company can be for any nationality, and the company is registered as a free zone establishment or a branch of any office.

It is not required to establish a company in the Dubai Free Zone for the parent company to be inside Dubai, but rather it may be outside the Emirates entirely. Dubai is characterized by many free zones, so it is difficult for the investor to choose the most suitable area to establish a company in the Dubai Free Zone, but we have sufficient experience. And relations in the free zones in Dubai, which qualifies us to help you establish a company in the free zone in Dubai and clear all the necessary papers and procedures. Do not hesitate to contact us.

Conditions for establishing a company in the free zone

To establish a company in the Dubai Free Zone, conditions vary slightly depending on the type of company and the specific free zone, but generally, here are the basic conditions that are usually required:

• Company type: You must specify the type of company you wish to create, whether it is a limited liability company, a sole proprietorship, a partnership company, or any other type available in the chosen free zone.
• Shareholders and officers: The identity of the company’s shareholders and directors must be determined, in addition to submitting the necessary personal documents and determining the shareholdings if the company is a joint-stock company.
• Business License: You must obtain an official license from the local authorities in the free zone to practice your specific business activity, and the required approvals may vary depending on the company’s activity.
• Core Capital: The core capital of the company must be determined and secured in a local bank account.
• Head Office: The company must secure an address for the head office in the free zone.
• Contracts and legal documents: The legal contracts necessary to establish the company must be prepared, such as the articles of association, articles of association, and other relevant contracts.
• Additional permits: Some commercial activities that take place in free zones may require additional permits from the relevant authorities, such as health or environmental permits, for example.
• Residence visas: If the company needs employees from outside the country, residence visas must be provided to them in accordance with applicable policies and regulations.

It is recommended to communicate with the relevant government bodies or to consult Itqan Company’s consultants who specialize in commercial affairs to obtain accurate and up-to-date guidance on the exact conditions for establishing the company in the Dubai Free Zone.

Dubai Free Zone

Free zones in Dubai represent a major attraction for international investors and business seekers, as they provide an ideal commercial environment that facilitates companies’ operations and enhances opportunities for growth and expansion. Free zones are known for offering a number of unique benefits such as full ownership by foreign investors, no taxes on profits for long periods of up to 50 years, in addition to advanced customs facilities and excellent logistics that help speed up import and export operations.

The free zones in Dubai are distributed over several strategic locations covering various economic sectors such as manufacturing, services, technology, and global trade. These areas are also characterized by advanced infrastructure, integrated logistics services, and government support that make it easier for companies to achieve their goals efficiently and effectively.

Thanks to this dynamic business environment that encourages innovation, Dubai’s free zones are an ideal choice for investors seeking to establish their companies in an area that provides them with the freedom and support necessary for the success of their business in the regional and global market.

The importance of establishing a company in the free zone

Establishing a company in the Dubai Free Zone is of great importance due to the many benefits and advantages that these areas offer, which include:

• Full Ownership: Foreign investors can benefit from the opportunity to own 100% of the company without the need for a local partner.
• Not imposing taxes: Free zones provide the advantage of not imposing taxes on profits for a long period, up to 50 years, which helps achieve attractive rates of return for investors.
• Customs facilities: Companies in free zones enjoy advanced customs facilities, which helps speed up import and export operations and reduce logistical costs.
• Advanced infrastructure: Free zones feature a modern and integrated infrastructure that supports all types of businesses, making it easier for startups and medium-sized companies to grow their businesses efficiently.
• Government support: The UAE government provides effective support to companies in free zones through encouraging policies and administrative facilities that help simplify procedures and accelerate growth and expansion processes.
• Access to the regional and global market: Dubai is located in a strategic location that facilitates access to the Middle East, North Africa and South Asia markets, making it an ideal center for expanding business at the regional and global level.

Given these benefits, establishing a company in the Dubai Free Zone is a successful strategic choice for investors who seek to benefit from a developed and encouraging business environment that helps them achieve success and grow in a sustainable manner.

Costs and importance of establishing a company in the free zone

Establishing a company in the Dubai Free Zone comes with balanced costs and benefits that make it an attractive option for investors. Here are some points that highlight the importance of this step without referring to specific cost details:

• Access to a global market: Dubai Free Zone makes it easier for companies to access global markets through advanced infrastructure and excellent logistical facilities.
• Full Ownership: The ability to own your company entirely as a foreign investor without the need for a local partner, which enhances the flexibility of business management and decision-making.
• Non-imposition of taxes: A long period of non-imposition of taxes on profits, which helps to achieve attractive financial returns for the company.
• Customs facilities: Customs facilities reduce logistical costs and speed up import and export operations, which enhances the efficiency of supplies and marketing.
• Advanced Infrastructure: The free zone provides an integrated infrastructure that supports all types of businesses, including communications, transportation, and energy, making it easier for companies to grow their businesses efficiently.
• Government support: The UAE government provides significant support to companies in free zones through encouraging policies and administrative facilities, which makes it easier for companies to overcome challenges and achieve sustainable growth.

Given these benefits, establishing a company in the Dubai Free Zone can be a profitable strategic investment for investors looking for an advanced business environment that supports innovation and economic growth.

In short, establishing a company in the Dubai Free Zone represents an important strategic step for investors wishing to exploit the diverse economic opportunities and competitive advantages provided by this evolving business environment. Thanks to easy access to global markets, significant government facilities, and no taxes on profits for a long period, companies in Dubai’s free zones can achieve sustainable growth and generate attractive financial returns for investors.

Frequently asked questions about establishing a company in the free zone