Setting up a business at Free Trade Zone in Dubai

What is a free zone?

Free zone is a segment of well defined and separated setting and infrastructure, with special tax schemes, customs and imports regime, usually beneficial for foreign investors to expand their business by setting up operation centers in these zones.

The primary reason for establishing free zones in the UAE was to serve as a central business hub for companies that intend to establish business for overseas operations and not specifically in the UAE. Companies in the UAE free zones are allowed to operate among the free zone companies for their worldwide operations and are not licensed to operate in the rest of the UAE.

Advantages of a Free Zone

• No taxes on personal gain or capital gains in the UAE
• 100% foreign ownership of the business
• No corporate taxes for a considerable period
• Complete repatriation of capital and profits
• Modern infrastructure and facilities
• No currency restrictions
• Excellent support and consultant services

Facilities available in the free zone

• Land and office premises available on lease for investor development
• Readily built warehouse , factory units and office premises for lease
• Executive office suites
• On-site accommodation for  personnel of the investor
• Transportation links by air, by sea and by road
• Abundant energy at low costs
• Low cost of living and High Standards

How to set up a business in a Dubai free zone?

Each free zone has its own set of laws. You can set up a business in the following ways.

• Branch of a foreign company that is outside of the UAE or a branch of an offshore company
• Free Zone Establishment/Company .FZE or FZC are limited liability companies owned by an individual or a corporate. Free Zone Establishment has only one shareholder. Free Zone Company can have 2 to 5 shareholders. Free Zone Limited Liability Company is an independent company incorporated by an individual and all the shareholders are natural persons. Free Zone Limited Liability Company Corporate (FZ LLC) is a company incorporated by another corporate and the shareholder of the FZC is a company.

Limitations in a free zone

You may have many factors to consider before deciding on a free zone that is appropriate for a new business set up. These factors include location, infrastructure and facilities, licensing process of the proposed commercial activity, and the popularity of a particular free zone.

Dubai has two major Free Zones; Jebel Ali Free Zone and Dubai Airport Free Zone where import, export, manufacturing, processing, assembling, packaging, distribution, consolidation, storage and logistics are the primary functions. Dubai Healthcare City serves as a center for healthcare-related operations, Dubai Media City specializes in broadcasting, advertising, and public relations; Dubai Internet City is dedicated for web-based services, IT support, and software development.

Experienced consultants provide consulting and suggestions on the right choice of a free zone that is suitable for your business activities and take on the full responsibility to complete processes involved in establishing your company in Dubai or any where in the UAE.

dubai free zones | dubai airport free zone

Article source:
http://goarticles.com/article/Setting-up-a-business-at-Free-Trade-Zone-in-Dubai/4179354/