With growing interest in establishing companies and investing in Dubai, searching for suitable locations for business is an essential part of the process. Dubai’s free zones provide a distinguished environment for companies and investors, while providing tax and customs facilities and advanced infrastructure. In this article, we will discuss the cost of establishing a company in the Dubai Free Zone. We will provide an overview of the factors that affect the cost, including legal and administrative fees and costs, and how to plan for them effectively to ensure the success of the process of establishing a company in the free zone at the lowest possible cost. We will also highlight the factors you should consider to make the most of your investment in this vital economic district of Dubai.

The cost of establishing a company in the Dubai Free Zone

Establishing a company in the free zone

Establishing a company in the Hamriyah Free Zone in Dubai is considered an important strategic step for investors and businessmen who seek to benefit from the advantages and facilities offered by this region. Free zones provide unique opportunities to establish companies and expand business at the local and global levels. This paragraph provides an overview of the company establishment process in the Hamriyah Free Zone:

The process of establishing a company in the Hamriyah Free Zone begins with careful preparation and searching for information related to local legislation and laws that govern the process of establishing companies. The investor or businessman must determine the type of company he wishes to establish, whether it is an individual company, a limited liability company, or a public or private joint-stock company.

After that, the investor or businessman must choose the appropriate name for the company that is compatible with local legislation and laws, and that reflects the identity and future vision of the company. After that, the incorporation application is submitted to the relevant authorities in the free zone, and all required documents and documents are submitted, such as a copy of the passport, personal photos of shareholders, a copy of the company’s social contract, and others.

After reviewing the application and ensuring that all conditions are met, the necessary licenses to establish the company in the free zone are issued. The investor or businessman must adhere to all legal, tax and administrative obligations involved in establishing and operating the company in the Hamriyah Free Zone.

In short, establishing a company in the Hamriyah Free Zone requires good planning and adherence to local laws and regulations, and can have a significant positive impact on the company’s success and growth in the future.

The cost of establishing a company in the Dubai Free Zone

The cost of establishing a company in the Dubai Free Zone varies based on several factors, including the type of company, its size and activity, and local legal and administrative costs. Here is an estimate of the costs that could be involved in setting up a company in the Dubai Free Zone:

1. Establishment and registration fees: These fees include fees for establishing the company and registering it with the local authorities and relevant official authorities.
2. Commercial license fees: Fees must be paid to obtain the commercial license necessary to practice commercial activity in the free zone.
3. Rental costs: Establishing a company requires providing a place to work, and this requires paying rental costs for the appropriate office or commercial space.
4. Legal and accounting consulting costs: There may be consulting costs for lawyers or accountants to help you complete legal and accounting procedures.
5. Insurance costs and warranties: Insurance costs and warranties must be paid for workers, equipment and property.
6. Local body registration fees: These can include registration costs with local bodies and trade associations.

Factors affecting company establishment fees in the free zone

There are several factors that affect the administrative fees required to establish a company in the Dubai Free Zone , and they are as follows:

• Type of company: Administrative fees vary based on the type of company to be established. For example, the cost of establishing a limited liability company differs from establishing an individual company or a partnership.
• Company size: The size of the company usually depends on the capital invested in it, the number of employees, and the expected volume of business. The size of the company can affect some administrative fees, such as residence fees and employee insurance fees.
• Company activity: The effect of company activity on administrative fees varies based on the nature of the activity and the requirements for business licenses. For example, fees for establishing a commercial company differ from fees for establishing an industrial company.
• Company location: Administrative fees vary based on the company’s location within the free zone. For example, fees may be higher for companies located in the most vibrant and distinguished areas in terms of availability of services and infrastructure.
• Duration of residence: Administrative fees vary based on the desired length of residence of the investor or employees. For example, the residence fees for an individual who wishes to reside for one year can differ from the residence fees for longer periods.

In general, it can be said that the administrative fees required to establish a company in the free zone in Dubai vary based on several factors, and therefore it is recommended to contact the competent authorities to obtain more details about the administrative fees required to establish the company in the free zone.

Conditions for establishing a company in the free zone

Conditions for establishing a company in the free zone in Dubai and other emirates may vary depending on the type of company and the planned business activity, but usually the general conditions include the following:

• Permitted commercial activity: The company’s activity must be compatible with local laws and regulations in force in the free zone.
• Shareholders and Directors: The identity of the shareholders and directors who will manage the affairs of the company must be determined, and the necessary documents must be submitted to identify them.
• Seed capital: There can be requirements for the seed capital required to establish a company, and this depends on the type of company and the proposed business activity.
• Place of business: A document must be submitted proving the rights of use or ownership of the place where the company’s operations will be conducted in the free zone.
• Legal Documents: All legal documents required to establish the company must be submitted, such as the company incorporation form and the directors and shareholders appointment forms.
• Compliance with local legislation: The company must comply with all local legislation and regulations related to its business operations in the free zone.

Documents for establishing a company in the free zone

Establishing a company in the Dubai Free Zone requires submitting a set of basic documents. Here is a list of common documents that may be required:

1. Company incorporation form (Memorandum of Association): Specifies the basis for establishing the company, its proposed business activity, and details of shareholders and their shares.
2. Appointment of Directors form: Specifies the details and identity of the directors who will manage the affairs of the company.
3. Appointment of Company Secretary form: If a financial secretary is required, his or her details must be identified and provided.
4. Business Activity Form: This specifies the commercial activities that the company intends to practice in the free zone.
5. Ownership Form: Specifies the details of the company’s shareholders and their ownership percentages.
6. Copies of Passports: Copies of passports must be provided for all shareholders and directors.
7. The lease contract or title deed for the place where the company will be established: proves ownership or rent of the place to establish the company.
8. Good Conduct Certificate: In some cases, the free zone may request a certificate of good conduct for managers and shareholders.

Advantages of working in Dubai free zones

There are many different benefits that an investor gains by starting a business or establishing a company in the free zone in Dubai. They can be defined as economic zones launched by the government to encourage the establishment of companies and the start of economic and commercial businesses, and they offer the following features:

• Complete individual ownership.
• There are no restrictions on cash transactions.
• Complete exemption from import and export tax.
• Customs benefits and other incentives for foreign investors.
• Dispose of the full profits without any decrease.
• Tax exemptions on companies and personal taxes.

Establishing a company in the Dubai Free Zone

Cost of a business license in Dubai Free Zone

The cost of a business license in the Dubai Free Zone varies based on several factors, including the type of company, its activity and size, and the facilities provided by the free zone itself. The cost of the license usually includes obtaining the basic business license, which may include the following costs:

1. Establishment and registration fees: These fees include the costs of registering and establishing the company in the free zone.
2. Government services fees: These fees include fees charged by local authorities for processing the application and delivering the license.
3. Processing and administration costs: These can include application analysis, processing, issuance and administration costs for the licence.
4. Legal advice and assistance costs: You may need legal advice or assistance to submit the application and review the required documents.
5. Insurance costs and guarantees: You may need to pay insurance for the company or workers in the free zone.

Itqan Company services for establishing a company in the free zone

Itqan Company provides a wide range of services to facilitate the process of establishing companies in free zones in Dubai and other emirates. Here are some of the services that Itqan Company may provide to establish a company in the free zone:

• Company establishment consultations: Itqan Company provides specialized consultations to help you choose the appropriate type of company and determine the best free zones for establishing the company.
• Preparing legal documents: Itqan Company prepares all the legal documents necessary to establish the company, such as the company incorporation form, forms for appointing managers and financial secretary, and others.
• Rental and office arrangements: The company provides rental services for offices and commercial spaces in free zones, in addition to providing arrangements to secure the location necessary to establish the company.
• Registering the company and obtaining licenses: Itqan Company undertakes the process of registering the company and obtaining all necessary licenses from the local authorities and relevant authorities.
• Logistics services and administrative facilities: The company provides logistical and administrative services such as postal and reception services and comprehensive administrative support.
• Accounting and Financial Services: Itqan Company provides accounting and financial reporting services to help you manage the financial affairs of your company in the free zone.
• Tax and legal consulting services: The company provides customized legal and tax consulting to ensure compliance with local laws and regulations.

At the conclusion of this article, it becomes clear that establishing a company in the Dubai Free Zone represents an important opportunity for investors and aspiring entrepreneurs. One of the main questions that concerns those about to establish a company in this global destination is the expected cost of this process.

The cost associated with setting up a company in the Dubai Free Zone varies based on several factors. Among these factors include the type and size of the company required, the business activity chosen, the licenses and permits required, the costs of accommodation and facilities, and administrative and legal services.

The most important frequently asked questions about establishing a company in the free zone