FAQ – FREEZONE COMPANY
What is a Free Zone Company? Do I need a UAE citizen as a partner to open a Free Zone Company?
A free zone company is registered with a free zone authority and does not require any local UAE citizen shareholding. Foreign citizen(s), company (s) can own 100% shares in the company.
What is the difference between Free Zone Establishment (FZE) and Free Zone Company (FZC / FZCO)?
A free zone establishment has only single shareholder whereas a free zone company generally has 2 to 5 shareholders.
How many employees can be employed by a Free Zone Company?
It normally depends on the free zone where you register the company and the office space you lease from the respective free zone. Some times this is also governed by the packages you opt for.
What kinds of facilities available in free zones? Can I open an industry in a free zone?
Most of the free zones have offices, warehouses and open land for light industrial units.
What are the advantages of opening a Free Zone Company?
Mainly it is 100% ownership to foreigners and 100% tax exemptions apart from various other exclusive facilities.
Can I register any activity in any free zone?
Every free zone has its own set of approved activities.
Which free zone should I open a company?
This decision is mostly based on the cost factors, no. of visas required, business activity you choose for trade license, distance from other emirates and finally personal choice.
Can a Free Zone Company trade internationally and locally?
Yes it can trade internationally on its own and also locally through a registered dealer or agent under the rules and regulations of the respective free zones.
How many companies can I open?
You can open as many companies as you want in one or more free zones.
Can a Free Zone Company open a bank account with any bank?
Yes, as per the choice of the investor.
What is the minimum capital required to open a Free Zone Company?
Every free zone has its own requirements but generally it varies between AED 50,000 to AED 1 Million (1 USD = AED 3.68 approx).
What are the numerous advantages of opening a Free Zone Company?
No personal income taxes in the UAE 100% ownership of the business No corporate taxes Up to 100% repatriation of capital and profits Modern efficient communications facilities Direct visa approvals from free zone authorities Attractive working environment No restrictions on currency of trade Outstanding support services Land is available on lease for light industrial units Pre-built warehouse / factory / office accommodation units available for lease On-site accommodation for company staff.