A lot of people refrain from business set up in UAE because they think that they will need to have a UAE national as the shareholder of 51 per cent of the company’s shares. Well, that is true to some extent, but not wholly. If you want to invest in the UAE and be the owner of the whole business, you should invest in the free zones. You will not need a partner for company formation in UAE free zones.
Free trade zones in UAE are made to help eradicate all the barriers that may come in the way of the success of the people. Thus, helping the people in enjoying a huge number of benefits including tax exemption, 100% ownership, and many other advantages.
In the UAE, there are many free zones in different emirates. Every free zone is designed to serve a particular industry while facilitating the investors as per the need of their company type and structure.
How to set up a business in UAE free zones
Determine the legal entity’s type
You should be very clear about the business services you want to provide. On the basis of the type of your legal entity, you will choose the free zone. Different free zone has different requirements. So, you should choose the one that suits your company the best.
Choose your trade name
After you are done with deciding your legal entity, you should choose the best trade names for your company. Before naming your company, do not forget to check the trade names that are allowed in the respective trade zone and the ones who have been registered already.
Get a business license
Apply for the business license while keeping in consideration your business activities. The type of business license will totally be dependent upon the business activity you want to indulge in.
Select the business location
A perfect location is very important for setup your business in IFZA in the UAE. You can either buy or lease the space you like for your business formation. The requirements of the office will be dependent upon the employee number and the type of business activity of the company.
Get required approvals
After getting all the approvals from the respective authorities, you will get your license. The license will allow you to run your business without any problem. All such processes will not take more than 2 to 4 weeks. Once you are done with them you are free to start your business in the UAE.
Documents Required for company formation in UAE
There are several documents which must be translated, attested as well as notarized by the Gulf Cooperation Council (GCC) or the UAE Embassy with the help of FAR Consulting Middle East.
- Filled Application license form
- Applicant’s business card
- Business plan’s copy
- Memorandum of Association (MOA) and Articles of Association (AOA) attested and notarized both
- Passport copies of business managers
- Passport copies of business partners
- Reference letter from the bank
Partner’s existing company’s license (if any)
All such documents should be submitted along with the application. If there is any problem with the documents, the application would not proceed further.