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Benefits of setting a business in free zones in the UAE

May 24th 2014 at 11:52 AM

United Arab Emirates is considered one of the most potential businesses areas in the world.  However, setting a business here is not so easy. There are 7 different emirates in UAE and each emirate has its distinct rules, regulations and procedures to start a business. For most entrepreneurs and business owners the benefits of Free Zone Setup are immense as compared to establishing a business within a city. Free zones in the UAE serve as the central business point for those companies willing to conduct business with the outer world.  The companies operating in the free zones are not licensed to operate within the rest of the UAE. But there are greater advantages than disadvantages of setting a business in free zones in the UAE.

Any company registered under the free zone enjoys a complete foreign ownership otherwise city like Dubai do not allow foreigners to won a company completely based within the city.  Free zone Company in Dubai, the largest city of UAE is provided with a tax exemption for a certain number of years. The streamlined procedure is another advantage of operating in a free zone.  All the formalities are typically dealt with the free zone authorities instead of various government departments. There are no restrictions on hiring expatriates in the company. Import of goods by the free zone company is duty free. The free zones offer excellent infrastructure and business environment to the interested entrepreneurs and business owners.

Foreign businesses can also establish themselves as a local limited liability company (LLC). The LLC Company formation in Dubai is mostly selected by expatriate business partners.  These companies can sell their goods directly to the local markets.  But the benefits enjoyed by the free zone companies are far more like no currency restrictions, liberal labor laws and no recruitment problems and no corporate taxes. The free zones in the UAE enjoy modern efficient communication networks and excellent support services. A company set up in the UAE enjoys 100% repatriation of capital and profits.

For any new business owner willing to establish a business in UAE, it is best to startup as a free zone company.  Free zones offer excellent facilities which are ideal for running business operations. Each free zone has its own set of laws and the business owner has to comply with these laws. Each free zone has its own sector preferences as well. Thus, anyone interested in offshore free zone company formation must first find out the free zones that allows the specific type of business.  Free zones in UAE offer excellent opportunities to the businesses owners to establish themselves.

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If you too want to start up a company in any form as a local enterprise, free zone company or LLC, you can freely contact UAE Business Zones. You will be satisfied beyond expectations with their services. For further information, please visit

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