Register a Free Zone Company in Dubai

Dubai Free Zone

In Dubai, a free zone is a designated geographic area where certain business activities can take place with specific advantages and incentives. These zones are designed to attract foreign investment and promote economic growth. Companies established in Dubai free zones enjoy benefits such as full ownership by foreign investors, certain exemptions from import and export duties, and streamlined administrative processes. Additionally, Dubai's strategic location as a global business hub, state-of-the-art infrastructure, and a business-friendly environment contribute to the city's appeal for entrepreneurs and corporations. The diverse economy and a cosmopolitan lifestyle also make Dubai an attractive destination for businesses looking to expand or establish a presence in the Middle East. CSB Group continues to support the growth of the business-friendly environment in Dubai and upholds its commitment to support customers wishing to venture into the jurisdiction.

Apart from serving as hubs for global businesses seeking to establish a presence in the Middle East, the Dubai Free Zones provide a platform for company formation with simplified processes, making them an attractive option for international entrepreneurs and investors. Its strategic location, state-of-the-art infrastructure, and business-friendly environment all foster an ecosystem that encourages trade, innovation, and economic growth in the region.

Dubai Fact File

Dubai is part of the federation of 7 independent city-states that form the United Arab Emirates (UAE).

• The UAE is home to 9.99 million people & more than 200 nationalities;
• • The UAE ranks fourth in the World Bank’s “Best Countries to Start a Career;”
• The UAE ranks first in Macroeconomic Stability (WEF Global Competitiveness Report);
• The UAE follows international standards of legal and regulatory procedures;
• The UAE ranks first in the Middle East Global Entrepreneurship Index (GEI) 2020;
• SMEs contributed about 53% to the UAEs GDP in 2019; and
• SMEs comprise 95% of registered companies in the UAE.

Benefits of a Dubai company

Most Free Zones in Dubai are strategically placed, offering dynamic business and commercial hubs, and thus offering a variety of flexible business set-up solutions for all clients worldwide.

The benefits achieved are that:

• The company will be registered within a special economic area that is governed by its own zone’s regulatory framework;
• Most goods can be imported and exported free of customs duties;
• Most business made between different Free Zones are also excluded from customs duties;
• The Free Zones are business ecosystems where companies are clustered around similar industries and themes to facilitate ease of doing business;
• Most Free Zones allow for 100% ownership of commercial enterprises (no need for local sponsors);
• Most Free Zones offer a safe and business-friendly legal framework;
• One can usually find a one-stop-shop offering for all administrative procedures within each Free Zone;
• Residency visas available for shareholders and employees;
• Professional, Commercial, and Industrial activities can usually be combined under one license;
• Physical presence of business owners is generally not required during the incorporation process, apart for just a short period of time for the application and renewal of any available visas;
• Most Free Zones offer full flexibility in up- or down-scaling of the company; and
• Availability of state-of-the-art and flexible office solutions for a wide variety of business requirements.

Tax

According to the Federal Decree-law that was released in January 2023, the UAE business tax went into force on 1^st June 2023. This indicates that companies in the UAE must pay a rate of 9% for taxable business profits that exceed AED370,000.

However, as per the new regulations, existing Dubai Free Zone firms will gain from a corporate tax rate of 0% on qualifying income.

Exemptions

• Salaries and other personal income from employment, interest, and any other personal income from bank deposits or savings plans will generally not be subject to corporate tax;
• The new tax does not apply to real estate investments made by people in their individual capacities;
• Public authorities;
• Government-run organisations;
• Persons engaged in an extractive business;
• Persons engaged in a non-extractive natural resource business;
• Qualifying public benefit entities;
• Qualifying investment funds;
• Public pension or social security funds that are subject to regulatory oversight of the competent state authority; and
• Juridical persons that are wholly owned and controlled by an Exempt Person.

Bank Account

Bank accounts will be opened at a Bank in Dubai itself. Once the company is set up the client will be assisted and guided accordingly and introduced to a Bank that will best suit the company’s needs.  In collaboration with a number of reputable banks in Dubai, including FAB, Masreq and the National Bank of Fujairah, our support services will be available to ensure all the necessary guidance is available according to the specific needs.

Visa

Shareholders and involved parties of companies registered in Dubai Free Zones will be eligible to obtain a visa. The process usually takes around 7 working days to be completed once all documents, and employment contracts have been signed and presented to the respective authorities.