Dubai’s robust and dynamic business environment makes it a popular destination to start and grow a business. The benefits, like its tax regime, advantageous location, and business-friendly environment, attract investors and business owners from around the world who seek to expand their businesses in the United Arab Emirates.

The UAE government has established 40 free zones in the country to captivate foreign investment and diversify the economy. Among these free zones, 28 are present in Dubai, which makes Dubai a global business hub in the UAE. However, an IFZA free zone business setup is a prominent choice for global investors and business owners.

This blog post will take you step-by-step through a comprehensive tutorial on the IFZA business registration procedure and all of its advantages.

Guide to Establishing Your Business with IFZA

What is IFZA?

What is IFZA?

IFZA (International Free Zone Authority) is one of the most prominent and leading investment hubs for investors and business owners in Dubai. 100% ownership, 100% tax repatriation, no trade barriers, simplified legal process of IFZA company formation, etc. are the several benefits provided by this most preferred free zone in the UAE. IFZA is co-branded with DSOA (Dubai Silicon Oasis Authority) and is operating under DSOA’s guardianship.

Call Our Experts

Get Quick Enquiry

Benefits of IFZA free zone business setup

Cost-effective:

With a company trade license fee starting at just AED 12,500, IFZA is the most affordable free zone in Dubai. Also, its company setup and renewal costs are quite reasonable compared to other free zones in the region.

Business-friendly regulations:

IFZA business registration offers several business-friendly regulations, including 100% ownership, no need for a local sponsor, 100% tax repatriation, cost-effective import and export of goods, no trade barriers, etc.

Flexible licensing:

Multiple business activities can be conducted under one trade license in IFZA. A license can support up to seven activities and up to three activities without additional fees.

Access to services:

The IFZA formation process is swift and is coupled with a variety of services like accounting, bookkeeping, and corporate banking assistance. Also, IFZA provides support to investors and business owners to navigate the banking compliance requirements.

Scalability and facilities:

IFZA offers scalability to businesses by offering visa packages ranging from 0 to 6 visas. Also, a variety of office solutions like combined offices, warehouses, furnished office suites, and retail outlets are available.

The IFZA business setup guide

The following are the steps involved in the IFZA business setup guide:

Step 1: Research and Planning

Start with planning and researching the benefits, incentives, and regulations related to different business activities.

Step 2: Choose a business activity and license type

IFZA offers different licenses for different business activities like consulting, trading, e-commerce, etc. You must choose a business activity and license type that is most suitable to your expertise and market demand.

Step 3: Select a company structure

Depending on your business activity, choose a company structure for business. If you’re an entrepreneur, then a sole proprietorship can be your ideal choice. For businesses with multiple shareholders and companies wishing to expand their business in Dubai, UAE, LLCs and branch offices are ideal, respectively.

Step 4: Prepare documentation and reserve a company name

Gather necessary documents like copies of passports of owner and shareholders, a detailed business plan, the MOA (Memorandum and Article of Association), and proof of address.

Choose a distinctive name for your business complying with IFZA guidelines and apply for its registration. If you’re opening a branch office for your established business in IFZA, Dubai, then you have to register it with the same name as its parent company.

Step 5: Submit your application and fees

Submit a correctly filled application along with the necessary documents to IFZA and pay the applicable fee for IFZA business registration.

Step 6: Obtain initial approval and lease an office space

Lease or rent an office space for your business once you receive the initial approval.

Step 7: Obtain your business license

After your application is approved by IFZA, you’ll get a business license, which will legalize your business in the UAE. Along with a trade license, a certificate of incorporation will be provided to you.

Step 8: Open a corporate bank account

The final step in the process of IFZA company formation is opening a corporate bank account for your business. A corporate bank account provides financial clarity, ease in performing international transactions, and a professional image to businesses.

Classification of IFZA trade licenses

For IFZA free zone business setup, a variety of flexible licensing options are offered by IFZA:

Commercial License: Allows businesses to import, export, store, and distribute goods.
General trading license: This license provides businesses the ability to operate trading operations across B2B, B2C, and C2B models.
Professional license: Ideal for businesses that are service providers and offering professional services like consultancy, management, brokerage, property sales, etc.
Service license: Allows businesses to operate the production, reproduction, transformation, and distribution of services.
Consultancy license: Essential for businesses in IFZA with experts providing consultancy services.
Industrial license: Required by businesses involved in the import of raw materials and export of manufactured, processed, and packaged products.
Holding license: This license allows businesses to hold shares or stand-alone assets in other companies.

Conclusion

For entrepreneurs, business owners, and investors looking for an ideal investment hub in Dubai, UAE, IFZA is a compelling option. Experts at the leading business setup consultancy, Future Dream, will provide you with assistance in streamlining an efficient IFZA company formation.

Step-by-Step Guide to Establishing Your Business with IFZA