Get a FREE Visa for Life with IFZA Free Zone packages

What are free zones and what is IFZA?

Free zones are special economic zones set up with the objective of offering tax concessions and customs duty benefits to investors and business owners. Free zones in the UAE were originally rolled out to boost international business in the UAE by offering benefits such as 100% foreign company ownership. There are currently around forty-five (45) free zones across the UAE. Amongst these, one of the most popular free zone is International Free Zone Authority (IFZA).

Originated in Fujairah, IFZA has always been on track to become a leading investment hub for both international and local business owners. IFZA is popular for offering one of the most competitively priced free zones company setups in the UAE. Another reason for its popularity is that IFZA offers tailored solutions for each prospective business. IFZA incorporates service standards on an international level ensuring that each client has the best company set up and after care services possible.

Is IFZA in Dubai?

In October 2020 Dubai Silicon Oasis Authority (DSOA), the regulatory body for Dubai Silicon Oasis (DSO) signed an agreement with IFZA. This agreement empowers new and existing IFZA companies to be incorporated under the joint umbrella of DSOA and IFZA, boosting the flexibility of doing business in the UAE. Additionally, this agreement provides entrepreneurs and startups with opportunities to expand their businesses and partner with a host of technological companies, experts and startups based in Dubai Digital Park (DDP), Dubai Technology Entrepreneur Campus (Dtec) and DSOA headquarters.

What businesses can be set up with IFZA in Dubai?

Companies with the following license types can be set up with IFZA in Dubai:

• Professional license: providing consultancy, technical and other services to business professionals across all industries.
• Commercial license: allows for the import, export, distribution and storage of items specified on the license.
• Industrial license: The import of raw materials followed by production, re-production, manufacture and packaging of products, and export.
• Branch: Foreign incorporated companies may register a branch with IFZA, Dubai. The activity of the branch should be identical to the activity of the parent company.

What are the benefits of setting up a company with IFZA in Dubai?

Some of the key benefits that IFZA offers include:

• Quick registration and license issuance.
• Ability to incorporate holding companies.
• No requirement for physical offices.
• Wide range of business activities.
• Very competitive prices.
• Shareholder’s physical presence is not required to incorporate a company.
• 100% foreign ownership.
• 100% exemption from corporate and income taxes.
• Zero foreign currency restrictions.
• 100% repatriation of company profits and capital.
• Various visa and non-visa packages are available.
• Do business with various multinational companies situated in Dubai.
• IFZA offers a wide range of office solutions including individual desks, private offices and customised office suites.
• Along with company setup, IFZA offers the following additional services:
• License amendment services.
• License upgrade and downgrade services.
• Document attestation.
• Immigration services.

What are the steps for setting up a company with IFZA?

One is required to take the following simple steps to set up a company with IFZA:

• Placing an order.
• Documentation
• Approval and processing
• Issuance of license.

What are the other initiatives of IFZA?

IFZA strives to become an environmentally conscious free zone and operates responsibly regarding carbon footprints to pose a minimal detrimental impact on the environment. To do this, IFZA is currently focusing on five initiatives, including:

• Use of wind energy.
• Use of solar energy.
• Effective insulation of buildings.
• Introduction of a paperless system.
• Only using suppliers with a well-established carbon footprint.

Legal Inz provides company formation services to set up a company with IFZA.  Legal Inz also assists in issuance of residential visa to shareholders and employees. Please feel free to contact us for any assistance relating to setting up companies in IFZA.

Here are some of the main advantages of setting-up free zone companies with International Free Zone Authority (IFZA), Dubai, UAE:

• One of the cheapest free zones in the UAE.
• Exemption from corporate and income taxes.
• Entire company formation process can be completed remotely.
• 100% foreign ownership permitted.
• No requirement for NOC from current visa sponsor (employer).
• Broadest range of business activities available.
• No requirement for a physical office.
• No requirement for a paid-up share capital.
• No requirement for annual audit report.
• Rental agreement provided for bank account opening.
• Holding company structures available with cheaper formation cost.
• Three (3) years UAE residency visas for shareholders and employees.
• Easy bank account opening with UAE banks.
• Minimum documentation required for company formation.
• All licenses are limited liability company (LLC).
• No requirement for guarantee deposit for employee visas.
• Unique legal framework designed for SME’s and larger companies’ needs.

Comparing with other free zones, IFZA is one of the cheapest free zones in the UAE.

Legal Inz is a registered agent with IFZA and ensures the ensures the entire company formation and issuance of residence visas with IFZA in a seamless manner.

International Free Zone Authority, Dubai (IFZA) offers more than 1,000 business activities to the companies incorporated in the free zone. These license activities can effectively serve small start-ups to large multinational companies.

The types of licenses offered by the free zone include:

Consultancy License

This includes activities for consultancy services for professionals. It is recommended for business professionals providing expert and professional consultancy services across all industries.

Service License

This includes activities for the provision of services. It is recommended for service providers for the production, re-production, transformation and distribution of services. Service license includes rendering services as the primary objective and utilizing associated goods to provide those services.

Trading License

This includes activities for trading in goods. It is recommended for the import, export, distribution and storing of goods specified on the license.

General Trading License

This includes activities for trading in a wide range of goods. It is recommended for the trade in a wider range of activities and gives freedom and flexibility to trade in any commodity which is permitted within the UAE.

Holding License

This includes activities of holding assets or shares in other companies. It is recommended for holding standalone assets and/or shares in other companies. Holding companies are commonly for controlling other companies and entities, property and real estate, stocks, assets, trademarks and patents.

Given the wide range of options available for setting-up new free zone companies in the UAE, it is important to understand if you should consider IFZA free zone for your new venture. We see new companies being established by a variety of shareholders including corporate shareholders, holding companies, entrepreneurs, businessmen and employees in transition.

We have categorized the four (4) types of shareholders who may be particularly interested in setting up their free zone companies with International Free Zone (IFZA) in Dubai. We have outlined these types of shareholders and explained the reasons why they consider IFZA as the most suited option:

1. Entrepreneurs

Entrepreneurs are the top category of shareholders who set-up new ventures to bring new ideas to life with various products and services through innovative approach. They take calculated risks and look to set-up companies with low incorporation costs and overheads to minimize the initial investment. If the new venture becomes successful, they either raise funding or add their personal equity to expand the business.

IFZA Free Zone is the most popular choice among entrepreneurs given the cheapest company formation packages offered. We have seen entrepreneurs set-up businesses with IFZA and then gradually enhance their formation packages to increase the number of visa allocations keeping in view their employee count. These businesses often expand to companies in mainland areas in Dubai and other Emirates to meet growing customer demand.