7 Types of Trade License in Jebel Ali Free Zone (JAFZA)
In the year 2016, Jebel Ali free zone established the position as the major trading and logistics hub, after it recorded a growth of AED 294.5 billion, which made the non-oil foreign trade upsurge by 17 percent in the region. Company formation in Jebel Ali free zone provides an opportunity to strengthen the value and capacity of trade that can be performed in this Dubai free zone jurisdiction.
Furthermore, all you need to do is apply for a JAFZA license by getting in touch with the jurisdiction to get started with your business activities.
However, only trade is not the reason that makes entrepreneurs and businessmen crave for business setup in Jebel Ali free zone. The JAFZA trade license serves the national economy because of the vivid facilities and free zone company formation potentials provided by the Jebel Ali free zone license. With the competence to acclimate global transactions, adapt various business conditions, create investment opportunities and open new markets for a range of business entities, JAFZA can serve as an all-purpose free zone in Dubai.
Encouraged to comprehend the ways of JAFZA company formation? Then there is a list of requirements related to shareholders, share capital, company name, the number of directors, secretary, office space, various fees and cost of free zone business setup in JAFZA, etc. – that you need to adhere to. Nevertheless, the most important of all are the various business licenses available in JAFZA free zone for company formation.
Which company formation frameworks are legal in JAFZA?
Listed below are the company formation structures in JAFZA:
Company with Multiple Shareholders
The number of stockholders in such a firm might range from 2 to 50. In addition, they can be individuals or businesses. Therefore, it’s effectively an LLC (Limited Liability Company) within the free zone.
Company with a Single Shareholder
A single person or corporate organization has the option of registering as a Free Zone Establishment (FZE) in JAFZA free zone. Moreover, the entity has a separate existence from its shareholder and is entitled to the same rights and advantages as a natural person.
Establishment of a Branch Company
A well-established legal entity has complete authority to incorporate a branch in Jebel Ali after securing a JAFZA trade license.
Here are the seven Jebel Ali free zone licenses that you can choose from depending on your chosen business activities when starting a business in JAZA:
Empowering the trading sector the Jebel Ali free zone does provide a lot of possibilities for the trading sector, however, to conduct any activities in Jebel Ali, you do need a JAFZA trade license from the concerned free zone authority.
Manufacturing activities and industrial companies are directed to have an industrial license. For the production of goods specific requirements are listed that are in general enforced by the Industrial License.
Any professional level activities or service-oriented businesses in JAFZA need to have a service license, to start a business in the region.
Understanding the need of the hour, JAFZA also provides e-commerce licenses for online business entities and businesses held through electronic networks via any electronic means.
National Industrial License
A company that at least has 51% of the UAE ownership is allowed to obtain the National Industrial License. This helps to articulate the range of manufacturing and local manufacturers regulating within the UAE.
Lately, Dubai has been stressing on an innovative-based module that offers sustainability of business entities. Focusing on the same concept, JAFZA’s jurisdiction offers innovation license as part of the various business licenses available in JAFZA free zone. Moreover, this encourages entrepreneurs to take up activities related to new and inventive products and services.
An offshore company in JAFZA can be only established with the help or collaboration of a limited liability company that already exists in the region. Although you may not need a Jebel Ali free zone license, you’ll need a certificate of incorporation for offshore company formation in JAFZA.
How much does a Jebel Ali free zone license cost?
The cost of obtaining trade license in Jebel Ali free zone depends upon various factors. These include operational activities, office space, location, team size, and more. The cost of JAFZA trade license costs approximately AED 60,000. In addition, there may be additional costs depending on the chosen activities and other factors involved.
Visa charges and office space allocation also demand capital. Furthermore, don’t forget that you’ll need to renew your license annually. You can connect with the business experts at Shuraa to know more about the costs and benefits of this license.
What are the benefits of a JAFZA trade license?
Business investors who possess a JAFZA license can enjoy a plethora of benefits in the UAE. Some of them include:
- JAFZA ranks among the best free economic zones in the world. Therefore, there won’t be any concerns regarding the visibility, credibility, and legitimacy of this free zone.
- You don’t need to pay any corporate or personal taxes when you have a JAFZA trade license. Furthermore, you can also repatriate all your profits and capital gains by taking guidance from Shuraa’s business experts.
- Resource availability is not a concern in JAFZA. You get qualified labor, skilled staff members alongside hassle-free office and other infrastructural allocation.
- Another significant benefit of having a Jebel Ali free zone license is that there aren’t any currency restrictions. Therefore, it’s straightforward to indulge in local and international trading activities.
- JAFZA has pretty lenient laws for business investors. In addition, you get a safe yet competitive working environment where individuals strive for excellence.
Launch Your Dream Venture in JAFZA
If you would like to know more about JAFZA company formation, we are just a call away. Contact our business consultants at Shuraa Business Setup, the leading business setup providers of UAE. You can drop us a quick inquiry or contact us on +97144081900.