UAE MAINLAND
UAE FREE ZONES
What is the significance of having a UAE mainland firm, and what does it represent?
What is the significance of having a UAE free zones firm, and what does it represent?
UAE FREE ZONES
UAE Mainland
What is the significance of having a UAE free zones firm, and what does it represent?
What is the significance of having a UAE mainland firm, and what does it represent?
A free zone is a geographical territory or jurisdiction in the UAE that allows for the conduct of a specific trade activity or group of activities. The UAE has free zones in Dubai, Abu Dhabi, Sharjah, Fujairah, Ajman, Ras al-Khaimah, and Umm al-Quwain. An economic area governed by its own unique regulations that do not apply to firms outside the zone is known as a free trade zone or free zone authority. Free zone businesses use unique tax and foreign ownership regulations to trade goods and services.
One of the steps the government took to diversify the economy and draw in more international investors to Dubai and the UAE overall was the establishment of free trade zones, which enabled them to launch a firm within a developing entrepreneurial ecosystem and increase their earnings.
Founded in 1985, Jebel Ali Free Zone is the first free zone in the United Arab Emirates. There are currently around 43 free zones spread throughout the United Arab Emirates.
It is important to understand the differences between setting up a business in UAE’s Mainland and Free Zones before choosing which kind of business to establish. There are differences in ownership, number of visa, workspace differences, Business Scope, business setup and more.
Advantages Of Building A Freezone Company In UAE
Types Of UAE Free Zone Trade Licence
On the UAE free zone, businesses can be divided into four main licences depending on their activity type: General Trading, Commercial,
Industrial and Service. Below is a general look at each licence type.
Legal Forms For Company Formation In UAE Free Zones
The legal forms available for company registration in UAE free zones have been modified to meet the needs of different business kinds and investment levels. Below is a summary of the main corporate organizations and applicable legal frameworks found in UAE’s free zones:
Can Free Zone Companies Do Business In Dubai Mainland?
Usually, companies in free zones cannot do business directly in the Mainland. This rule mostly affects businesses that sell to consumers (B2C). However, businesses that sell to other businesses (B2B) in free zones can operate in the Mainland without restrictions.
If a free zone company wants to do business in the Mainland, it needs to get specific licenses and documents from the Department of Economic Development (DED). Another option for these companies is to work with a DED-licensed distributor to operate in the Mainland. Additionally, free zone companies can do business in the Mainland by forming a civil company, a limited liability company (LLC), or by setting up a branch office.
Standard Required Documents to Start the
Business Setup Process
Let’s launch your business with success! Ensure you have all the necessary documents ready to streamline the setup process!
Your Guide To Setting Up A Free Zone Business In UAE
Your business setup checklist is ready. Let’s launch your business with success!
- 1Decide on your business venture.
- 2Choose the best UAE location for your company
- 3Choose the legal framework for your company.
- 4Give your business name.
- 5Apply for Initial Approval.
- 6Prepare Legal Documents.
- 7Lease Office Space.
- 8Obtain Licenses.
- 9Open a Corporate Bank Account.
- 10
Apply for the number of visas your company will require.
- 11
Register for VAT (if applicable)
Frequently Asked Questions
Common Questions About Business Setup in the UAE Free Zones