The Dubai Silicon Oasis added a new business area named IFZA Dubai Free Zone to its regulations. IFZA emerged as the preferred destination for global foreign investors and business owners who wanted to conduct a range of business activities in the IFZA. Moreover, businesses in the UAE can obtain top-flight infrastructure and dedicated support for an exceptional price through the IFZA free zone licensing system. Let’s explore the benefits, process, and requirements of IFZA company formation in Dubai.
What Is IFZA?
International Free Zone Authority (IFZA) stands out as the most affordable choice for company registration in Dubai. The modern corporate facilities and storage spaces operated by IFZA UAE Free Zone can be rented at the Dubai Silicon Oasis. Moreover, this location provides IFZA Freezone Company Formation in Dubai facilities that include spacious rooms for conferences, modern devices, reduced costs for licenses, and ideal connectivity options. The establishment of an IFZA free zone firm suits those who want to form a Dubai company.
Advantages of Company Formation in IFZA
The wide range of business setup packages in IFZA offers affordable rates to its clientele. Entrepreneurs have two options to choose from: flexi-desk and office spaces. The establishment enjoys the following benefits:
- Ownership: Benefit from full foreign ownership rights of the company in IFZA.
- Workplace: You can choose between maintaining physical business premises or building a remote operation structure according to your business needs. You have the freedom to decide between working from home or having a physical workspace, which lets you create an environment that suits your productive needs.
- Approvals: Eliminate government clearance procedures by handling all the necessary processes to provide a smooth transition from your business ideas to business setup in IFZA.
- Tax Advantages: Your existing company would benefit from decreased tax responsibilities, including exemptions that kick in if you avoid doing business with mainland organisations. Running your business under these conditions can free up greater funds for strategic business expansion.
- Global Market Reach: The multicultural environment will provide you with access to smooth networking opportunities with international business communities. Your business will find new opportunities for expansion by establishing valuable partnerships through this process.
- Work Remotely: To set up a company in the UAE, you can easily register through the IFZA authorities by skipping the requirement for onsite presence in the UAE territory.
- Allow Multiple Business Activities: IFZA allow businesses to carry out diverse activities under a single license.
Types of Licenses Offered by the IFZA Free Zone in the United Arab Emirates
The International Free Zone Authority (IFZA) grants multiple types of licenses to set up your business:
1. Commercial License
When you obtain a commercial license, you will have all the required legal permissions to start importing or exporting and to store and distribute products.
2. Industrial License
All companies needing to import raw materials should get an industrial license for their operations. Businesses holding this license can establish their operations through manufacturing and processing specific selected goods.
3. Professional License
Consultancy businesses, along with service providers, require professional license issues.
4. Consultancy License
The delivery of expert consultancy services for professionals requires one to obtain a consultancy license through the IFZA.
5. Service License
Service providers who obtained licenses through their company can perform the basic activities of production and service transport.
6. General Trading License
Your IFZA general trading license opens doors to numerous services and trading possibilities. You can start doing business in B2B, C2B and B2C models through the general trade license.
Documents Required for IFZA Company Establishment in Dubai
You should submit the following list of documents for the company set up in IFZA:
- Passport copy.
- Digital passport photo.
- The application form containing UBO information comes from IFZA.
- Residents of the UAE need both an Emirates ID and a copy of their visa.
- Related third-party approvals, if required.
Process of IFZA Company Formation in Dubai
Online business operations enable IFZA free zone company registration that requires minimal, complete digital steps. The steps below show the process for company formation in IFZA Dubai:
1. Decide On the Ideal Company Structure
Your selection of business structure needs to match your Dubai free zone company setup needs. Three business frameworks exist for selection: Limited Liability Company (LLC), sole proprietorship and branch office.
2. Registering a Free Zone Establishment
Your IFZA Dubai business registration starts with assembling all key documentation and filling out the necessary documentation requirements.
3. Submission of All Required Documents
Business license applicants in IFZA need to submit their passport details along with their address proof and their entity’s official name through their license application form.
4. Pay The Required License Fee
Expanding your business with an IFZA license demands a financial payment in line with the authority’s license requirements. The licensing fee depends on the license category combined with the specific geographic location.
5. Issuance of E-Agreement from IFZA
The licensing authorities at IFZA will grant an E-agreement, simultaneously known as an electronic agreement, to entities that register as Free Zone Establishment (FZE) or Free Zone Company (FZCO).
6. FZE and FZCO Companies Must Sign E-Agreement and Share Capital Amount
When the authorities provide approval through an e-agreement, both parties must digitally sign it and the share capital letter simultaneously to secure quick approval from the licensing process.
7. Issuance of E-License
The authorities will grant the e-license to authorise business operations following the successful completion of these requirements.
How to Get a UAE Residence Visa Through Business Setup with IFZA?
A business license from IFZA allows you to obtain your company’s establishment card within 5-7 days. For this purpose, you need to:
- Send your application to IFZA after completing the required forms.
- The required fees for the procedure should be paid immediately.
- Receive visa confirmation
- The medical examination process (including test procedures) takes between 2-3 working business days to complete.
- Take the medical test.
- Apply for your Emirates ID.
- You should undergo the biometric scanning process operated by Emirates.
- You can get your hands on both your Emirates ID and Visa after roughly 9-10 days.
What is the Company Setup Cost in IFZA?
Startup fees for Dubai IFZA licenses extend from AED 12,900* for specific business activities and a number of visas up to AED 30,000*. The activity scope of the IFZA license comprises a general trading license service license and a consultancy license. These factors work together to determine the final price:
- The one-year business package that allows zero visas under an IFZA license costs AED 12,900*.
- 2-Year IFZA Business Setup package: AED 25,800*
- IFZA license renewal cost: AED 12,900* to AED 15,000*
- Financial requirements for IFZA crypto licensing begin at AED 12,500* and extend to AED 20,000*.
Which PRO Services are Included in the IFZA Free Zone Company Facility?
After establishing the IFZA company in Dubai, you’ll get the following facilities:
- Card of Labour Establishment
- Amending the trade license
- Business officials and all of an organisation’s employees have access to residence visa benefits
- Work permit for employees
- Approval for the trade name
- Notary and legal authentication
- Obtaining a tenancy contract
- Ejari registration requires obtaining an exclusive Ejari code
- Renewal of trade license
Final Words
IFZA company formation in Dubai provides entrepreneurs with both a range of business frameworks and minimised start-up expenses. The combination of flexible office solutions, streamlined registration processes, multiple license options and attractive tax benefits enables IFZA to provide everything required for an efficient business setup in Dubai. Moreover, if you operate as a consultant, trader, manufacturer or service provider, then IFZA offers perfect conditions to grow your business alongside market access and full ownership rights.
As you understand, you have completed the IFZA company setup in Dubai, and you can use the official website to initiate your registration process. However, for expert consultancy, Xpert Advisory is here to streamline your registration process. Our team will handle your IFZA business registration process while preparing your license paperwork at affordable prices. Schedule your meeting today so we can handle all aspects of free zone company formation in IFZA.
FAQs
What are the Fees Required to Start a Business In Dubai IFZA?
All IFZA businesses in Dubai require a minimum AED 50,000* capital per company alongside AED 10,000* capital per stakeholder. The requirement to obtain a general trading license from this corporation demands AED 1 million* share capital. Besides this, every free zone possesses separate expense structures.
Can I Conduct License Renewals While Being Outside of Dubai?
Yes, you can renew your license through a registered agent who requires an authorisation letter along with renewal costs.
What are the Steps to Gain Residency Through Company Formation in IFZA Dubai?
Foreigners need to create either a Free Zone or a mainland-based business entity to receive a Dubai residency visa. After registering your company, you must apply to obtain a residency visa under the current role of company owner or shareholder. To proceed, you must finish medical exams and biometric verification, provide proof of health coverage, and get an Emirates ID.
