Dubai, existing business capital allures considerable interest from probable businessmen. In case you’re wanting to start your own business in Dubai, there are several things to think about a Freezone company formation. The thought is to recognize which choice is best suited to your needs and your business demands. Free zones, particularly, are preferred by overseas businessmen. Despite this, there’s so much mess about what a free zone in Dubai is and how can one conduct business in the free zones of Dubai.
Advantages Of A Freezone Company Formation
Dubai free zones are government-initiated economic zones that give tax concessions, custom duty advantages, and other incentives for overseas businessmen. In addition, Dubai free zones give no personal and corporation taxes, sole ownership, complete repatriation of profits, no currency restrictions along with overall import and export tax exemption.
These specific rules and regulations were placed out by the government to make such free zones in Dubai. So, there are several reasons for anybody to invest in a free zone in Dubai. Free zone companies permit overseas businessmen to hold full ownership of the businesses.
The Steps For A Freezone Company Formation
Type of company – While determining to commence a Freezone Company Formation one has to determine the kind of business that has to be initiated and even the free zone where the investor looking to begin the business as distinct free zones have distinct needs that would be required to be done.
Trade name – Once the businessmen have chosen the business kind that would be initiated in the free zone of this emirate, now you have to choose the right business name for your company. You have to follow the naming conventions when you deciding the business name.
Business License – Once you have done with the business name, you have to obtain a business license to run your business in this emirate. There are distinct kinds of business licenses that you have to choose from.
Office space – In this move, you have to find the right office space for your Freezone company formation. Business setup consultants will help you in finding the right workplace.
Types Of Business And Licensing For A Freezone Company Formation
Prior to taking any strong moves towards a Freezone company formation, this is imperative to first recognize the business you want to conduct. This opportunity can be taken advantage of once then. Ask yourself in case you want to be a freelancer or if you looking to initiate a corporation and appoint workers. Not all free zones in Dubai permit freelancers.
Second, you will need to figure out what kind of business license you require for your company. free zones in Dubai permit several functions under one business license. Although, those functions or activities have to fall under a similar business license as described by the license-issuing department.
Choosing the Right Free zone
The option of your free zone in Dubai is pivotal to the business’s future. The first move is to recognize the kind of business you desire to operate. Based on this, your second move is to decide the free zone in Dubai most suitable for your company.
Certain free zones in the emirate just permit chosen industries to run. You need to select the free zone in Dubai as per the product or service you are going to sell in the market. For example, in case you want a media license, you need to connect with the officials at the Dubai Media City free zones, while the people who are curious about outsourced functions will need to start in Dubai Outsourcing City.
Documents Required For A Freezone Company Formation
- Color copy of legal passport
- Business plan
- Business License
- Audited financial report
- Board Resolution
- Power of attorney
- Memorandum of Association
- Article of Association
- Details of share capital