Dubai is the ultimate hub for setting up a new business. The technologically advanced city is a go-to location for tourists around the globe along with housing over 200 nationalities. The city is also one of the fastest-growing economies in the Middle East, which makes it the most ideal location to start a business.
Before beginning your entrepreneurial quest in the UAE, select a jurisdiction based on your business requirements. UAE has 3 different economic zones: Mainland, Free Zone, and Offshore. Each jurisdiction has its own set of regulations. However, the Free Zone in the UAE is much better. Free zone companies will only be able to operate their business inside the free zone.
Difference between mainland and free zone
There is one major difference between the mainland and the free zone. While starting a business on the mainland, you will have to get permission from the Department of Economic Development (DED). This will allow you to start a company anywhere on the mainland. On the other hand, Dubai free zone companies will only be able to operate their business inside the free zone.
Advantages of starting a company in the free zone
Business set up in the UAE free zone has its perks:
- Don’t need local partners
- 100% foreign ownership of the business
- Investments coming from across the globe
- Provides countless ways to save resources and get your business running
- Starting a business is easier.
- No Currency restrictions
How to start a Company in Dubai, UAE Free Zones
For Dubai free zone business setup, you will need to:
Get your business license
Dubai issues five types of licenses. The type of license to be allocated depends on the company type. The five types of licenses are:
- Professional License: It is issued to service-providing companies.
- Commercial License: This type of license is handed out to companies engaging in trading activities.
- Industrial License: This type of license is administered to industrial or manufacturing companies.
The other two business licenses are Tourism License and Freelance License.
Selecting the preferred free zone
The first step in starting your Dubai free zone company setup is to select a jurisdiction that will fulfil all your business needs. There are numerous free zone options. You should decide on which available activities are the most suitable for your business.
Get your UAE Residence Visa:
You will be permitted a business setup in Dubai free zones investor residence visa for your company. This permits three years of stay in the UAE and requires renewal and other documentation such as an LSA or partnership agreement with immigration authorities on arrival at Dubai International Airport.
Open a Business Bank Account:
Opening a bank account is crucial if you want to continue operating in the country as a business setup in Dubai free zone. However, this alone is not enough. You will also be needing a certificate of incorporation and a memorandum for each free zone where your business has been set as well as a residence visa or other type of documents depending on whether you’re opening an offshore or a domestic branch.
Start your business in the free zone with RAS Corporate Advisors
Want to be one of the Dubai free zone companies? Want to obtain a license for your business? Look no further. RAS Corporate Advisors will help you get started in your business journey. We will ensure that the entire process runs smoothly.
Our experienced expert consultants at RAS Corporate Group will guide you right from registering your business till you successfully start your business. Our goal is to help entrepreneurs set up their businesses according to their requirements and based on their business model.
For further information contact us.