Throughout the UAE, the government has focused on attracting foreign investors to start businesses in free trade zones established just for this purpose in the seven emirates. Dubai offers several growing, thriving and constantly evolving free trade zones that make business setup in Dubai a very attractive option for many investors.
The Benefits of Free Trade Zones
For foreign investors, the free trade zones, more often known as free zones, are the ideal pace for business setup in Dubai. They offer the option for 100% foreign ownership without the need for a UAE sponsor. Foreign investors wishing to start a business outside of the free zones will need to enter into a formal agreement with a UAE national that is registered with the courts. The UAE national will have 51% of the company.
In addition to free zone 100% foreign ownership for business setup in Dubai, the free zones offer a full exemption from import and export duties, 100% repatriation of profits and capital for the business as well as a streamlined process for business formation.
What to Consider
Any foreign investor considering a business startup in the free zones needs to understand the requirements for the application process and the steps that need to occur.
This is very different than setting up a business in another country. It will involve choosing a business activity and legal company form, as well as find office space, having a business bank and financial account and developing a business plan prior to the application process.
Working with our STA attorneys to ensure the documentation requirements, and necessities required with the application are complete is important. Failing to have the required information with the application can result in delays or a denial of the application by the DED (Department of Economic Development), which will add to the cost of the process. Visit the website www.stalawfirm.com for more information.