7 Vital Tips About UAE Free Zone Business Setup

7 Vital Tips About UAE Free Zone Business Setup

Starting a free zone business venture in UAE in absence of professional help can be a challenge as several important factors come into play before, during and after the incorporation process that determines the ultimate success of the company. While business setup consultants in UAE are abundant, every investor needs to know these basic tips when starting a free zone business setup in UAE.

1.      Business Activity

Free zones are geographically defined jurisdictions that allow a specific type of legal structures to incorporate in UAE. Since there are limits to its operational parameters, the activity you choose is imperative to successfully incorporate a free zone company in UAE.

2.      100% Ownership

Unlike mainland LLC in UAE, free zones offer a unique advantage in business ownership. While mainland LLC required a 51% UAE stakeholder in the contract, free zone company formation can be done at 100% foreign ownership.

3.      Tax Exemption

Tax exemption benefits include 0% incorporation and personal tax with no customs or tariffs on import-export items. As an internationally recognized tax have, Dubai alone houses over 45 different free zones in its map.

4.      Logical Support

If you are interested in opening a trading company, make sure the free zone you choose has fast and affordable logistics support to compensate the transport and delivery expenses you would otherwise have to outsource.

5.      Specialized Zones

Many zones in Dubai offer specialized incentives for specific business activities. Media City, for example, offers exclusive benefits for media activities while Energy and Environment Park cater businesses related to renewable energy and eco-friendly technology.

6.      Autonomy

Since Free zones are designed under special framework, rules, and regulations, many of its administrative and financial matters are handled by the specific free zone authority. These include visa, company formation, licensing, office space and other provisions that are solely governed by the zone authority.

7.      Office Space

A workspace to initiate your business operations can be easily leased in affordable and flexible plans. Free zones in Dubai offer competitive leasing options for serviced and furnished offices in commercial districts with top class nearby facilities and amenities.

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