Low cost business setup in dubai

 Free zone company formation in Dubai has become increasingly popular in recent years. The Dubai free zones offer a range of benefits to businesses looking to establish a presence in the UAE, including 100% foreign ownership, tax exemptions, and streamlined processes for company registration and licensing.

In this blog post, we will explore the advantages of free zone company formation in Dubai, the steps involved in setting up a free zone company, and the types of businesses that are best suited to this model.

Advantages of Free Zone Company Formation in Dubai

There are several advantages to setting up a free zone company in Dubai. Here are some of the key benefits:

100% Foreign Ownership

One of the main advantages of free zone company formation in Dubai is that foreign investors can own 100% of their business without the need for a local partner. This is in contrast to setting up a business outside of the free zones, where foreign investors must have a local partner who holds a minimum of 51% of the shares.

Tax Exemptions

Free zone companies in Dubai are exempt from corporate and personal income taxes for a period of up to 50 years. This makes it an attractive location for businesses looking to reduce their tax liabilities.

Streamlined Processes

The process of setting up a free zone company in Dubai is streamlined and efficient. The Dubai free zones have dedicated teams to assist with company registration, licensing, and visa processing, which can help to speed up the process of getting your business up and running.

Steps for Setting up a Free Zone Company in Dubai

Setting up a free zone company in Dubai involves several steps. Here is an overview of the process:

Choose a Free Zone

The first step in setting up a free zone company in Dubai is to choose a free zone that is best suited to your business needs. Dubai has more than 30 free zones, each with its own set of regulations and requirements.

Select a Company Type

The next step is to select the type of company you want to set up. The most common types of free zone companies in Dubai are Free Zone Establishment (FZE), Free Zone Company (FZCO), and Branch Office.

Register Your Company

Once you have selected your company type, you will need to register your company with the free zone authority. This involves submitting a range of documents, including your business plan, passport copies of the company owners, and proof of address.

Obtain a Business License

After your company is registered, you will need to obtain a business license from the free zone authority. This license will specify the activities your company is permitted to carry out.

Open a Bank Account

To operate your business, you will need to open a bank account in Dubai. This can be done through one of the many international banks operating in the UAE.

Apply for Visas

Finally, you will need to apply for visas for yourself and any employees you plan to hire. The Dubai free zones have streamlined processes for visa processing, which can help to speed up the process of obtaining visas for your staff.

Types of Businesses Suited to Free Zone Company Formation in Dubai

Free zone company formation in Dubai is best suited to businesses that require 100% foreign ownership, such as consulting firms, IT companies, and trading companies. It is also a good option for businesses that want to take advantage of tax exemptions and streamlined processes.

However, businesses that require a physical presence outside of the free zones, such as retail shops or restaurants, may be better off setting up a mainland company, which allows for a wider range of activities and a physical presence in any location in the UAE.