Establishing a company in the Dubai Free Zone can be an important investment step for many entrepreneurs and startups. Free zones provide an encouraging business environment and multiple benefits such as tax exemptions, customs facilities, and access to the regional and global market. In this article, we will discuss the cost of establishing a company in the Dubai free zone.
The cost of setting up a company is affected by several factors, including the type of company, the Dubai free zone chosen, the size of the company and its specific needs. Potential costs include rental costs, company licenses, labor costs, administration and office costs, and legal and accounting consulting costs.
With Itqan Company, you can benefit from its experience and services in establishing your company in the Dubai Free Zone. Itqan will provide you with the necessary advice and support in all aspects of setting up a company, from licensing and registration arrangements through to general management and accounting.
When cooperating with a specialized company like Itqan, you can ensure that the company establishment process in Dubai runs smoothly in accordance with local requirements and under the supervision of a professional team that knows well the established procedures and local legislation.
The cost of establishing a company in the free zone in Dubai
Establishing a company in the Dubai Free Zone can be an exciting and rewarding opportunity for many entrepreneurs. There are several steps to establishing a company in the Dubai Free Zone . Here are general ways to complete this process:
- Choosing the appropriate free zone: There are many free zones in Dubai, and they differ in specializations and targeted industries. Study different regions and choose those that match your business and requirements.
- Company creation: Select the type of company you wish to establish, whether Limited Liability Company (LLC), Public Joint Stock Company (PJSC) or Sole Proprietorship, according to your business requirements.
- Registration and Licenses: A free zone may require specific licenses for your business. Submit a registration application and complete the necessary procedures to obtain the necessary licenses, such as trade license, construction license, and business license.
- Choosing the legal form and partners: Determine the legal form of the company and determine the partners if the company is a public joint-stock company. Some free zones may require a certain percentage of a local partner.
- Obtaining capital: Determine the capital required to establish the company and keep the required amount of money in a bank account in Dubai.
Establishing a company in the Dubai Free Zone
Benefits of establishing a company in a Dubai free zone
Establishing a company in the free zones in Dubai provides many important and attractive benefits to investors. If you would like to obtain more information about the cost of establishing a company in the free zone in Dubai and how to cooperate with Itqan Company, here are some of the main benefits:
- Full ownership of the company: Establishing a company in a free zone in Dubai allows investors to obtain full ownership of their company without the need for a local partner. This gives the investor absolute freedom to make management decisions and direct the course of the company.
- Customs facilities: Dubai free zones provide easy customs facilities, such as exemption from customs duties and low customs tariffs on import and export. This helps reduce production costs and increase the competitiveness of products.
- Tax reductions: Companies in Dubai free zones enjoy tangible tax reductions, including no income tax on profits and no value-added tax (VAT). This helps increase profitability and improve competitiveness.
- Advanced Infrastructure: Dubai\\\’s free zones are characterized by advanced infrastructure and modern facilities, including offices, warehouses, logistics areas, and marine and air logistics centers. This advanced infrastructure provides a business-friendly environment and facilitates the daily operations of companies.
- Government guidance and support: The Dubai government is committed to providing the necessary guidance and support to companies joining the free zones. Government counseling and support services are available to help facilitate administrative procedures and provide legal and financial advice.
- Access to the regional market: Dubai is a gateway to the Middle East, North Africa and South Asia market. Thanks to its strategic location and large international airport, companies in Dubai\\\’s free zones can easily access these promising markets.
Establishing a company in a free zone in Dubai offers exciting opportunities for business expansion. It allows investors to benefit from tax and customs facilities, full ownership of the company, advanced infrastructure, and government support. It also provides the opportunity to access a wide and diverse market in the Middle East, North Africa and South Asia.
Legal procedures for establishing a company in a free zone
Establishing a company in a free zone in Dubai requires following some legal and administrative procedures. Establishing your company in the Dubai Free Zone. Itqan will provide you with the necessary advice and support in all aspects of setting up a company, from licensing and registration arrangements through to general management and accounting. Here are the basic steps to take:
- Choosing the type of company: You must determine the type of company you want to establish. It can be a limited liability company (LLC), sole proprietorship, or partnership. You should choose the type that suits your business needs and goals.
- Choosing a company name: You must choose a unique and appropriate name for your company, and ensure that it is not repeated with any other company located in the free zone. The name must be consistent with local laws and regulations.
- Submitting a registration application: You must submit a registration application to the competent authority in the free zone. You must submit required documents such as completed forms, personal documents of shareholders and directors, and the company\\\’s business plan.
- Financial Payments: You must pay the fees and financial deposits required to establish the company. These fees and deposits are determined by the type of company and the amount of capital invested.
- Obtaining licenses: Establishing some companies in the free zone may require obtaining additional licenses depending on the company’s activity. These licenses may include business licence, construction licence, profession licence, and others as needed.
Remember that these procedures may vary slightly depending on the specific free zone and local legislation. Therefore, it is necessary to check the exact requirements, legal and administrative procedures of the free zone in which you intend to establish the company.
Types of companies allowed in the Dubai Free Zone
Types of companies allowed in the Dubai Free Zone
| Type of Company | a description |
|---|---|
| Sole proprietorship | It is managed by only one person, and liability is limited to the amount of capital invested. The number of directors is not limited to one. |
| Shareholding company | Its ownership is divided into shares that can be sold and traded, and liability is limited to the limits of the invested value. It requires a certain number of shareholders and directors. |
| Joint stock limited liability company | A type of joint stock company with limited liability of shareholders, and shareholders are liable for the company\\\’s debts only to the extent of their contributions. It requires a certain number of shareholders and directors. |
| Private joint stock company | A joint-stock limited liability company in which its shareholders are limited and known in advance, and is exempt from the rules of public offering and sale of shares to the public. It requires a certain number of shareholders and directors. |
| Subsidiary | It is part of another company called the parent company, and the latter is responsible for the decisions and actions of the subsidiary. Requires permission from the parent company. |
| Foreign personal company | It is managed by one person who is not resident in Dubai, and has specific rights and limited liability. Requires a permit from the Dubai Department of Economic Development. |
These are examples of the types of companies that can be established in a free zone in Dubai, and there are precise laws and regulations that specify the conditions for establishing and operating each type of these companies, so it is advisable to check the current laws and consult with Itqan Company before taking any official step in this regard.
The cost of establishing a company in the Dubai Free Zone
The cost of establishing a company in the Dubai Free Zone varies according to several factors such as the type of company, the size of the business, and the services required. Among the main costs that a company may face during the incorporation process are:
- Basic License Fees: Company licenses cost varying amounts depending on the type of company and scope of its activity.
- Legal and accounting consultation costs: It is advisable to obtain legal and accounting consultation to ensure full compliance with local laws and regulations.
- Administrative services costs : These costs include the provision of administrative services such as financial management and human resources.
- Real estate costs: Real estate costs must be paid to rent the company’s office within the free zone.
- Visa and accommodation fees: These costs include the costs of obtaining work and residence visas for employees and shareholders.
In short, the cost of establishing a company in the Dubai Free Zone is affected by several factors and varies from one company to another. However, the total cost may include several thousand UAE dirhams.
Important documents for establishing a company in a free zone in Dubai
There are a set of basic documents that an investor needs to submit to establish a company in a free zone in Dubai. These documents may vary depending on the type of company, the business activities the company will undertake, and the requirements of local authorities. Among the common documents that you would typically need to establish a company in a free zone in Dubai are:
- Official registration form: An official form must be submitted containing information such as the company name, business type, and shareholders’ details.
- Trust Agreement (Memorandum of Association): This is a document that contains information about the company\\\’s structure, objectives, scope of work, shareholders\\\’ rights and responsibilities.
- Articles of Association: The company’s bylaws define the internal procedures, authorities, and other details related to the company’s management and operation.
- Lawyer\\\’s Certificate: Documents that the documents submitted for registration are correct and comply with local laws.
- Economic Disclosure: This document explains the financial and economic information of the company and its shareholders.
Our service in establishing your company in the free zone
Itqan Company offers a wide range of services to help you establish your company in the Dubai Free Zone. Here are some of the services that Itqan Company can provide:
- Company Establishment Consulting: Providing advice and guidance on the best type of company to suit your business and needs.
Determine the legal, administrative and financial requirements for establishing the company in the free zone. - Arranging documents and transactions: Helping you prepare and arrange all documents and transactions necessary to register the company and obtain licenses and permits.
- Providing legal services: Providing legal advice and providing legal support regarding incorporation contracts, agreements, and legal disputes.
- Providing financial services: helping you determine capital structure and preparing financial plans and financial reports necessary for registration and permits.
- Administrative Operations Management: Providing support in daily administrative operations such as account management, employees and public relations.
These are just examples of the services that Itqan Company can provide in establishing your company in the Dubai Free Zone. You can select the services that precisely meet your needs based on the type of company and your requirements.
Your company is in the free zone
In conclusion, establishing a company in a free zone in Dubai is an important strategic step for individuals and companies wishing to benefit from the advanced economic environment and available commercial facilities. In cooperation with Itqan Company, establishing a company can be a smooth and reliable process.
The journey begins by identifying the right type of company and choosing a unique and appropriate name for the company. After that, the registration application is submitted to the competent authority in the free zone, along with submitting the required documents and the business plan. After approval and transfer of financial fees, the necessary legal and administrative procedures are completed.
Dubai\\\’s free zones provide a distinct business environment, providing freedom for 100% foreign ownership of companies, and no taxes on profits and income. In addition, free zones provide access to advanced infrastructure and sophisticated financial and logistical services.
Itqan Company provides the necessary support and advice to establish the company in the free zone, including assistance in preparing documents, arranging meetings with competent bodies, and managing administrative and legal procedures. With its experience and extensive knowledge of local laws and regulations, Itqan helps clients overcome challenges and achieve sustainable business success.
Ultimately, establishing a company in a free zone in Dubai gives you the opportunity to thrive in a dynamic and sustainable business environment. With the support of Itqan Company , you can embark on this adventure with confidence and optimism, taking advantage of the competitive advantages provided by the free zone and designed to enhance growth and economic development.
The most frequently asked questions about the cost of establishing a company in the free zone in Dubai
What are the basic costs of establishing a company in the Dubai Free Zone?
Costs consist of incorporation fees, license and permit fees, legal consulting fees, and initial management and operating costs.
Is there a minimum capital required to establish a company?
Yes, there is a minimum capital that depends on the type, activity and classification of the company.
What are the establishment fees that must be paid to the relevant authorities?
Establishment fees include company registration fees, activity permit fees, licensing fees, and government office fees.
Can I expect an increase in costs after incorporation?
Yes, the company may face additional costs such as taxes, annual fees, maintenance costs, and insurance.
What additional services may affect the cost of establishing a company?
Additional services include legal, accounting, financial, marketing, and regulatory consulting services.
