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Company Formation in Dubai Free Zones 

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Free Zone company formation

Starting a business in the UAE offers a world of opportunities, making it the ideal place to bring your entrepreneurial dreams to life. Dubai is a popular destination for business setup, but the process can be challenging. Fortunately, Raes Associates can simplify the process with their efficient and trustworthy company formation services.

UAE Free Zones are highly appealing to investors who wish to have complete control over their businesses. These zones have gained international recognition as a way to support and encourage business growth. The Free Zones in the UAE offer several advantages, including 100% foreign ownership, no taxes, and customs benefits. These benefits make the UAE's Free Zones one of the most favorable destinations for international businesses in the Middle East. Many people find it attractive to establish a Free Zone company in the UAE.

Benefits That All Free Zones In Uae Offer

The Hamriyah Free Zone Authority was established in 1995 and is located in Sharjah, United Arab Emirates. Its location offers a unique advantage as it is strategically positioned, allowing for multi-access to neighboring and global countries through land, sea, and air. Furthermore, it operates in a secure currency that is fully convertible, adding to its appeal as a favorable location for business. Hamriyah Free Zone is rapidly becoming a key player in the industrial development of the UAE and is considered a next-generation free zone due to its flexible and dynamic management style.

The business policies in Hamriyah Free Zone are moderate and liberal, making it an investor-friendly jurisdiction. The process of setting up a company in Hamriyah Free Zone is straightforward and streamlined, with simplified procedures and formalities. This allows for a license to be obtained within a short time frame of one hour, once all necessary documents have been submitted.

In conclusion, Hamriyah Free Zone offers a unique combination of geographic, strategic, and business advantages that make it a highly attractive destination for businesses seeking to establish operations in the UAE. It's easy and quick company formation procedures, along with its investor-friendly policies, make it an ideal location for businesses of all sizes and from various industries.

Hamriyah Free Zone Company Setup

There are two types of companies that can be established in HFZ.

Free Zone Company (FZC) or Free Zone Establishment (FZE) refers to a standalone legal entity that operates within the Hamriyah Free Zone. This type of company is fully owned by the foreign investor and is independent of any parent company. The FZC or FZE can engage in commercial activities and has the flexibility to trade with companies outside the free zone.

Branch of a foreign or local company, on the other hand, refers to an extension of an existing company that operates in the Hamriyah Free Zone. The branch office functions as an extension of the parent company and operates under the same name and branding. It is not a separate legal entity, but rather a representation of the parent company in the free zone. The branch office is limited to the activities approved by the parent company and can only engage in the same business activities as the parent company.

Types of Licenses Available

The three main types of licenses available for businesses in the Hamriyah Free Zone are:

  1. Industrial license: This license is for businesses involved in manufacturing, assembly, and packaging activities.

  2. Commercial license: This license is for businesses involved in trading, import and export activities.

  3. Service license: This license is for businesses involved in professional and consultancy services, such as consulting, IT, engineering, and design services.

It's important to note that the specific activities that can be carried out under each license are subject to the regulations and guidelines set by the Hamriyah Free Zone Authority.

Benefits of Hamriyah Free Zone Company

The Hamriyah Free Zone Company provides numerous advantages for businesses. Firstly, it offers 100% tax exemption, full ownership of the company, and allows for the complete repatriation of profits along with other free zone benefits.

In terms of location, the free zone has a strategic position with access to a deep-water port and is near Sharjah International airport as well as three sea ports, allowing for easy connectivity to neighboring markets.

Additionally, the cost of living in the area is reasonable, making it easier for businesses to recruit economical workforce. The free zone also offers furnished executive offices and pre-built warehouses and office units, which are available for lease.

Moreover, the land lease is available for 25 years and can be renewed for the same duration. The infrastructure in the area is highly developed, with a reliable telecommunications system and cost-effective energy options.

Documents Required

The following documents are required for company formation in Hamriyah Free Zone:

  1. Passport copies of the owner(s)

  2. CV or resume of the owner(s)

  3. Company profile or business plan

  1. Trade name reservation certificate

  2. Lease agreement for office or warehouse

  3. Memorandum of Association and articles of Association

  4. Initial approval form

  5. Authorization letter (for representative to process documents)

  6. No Objection Certificate (NOC) from the sponsor (if applicable)

  7. Copy of valid commercial license (for branch office)

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