UAE is an attractive market for new businesses to settle down because of its visionary leadership, business-friendly policies, and dynamic society. Many foreign investors in the world consider UAE as a safe and profitable place to start a new business or expand their operations to the region. The UAE offers three business jurisdictions to investors i.e., Mainland, Freezone, and offshore. All jurisdictions offer certain features to the investors. In this post, we will specifically talk about the formation of a company in the Best freezone in UAE and the benefits it has in its offing.
Formation of Company in Freezone
There are nearly 40 free zones all across UAE that allow business operations and tax exclusions to the new setups. All the free zones are governed by The Free Zone Authority (FZE) which is primarily in charge of issuing licenses in each zone and oversees the business activities and operations. An investor can either form a Free Zone Company (FCE), Free Zone Establishment (FZE), or branch of a business. To operate in the free zone, the investor has to bear the Freezone license cost dubai to operate according to rules and regulations.
Benefits of a Free Zone Company
Complete Foreign Ownership: it means that you do not need an Emirati sponsor to set foot into the market in UAE. It enables you to be the sole owner of your business and entitled to all the profits. Moreover, you have the liberty to choose your business partner as you wish.
Absence of Currency Restrictions: In a free zone, the government imposes no regulations on the currency which makes financial transactions easier.
Exemption from Excise Duty: What makes free zone attractive is the exemption from import and export duties. These policies are part of the government’s efforts to increase international trade.
Tax exemption: The free zone companies are 100% free of taxation. This benefit makes the free zone a highly popular place for company formation.
Easy Labour Recruitment: In a free zone, companies are allowed to recruit foreign nationals as employees. The recruitment process has been made smooth to facilitate the businesses.
Office Spaces: It is relatively easy for the business to get an affordable workspace to establish a company as compared to the mainland. It is an ideal location for starters to set up their offices.
Modern Infrastructure: A free zone is a thriving place with excellent communication services that connects them well to the rest of the world. The infrastructure is equally updated which makes it ideal for commercial setups.
Full Repatriation: The companies in the Best freezone in UAE are entitled to full repatriation of financial assets and profits.
