For more information, click this link jebel ali free zone jafza. Abu dhabi bahrain doha dubai london luxembourg moscow sharjah. Jun 24, 2018 with the recent uae cabinet announcement around 100% foreign ownership for uae companies though, an existential risk is posed for the uae s free zones. Rules and regulations umm al quwain free trade zone pdf, 200kb. Goods exported from free zones into the local markets are subject to duties articles 15. Free zones is also an area in which goods may be landed, handled, manufactured or reconfigured, and reexported. Currently, approximately 80 percent of the uaes nonoil exports originate from the free zones. The uae has a number of free zones across dubai, abu dhabi, sharjah, fujairah, ajman, ras alkhaimah and umm alquwain.
The uae s federal tax authority fta has added three new free zones to the list of designated zones that will be out of the five per cent vat scope imposed earlier this year. Running a business in a free zone the official portal of. The fact that no duties or taxes are levied in the free zone helps to promote trade, especially the import and export of all kinds of goods. More relief as three uae free zones are out of vat scope. A fz company cannot conduct business with uae mainland clients those located outside free zones by its own.
There are more than 30 free zones operating in dubai. Consequently, i believe the uae can continue its economic plans. Apart from that, dubai offers other advantages which is why the number of foreign investors interested in business setup in dubai free zones is constantly growing. The uaes federal tax authority fta has added three new free zones to the list of designated zones that will be out of the five per cent vat scope imposed earlier this year.
Business setup in uae free zones uae free zone company. Companies are offered limited regulations within free zones in uae. Here are the advantages of setting up your business in a free zone and a list of all the uae free zones. Starting a business in a free zone the official portal.
Free zones in dubai,dubai freezones,free zone areas in. Since the establishment of a free trade zone more than a decade ago, commercial activity in the emirates has flourished. Jan 28, 2020 laws governing the free zone in which your business is set up in the following laws govern free zones in the uae. The united emirates is prime for overseas entrepreneurs. Existing local and foreign companies may set up a branch of their company in free zones.
With over 30 years presence in the uae we have offices at dubai, sharjah, abu dhabi. There is easy access to overseas labour markets and the status of trade between the eastern areas and the western. The first uae free zone opened in the 1980s, setting the framework for the many that followed, and today there are almost 40 free zones across the uae. An overview of dubai free zone company formation cost. Free trade zones are areas in the united arab emirates that have a special tax, customs and imports regime. The free zone is now wooing companies with the promise of significant savings on business operations as compared to other emirates. Pdf higher education, free zones, and quality assurance. In this virtuzone uae business setup guide, we take a look at some of the many benefits of setting up your company in a uae free zone. Free economic zones fez a successful solution for your business.
Office spaces in free zones are either fully furnished. And other free zones like zones crop, building material zone bmz, heavy equipment and truck zone hetz have also been established in some parts of uae. The value added to the product in the free zone must amount to a minimum of 40%. Areas such as the free trade zone of khalifa port and jebel ali free zone are among those that are exempt. List of uae free zones 21 contacts 22 worldwide contact information 23 note.
Free zones may be broadly categorized as seaport free zones, airport free zones, and mainland free zones. Abu dhabi, dubai, sharjah, ras al khaimah, umm al quwain, ajman and fujairah. Laws governing the free zone in which your business is set up in the following laws govern free zones in the uae. Custom duty of 5% would be levied on free zones company sales within the uae. Abu dhabi bahrain doha dubai london luxembourg moscow sharjah jebel ali free dubai airport dubai. Twenty free zones in the uae including jebel ali port in dubai will be exempt from. Consequently i believe the uae can continue its economic. Over 100,000 people live and work here, attracted by our vibrant community, stunning property and high quality lifestyle. Free zones uae 7 advantages of a uae free zone company. As endorsed by the global free zone of the year award from the financial times fdi magazine for five years now, dmcc. With the recent uae cabinet announcement around 100% foreign ownership for uae companies though, an existential risk is posed for the uaes free zones. Setting up business in the uae free zones, uae freezone, uae free zones,uae free trade zone, rak offshore and company incorporation in free zones\n. Setting up business in the uae free zones, uae freezone, uae free zones,uae free trade zone,company formation in uae free trade zones, jafza offshore, rak offshore and company incorporation in free zones jafza, dafz, rakftz, rakia, afz, dmc, dic, dhcc, saifz, hfz, masdar.
In the entire territory of united arab emirates, free zones have been setup in all the seven emirates of uae i. Freetrade zone in dubai, ftzs are special economic zones set up with the objective of offering tax concessions and customs duty benefits to expatriate investors. Free zones in the uae 9 introduction the united arab emirates uae was established on 2nd december 1971 and is a federation of seven emirates, namely. Due to its strategic position with the uaes only access to the indian ocean, fujairah has a bustling, important multipurpose port.
Setting up business in the uae free zones, uae freezone, uae free zones,uae free trade zone, rak offshore and company incorporation in free zones. A free zone may also exist as the result of a mutual agreement between several countries to create a customs free zone in a designated area. Have us contact you by filling in the box on the right. Ftzs in dubai and the uae are governed pursuant to a special framework of rules and regulations.
International branch campuses ibcs have a significant presence in dubais higher education sector, yet the role of these institutions is not yet fully understood. Goods manufactured or originating within free zones are treated as foreign goods even if. Uae commercial companies law amended in 1998 to carve out the free zones, allowing establishment of free zone companies inside jafz fzcos. Click to download our shams business activities pdf. This company licence allows the holder the same status as a local or ccasg inside the uae. Pdf company formation in dubai business setup in dubai and. In international humanitarian city there has been a growth of 6. In kizad, you can form an llc for which the minimum paidup capital should be aed 150,000. From free zones to special economic zones the uae case. Hamriyah is on the coast between the emirates of ajman and umm al quwain a bit of sharjah splits the two geographically. Uae free zones if you are interested to invest in one of the most advantageous jurisdictions and you would like to maintain your 100% ownership and repatriation of capital and profits, then uae free zone is the ideal form for your business. Dubai free trade zones, free zones, and economic zones. In fact, fujairah ranks as one of the top three bunkering locations in the world.
Due to such abundance of free zone areas, a question related to the dubai freezone company setup cost is among the first ones we receive as business consultant professionals. Pkf free zones in the uae introduction 7 introduction the united arab emirates uae was established on 2nd december 1971 and is a federation of seven emirates, namely. The reason for this is that often entrepreneurs wish to research and to determine the most costeffective option for registration. Uae free zones uae free trade zones can provide a wide range of incentives for investors from around the world. With excellent air, sea and road links, it is the ideal business base for dubai, the uae and beyond. The united arab emirates is a union of seven thriving emirates of abu dhabi, ajman, dubai, fujairah, rasalkhaimah, sharjah and umm al quwain. Instead the fz company must appoint a local service agent to sell and distribute goods and services in its name, within the city. Interesting news item shared from dubai customs website. The two most established or wellknown free trade zones in sharjah are sharjah airport free zone saif and hamriya free zone hfz. The uae is home to being one of the towering free zones globally at 45 and with 10 under construction.
Free zone rules and regulations in the uae amadlaw. Running a business in a free zone the official portal of the uae. Setting up business in the uae free zones, uae freezone, uae free zones, uae free trade zone,company formation in uae free trade zones, jafza offshore, rak offshore and company incorporation in free zones jafza, dafz, rakftz, rakia, afz, dmc, dic, dhcc, saifz, hfz, masdar. Ras al khaimah economic zone rakez provides best priced business setup in uae. Enterprisers have two options for starting a business in dubai and various types of legal entities to choose from.
A free zone authority offers business licenses to foreignowned businesses. List of freetrade zones in the united arab emirates. As of today, there are about 30 free economic zones fez in the uae. Consequently, i believe the uae can continue its economic plans by the adoption of an exportled. Free trade zones in the united arab emirates are areas that have a special tax, customs and imports regime and are governed by their own framework of regulations with the exception of uae criminal law. From free zones to special economic zones the uae case study. There are 3 free zone options available in the uae. Unlike in the mainland in uae llc companies, where you will require uae national partner to hold 51% of the companys shares, in free zones, you can be 100% owner of your company. Currently, approximately 80 percent of the uae s nonoil exports originate from the free zones. Some information on this website is out of date as a result of measures taken in the uae to deal with the coronavirus crisis. The following information will help you decide whether establishing your company in one of the uae free zones is beneficial for achieving your business objectives. According to the official portal of abu dhabi government, certain types of. Fujairah free zone fujairah, located on the east coast of the uae, opened one of the countrys first free zones back in 1987.
A free zone may also exist as the result of a mutual agreement between several countries to create a customsfree zone in a designated area. This overview only covers a selection of the free zones in the uae, of which there are. Pdf development of free zones in united arab emirates. Whether you are aware or not but there are over thirty 30 free zones in dubai alone. There is no minimum capital requirement at twofour54 abu dhabi.
Uae free zones business setup consultants were the experienced business setup consultancy for dubai and uae free zones company registration. With 40 years presence in the uae we have offices at dubai, dubai international financial centre, sharjah, abu dhabi. Freetrade zones in the united arab emirates are areas that have a special tax, customs and imports regime and are governed by their own framework of regulations with the exception of uae criminal law. The united arab emirates is situated in the eastern part of the arab world. Vat in free zone new free zones in uae and its vat. Over time, its model was first replicated, then expanded and reinvented. Development of free zones in united arab emirates global. Moreover, the evolution of the roles of ibcs in dubai may be strongly influenced by. A reader asks what the rights of an employee working in a free zone are and another asks if they can leave work an hour early if they do. Ras al khaimah economic zone rakez commercial licences starting from aed 15,802. There are several uae free zones across dubai, abu dhabi, sharjah, fujairah, ajman, ras al khaimah rak and umm al quwain each free zone in the uae cater to a specific type of business category. Free economic zones fez in uae united arab emirates.
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