Free Zone License

The Evolution of Dubai Free Zones

The inception of the Jebel Ali Free Zone (JAFZA) in 1985 marked a significant milestone in the economic history of the United Arab Emirates (UAE), demonstrating an innovative approach to attracting foreign investment. The concept of free zones revolutionized the business environment in Dubai, paving the way for over 40 subsequent free zones. These zones cater to foreign investors with numerous advantages including full ownership rights, exemption from import/export duties, total repatriation of capital and profits, as well as access to state-of-the-art infrastructure.

Dubai is home to over 30 active free zones, each overseen by an independent free zone authority that issues licenses and enforces regulations for resident companies. Depending on the number of shareholders, companies can assume the following legal structures:

    1. Free Zone Establishment: A structure with a single individual shareholder.
    2. Free Zone Company: A company structure that can be established with two or more shareholders.
    3. Branches of Existing Companies: Existing foreign or UAE-based companies can set up branches within a free zone. These branches should engage in activities aligned with those of the parent company.

Major Business Licenses in Dubai Free Zones

Obtaining a business license is a fundamental step to starting a company within Dubai’s free zones. The free zones offer a broad range of trade licenses, including:

One of the most significant attractions of Dubai Free Zones is the provision for 100% foreign ownership. This feature is a major draw for foreign investors as it allows them full control over their businesses, which is not usually possible in other regions of the UAE.

Dubai Free Zones offer a range of tax benefits, including exemption from corporate, personal, and import-export taxes. This tax-free environment is highly appealing to businesses as it allows them to maximize their profits.

Dubai Free Zones are renowned for their state-of-the-art infrastructure and business-friendly facilities. These zones are equipped with modern office spaces, warehouses, and factories, along with advanced logistics and supply chain facilities. This robust infrastructure makes it easier for businesses to operate efficiently and grow.

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