Low Company Setup Cost
Free Zones in the United Arab Emirates (UAE)are economic areas where goods andservices can be traded at preferential tax andcustoms rates. Established to boostinternational business by providing 100%foreign ownership and single-windowadministration convenience, Free Zones are adriving force in attracting foreign directinvestment. Here are some key aspects ofFree Zones in the UAE:
Greater Business Scope
Free Zones are known for their tax exemptions. Companies typically benefit from being 100% exempt from import and export taxes, corporate taxes for a certain period (which can be renewable), and no personal income taxes. This makes them an attractive proposition for starting a business
Extended Validity of License
UAE mainland companies face no limitationsin expanding their visa quotas under abusiness license. While additional physicalspace may be necessary beyond a certainthreshold, scaling the business isconsiderably simpler.
Cheap Office Spaces
Acquiring a DED Mainland License provides you with the chance to establish your company’s physical presence anywhere in the UAE. This fosters a more robust presence and grants you the liberty and versatility to extend your company’s branches throughout the UAE
Development of the Tourism Sector
Businesses holding Mainland Licenses arepermitted to engage in governmentcontracts. The UAE government oftenrequires specialized contractors for multimillion projects, providing the chance to bidon lucrative, high-risk projects withsubstantial returns.
Capacity to Collaborate with Authorities
Dubai Mainland License companies receivethe same advantages as Free Zone licensecompanies, including tax exemptions.Importantly, there is no minimum capitalrequirement for establishing a companyunder a Dubai Mainland License.
Return of Capital and Profit
Abu Dhabi mainland businesses benefit from the unrestricted repatriation of all profits and money earned by their enterprise. Acquiring an Abu Dhabi Mainland licence also gives you 100% ownership rights and income tax exemptions. The only tax levied on businesses is value added tax (VAT), which is levied at a rate of 5%.
