Starting your business in Dubai under free zone is one of the easiest ways to set up because there is minimum paperwork; minimum setup cost and also offers you an environment to grow quickly. Some basic terms to setup a business in Dubai are
- Find out your legal entity
- Get your unique name
- Apply for a business license
- Get an office space
- Get pre-approvals and register your business and then grab your business license.
There is a no. of entities and each entity, so you should confirm first under which entity your business will be. In the free zone, you can set up 2 types of companies
- Free Zone Limited Liability Company (FZ LLC)
- Free Zone Establishment (FZE)
The difference between those companies and types of entities depends on no. of shareholders or legal ownership of the person. So, you need to check under free zone individual free zone authorities about your company type.
Choose a Trade Name:
While choosing your business type and under which entity it will go, you should also need to choose your unique trade name, which becomes your business identity.
Free zone authority or Department of Economic Development will allow you the trade name and also let you know whether the specific name is already registered or not.
Here are some key requirements for the trade name according to the Department of Economic Development and Free Zone authorities
- The name will be relevant to public morals and country
- Must follow all legal form requirements for a company like LLC, FZE, DMCC, etc
- Must not be registered previously
- Should be compatible with all required activities and legal status
- Should not be in the name of any specific body, government authorities and should not be related to any religious thing
Apply for Business License:
The type of business license depends on your business nature because different business comes under different authorities like DIFC, DMCC, etc
Some business licenses are:
In DMCC, you can select from around 20 sectors such as energy, healthcare, technology, gold, diamond, professional services, financial services, etc.
In DIFC, you can select only from the financial and non-financial businesses. Financial businesses like a bank, capital markets, insurances, etc., and non-financial like shops, hotels, academies, galleries, etc.
Choose an Office Space:
Office requirements depend upon no. of employees and business type. You can own an office in a free zone or also on lease.
Also, office accruing depends on the location in Dubai like in DMCC, you can get a Flexi desk or office from 200-500 sq. m. But at the Dubai Airport Free Zone, you can buy offices according to office packages.
Get Initial Approval, Register your Business and Get License:
To make it happen, it will include the submission of all necessary documents, a list of documents according to business activity, the type of company, etc.
- Completed application form
- Business plan
- Copy of existing trade license or registration certificate (if you are an existing company, applicable for a local company only)
- Color passport copies of the company’s shareholder/s and the appointed Manager/Director for the new company
- Specimen signature of the company’s shareholder/s and the appointed Manager/Director for the new company
- 2 years’ audited financial reports for the corporate entity or certificate of reference from a personal bank of the individual shareholder
- NOC from current sponsor (for individuals)
- Unit title deed
- Letter of Intent
- Registry Identification Code Form (RIC) for Manager/Director (Original and notarized)
For a freelance permit, you need to submit
- Registration Application
- Applicant CV
- Bank Letter (Reference)
- Form for registration ID code (Original and Notarized)
After getting approval for the initial license, you need to process with the registration process and pay the registration and business license fee and all required documents must be Notarized and attested by a legal person.
- Registration application form.
- Board Resolution appointing Manager/Director
- Power of Attorney owner to Manager/Director
- Memorandum and Articles of Association
- Signature of Manager/Director
- Passport-size photo of Manager/Director with white background
- Required Capital Information
Licensing and VISA Process
- Authority will prepare and approve the lease agreement.
- Authority will issue a trade license.
- After all processes, the VISA process will start and also be handled by authorities.
Cost For Free Zone Business Setup:
|Free Zone Company Formation (FZCC)
|Starting from 17500AED
|Free Zone License Fee
|Free Zone Registration Fee
|Share Capital Requirements
|Free Zone Visa Fee
|From 5000 to 7500 AED
|Bank Guarantee for Free Zone