The United Arab Emirates has more than 40 free zones across the country classified as designated free zones and non-designated free zones for tax benefits purpose. The company set up in UAE free zones can have multiple benefits starting from 100% ownership without a UAE National Sponsor, customs duty, VAT treatment, 0% corporate, personal, and capital gain tax. Investors can repatriate funds 100% without any restrictions.
Following 7 Steps needs to followed while choosing to set up a free zone company in UAE.
1. Identify business activity depends on your business model:
The first essential step is to identify your business activity. There are specific activities not permitted in some free zones. Business plan and model will help to choose the appropriate free zone in the UAE.
2. Decide on office or warehouse space needs:
You might start with a Flexi desk and then scale up your business depending on the growth, or you might require warehouse facilities for storage. Co-working space option available in free zones depending on your business activity. There are promotional offers available for new start-ups.
3. How many visas do you need to manage your business?
Decide the number of visas required, eligibility of visas is depending on your office space or warehouse facilities that you take up while registering a free zone company.
4. Your target market for your business:
Another crucial aspect keeps in mind as there are procedures and regulations while marketing goods or services from free zones into UAE mainland area.
5. Suitability, Transportation and Proximity:
Transportation is a critical aspect for any businesses to survive, grow and scale-up. It would be best if you decided free zone company set up in the best suitable free zone for the movement of goods and services inside the United Arab Emirates quickly without any hassle. Some of the free zones are integrated with seaport, airport, industrial hubs, warehousing and logistical parks, and technology laboratories.
6. VAT and, Excise, Customs Duty Procedures:
Some companies with a unique business model can get VAT exception from VAT registration and customs duty exemptions. Understand whether you import, process, and sell goods that attract excise duties.
7. Your Budget:
You can be able to set up a company in any UAE free zone with your budget with Flexi-desk facilities or co-workspace sharing basis. There is a cost-effective free zones area available in the UAE to meet and register an open company in the UAE with your budget. Contact us now
Blog written by Senior Consultant from Alfamc.com.