Your Guide to Opening a Company in IFZA Free Zone

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opening a company in IFZA free zone

Established in the year 2018, the International Free Zone Authority(IFZA) stands out from the crowd in terms of the standard of corporate services and solutions they provide. Their services are effective, efficient and of international standards as well. In addition, it also provides countless opportunities to investors and entrepreneurs to set up their businesses in IFZA free zone and connect to the rest of the world. Given its competitive pricing and a wide variety of business activities, IFZA provides a great platform for foreign industrialists to set up a profitable venture with cost-effective rates and a transparent process. Hence, this article will share some more details about this free zone and how opening a company in IFZA free zone can be beneficial for the investors as well as the business. 

The IFZA zone is the best choice for international traders for business setup. Although the company registration process in IFZA is quick and straightforward, there might be slight chances of unexpected roadblocks and errors. Therefore, it is best to proceed with a trusted company formation specialist like Shuraa. 

Advantages of opening a company in IFZA free zone

Let’s look into some major factors that make IFZA so attractive to entrepreneurs and businessmen from all over the world. 

  • Cost-effective business formation

Opening a company in IFZA Free zone is not just cost-effective but also easy to carry out. The entire company formation and the licensing procedure are affordable and easy to attain as compared to other locations in Dubai. 

  • Versatile range of business activities

IFZA allows one to conduct trading, service, as well as industrial business activities under one license. Besides, it is one of the few economic jurisdictions in the UAE to facilitate this option. 

  • Easy bank account setup procedure

If you own a business license in IFZA, opening a bank account also becomes easy. Although the entire process of bank account opening in the UAE is lengthy and complicated, the IFZA license simplifies the procedure and makes it easy to accomplish. 

  • Allows LLC company formation

There is a wide range of company structures available in the IFZA zone for new as well as existing businesses. In addition, IFZA also provides the facility to investors to choose a Limited Liability Company(LLC) structure option, which is usually available in the mainland. 

  • Advantageous location

Being a part of Dubai itself brings in a lot of benefits. Similarly, the strategic placement of IFZA Freezone in Dubai provides a lot of benefits to companies established there. 

  • Skilled talents available

Dubai is a major attraction for laborers and skilled talents from all around the world. Moreover, you can hire a foreign workforce and also sponsor visas depending on the size of your company or office. 

  • High standard of living

When it comes to quality life and a high standard of living, Dubai is the best. Once you set up your business in the IFZA freezone, you can bring your spouse, children, and domestic workers to Dubai and pursue stable and robust family life. 

Additional benefits:- 

  • Promotions and discount offers 
  • Seamless and quick setup
  • License upgradation facility 
  • Training and education for entrepreneurs 
  • Modern office solutions 
  • Physical not required for company formation 
  • Liberty to incorporate holding companies
  • Warehousing amenities 
  • No amount of paid-up capital 
  • Freedom from corporate as well as income taxes 
  • Repatriation of capital and profits 
  • Partnered with the Dubai Silicon Oasis Authority (DSO)
  • Limited liabilities with IFZA company setup
  • Access to DSO infrastructure 
  • Provision of several non-visa and visa packages 
  • Opportunities to collaborate with other free zones as well as mainland companies  
  • Freedom to operate outside the UAE
  • 100% business ownership 
  • Covers up to six activities in a single license 
  • Physical office space is not mandated 
  • Better access to international markets 
  • No compulsion on deposit for an employment visa
  • Competitive prices 
  • No requirement for NOC from the sponsor 
  • Scope of expansion of commercial and trading services 
  • No compulsion on submission of annual audit reports

You also read the post: How to Set Up a Company in Fujairah Free Zone?

Types of licenses issued in IFZA Free Zone 

In order to perform various business activities in IFZA, you need to have a valid business license. Besides, you can also select up to six activities under one license. In other words, you can perform professional, commercial as well as industrial activities under one business license. Below are several licenses offered by IFZA authorities to companies – 

  • Industrial license

Businesses that are involved in a wide range of activities such as importing raw materials, processing raw materials into finished products, exporting them to other countries, hiring factory workers, packaging, distributing & selling, etc. can get an industrial license. Furthermore, if you want to sell your products to other parts of the UAE, you can hire a local distributor to do the same. 

  • Service license 

Individuals with expertise and experience in a specific field such as healthcare, IT, etc. can acquire a service license in IFZA Freezone. Hence, to apply for this license, you need to provide educational certificates or recommendations validating your experience. 

  • Trading license

A trading license basically covers activities that are involved in a retail business. For example, buying and selling products, packaging, rebranding, etc. It also includes certain services that do not require specific expertise or experience. 

  • Holding license 

A holding license allows investors to hold a stake or own shares in another company, but without taking part in any of the management or decision-making process. Additionally, you can also start a holding company in IFZA Free Zone with the holding license. 

  • Consultancy license 

The consultancy license is issued to specialists and companies that offer expert consultancy services. The consultancy could be related to a specific field such as management, accounting, IT, etc. 

  • General trading license 

A general trading license allows companies to trade in a more wide-ranging variety of products. Unlike the trading license, the general trading license holder can manufacture, export, and distribute all kinds of products. 

Process of opening a company in IFZA free zone

  • Choose a business activity and a trading name 
  • Get initial approval from the municipality of IFZA Freezone 
  • In case the activity is special or out of the list of IFZA, then get approval from the concerned ministry or department 
  • Prepare an MOA of the company and get it approved by the court officials
  • Get capital supplement certification from the bank for cash shares 
  • Also, obtain an auditor’s certificate as well for the shares 
  • Submit the application form for a license along with all the initial approvals and certificates. 
  • After proper investigation, get the business name listed in the commercial register and MOA publicized in the Ministry of Economy Bulletin. 
  • Collect the license from the authorities 

Documentation process:

  • Passport copies 
  • Passport sized photograph 
  • UAE visa or entry permit
  • Certificate of incorporation and a copy of trade license of an existing business, if any 
  • Board resolution(for corporate shareholders) 
  • Copy of MOA and AOA of the existing company 

Steps to secure a visa in IFZA Free Zone

  • Apply for the establishment card after getting a business license 
  • Submit the visa application form to IFZA authorities 
  • Pay the requisite fee 
  • Receive confirmation for visa 
  • Seek medical test
  • Apply for the Emirates ID 
  • Undergo Emirates biometric scanning process 
  • Collect your Emirates ID and visa 

PRO services available in IFZA 

  • Labor Establishment Card 
  • Trade license amendment 
  • Residence visa for all business associates 
  • Employee work permit 
  • Trade name reservation
  • Notary services 
  • Legal authentication of documents 
  • Tenancy contract 
  • Ejari registration 
  • License Renewal 

To Speak with the Experienced Business Consultants of Shuraa Business Setup for further information and assistance, call us at +971 4 4081900. You can also send a WhatsApp Message for Chat Query at +971 50 7775554 or email us at [email protected].

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