Dubai free zone company formation is an excellent option for those unwilling having an overhead local partner. This particular setup allows investors and owners of the corporation to execute business following their own style and strategies. The setup is a result of a particular business need while release licenses to organizations that fall within the scope.
For each free zone, organizational hierarchy, infrastructure, and authority are different depending on nature of operations. Known as the “free zone authority,” it’s responsible for entire management that works within the area as well as issuing licenses and employee visa.
Being tax-free with 100 percent foreign ownership and customs privileges, free zones are the most desirable business locations in the Middle East to execute international operations. Let’s have a look at some exceptional characteristics you’ll likely find;
1. 100-percent ownership & tax exemption
Dubai free zone company setup is the best option especially for expats, and with a 100-percent proprietorship, foreign investors from around the world fly here. Tax exemption is another reason as free zones are either relieved of tax entirely or charge a small amount so who would want to miss the opportunity!
2. No trade barrier or import & export duties
Setup has no trade barrier and so any company in the free zone takes its own decision over trading with global corporations and no limitation over trade quota. No import and export duty is another benefit that comes with no limitation on hiring employee out of their domain. For all those concerned over import and export goods, free zones are an excellent option.
3. Workforce availability & confidentiality
The UAE is known best providing creative and skilled workforce a platform to begin anew or simply taking success on the verge. This is the reason you’ll find hard working and motivational individuals approaching free zones as everything seems right from the very start.
Confidentiality is another significant characteristic of incorporating a Dubai free zone company. Major assets or stocks are kept confidential for all corporate owners having their setup in the free zone, so it’s another pro from security viewpoint.
Read More: How to get funding for Your Startup?
4. Possibility of virtual office or Flexi-desk
Small corporations who can’t spare budget for high-end office professionals and directors, incorporating a Flexi-desk or virtual setup as an actual Dubai free zone company is an excellent choice.
5. Company formation – Procedure in brief
Ever since their formation, the Dubai free zones produced massive employment opportunities thus welcoming both locals and international expats. The aim is to offer private entities and government-based organizations 100-percent ownership. But, you may require the assistance of a local sponsor who can help with pre and post-setup procedure. Each free zone has its distinct set of rules and regulations. A typical setup process can be summarized as;
– Determine legal structure of the free zone formation
– Identify type of license as per the business setup
– Confirm business activities and facilities available
– Verification of the fees and other charges
– Payment for the formation and signing the agreement as well as additional paperwork
With free zone company formation across the UAE especially Dubai, it’s like taking success to a new level with a dozen benefits.