A Free Zone company is any company registered within the 60+ Free Zones of the UAE. These types of companies enjoy special perks from the registered free zones such as 100% ownership, zero to little tax, easy setup procedure, investor-friendly regulations and freedom to trade globally without any restrictions.

Ownership: A Free Zone Company has no restrictions related to ownership nor need for local sponsors as you enjoy 100% ownership from day one.

Office Space: Free zone companies enjoy the freedom of not requiring a physical workspace; you can efficiently operate your business using virtual offices.

Visa:  There are some restrictions on the number of visas free zone companies can apply for. Generally, the number of visas available depends on the free zone regulations and ranges from 1 to 10. You can also sponsor your family as an owner or employee of a Free zone company.

Types of Business Structure you can choose for Free Zone Company

Free Zone Establishment (FZE)

A Free Zone Establishment (FZE) is a single shareholder limited liability company (LLC) that can be setup in any free zone of the UAE. It is governed by the rules and regulations of the free zone it is established in.

Free Zone Company (FZ Co.) or Free Zone Limited Liability Company (FZ LLC)

It is a similar type of incorporation that is also governed by the rules and regulations of respected free zone it is established in. The difference between them lies in the number of shareholders. A Free Zone Company (FZ Co.) have two or more shareholders (maximum five shareholders).

Branch Office

Existing local or foreign companies can setup a branch office in any free zone of the UAE.  This type of company allows foreign companies to build their presence in the UAE. It is not a separate legal entity from their parent company and all the liabilities of branch office goes to parent company.

Benefits of Freezone Companies:

·       100% ownership without local sponsor

·       Quick and straightforward business setup process

·       100% repatriation of capital and profits

·       100% exemption from import and export duties

·       No physical office required

·       Suitable for every trading and services business

Some popular Free Zones in Dubai and other Emirates

DMCC

Dubai Multi Commodities Centre (DMCC) is the UAE’s largest free-trade economic zone established in 2002. This free zone mainly caters as the commodities exchange with four main sectors including agricultural, steel and metals. energy, and precious commodities.

IFZA

The International Free Zone Authority (IFZA) is another leading free zone of Dubai. IFZA is one of the most preferred choices of foreign investors for Dubai Free Zone company setup as it offers multiple business benefits with exceptionally low setup fees, simple process, and minimum requirements. Furthermore, IFZA offers a wide range of business activities empowering entrepreneurs to start the business of their choice.

DIFC

The Dubai International Financial Centre (DIFC) is a distinguished Free Zone of Dubai for specifically for business, fintech, and lifestyle sectors. Furthermore, DIFC offers the world-class legal system based on common English law. DIFC’s connects the fastest growing markets of the Middle East, Africa, and South Asia (MEASA) comprising of 72 countries with nominal GDP of USD 8 trillion.

Meydan

Meydan free zone is envisioned by H.H Sheikh Mohammed Bin Rashid Al Maktoum, Vice President, Prime Minister, and Ruler of Dubai. This free zone is specifically designed to empower everyone with entrepreneurial dreams to start and grow their business in Dubai. This free zone offers low operational cost, business friendly regulations, quality customer support, and various business licenses, catering to diverse industries, and provides an excellent platform for growth.

SHAMS

The Sharjah Media City (SHAMS) is known for media and production hub in the UAE. It offers a range of business activities that can performed under a single license, that means you don’t have to get multiple licenses to run different businesses. SHAMS borders 6 of the 7 emirates of the UAE and was established as a hub for media and creative business and has now expanded its range of business in services, consultancy, and trading.

RAKEZ

Ras Al Khaimah Economic Zone (RAKEZ) is another popular free zone in northmost emirate of the UAE. This free zone also offers great amenities and friendly business regulations to attract investors and is a home to more than 15 thousand companies already. Thanks to its strong regulatory structure, starting a business is a straight-forward process and provides all types of trade licenses and large business activities.

JAFZA

Jebel Ali Free Zone Authority (JAFZA) is one of the largest logistics and industrial free zone of the UAE. It offers streamlined business opportunities for businesses related to import/export, logistics with spacious warehouses and offices on long-term leases at competitive prices. JAFZA provides a blooming eco-system where industries such as ecommerce, logistics, petrochemicals, auto-spare parts, and food & agriculture flourishes.