The UAE is an extremely popular business destination, and it has done everything to be a real draw for entrepreneurs from all over the world. Excellent infrastructure, top-notch banking, straightforward company registration, numerous free zones, pro-business laws, and helpful authorities – the country has it all! No wonder hundreds of companies are registered here on a regular basis. The taxes are quite beneficial: though the 9% income tax has recently been introduced, it is still non-existent in some free zones. Sounds interesting?
We would like to invite you to our portal called International Wealth. International business and banking, asset protection, company setup, offshores and onshores, investment in citizenship and real estate – here are just a few things you will find here. You will also have an opportunity to contact our expert and discuss your plans, needs, and preferences to find the best option for you (if we come to the conclusion that the UAE is not the most suitable jurisdiction, we will find an optimal solution for free). And if you decide to delegate all the administrative issues to our specialists, we will help you save your time and concentrate on more important matters (at a reasonable fee).
Why Jebel Ali Free Zone?
Do you think that this is a small area with a handful of companies? No way! Jebel Ali free zone (or JAFZA for short) is one of the most active business centers in the Middle East that stimulated not only the development of Dubai but also the economic growth of the whole UAE! This is one of the most actively developing and biggest free zones in the Middle East.
JAFZA was founded in 1985 and had only 19 companies registered in it. Today this is a business hub known all over the world that is home to over 7,000 companies from about 100 countries. More than 100 of them are on the Fortune 500 list.
JAFZA is conveniently located, providing access to local and international trade and manufacturing facilities. It is situated near Jebel Ali port, the largest one in the Middle East, and gives easy access to over 2 billion people in South and West Asia and Africa.
Jebel Ali free zone provides over 20% of Dubai’s GDP and accounts for more than a half of Dubai’s exports and over 30% of imports.
JAFZA is also located near two large airports: Dubai International Airport, the eighth busiest cargo airport across the globe, and Al Maktoum cargo airport. Both of them are connected by one customs service. There is an excellent six-lane highway that you can use to deliver your cargo from the free zone to the plane in no time. In addition, you can take advantage of the railway line that connects the Emirates with Saudi Arabia and Oman.
Impressed? We will help you join the bustling community of the world’s best companies!
JAFZA Company: Main Benefits
The list of advantages is quite extensive, and some of these may be critical for you:
- You will not be liable for import or export duties.
- You will be exempt from corporate tax for 50 years.
- You will be able to hire employees from other countries and open visas for them.
- The cost of utilities is not very high.
- You will be able to obtain different licenses and engage in various activities.
- There are no currency limitations.
- You will be able to repatriate any amount of capital without any restrictions.
- There are lots of specialized facilities to cater to any business need.
- JAFZA is unique: it is the only free zone in the world that is located near a large seaport and a large airport!
- The logistics infrastructure is excellent, and you will be able to take advantage of the best rail, air, sea, and road routes.
- You will be among reputed companies and investors, which will help you establish business connections and provide great business opportunities.
- You will have an opportunity to get a loan secured by the customer’s premises built on a leased plot of land.
We hope you found some advantages which will be useful for your business. If something important for you is missing, feel free to ask us a question.
JAFZA Companies: Types
There are several company types you can set up in the Jebel Ali free zone.
Free Zone Establishment (FZE)
- This is a limited liability company with one shareholder.
- The shareholder’s liability for FZE’s debts is limited by its contribution to the company’s capital.
- FZE cannot offer its shares to public subscribers.
- FZE needs to get a license to work in JAFZA (it is not authorized to operate in the UAE outside the zone, however).
Free Zone Company (FZCO)
- This is a limited liability company that contains from 2 to 50 shareholders.
- The shareholders’ liability for FZCO’s debts is limited by their contribution to the company’s capital.
- FZCO cannot offer its shares to public subscribers.
- FZCO needs to get a license to work in JAFZA (it is not authorized to operate in the UAE outside the zone, however).
Public Listed Company
- This is a limited liability company that can have two and more shareholders.
- The shareholders’ liability for PLC’s debts is limited by their contribution to the company’s capital.
- PLC is authorized to offer its shares to public subscribers under the Markets Law.
- PLC is required to list the shares it issues on the stock exchange under the Markets Law within 9 months from the date of company incorporation (this period may be extended by the registrar, though). Failure to comply with this requirement will entail a fine.
A branch is the same legal entity as its parent company, so it is fully owned by the parent company, carries out its activities under the same name, and conducts the same business. However, the parent company may choose to register it in JAFZA.
You can get a trading license, a service license, an industrial license, an e-commerce license, or an innovation license in the Jebel Ali free zone depending on the type of activity you engage in.
Interested in the UAE? Want to know more about the destination? Please follow the above link to discover other free zones available in the UAE or get in touch with our expert to ask questions and start the process of your JAFZA company formation!