JAFZA company set up can be a pleasant decision as it is one of the most renowned and highly reputable free zones. It is currently home to several international companies as well as local firms which includes logistics firms, manufacturing plants, assembling units, etc. The most advanced feature of Jebel Ali Free Zone is its direct access to Jebel Ali Seaport and the Al Maktoum International Airport. In addition, the single customs area helps in reducing cargo clearance times and costs. Thus, it provides a strategic location for excellent logistics infrastructure and a business-pro environment for JAFZA company formation.
Widely recognized as the most service-driven and customer-oriented, JAFZA is in the process of becoming a major business hub in the world.
JAFZA company set up
Jebel Ali Free Zone was established in the year 1985, making it the oldest free zone in the UAE. It presents a vast list of activities including trading, industrial activities, service, logistics, etc. for investors and businessmen. Besides, JAFZA also has a lot to offer in terms of logistics trails for those involved in trading activities. For example –
Carriage by the sea – Jebel Ali seaport serves over 150 shipping lines and has one of the best global marine connectivity’s.
Shipment by the air – One of the largest cargo airports around the globe, the Al Maktoum International Airport serves as a major trade conveyance in the free zone.
Consignment by rail – The under-construction Etihad rail connects JAFZA to the whole Arabian Peninsula.
Transportation by road – The fully-equipped and extensive highway links in the UAE makes the consignment travel faster as well as safe in all the emirates.
Thus, JAFZA can be a suitable option for those who are planning for international trading, manufacturing, importing & exporting, distributing, and logistics. It is indeed a prestigious place with all possible types of facilities.
Facilities available in Jebel Ali Free Zone
- Warehouses
- Properties/Plots
- Offices
- Showrooms
- Retail outlets
- Business parks
- On-site residential facilities
The availability of Flexi desks is uncertain. Therefore, any investor planning for the JAFZA company set up will have to consider an office space right away.
Types of JAFZA company setup
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Free Zone Establishment(FZE)
Free Zone Establishment involves a single shareholder, individual or non-individual/company. It is basically a limited liability entity wherein the liability of the shareholder is up to the extent of his shares in the company. Moreover, the personal assets of the owner remain protected in FZE.
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Free Zone Company(FZCO)
FZCO requires the involvement of 2 to 50 shareholders, which can be individuals, companies, or a combination of both. Again, just like FZE, it is also a limited liability partnership where the liability of each partner is limited to the company’s assets.
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Branch company
Companies legally established within or outside UAE can start their branch in JAFZA. The important thing to keep in mind is that the parent company must have a valid registration as well as a valid license. And since the parent company has 100% ownership of its branch, it will be operated under the same name as well as conduct the same business.
Also read the post: Benefits of Sharjah Media City Free Zone License
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Special Status Non-Resident Offshore Company
As per JAFZA Companies Regulations Act 2013, offshore companies can be established by an individual or a corporate entity. Although it will be considered a non-resident company, it will have a corporate legal existence.
Benefits of FZE JAFZA company set up
- Full ownership of the company
- Freedom of repatriation of profits and assets
- No requirement for minimum capital investment
- Limited liability up to one’s paid-up share capital
- No restrictions on currency exchange
- Exemption from taxes such as personal income tax and corporate tax
- No customs charges on import and export
- Direct access to a global consumer market
- Well established factories and warehouses
- Freedom to hire foreign employees
- A wide range of selection of trading activities
- Covers up to 12 activities under one license
- Biggest UAE seaport as well as airport within/nearby the region
- Favored by local banks for an easy accomplishment of banking procedures
Procedure for FZE JAFZA company formation
The steps involved in FZE company formation include the following :
- Fill out the FZE JAFZA company set up application form
- Submit the original passport in JAFZA Dubai
- Provide the original as well as a copy of the passport of the manager and shareholder
- If a UAE resident, then get a No-Objection Certificate from the local sponsor
- Submit a project summary, along with the EHS(Environment Health & Safety) application and the EHS letter of undertaking
- Draft a business profile of the shareholders and also a board resolution to establish the company
- Provide a specimen signature of the appointed manager. In the case of non-individual shareholders, attest the specimen signature by JAFZA
- Pay the required fee
- Get the JAFZA trade license
- Get the lease agreement and other relevant documents for renting an office
- Finally, apply for the visa
Documents required for FZE company formation in JAFZA
- Duly filled application form
- Original passport and its copies belonging to the manager/shareholders
- NOC from the sponsor
- Summary of the project
- Application form and letter of undertaking for EHS (Environment Health and Safety)
- Business profile of each shareholder
- Board resolution
- Manager’s signature specimen
- Certificate of registration
- Memorandum of Association
- Articles of Association
FZE license renewal
For business renewal, the owner of FZE might have to pay a certain amount which includes license fees, office fees, as well as establishment card fees. Also, the renewal costs are as same as the JAFZA company formation registration charges.
The company owner must submit an audit report at the time of company renewal. For this purpose, they can appoint a UAE-licensed and accredited auditing company. additionally, this whole process can be performed remotely, without having to visit the free zone.
Companies that possess plots of land and sublease facilities can renew their license for at least three years.
Apart from renewal, if the owner wants to make certain changes in the company, they can do the same at the time of renewal itself. For instance, change of name, change of manager or director, change of business activity, etc.
FZE license cancellation
The liquidation process may require the physical presence of the owner in JAFZA. However, it can also be done by the person, holding a notarized Power of Attorney.
The liquidation process of the FZE is quite simple. All you need to do is return the original documents to the authorities and pay the liquidation fee. The whole process of cancellation takes approximately one month. Later, the JAFZA company register provides a certificate of liquidation to the business owner.
Sum up
Jebel Ali Free Zone provides tremendous opportunities to start-ups and SMEs. JAFZA company formation comes with many perks such as customized networking, global connectivity, a productive environment, and simplified operations. Therefore, corporate entities and individual entrepreneurs must seek a chance and opt for the JAFZA company set up.
Shuraa Business Setup provides complete services for company formation in the Jebel Ali Free Zone as well as other freezones in the UAE. Besides, we are one of the best business consultancies, offering a complete business solution for all your company formation needs. From the preparation of documents to obtaining visas, we assist in all stages of business setup in JAFZA, UAE.
For more information, speak to Shuraa Business Setup experts today! Call +971 44081900 or write to us at info@shuraa.com. You can also chat with our team at +971 50 777 5554.
