UAE is a business-friendly destination, especially for expatriates from the European region as well as from Asia. It is a perfect location to facilitate global trade. The Multiyear Business License in UAE is an attractive offer for investors to save cost and look at long term plans of settling in the UAE.
Why Prefer UAE for Establishing a Business?
The ease of doing business, strategic location between the east and the west, political stability, secure banking system, world-class infrastructure, etc., are the reason behind the success of UAE as a must-go destination for global investors.
Entrepreneurs from across the world prefer Dubai to set up a business and settle down with family due to umpteen benefits and improved lifestyle at a lower cost than European countries.
The Free Zones in UAE are the major growth drivers of foreign investment. It offers all required support systems for entrepreneurs to easily set up their base in the region. Multi-Year Business License is an attractive offer for entrepreneurs by some of the Free Zones in UAE.
What is a Multi-Year Business License Package?
Multi-Year Business License Package is an all-inclusive company formation option offered by selected Free Zones in UAE. The Business License Fees for a minimum of three years is to be paid upfront to avail of the package.
A multi-year Business License coupled with a three year UAE Residence visa is an attractive offer that saves businesses the start-up cost significantly.
Which Free Zones Offer Multi-Year Business Licenses in UAE?
All Free Zones in UAE offer Multi-Year Business License Packages for entrepreneurs, however, the Sharjah Media City and International Free Zone Authority Dubai has the most competitive Multi-Year License Packages available in the UAE.
1. Sharjah Media City
Investors can start a company in Sharjah Media City (SHAMS) for AED 37,744 for a three-year business license with 1 Visa Quota. The fee for Visa, Emirates ID, and E-Channel registration are calculated separately.
2. International Free Zone Authority Dubai (IFZA)
The International Free Zone Authority Dubai (IFZA) has an exclusive three-year Business License Package (at 25% discount) starting from AED 40,275 for 1 visa quota.
The most evident advantage of opting for the Multi-Year business package is the cost savings at the time of setting up of business.
Then the hassle-free time to concentrate on core business activity and leaving the burden of administrative works of license renewal every year.
Company Setup in Free Zone – Things to Know
Here is a step-by-step process for applying for a company license from the Free Zone of UAE. The process is almost similar across the Free Zones with slight variations depending on the Free Zone authorities.
Steps in Setting up a Free Zone Company in UAE
- Choose the tradename and get the approval from the Free Zone authorities.
- Choose the right company structure depending on the shareholder pattern (FZC- Multiple Shareholder/FZE – Single Shareholder).
- Decide on the business activity -choose the right business activity according to the nature of your business. (Aurion Team will assist you in finalizing the exact trade activity available in the Free Zone)
- Submit the required documents (investor passport copy, photograph) and make the fee payment.
- For certain special business license categories and business activity, there needs to be approval from the department concerned.
- Identify the right office space for your business. There are various office types available in the Free Zone – Shared Office, Flexi-Desk, Executive Office, Warehouse with Office Space, and more.
- Once the required documents are submitted, the Free Zone authorities will assess the application and the business license will be issued.
After obtaining the business license, the company can sponsor the investor, director, and employees for a three-year residence visa. The Investor can also apply for a corporate bank account using the company documents.
Why Choose a Free Zone in UAE?
Investors choose a Free Zone in UAE for setting up their company due to the umpteen business benefits offered by the Free Zone to the foreign investor such as:
- Investors can completely own the company and there is no third-party involvement of any other entity or government
- Leverage the benefits of tax-free status on personal and income tax. The only tax applicable in UAE is the value-added tax of 5%.
- Wide range of business activities and business license types available for the investors that align with their business requirements
- Top-class infrastructure facilities are available for the companies to conduct meetings, client calls, conferences, daily operations, and more.
- Most Free Zones in UAE have a dedicated Customs Checkpoint and also are in proximity to Airports and Sea Ports that will facilitate easy and fast trade.
Ease of company setup in UAE Free Zones is another major factor for the popularity. Investors can set up a company in less than 2 days in most of the Free Zones of UAE.
Based on the business requirements, nature of the business activity, office requirements, budget, location; investors can choose the Free Zone for setting up the company in UAE.
Aurion will assist you with the submission of the duly filled application form, fee, and required documents to all major Free Zones in the UAE.
To know more about company formation in the UAE Free Zone, reach out to our expert Business Consultants right away!
Contact: Aurion Business Consultants