- October 2, 2021
- Posted by: DBS
- Category: Dubai Business Services
UAE offers several advantages, such as being one of the cheapest free zones in the world and being a niche market. Foreign and local investors alike are attracted to its strategic location and 0% tax policy. Dubai offers you a dynamic business environment, whether you’re looking to expand your business or start one from scratch.
UAE is becoming a global business hub not just because of the emirates’ attractive advantages but also because of their free zones. A growing number of businesses are choosing to do business in free zones in the UAE. New-age investors can nevertheless receive assistance from company formation experts at DBS to find the cheapest and top free zone in the UAE.
A free Zone
In the United Arab Emirates, free zones are special economic zones where firms can operate at reduced tax and customs rates. A geographical region inside each emirate defines each free trade zone. Furthermore, each free zone governs its companies under its own set of laws and authority.
By providing many advantages such as 100 percent firm ownership, free zones seek to increase international investment. There are over 40 free zones in the UAE, and many of them are classified according to the types of businesses they cater to. Knowing your specific company needs is critical when determining which free zone in the UAE is the best value.
Why do Investors Prefer Free Zone?
A number of benefits are offered by the UAE’s Freezones to investors. A trustworthy banking system, world-class infrastructure, fast and easy business start-up, as well as 100% ownership of the business entity are among those that matter most.
Free Zones in the UAE are popular for many reasons. As Dubai is the center for all business operations in the UAE, the Freezones in Dubai are the most preferred locations to set up a business for general trading, consultancy, and services.
In order to set up their base in Dubai, companies seeking services and consultancy will be attracted by the airport. Dubai can help you conduct business meetings, invite clients to your office, travel there and out of Dubai, etc., which are all direct benefits of setting up a company here.
A free zone in Dubai comes at a cost premium when it comes to business setup. In the UAE, you can find plenty of free zones that provide unbeatable business setup solutions and cheap trade licenses for establishing your dream business.
Cheapest Free Zone License in the UAE: How To Get It?
It takes just five simple steps to apply for a free zone license and set up your business.
- Decide how you will carry out your business
Your business activities should be outlined before you approach a free zone. Each can be carried out in a free zone depending on the one in which you intend to launch it.
It is important to decide which free zone will suit your needs prior to travelling. Because this selection has such a large impact on the remainder of the process, it’s a good idea to consult with a company set up specialist before making this decision. We are familiar with allowed activities and will be able to recommend free zones that are most appropriate for your company.
- Create your company name
Your company’s name is the next step. A few considerations must be made while naming a company in the United Arab Emirates. The naming standards in this game are rather rigorous, but they’re also quite simple to understand.
As a general rule, you should refrain from using any derogatory terminology. Aim to keep your business name free of well-known brand names and acronyms. You should also see if the name you want to use is accessible for registration.
- Obtaining your trade license
This is maybe an essential step of all to obtaining your trade license.
Throughout this procedure, it is recommended that you engage with a business formation professional. We can submit your application on your behalf, collaborating with the applicable free zone authorities to ensure a quick and easy business formation.
When submitting your application, you are typically just asked to supply a few facts as well as some basic documents, such as:
- Form of application completed
- Copy of the potential owner’s or owners’ passport
- Two passport-sized colour photographs
- Submit your visa application
If you’re looking for the cheapest UAE trade license, you’ll probably also want the lowest UAE free zone visa.
An expert in business formation can help you set up a free zone and apply for a visa at a low cost.
You can sponsor other people’s visas if you have a UAE company license. This person might be a partner, parent, or kid, or a domestic worker like a housekeeper.
Maximum visa applications will be determined by the size of your firm and your selected structure, and your personal earnings will be taken into account when applying for dependent visas.
- Making a business bank account
Before you can begin trading, you must first create a corporate bank account. Unfortunately, due to the UAE’s rigorous anti-money laundering laws, foreign enterprises may have difficulty accessing corporate banking services. Working with a specialist in the subject makes the process much more streamlined.
DBS has excellent relationships with both local and international banks and can quickly connect you with the one best suited to your needs. Also, including organizing face-to-face meetings if necessary.
Top 5 Cheapest Free Zones in the UAE
When deciding on the UAE Freezone in which to set up a business, there are a number of things to take into account throughout the shortlisting process. It comprises the free zone’s location, the commercial activity selected, and the need for office space, among other things.
The International Free Zone Authority is Dubai’s most affordable Freezone for getting a company license. An extensive range of business operations, as well as world-class infrastructure and business support services, are made available to investors in this venture capital fund.
Let’s have a look at the low-cost Freezones in the United Arab Emirates, which provide similar infrastructure and commercial advantages to the Dubai Freezones.
1. The International Free Zones Authority
It is one of the most cost-effective Freezones in the UAE and one of the most affordable Freezones in Dubai. It provides a low-cost Dubai corporation license.
The investors have access to a wide choice of cutting-edge office solutions that meet or exceed international standards. It is equipped with a warehouse that adheres to the most stringent international logistics guidelines. For investors who want to keep their operational costs to a minimum, IFZA provides Flexi-desk and flexible leasing options.
Licenses Available in IFZA
- Consultancy License: Management consultants, HR consultants, and so forth.
- Suitable for the creation, development, and distribution of service firms, the Service License is designed for them.
- Trader’s Permit: Ideal for a business that deals in specialized commodities.
- License for General Trading: For businesses that deal in a wide range of goods.
- Suitable for firms that import raw materials, produce, manufacture, package, and export products, amongst other things.
- It is possible to own freestanding assets and/or shares of another firm when you have access to a license.
2. Economic Free Zone of Ras Al Khaimah
To start your ideal company, use RAKEZ, an affordable business center with customizable solutions for companies of all sizes. RAKEZ offers company start-up solutions that are both reasonable and contemporary, as well as first-rate services. Infrastructure and high-tech facilities are in place for industrial expansion and development, making it an excellent location.
RAKEZ provides investors with a customer-friendly atmosphere and ease of starting a business. RAKEZ has over 14000 firms from over 100 countries registered. It includes five Freezone parks, all of which are specifically tailored to meet investor needs.
For non-free zone companies, RAKEZ provides provisions for business creation. Business and industrial establishments abound here. The UAE’s seaports and airports provide easy access to worldwide markets, making RAKEZ a popular investment site.
Commercial Licence: Permission to carry out five identical activities from the selected category under the terms.
3. Umm Al Quwain International Free Trade Zone
The Umm Al Quwain Free Trade Zone is the finest free zone in the UAE for establishing offices for start-ups, SMEs, and commercial organizations. Because of its closeness to Dubai, accessibility to international ports, and world-class infrastructure, it’s a darling among investors.
Freezone Umm Al Quwain has operated independently since its inception. In the future years, Umm al Quwain Free Zone is likely to see rapid adoption due to its cheap startup and operating expenses.
Licenses Issued by Um Al Quwain Free Trade Zone
- Permission to work as a freelancer
- Wholesale and retail trade
4. Free Zone of Ajman Media City
The most affordable free zone in the United Arab Emirates is Ajman Media City. This free zone provides a wide choice of low-cost commercial activities and business license kinds to investors.
Office options include shared, customized, Flexi-desk, and others, and Ajman Media City has a world-class infrastructure to support them. It includes everything for businesses, from business licenses to specialized licensing categories like media & creativity.
It is regarded as a premier location for media and entertainment firms to establish a presence. It provides a low-cost platform for media firms and creatives that want to start a successful business.
- Commercial License
5. A Free Zone for Media in Sharjah
SHAMS, the UAE’s fastest-growing media-free zone, is home to some of the country’s most well-known businesses and organizations. Sharjah provides a dynamic and expanding environment for aspiring businesses. As a result, SHAMS has emerged as a premier free zone for both nascent investors and long-standing corporations.
SHAMS is a one-stop-shop for all of your business needs. The company’s activities are not limited to the media industry, as the name may imply. Per license, you’re allowed to conduct as many business operations as you choose.
This free zone is perfect for those who wish to start a business remotely without needing to travel to the UAE.
SHAMS provides the following categories of Business Licenses:
- Holding, as well as other sorts
- An influencer on social media
DBS Help you Find the Cheapest Trade License in the UAE
When forming a new business in the UAE, it is a good idea to engage with a company formation specialist such as Dubai Business Service to verify that this is the case.
We are a team of company registration specialists that are enthusiastic about making prospective entrepreneurs’ and SMEs’ aspirations a reality.
In addition to processing your license application, DBS can help you create corporate bank accounts and advise you on the best financial institution for your unique needs.
We also provide visa and immigration services and can take care of all government procedures, approvals, work permits, and visa applications needed to conduct business in Dubai, United Arab Emirates.
Our specialists can set up your company, apply for licenses and visas, and handle all the administrative work, so you can focus on operating your business.
- How does DBS help with UAE Free Zone Company Formation?
- What are the pros and cons of starting a UAE free zone company?
Talk to our expert business consultants today to learn more about starting a business in Dubai and UAE!
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