Jebel Ali Free Zone

Jebel Ali Free Zone

Jebel Ali Free Zone Company Formation

 

 

Established in 1985, Jebel Ali Free Zone (JAFZA) is the flagship operation of Dubai based and state owned ‘Economic Zones World’ (one of the world’s biggest developers of Economic Zones, Logistics, and R&D driven Industrial Parks) and offers light industrial units, land, offices, and warehouses on long-term lease. Spread over 48 Square Kilometers, JAFZA is one of the world’s most services driven, customer centric free zones. Free from of red tape and restrictions, JAFZA provide its customers an environment which is most conducive for growth. JAFZA’s deep commitment to service excellence has enabled it to gain ISO 9001:2000 Certification in 1996, making it the world’s first ISO certified free zone.

JAFZA is located next to Jebel Ali Port, which is the world’s largest man-made port in the Middle East and 6th largest container port, and is served by 150 shipping lines offering 90 weekly services. Also, Jebel Ali Free Zone is 30 minute drive away from the Dubai International Airport, connecting it to over 200 global destinations. Further, it’s well-connected through extensive road network and is just 35 kilometers southwest of Dubai city, thus allowing it the fastest possible access to a market of over 2 billion people in the South and West Asia, the CIS, and Africa, thus making Jebel Ali Free Zone the most efficient partner for all types of businesses.

Reason to Setup Company in Jebel Ali Free Zone

The incredible journey from being a 19 member company base in 1985, to the home to nearly 6,500 companies (including 150 plus Fortune Global 500 enterprises) from over 110 countries, JAFZA has grown more than 350 per cent, which is phenomenal. JAFZA has manifested itself into a globally renowned commercial and industrial hub, attracting crème de la crème investors from the Middle East region, Europe, Indian Sub-continent, America, Africa, and other nations owing to its unique value added propositions.

AFZA is home to more than of the 50 world’s top logistics companies and some of the biggest global business names like Rolls Royce, Unilever, Samsung, Petro China, Sony, Toshiba, Nestle, Volvo, Hitachi, Exxon Mobil, Schlumberger, Schneider Electric, General Electric, Honda, Panasonic, Nissan, GM, Procter & Gamble, Honeywell, and many more.

Though there are many free zones in Dubai, JAFZA has played a crucial role in the phenomenal economic growth UAE and Dubai has witnessed over the years. Jebel Ali Free Zone contributes to over 50% of Dubai’s total exports, 12% of all airfreight at Dubai International Airport, more than half of the Dubai’s total non-oil exports, 31% of Dubai’s total non-oil imports, and over 25% of all container throughputs through Jebel Ali Port.

Jebel Ali Free Zone offers a vibrant networking atmosphere, friendly business climate, and excellent logistics matrices. JAFZA holds the distinction of being the only free zone in the world that is situated between a seaport and an airport. Apart from being the world’s most efficient sea-air hubs, other features that make JAFZA an ideal location for company formation are:

  • No restrictions on currency and minimum capital investment
  • 100% foreign ownership: JAFZA allows its clients to operate as a wholly owned entity, without any need for local partnership. Moreover, the shareholder’s liability is limited to the amount of its paid-up share capital
  • 0% personal income tax
  • 0% Corporate tax for a period of 50 years, a concession that is renewable
  • No currency restrictions and flexibility for companies to transfer any required capital
  • 0% customs duties on import and/or re-export
  • No restriction on hiring foreign employees
  • A company established in the Free Zone that has built its own facility has the facility to mortgage its own premises on the leased land to any bank or financing company for any of their debts or obligations
  • Access to abundant energy making it cost-effective for clients to conduct production operations
  • Presence of ready-made factories, warehouses, convention centers, on-site residential complexes, and pre-fitted offices
  • Excellent infrastructure, support services and communications
  • Access to over 2 billion worth consumer market

Business Set Up Process in JAFZA

Specific law regulations pertaining to licensing, registration, employment, and resolution of disputes apply to the companies planning to set up a business in Jebel Ali Free Zone. With the help of a reliable service provider like Incorp International, the company incorporation process becomes easy, as we take care of the entire company formation formalities that require acute decision making and planning. We help our clients decide their business activity, choose permissible legal structures, prepare detailed business plans, get residential and office space, and hire staff, thus sparing them from all administrative hassles.

Types of Permissible Legal Entities

An individual or a corporate entity can set up company in Jebel Ali Free Zone in any of the following ways:

  • Free Zone Establishment (FZE) – entity with one shareholder
  • Free Zone Company (FZC/FZCO) – entity with 2 to 5 shareholders
  • Branch of a Foreign Company
  • Branch of a Local Company

 

 

Business License Types

 

  • A General Trading Licence allows the license holder to import, distribute, and store all items as per the JAFZA rules and regulations
  • A Trading Licence allows the license holder to import raw materials, export, distribute, and store items specified in the Licence to any country
  • A Service Licence allows the license holder to carry out the services ((Like law firms, accounting firms, and business consultants) specified in the license within the Free Zone. The type of service must conform to the parent company’s license, issued by the Economic Department or Municipality of the relevant Emirate in the UAE.
  • Industrial License: allows the license holder to import raw materials, manufacture, and process, assemble, package and export the finished products to any country
  • A National Industrial Licence provides the license holder same status as a local or AGCC inside the UAE, and requires manufacturing companies to have a minimum of 51% shareholding or ownership of Arabian Gulf Co-operation Council.

The licensing and registration cost may vary based on a number of factors, you may contact Incorp International to get the current cost structure by availing free consultation.