How to start a business in Jebel Ali Free Zone (JAFZA) – [Comprehensive Guide]
Why Jebel Ali Free Zone (JAFZA) is a Prime Choice for Entrepreneurs
Jebel Ali Free Zone (JAFZA) stands out as one of the most prominent free trade zones in the UAE, renowned for its world-class business services and cutting-edge facilities. In 2022, JAFZA experienced a remarkable 30% growth rate in customer registrations, reflecting its status as a leading business hub in the region. This article explores the reasons behind JAFZA’s popularity, the benefits of setting up a business there, and how Brightlink Consulting can assist you in establishing your company.
Benefits of Starting a Business in JAFZA
JAFZA, a flagship project of DP World, offers numerous advantages for businesses looking to establish a presence in the UAE:
- 100% Foreign Ownership: JAFZA allows businesses to be fully owned by foreign investors.
- Low Tax Rate: Companies operating in JAFZA benefit from a corporate tax rate of 9% on profits exceeding AED 375,000.
- Strategic Location: Positioned at the crossroads of Asia, Europe, and Africa, JAFZA offers easy access to Jebel Ali Port, one of the world’s largest container ports.
- World-Class Infrastructure: The free zone provides modern facilities, including advanced warehousing, manufacturing spaces, and office environments.
- Simplified Procedures: JAFZA features a streamlined business setup process with minimal paperwork and quick registration.
- Access to Skilled Workforce: Companies have access to a diverse pool of highly skilled professionals from around the globe.
JAFZA Offshore Company and Special Purpose Company (SPCs)
JAFZA facilitates the establishment of various company types, including Offshore Companies and Special Purpose Companies (SPCs):
- Offshore Companies: These entities are non-resident companies that conduct business outside the UAE and benefit from tax exemptions. They must maintain a registered office and agent within JAFZA and typically engage in asset holding, investment management, and consultancy.
- Special Purpose Companies (SPCs): SPCs are created for specific purposes, such as owning assets, executing projects, or holding shares. They can be registered as Free Zone Companies (FZCOs), Free Zone Establishments (FZEs), or branch offices.
Steps to Start a Business in JAFZA
Here’s a step-by-step guide to setting up a business in JAFZA:
- Choose Your Company Type: Select from various formations, including Free Zone Company (FZCO), Free Zone Establishment (FZE), Branch Office, or Offshore Company.
- Select Your Business Activity: Ensure your business activity aligns with the free zone’s regulations, as this will determine your trade license type.
- Decide on a Trade Name: Choose a unique name that complies with JAFZA’s naming conventions.
- Submit Your Application: Provide necessary documents, such as passport copies, proof of address, and a business plan, for company formation.
- Secure a Physical Space: Obtain a physical location within JAFZA, sign a lease agreement, and fulfill payment requirements.
- Open a Corporate Bank Account: Deposit the minimum capital required into a UAE corporate bank account. Brightlink Consulting can assist in selecting the best banking partner.
Cost of Setting Up a Business in JAFZA
The cost of obtaining a trade license in JAFZA starts from AED 5,500, with the total setup cost ranging from AED 20,000 to AED 100,000, depending on additional expenses such as visas and registration fees. Brightlink Consulting offers customized business packages tailored to your specific needs.
How Brightlink Consulting Can Help?
Brightlink Consulting simplifies the process of starting a business in JAFZA. With over 10 years of experience, our team provides comprehensive services including company registration, licensing, visa processing, bank account opening, and office space rental. For more information and to start your JAFZA business journey, visit Brightlink Consulting or call +97145575778 to speak with one of our experts.