Starting a business can be overwhelming, especially when you’re looking for the perfect location. Are you considering setting up your company in a free zone but don’t know where to start? DAFZA (Dubai Airport Free Zone Authority) is an excellent option.
Dubai Airport Free Zone company formation offers numerous advantages, including 100% foreign ownership and tax-free benefits. It’s located near Dubai International Airport, making it an ideal hub for reaching markets in the Middle East, Africa, Europe, and Asia.
This article will guide you through everything you need to know about company setup in DAFZA. From types of companies you can establish to available licenses and facilities offered—we’ve got it all covered.
Key Takeaways
- Strategic Location: DAFZA is next to Dubai International Airport. This makes it easy for businesses to connect with global markets.
- Various Business Licenses: You can choose from trading, service, industrial, and e-commerce licenses. Each serves different business needs.
- No Currency Restrictions: Businesses face no limitations on currency movement. This helps in smooth international trade and finances.
- Flexible Company Types: Options like Free Zone Establishment (FZE), Free Zone Company (FZCO), and Branch of an Existing Company meet varied needs.
- Comprehensive Support: DAFZA offers services like customs clearance, office spaces, and visa assistance to help new businesses start smoothly.
Benefits of Setting Up a Business in DAFZA
Dubai Airport Freezone is an ideal spot for new businesses. It offers world-class facilities that help companies grow and succeed quickly.
Strategic location and connectivity
DAFZA sits next to Dubai International Airport. This location provides quick access to global markets. It is a gateway that connects businesses to the Middle East, Africa, Europe, and Asia swiftly.
Businesses gain access to seamless operations from DAFZA’s strategic position and innovative solutions. Transporting goods becomes hassle-free with nearby air routes. Companies can reach customers faster and cut costs on logistics.
Wide range of licensable business activities
DAFZA is one of the most suitable business hubs, with its strategic location making it ideal for varied business activities. Permitted businesses include import/export, logistics, manufacturing, professional services, architecture, IT, e-commerce, and waste trading. This wide array caters to many industries.
Various licenses are available in DAFZA to support these activities. You can get a Trading License for buying and selling goods or a Service License for offering expertise like consulting or legal services. Industrial Licenses cover factories and production units while E-commerce Licenses suit online sellers. Freelancer Permits allow individuals to work independently in their fields.
Each type of license suits different needs. For instance, a Trading License helps with import/export logistics while an E-commerce License supports online businesses. These options make DAFZA flexible for companies aiming for growth in the United Arab Emirates (UAE).
No currency restrictions
DAFZA is one of the VAT Exempted Free Zones in Dubai. Having a wide range of licensable business activities also means enjoying DAFZA’s financial perks. Businesses in this free zone face no currency restrictions. This is perfect for global firms that need to move money freely.
Free repatriation of capital and profits further boosts economic efficiency. Companies can transfer earnings back home without hassle. This freedom helps businesses grow faster and more efficiently in the international market.
Types of Companies and Legal Entities in DAFZA
DAFZA offers different company types. Each type meets various business needs and structures.
Free Zone Establishment (FZE)
A Free Zone Establishment (FZE) in DAFZA can have 1 to 50 shareholders. Shareholders can be individuals or companies. It enjoys benefits like no corporate tax and ease of setting up.
To establish an FZE, submit an application form, a letter of intent, and the shareholder’s passport. You also need a bank reference for approval. An FZE gives businesses flexibility with limited liability features while allowing them to operate within the free zone rules.
Setting up in DAFZA means access to prime office spaces and warehouses, as well as customs clearance on-site. This makes operations seamless and efficient for many types of businesses.
Free Zone Company (FZCO)
A Free Zone Company (FZCO) is a popular option in DAFZA. It offers the same perks and requirements as a Free Zone Establishment (FZE). You can start this type of company with 2 to 50 shareholders. Each shareholder’s liability in an FZCO is limited to their share capital.
This entity does not have any currency restrictions, making international trade easier. Setting up an FZCO also means enjoying tax reliefs and no export duties. Legal entities like this allow you to operate under various business licenses such as trading, service, or industrial licenses. The process of business setup in DAFZA involves document submission and getting the necessary approvals and licenses.
Branch of an Existing Company
A branch of an existing foreign company in DAFZA is an excellent option. It allows foreign businesses to expand without needing share capital. This setup is great for foreign investors and businesses that want a presence in Dubai but do not wish to start a new entity.
Setting up a branch office has many perks. There are no currency restrictions, which makes it easy for international transactions. Companies can operate under the same name and brand as their parent company. Dubai Airport Free Zone provides strategic location and wide range of facilities for businesses, like office spaces and warehousing options.
Business Licensing Options in DAFZA
Choose the right license for your business needs and start your journey of company formation in Dubai Airport Free Zone(DAFZ) today!
Trading License
A Trading License is essential for businesses in DAFZA. This license allows companies to import, export, re-export , distribution and storage of goods within the Free Zone and outside the UAE. The setup cost starts from AED 25,000.
Companies with a General Trading License can deal in various tailor-made products like electronics, clothing, or food items. There are no currency restrictions. The setup process in DAFZA includes document submission and obtaining necessary approvals.
Service License
A Service License in DAFZA allows businesses to offer professional services. This license is perfect for consultants or consultancy firms, aviation services, accounting offices, and IT service providers. The license cost for a Service License is AED 15,000. Companies can start their operations quickly with this affordable fee.
No currency restrictions make it easier to handle international transactions and bank transfers. Businesses also benefit from the absence of value-added tax (VAT) on income earned within the Dubai Free Zone. Dual licenses let companies operate both inside and outside DAFZA.
Industrial License
The Industrial License in DAFZA is perfect for businesses into manufacturing and production. It costs AED 15,000* to get this license. This allows DAFZA companies to produce goods within the free zone in Dubai.
An industrial company can take advantage of many benefits here. These include no currency restrictions and easy access to on-site customs clearance. Companies in DAFZA Free Zone also have access to office spaces, warehouses, and comprehensive business support services.
Key Facilities and Services Offered by DAFZA
DAFZA offers modern office spaces and high-quality warehouses. They provide quick customs clearance on-site to make your business operations smoother.
Office spaces and warehouses
Office spaces and warehouses are available for rent in DAFZA. Rental costs range from AED 1,850 to 1,950 per square meter. These spaces suit many business needs.
Renting a warehouse here includes security and easy loading areas. The site is perfect for storing goods or running a small factory. It meets the requirements of different kinds of companies needing storage or office space.
On-site customs clearance
DAFZA offers on-site customs clearance services. This helps businesses speed up import and export activities. Companies can handle paperwork and inspections right at the zone.
Having these services nearby saves time and cuts down on delays. It makes shipping goods much easier. Businesses find this very helpful for keeping operations smooth and efficient.
Comprehensive business support services
DAFZA offers on-site customs clearance along with comprehensive business support services. They provide licensing, visa, and immigration services to help businesses get started smoothly. Xpert Advisory business setup offers consultancy and PRO services, simplifying the process.
They also assist with banking needs like credit cards, debit cards, and setting up corporate bank accounts. Businesses can rely on their expertise for document submission and obtaining necessary approvals, including getting NOCs (No Objection Certificates) if needed. Comprehensive support is key in DAFZA’s offerings to ensure your business has everything it needs from the start.
Steps to Register a Company in DAFZA
First, gather and submit all needed papers, like your passport copy and lease agreement. After that, get the required approvals and licenses for business setup in Dubai.
Document submission
Submitting documents is crucial for setting up a company in DAFZA. You need an application form, a letter of intent, and your shareholder’s passport. Also, provide a bank reference and a detailed business description.
Make sure all these papers are complete and accurate. Submit them to the relevant authorities for pre-approval. Proper document submission speeds up the company registration process for your LLC or other legal entity type.
Obtaining approvals and licenses
The first step is to submit the required documents. Gather all needed papers like your passport copy and business plan. This must be done before any approvals. You will also need a No Objection Certificate (NOC) if you’re sponsored by another company.
The process to get approvals and licenses usually takes 4-6 weeks. During this time, officials review your documents. Once approved, you need to sign some forms to move forward. After signing, you’ll pay the license fees. Finally, you receive your commercial license which allows you to operate in DAFZA.
Conclusion
DAFZA offers a great place to start your business. It has a strategic location and excellent facilities. You can choose from different types of companies and licenses. Business setup process is simple and straightforward.
Imagine the growth with 100% ownership and tax-free benefits! Are you ready to make your business dreams come true? Reach out today and take the first step with DAFZA!
FAQs
1. What is the process to set up a company in DAFZA?
Company formation in DAFZA, you need to select your business type, such as a limited liability company (LLC) or public limited company. You will also need to obtain necessary licenses and visas for employees.
2. Are there tax benefits for companies in Dafza?
Yes, companies in free zones like Dafza enjoy exemptions from value added tax and other local taxes, which can help improve their gross domestic product contributions.
3. What documents are required for setting up an LLC in Dafza?
You need several documents including notarized copies of passports, NOC (No Objection Certificate), e-mail receipts of application forms, and bank statements showing debit and credit transactions.
4. Can I get dual licenses for my business operations?
Yes, businesses can apply for dual licenses allowing them to operate within both the free zone area and mainland UAE under specific regulations by Gulf Co-operation Council authorities.
5. How do I handle employee visas when setting up a company in Dafza?
You must apply for employee visas through the relevant authorities after obtaining your company’s license. For seamless company incorporation, ensure all paperwork is complete including warranties related to employment contracts and transportation arrangements if needed.
