Cost of a business license in Dubai Free Zone

Dubai is considered one of the most prominent global destinations for business and investment, thanks to its thriving economic environment and the advanced infrastructure it provides. Among the factors that contribute to attracting investors and businessmen from all over the world are the free zones spread throughout the emirate. These areas provide broad opportunities for companies wishing to establish their businesses and expand the scope of their activities in a favorable and encouraging business environment.

One of the most prominent of these areas is the Dubai Free Zone, which provides a variety of business licenses in Dubai that meet the needs of various sectors. Whether you are planning to establish a commercial, industrial, or service activity, the free zone provides you with the legal and administrative framework necessary to achieve this easily and conveniently.

In this article, we will review the types of commercial licenses available in the Dubai Free Zone, the requirements for obtaining them, and the advantages that make working in this zone an ideal choice. We will give you a comprehensive overview of everything you need to know to successfully establish your business in one of the most vibrant and innovative business environments in the world.

Cost of a business license in Dubai Free Zone

Types of commercial licenses in Dubai Free Zone

The Dubai Free Zone is considered one of the most attractive investment destinations in the world, thanks to the many facilities it offers to foreign and local investors. Among these facilities, commercial licenses come in different types to meet the needs of every type of business. In this section, we will review the main types of business licenses available in the Dubai Free Zone.

• Business license

A trade license is the most common type of license in the Dubai Free Zone. This license is granted to companies that wish to engage in general commercial activities such as import, export, distribution, wholesale and retail trade. This license is ideal for companies seeking to expand their business and reach new markets, as the free zone provides a favorable business environment free of bureaucratic obstacles.

• Industrial license

The industrial license is granted to companies that wish to create and manufacture products within the boundaries of the free zone. This license includes activities related to manufacturing, production and assembly. This license comes with multiple benefits, such as providing industrial spaces equipped with the latest technologies and infrastructure necessary to support industrial operations efficiently. Obtaining this license is a strategic step for companies looking to reduce production costs and increase the efficiency of their operations.

• Services license

The service license is granted to companies that provide a variety of services such as management consulting, financial services, information technology, and marketing and advertising services. This license allows companies to provide their services not only within the free zone, but also on a global level thanks to the advanced infrastructure provided by Dubai. This license is ideal for companies that rely on providing specialized services and need a flexible work environment equipped with the latest technology.

By choosing the right type of business license, companies can make the most of the advanced infrastructure and various facilities offered by the Dubai Free Zone, which contributes to enhancing business growth and achieving its strategic goals.

Requirements for obtaining a license in Dubai Free Zone

To obtain a business license in the Dubai Free Zone , companies must adhere to a set of requirements and procedures that ensure the organization of work in these areas and the provision of a safe and efficient business environment. These requirements include the following:

Required Documents

To begin the process of obtaining a commercial license, a set of necessary documents must be provided, which include:

1. License application form: You must complete and submit the commercial license application form available at the free zone authority.
2. Business plan: Submit a detailed business plan that explains the company’s goals and the type of work it will carry out.
3. Copy of passport: Provide a copy of the passport of the shareholders and the company director.
4. No-objection certificate: If the person concerned works for another company within the Emirates, a no-objection certificate must be submitted from the current employer.
5. Memorandum of Association and Articles of Association: Submit a copy of the Memorandum of Association and Articles of Association of the company.
6. Details of commercial activities: Clarifying the commercial activities that the company will carry out in the free zone.
7. Personal photo: Submit a recent personal photo of the company director.

Fees and costs

Fees and costs related to obtaining a commercial license vary based on the type of license and the chosen free zone, and include:

1. Application fees: Fees for submitting a license application, which are paid when submitting the application.
2. License fees: Annual fees for renewing the commercial license.
3. Office fees: The cost of renting an office or work space within the free zone.
4. Service fees: Costs of other administrative services such as opening a bank account or postal services.

Duration of procedures

The duration of the procedures for obtaining a commercial license in the Dubai Free Zone is usually relatively short, as these areas are characterized by speed and efficiency in processing applications. The time period includes:

1. Submission and initial review: The stage of submitting documents and reviewing them by the competent authority may take 3 to 5 working days.
2. Final approval and issuance of the license: After all documents are approved and conditions are met, the commercial license is issued within a period ranging from 1 to 2 weeks.

By submitting all the required documents and paying the necessary fees, companies can start conducting their business activities in the Dubai Free Zone easily and conveniently.

Advantages of working in the free zone

Dubai’s free zones are considered one of the most attractive destinations for investments and businesses in the world, thanks to a set of unique advantages they offer to workers and investors. Among these advantages:

• Tax facilities

One of the most important advantages that attract companies to free zones in Dubai is the great tax facilities. Investors and business owners can benefit from tax exemptions on personal and corporate income, in addition to not being taxed on profits for periods of time that may reach 50 years. This makes free zones an ideal environment for companies looking to reduce their operational costs and increase their profits.

• Advanced infrastructure

Dubai’s free zones are characterized by advanced infrastructure that meets the needs of various types of companies. From modern offices and advanced commercial facilities to warehouses equipped with the latest technology, the free zone offers an integrated work environment that supports growth and expansion. In addition, the free zones enjoy excellent connectivity with transportation networks, which facilitates import and export operations and saves companies a great deal of time and effort.

• Simple and quick procedures

Dubai free zones are characterized by simple and quick administrative procedures for obtaining commercial licenses. Thanks to the integrated electronic system, investors can submit their applications and obtain the necessary approvals in a very short period of time. This helps speed up the start of business operations and reduces bureaucracy that may hinder business elsewhere. Free zones also provide ongoing support to investors through specialized teams in customer services and assistance in dealing with any challenges or obstacles they may face.

In short, Dubai’s free zones offer an ideal business environment that combines tax facilities, advanced infrastructure, and easy administrative procedures, making it a preferred destination for companies and investors from around the world.

In conclusion, obtaining a business license in the Dubai Free Zone is an important strategic step for companies seeking to benefit from the dynamic and flexible business environment these zones offer. Through the wide variety of types of licenses available, whether commercial, industrial or service, companies can choose the license that suits the nature of their activities and requirements.

The process of obtaining a license is characterized by ease and clarity, as it requires submitting a set of specific documents and paying the prescribed fees and costs, while ensuring the speed and efficiency of the procedures.

We cannot ignore the many advantages offered by free zones in Dubai, from tax facilities and advanced infrastructure, to simple and quick procedures. All these factors make Dubai’s free zones an attractive destination for investors and entrepreneurs from all over the world.

Ultimately, Dubai’s free zones represent an ideal environment for business and economic growth, which contributes to strengthening Dubai’s position as a global center for trade and investment. We hope that this article has shed light on the steps and advantages related to obtaining a business license in the Dubai Free Zone, and has helped clarify the full picture for those wishing to enter this promising market.

The most frequently asked questions about a commercial license in the Dubai Free Zone