There are numerous advantages to forming a business in a UAE Freezone. These include 100% foreign ownership, tax exemptions, and easy administrative procedures. Entrepreneurs find it very friendly to their businesses and with a strong infrastructure in Freezones. Still, the question that crops up in the minds of many is how long it will take for the company to be registered in the UAE Freezone. This depends on the Freezone selected, business activity, and completeness of the application submitted.
Factors That Influence Registration Timeline
1. Selected Free Zone
- Each free zone has rules and regulations. Some have a quicker way to get approval for particular business sectors.
- Examples are the AIF Zone and Jebel Ali Free Zone.
2. Kind of Business Activity
Certain companies need extra approvals for health and financial services, and there are more chances of consuming extra time.
3. Submission Details
Submission of all necessary documentation with accuracy and on time leads to the processing being done fast and on time.
4. Additional Approvals
Businesses dealing with special permits, such as environmental impact or import/export activities, will face hold-ups.
Freezone Registration: Step-by-Step Time Frame
1. Select the Free Zone and Business Activity (1–3 days)
- Identify the Freezone that best suits the activity type of your business
- Define the particular activity that your company will be performing. This is what would dictate the license type.
2. Application for Trade Name Reservation (1–2 days)
- Determine a unique trade name that adheres to the UAE’s naming principles.
- Submit the name to the appropriate Freezone authority for approval.
3. Preparation and Submission of Documents (3–5 days)
- Main documents include a copy of a passport, a copy of a visa, a copy of a proof of address, and a copy of a business plan if it is required.
- Details about Shareholders and MoA could be required.
4. Get Initial Approvals (5-10 days)
- Authorities scrutinise the application and give initial approvals.
- Some specific business activities require additional approvals.
5. Lease office space for 1-2 days
- Many free zones demand that business companies lease an office space or even a desk in their offices. Finalisee and execute a lease agreement.
6. License Issuance (2–5 Days)
- Upon completion of all formalities, the Freezone authority issues the business license, which forms the official registration of the company.
Advantages of UAE Freezone Company Setup
- Rapid and Quick Setup: The streamlined procedures in Freezones make it faster to form a UAE company than other locations.
- Cost-Effective Licensing: Freezones provides a range of licensing packages for all types of businesses, small and large, big and small.
- 100% Ownership and Repatriation: 100% ownership and 100% repatriation of profits make Freezones highly appealing to foreign investors.
- Strategic Location: Freezones are situated on airports, seaports, and highways, so logistics can be completed very smoothly.
Conclusion
UAE Freezone company formation takes a number of days but can be well-completed if done under the correct guidance and preparation. To achieve registration smoothly and on time, it is prudent to get professional assistance from RBS Auditors and take full advantage of running the business in a UAE Freezone.
Contact us today to start your path to a successful business in the UAE.