Free zones in the United Arab Emirates are a particular geographical area that allows 100% foreign ownership without the intervention of a local partner. Besides, there are several other corporate benefits that free zone provide to every investor who invests money in a free zone project. And that is why they are more in demand and popular in the UAE for business setup. One such popular free zone is the Fujairah Free Zone, located in the emirate of Fujairah. Additionally, it has been operating for more than 20 years providing operational benefits and development prospects to foreign companies. Moreover, securing a Fujairah free zone license is also not that difficult. Shuraa Business Setup professionals can walk you through the process with years of experience, compliance knowledge as well as the commitment to your business requirements.
On the other hand, the Fujairah free zone license cost and the business setup costs are much lower than in Dubai. Hence, it is beneficial for those corporations that want to reduce operational costs in the UAE. So, if you are planning to set up your base in the emirate of Fujairah, then FFZA is the best choice to make. Here’s a guide to opening a business in Fujairah Free Zone, its procedure, license, cost, and more.
Fujairah Free Zone Overview
Fujairah is a small yet one of the oldest emirate in the north of United Arab Emirates. It offers numerous investment opportunities and corporate facilities to entrepreneurs looking to start a business in the free zone of Fujairah. The Fujairah Free Zone has been the most prominent as well as a successful strengthening pillar for the UAE business and trade sector. Additionally, it is a tax-free region managed by the Fujairah Free Zone Authority(FFZA).
Benefits of choosing Fujairah free zone license
There are some major advantages of opening a business in the Fujairah free zone and procuring a Fujairah free zone license, such as –
- Easy access to international markets
- Plenty of scope for further growth
- Plentiful investment opportunities
- Cost-effective alternatives for business setup
- Beneficial business policies
- Capital security
- Zero taxes – Personal and corporate
- Full ownership of the company
- Repatriation of profits
- No restrictions on foreign currency
- Exemptions from import and export taxes
- State-of-the-art facilities
- Access to local as well as overseas markets through various transportation means
- Nearness to Fujairah Seaport and Fujairah International Airport
- No hidden costs of business setup
- Efficient as well as affordable business solutions
- Multiple visa application option
- Favorable to different types of business
- Easy to establish a corporate bank account
- Facilitates corporations of all sizes
- Easy to sponsor dependents
- Ideal location
- Quick incorporation
- Relaxed procedures for licensing as well as company registration
- Modern communication system
- Business-friendly atmosphere
- Reduced overhead costs
- Freedom to choose from a wide range of investment fields
- No restrictions on employing foreign individuals
- Single window clearance
Types of Fujairah free zone license
There are basically five different categories of licenses that cover a multitude of investment fields. Besides, the Fujairah free zone license cost totally depends on the type of license you choose for your business.
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Trading license
A trading license holder can freely import and export commodities specified in the license, within the jurisdiction and also outside the UAE.
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General trading license
This license gives a legal right to the holder to import, export, and also re-export any of the specified products of the FFZA. The holder can also distribute certain products in the local market.
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Professional license
This license allows individuals to set up a professional service-providing firm and operate within the free zone. These services are mostly related to the individual’s expertise and intellectual ability in a particular field such as management consultancy, IT services, graphic designing, web development, etc.
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Industrial license
An entrepreneur willing to set up an industrial unit in the Fujairah Free Zone might require an industrial license. However, the license holder needs to insure the workforce as well as company equipment first, and also meet certain environmental norms.
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Warehousing license
An entrepreneur can hire a warehouse for storage and distribution purposes with a warehousing license in the Fujairah Free Zone.
Corporate structures in Fujairah Free Zone
- Free Zone Establishment(FZE)
- Free Zone Company(FZCO)
- Branch/Representative Office
Activities under Fujairah free zone license
Company formation in Fujairah Free Zone includes a lot of specific activities. such as –
- Alcohol and tobacco trading
- Real estate consultancy
- Financial consultancy
- Maritime activities
- E-commerce
- Logistics activities
- Broadcasting and management
- Media Marketing
- Publishing
- Entertainment
- Filming and production
- IT services
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However, certain activities are not permitted under the Fujairah free zone license such as ship agency, marine consultancy, shipbuilding and repair, ship chandler, etc.
Corporate facilities available in Fujairah Free Zone
Fujairah Free Zone offers a multitude of reasonably priced corporate setup options for investors to start their ventures.
- Virtual offices
- Flexible desks
- Warehouses
- Open land
- Custom-built units
Fujairah free zone license application procedure
Company formation in Fujairah Free zone is not that complicated, however, a few basic steps are involved in the process.
- Decide the business activity you wish to undertake
- Draw a plan for the business set up with all the necessary details
- Reserve a company name with the Fujairah Free Zone authority
- Submit an application for a license with the supporting documents
- Complete the business registration formalities
- Collect the license and the relevant corporate documents from the concerned department
- Get the signature of the shareholders in the company documents
Documents required to apply for Fujairah free zone license
The applicant while applying for a business license must submit a set of documents. These documents may include the following:
- Duly completed application form
- Certificate of incorporation (of the parent company)
- Memorandum of association
- Articles of Association
- Board Resolution
- List of board of directors and managing director
- Detailed project plan as well as feasibility report
- Application for energy resources and amenities (For example, water, electricity, etc.)
- Certificate of good standing
- Valid trade license of the existing company, if any
- Power of attorney for the third party
- Passport copy of the partners, director, manager, and company secretary
- UAE visa of the manager
Although the above documents are sufficient for the application, you might also need separate approvals as well as additional documents for certain specific activities. In that case, the executive committee of the Fujairah chamber of commerce will share the final approval for your license application.
Wrap up
Fujairah Free Zone possesses excellent growth opportunities for businesses, thus making it one of the most prominent business destinations. Besides, it has played a fundamental role in strengthening the economy of the emirate as well as the country itself. Apart from the geographical advantages, the flexible and investor-friendly policies of the Fujairah Free Zone have been contributory to the rise of business entities in the region. Furthermore, even the political leadership has been supporting new enterprises in order to extend wholehearted contribution to the overall development of the emirate.
So, if you want to access the ACE(Accessibility, Connectivity, Economy) facilities of FFZA, reach out to the company formation specialists of Shuraa Business Setup. Shuraa has shown keen dedication to providing effective services in setting up many successful businesses in Fujairah. Moreover, we also assist with Fujairah free zone license application, bank account opening, visa services, document attestation and approval, etc. Besides, our broad experience and reputation in the UAE government offices can help you obtain quick and hassle-free approval from all the required departments.
To discuss further Fujairah free zone company formation and Fujairah free zone license, contact our business formation experts at +971 44081900. You can also write to us at [email protected] and kick-start your business at the earliest.
